As a supporting sponsor of the Property Council of Australia’s ANZ/Property Council Survey, we are pleased to provide RCP’s commentary in relation to the latest survey results recorded from over 1700 property industry respondents.
The September quarter survey results demonstrate an overall cooling in confidence across all states with the exception of Queensland, which was the only market to record an uplift in sentiment this quarter. NSW recorded a negative national 12 month economic growth expectation for the first time in seven quarters. The national forecast, however, is not all negative; the outlook for employment growth is optimistic with staffing level expectations over the next 12 months at the highest level on record.
A sector analysis of the survey results over the last 12 months highlights a significant upswing in confidence in office construction activity. RCP has noted positive movement in this sector with current commissions including QIC’s 80 Collins Street and ISPT’s 271 Spring Street developments in Melbourne, Charter Hall’s GPO development in Adelaide, and the Charter Hall/ Investa proposed 370 Queen Street commercial development in Brisbane and epc.Pacific Ipswich City Council administration building. Residential construction activity expectations are continuing to decline following a peak in construction activity and a decrease in house capital growth expectations. Soft consumer spending, weak wages growth and reduced wealth expectations has also seen retail sector expectations continue to fall.
To view the latest survey results, please visit the Property Council of Australia website.