40 | Western Australia Anthony Vulinovich of Commercial Western Australia says positive sentiment among investors and owner occupiers is a dominant feature of Perth’s commercial property market. The competitive construction market has seen price increases, which have been fuelled by the growth in land values amid tight supply across Perth’s industrial market. “Construction costs have substantially risen over the past 18 months, which has led prices having to be at a certain level to achieve proper margins for the developer,” Anthony says. “Hence, the Perth industrial market is very much aligned with the general market as far as building issues, the low interest rate environment and price increases.” The more traditional industrial hot spots of Perth, such as Kewdale, Welshpool, Bayswater, and Canning Vale, Bibra Lake and Wangara have very limited available stock of land or buildings for sale. Anthony says, “Investors and owner occupiers are now looking further afield, north to Neerabup, and in the south, to Rockingham, Hope Valley, and Forestdale. These areas were once seen as secondary but are now looked upon favourably for relocation.” A broad cross-section of investors are looking to Perth as a favourable opportunity. “Nationally, Perth is the most affordable market, and this is attractive to investors locally, nationally and internationally,” Anthony says. Anthony Vulinovich anthony.vulinovich@rhc.com.au Commercial WA
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