_Economy and Finance

Melbourne office market weakness to be sustained beyond 2013 – New BIS Shrapnel report by BIS Shrapnel The new BIS Shrapnel Melbourne Commercial Property Prospects 2013-2023 report reveals sustained weakness in the Melbourne office market. http://www.infolink.com.au/c/BIS-Shrapnel/Melbourne-office-market-weakness-to-be-sustained-beyond-2013-New-BIS-Shrapnel-report-n2502654

Perth and Melbourne office markets have the brightest prospects as commercial property sentiment lifts: NAB Index By Larry Schlesinger Wednesday, 22 May 2013 The Melbourne and Perth office markets are forecast to deliver the strongest returns to commercial property landlords over the next two years with both capital values and rents rising, according to the March quarter NAB Commercial Property survey. http://www.propertyobserver.com.au/commercial/perth-and-melbourne-office-markets-have-the-brightest-prospects-as-commercial-property-sentiment-lifts-nab-index-nab/2013052261577

Melbourne CBD 20.05.2013 How would you describe your market at the moment? Melbourne, like many other Australian CBD office markets is characterised by a challenging demand environment. Occupiers remain reluctant to move or make long-term decisions while commodity and financial markets are volatile. http://www.joneslanglasallesites.com/leasing/market-overview/melbourne-cbd-5

Melbourne office slump set to continue Published:06 May 2013 Author:Claire Chaffey Source:Property Week The Melbourne office market is set to get worse before it gets better, potentially setting off market panic, according to the latest BIS Shrapnel report. http://www.propertyoz.com.au/Article/NewsDetail.aspx?p=16&id=7590

BIS warns of Melbourne office market “panic” Posted by Unconventional Economist in Australian Propertyon April 30, 2013 | By Leith van Onselen Earlier this month, Morgan Stanley released detailed analysis pointing to a big ramp-up in office construction and office vacancy rates in Melbourne over the next couple of years. http://www.macrobusiness.com.au/2013/04/bis-warns-of-melbourne-office-market-panic/

Docklands: Shifting the market dynamic for Melbourne CBD office Australia ViewPoint ​SUMMARY Docklands has been the engine room of growth in the Melbourne CBD office market over the last decade or so and based on existing development will continue to be over 2013 and 2014. The historical strong growth has been well absorbed against a backdrop of strong conditions in the office occupier markets, which saw the Melbourne market outperform other capital cities in terms of space growth and yield. With occupier conditions now materially weaker, forthcoming supply in Docklands poses clear risks to CBD vacancy. To date, the market seems to be digesting this as part of a cyclical slowing, a rebalancing or “normalisation” after a period of strength, rather than posing a material risk to the long run performance of the Melbourne market. Yields have been relatively stable, particularly for premium assets. We think that is likely to remain the case through 2013 and 2014. Download full ...

Vacancy rates a tale of two cities February 7, 2013 Carolyn Cummins Commercial Property Editor The lack of new buildings in Sydney and too many in Melbourne has led to a dramatic difference in office vacancy rates since July last year. http://news.domain.com.au/domain/real-estate-news/vacancy-rates-a-tale-of-two-cities-20130207-2dzt2.html

Established Melbourne office market faces short term headwinds from Docklands and interstate departees: CBRE By Alistair Walsh Wednesday, 29 August 2012 The office market in Melbourne faces strong short term headwinds with the landmark projects in the Docklands precinct coming to market soon while major Melbourne tenants contemplate moving interstate, according to CBRE. http://www.propertyobserver.com.au/news/established-melbourne-office-market-faces-short-term-headwinds-from-docklands-and-interstate-departees-cbre/2012082956286