Overseas Commercial Purchases Top $1 Billion

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Overseas Commercial Purchases Top $1 Billion
Overseas Commercial Purchases Top $1 Billion

Offshore investment in Australian commercial property increased 58% for the first quarter of 2015 compared to the same period last year, according to LJ Hooker Commercial.

More than $1 billion was invested in Australia between January and March 2015.

On the Gold Coast, the largest international purchase during the first quarter came in the form of a joint venture between Abacus (Australian) and US private equity group KKR who purchased the Oasis Shopping Centre, Broadbeach for $103.5 million.

Nationally, Chinese investors represented 44% of international sales in the quarter.  The interest from Chinese investors follows on from the 2013-2014 Financial Year, where the Foreign Investment Review Board noted the Asian power overtook the United States for the first time to become the largest foreign investor across all Australian property markets.

To help meet the market demand LJ Hooker Commercial Gold Coast has appointed Mr John Kyriazis to the position of Commercial Investments and Special Projects.

Mr Kyriazis said LJ Hooker Commercial Gold Coast occupies a prime position in the market, working in all areas of commercial and industrial investments and developments on the Gold Coast.

“I’m currently liaising with the Principals from all 20 agencies and 117 sales agents from within the LJ Hooker Gold Coast Network,” said Mr Kyriazis.

“The current economic environment has made commercial and industrial property opportunities sought-after by local, interstate and overseas investors or corporations. Aiding this is the softening Australian dollar and the low interest rates.”

“Yields are attractive across office, retail and industrial in Australia, with the Gold Coast being held in strong regard for its low risk. We are also seeing increased interest from local and interstate investors on the Gold Coast because of their renewed confidence in the commercial and industrial market.”

“Approximately 44% of international property purchases were from China, followed by the US (20%), and Singapore (18%).”

“Southport is still a hotspot as well as Burleigh and right across the Gold Coast.  If the Dollar continues on its downward trajectory, we can only anticipate further interest from overseas investors that are interested in office, retail and industrial properties with easy access to major arterial roads and the light rail,” said Mr Kyriazis.

“LJ Hooker Commercial Gold Coast is not only concentrating on the industrial and commercial market, we are also focusing on development sites and helping overseas, interstate and local investors find the best possible sites to develop for maximum returns.

“The entire Gold Coast market is starting to come alive with new developments and the market is becoming more active. Furthermore, we are also seeing a number of new apartment project sales moving very quickly which in turn is going to require more new projects to be built.”

Mr Kyriazis said equipping clients with the best possible knowledge and skills is the office’s top priority.

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