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NBR Focus: GMO
Total returns for all classes of commercial property for the quarter ending September 2014 were 12.9%, comprised of 7.6% income return and 5% capital growth. This was the latest result from the Property Council/IPD New Zealand’s Property Index results.
The all property return for New Zealand is now at its highest level since the March 2008 quarter.
Industrial assets are also at their best since March 2008, returning 12.2% for the year to September.
Retail returns are 11.1%, up on 9.5% from last quarter,but below their recent peak of 13% in the third quarter of 2012.
Connal Townsend, chief executive officer at the Property Council, says the IPD results should continue to give confidence to New Zealand and international capital markets that the New Zealand commercial property sector is a desirable investment option.
Results across all three main sectors show a steady performance both in terms of capital growth and income return.
Chris Hutching for NBR NZ Property Investor
Fri, 14 Nov 2014
Fri, 14 Nov 2014
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Total commercial returns hit previous peak
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