Cushman & Wakefield have released the latest quarterly industrial numbers covering both Q2 and Q3, showing that following record transaction volume over the June quarter ($8.3 billion), industrial volume slowed to $2.2 billion in Q3, though this is double the average quarterly volume of $1.1 billion.
Rolling annual volume totalled $12.95 billion and was the second strongest annual result for industrial on record, only beaten by Q2’s $13.0 billion.
Sydney
- After a slow start to the year, NSW industrial transaction volumes rebounded sharply in Q2 to $2.2 billion, the highest on record. Q3 volumes tempered to $629 million, just shy of the previous Q3 record of $773 million in Q3 2020
- The average prime yield was 4.1%
- Prime net face rents in Sydney edged higher, averaging $155 sqm
Melbourne
- Rolling annual industrial sales recorded $6.7 billion in the year to September 2021, with a record $4.1 billion trading in Q2 alone
- Vacancy in the form of existing and speculatively built product is at historic lows (below 2%), and average prime net face rents (>8,000sqm) are averaging $83 in the West
Brisbane
- Q3 was the second highest for investment volumes on record with $490 million, up from the fourth highest in Q2 at $363 million.
- On a rolling annual basis Queensland industrial investment has never been higher, with $1.6 billion transacted over the past 12 months
- For all property sizes, Q3 2021 net face rents averaged $118 per square metre (sqm) per annum in the North, $139 per sqm in the Trade Coast, $118 per sqm in the South, $118 per sqm in the West and $10 per sqm in the M1 Corridor.
