Due to the coronavirus pandemic, the [i3] Global Property Forum 2021 was held on 9 March 2022 at the RACV in Melbourne. We welcomed guests from Sunsuper, now the Australian Retirement Trust, Hostplus, AustralianSuper, Frontier, Spirit Super and more.
We discussed the COVID-19 pandemic, which certainly has caused disruption to the property sector, as well as exacerbated some of the long-term trends.
Retail and office assets, traditionally forming the bulk of institutional investor portfolios face significant headwinds. While some office assets are holding up, the volatility in the sector is an unwelcome anxiety.
Industrial assets, spurred by the increased logistics activities supporting ecommerce, continues to perform well. However, concerns are being raised to the over-valuation of these assets vis-à-vis their quality. Nevertheless, these may possibly be mitigated by projected future rental growth.