OPINIONL The commercial property market is feeling the sting from rising interest rates, with the sharp declines in listed real estate stocks set to spill into the unlisted market.
Local investors are hastily revising their sums on commercial property, as valuations come under pressure from the inexorable rise in inflation and interest rates.market – prices are likely to suffer stiff declines.
The glum mood continued on Wednesday, with shares in Goodman Group closing 0.1 per cent lower at $19.43 , while Stockland finished at $3.73 .Charter Hall Group closed at $12.52 , while Mirvac bucked the trend to close slightly higher at $2.13 .Of course, these big moves in the listed property sector will be replicated, and even magnified, in the unlisted sector, as a sharp rise in borrowing costs changes the dynamics across the commercial property space.
reporting that the formerly red-hot commercial property sector is showing the first signs of cooling.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
The three signs that inflation has peakedDeclines in the prices of computer chips, shipping containers and fertiliser show that relief is coming from seemingly ever-rising prices.
Read more »
Green financing takes off in commercial propertyIt was a long time coming, but it’s now clear that Australia’s commercial property sector has finally embraced sustainable financing.
Read more »
‘A very clear jolt’: Why house prices are tipped to fall even furtherMay’s auction clearance rates dropped below 60 per cent in Sydney and Melbourne, and below 70 per cent in other capitals, showing the property market is weakening.
Read more »
Rate rises to drive $150k wipe-out for Sydney property prices - realestate.com.auMoves by the Reserve Bank to raise rates again would plunge Sydney’s housing market into a bigger downturn, with modelling revealing how much prices would drop.
Read more »
Aussie home prices suffer biggest slowdown in 30 yearsAfter near-record rises during the pandemic, home prices are now slowing at their most rapid pace since 1989.
Read more »
Energy ministers are meeting to discuss rising prices. But they're not likely to fix energy affordability in the short termThe Commonwealth, state and territory energy ministers are meeting today for the first time since Labor's federal election victory last month. But here's why short-term relief from rising gas and electricity prices is unlikely.
Read more »