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Private Universe - July Research Report

Private Universe - July Research Report

Date Posted: Jul 28, 2009

The investment universe belongs to the private investor. In the continuing absence from the market of publicly listed entities, except of course in the role of vendor, it is high net worth individuals and private companies who have the field to themselves. We have looked at historic sales transaction data to illustrate to what degree the private investor is filling the void. The results are shown that the total value and number of office, retail, and industrial property sales in Auckland Region, including only sales over $2m, continues to decline. Although in H109 total sales value was higher than any first half year between 1998 and 2002, values were much lower then. More pertinently, the number of sales in H109 is the lowest of any first half year since 1998. The years 2003 to 2007 averaged approximately $1.2 billion of sales over $2m, with the next highest being the years either side, 2002 and 2008, at around $0.6 billion each.

The changing pattern of global property sales volumes provides an interesting comparison to our local data, and illustrates each region’s resilience. Over 2007, total sales volume in the Americas was more than double that in Asia Pacific. However by the first half of 2009 the situation had completely reversed, with the Americas less than half Asia Pacific’s sales volume. During this period sales in the EMEA region (Europe, Middle East and Africa) have also reduced but have displayed less volatility than the Americas.

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For more information, please contact:

Dhilan Balia

Dhilan Balia

Research Analyst / Valuer
Auckland Office
DDI: +64 (9) 358-8966
Fax: +64 (9) 358-1999
Email: Dhilan.Balia@colliers.com

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Alan McMahon

Alan McMahon

National Director - Research and Consulting
Auckland Office
DDI: +64 (9) 356-8811
Fax: +64 (9) 358-1999
Email: alan.mcmahon@colliers.com

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