The ongoing strength of Australian property prices causes many disgruntled home hunters to ask who is to blame. While the finger is often pointed at offshore buyers the Property Council of Australia has defended offshore investment. Instead, the Property Council says state and local government bureaucracy is pushing up prices and holding back overseas investors would hinder supply. The Property Council believes the real enemy to affordability is bad planning systems, a lack of land supply and crippling taxes and charges.
Commentary
The Property Council of Australia's Executive Director of International & Capital Markets, Andrew Mihno discusses the biggest myths and untruths about foreign investment and who he believes is responsible for driving up prices in the property market.
Australian auction results
Sydney recorded a 75 per cent clearance rate from 583 properties for auction
Melbourne posted a 72 per cent clearance rate from 795 properties for auction
Brisbane booked a 29 per cent clearance rate from 88 properties for auction
Adelaide saw a 60 per cent clearance rate from 52 properties for auction
Commercial property sector
Real estate investment trust GDI Property Group Limited
(ASX:GDI) has inked a $136 million deal to buy the Civic Tower in Sydney’s central business district from two vendors including takeover target Australand Property Group
(ASX:ALZ).
Property trust BWP Trust
(ASX:BWP) has bought a development site north of Brisbane on which it will develop a Bunnings Warehouse and announced Bunnings will buy its the Sunshine Bunnings Warehouse in Melbourne from BWP Trust.
Real estate investment manager APN Property Group Limited
(ASX:APD) and Newmark Property Group have created a new $120 million unlisted retail property fund and together purchased the Lidcombe Power Centre, which is a retail site in Sydney’s western suburbs.
Property developer Stockland
(ASX:SGP) has boosted its residential portfolio in Western Australia with the $58.1 million purchase of two large parcels of land in Perth’s southern and northern growth corridors.
