Sept. 28 (Bloomberg) -- Foreign investment in Australian commercial property jumped in the third quarter, drawn to high yields and low economic risks, CB Richard Ellis Group Inc. said.
Overseas buyers accounted for 41 percent of the A$2.49 billion ($2.45 billion) in commercial properties sold in Australia in the three months ended Sept. 30, according to preliminary data from Los Angeles-based CB Richard Ellis. This compares with 34 percent in the second quarter and a long-term average of between 10 percent and 15 percent, the group said in an e-mailed release.
“While local economic commentators are concerned the latest turmoil in overseas financial markets will lead to an eventual slowing in economic growth, it hasn’t yet dampened interest in investing in Australia,” Kevin Stanley, executive global director for global research and consulting at CB Richard Ellis, said in the release.
Overall sales slowed 23 percent from the previous quarter, and 28 percent from a year ago, the report said. Investors from Singapore accounted for 71 percent of overseas buyers, Chinese for 16 percent and the U.S. for 10 percent, according to the report.
--Editors: Andreea Papuc, Linus Chua
To contact the reporter on this story: Nichola Saminather in Sydney at email@example.com
To contact the editor responsible for this story: Andreea Papuc at firstname.lastname@example.org