Region. Industrial market recovery

Growth in the logistics sector is underpinning a recovery in the Sydney industrial market according to a CBRE market review which said a range of third-party logistics providers were actively seeking space in Western Sydney, as were a number of larger corporates seeking to streamline their logistics operations. Peter Blade, of CBRE said CBRE industrial & logistics services, said a spate of logistics deals was expected in coming months, with groups such as Toll, DHL and Linfox actively seeking space. In one of the most recent deals NYK Logistics has sub-leased 5370 square metres of warehouse space, at Wetherill Park, to New Food Coatings, at a rental of $92.50 a square metre.

Region. $129 million worth of property sold

Increasing liquidity and buyer confidence resulted in over $120 million worth of property being transacted in Western Sydney during 2010 by CB Richard Ellis’ Parramatta Metro team. Demand for retail assets and residential development sites were underpinned by returning investor “Asian investment syndicates and high net worth individuals have been especially active in the Western Sydney investment market over the year.” CBRE Associate Director Harry Bui said

Region. Demand for warehouse space

CBRE’s regional director of industrial and logistical services, Joshua Charles, said any warehouse vacancies would not remain empty for long and that competition for A-grade space was “most definitely building." He said CBRE had more than 376,000 square metres of warehouse requirements in Western Sydney. He was commenting following Port Botany's container through-put being up 25.4 per cent on the same month last year – the fifth consecutive month of record imports for Sydney. The UWS Urban Research Centre report, North-West and West-Central Sydney Employment Statistics, notes Western Sydney is the prime destination for Sydney’s goods traffic, performing the major role in logistics and NSW regional supply chain linkages.

CBRE buys two mortgage valuation firms

Real estate agency, CB Rickard Ellis has acquired Russell & Fairfax, of Telopea, and E F Hoskin & Associates, of Campbelltown, as the first two Sydney mortgage valuation companies as part of a nationwide expansion into the industry. The 25 staff in the two offices will be retained.

Not many quality (office) options: CBRE

Frank Sassine, a director, of CB Richard Ellis, said not many quality options existed in the Parramatta office market. “We view the A-grade vacancy to be about 1 per cent. Until such time as new developments in Parramatta kick off, current supply is mainly refurbished B-grade stock,” he said in the Sydney Morning Herald. Mr Sassine was commenting on the Property Council’s report that said that the office vacancy rate had fallen from 8.2 in June to 7.4 per cent in December. The report noted the A-grade vacancy figure was 2.2 per cent, a significant drop from 10.8 per cent two years previously.