• Over the past few months, a partial disconnect has emerged between space and investment market trends with increasing vacancy and slower rent growth on the one hand, and continued strong yield firming on the other.
     
  • CBRE's Auckland Marketview Q3 2016 shows that the monetary dynamics underpinning the above trends are changing; becoming less supportive of yields.  The occupier market however may strengthen in the coming year through what some economists forecast to be a strong upcoming growth period. This should provide an offset for the active supply pipeline with resurgent rent growth bolstering the investment rationale into property at current yield levels.