Mirvac, Blackstone has listed 60 Margaret Street, Sydney for around $900 million.

Office and retail assets have proven resilient in a volatile economic environment, with investors pouring up to $49 billion into high-profile, high-yield brick-and-mortar stores.

Mirvac and Blackstone are testing demand by listing a jointly owned office tower at 60 Margaret Street in Sydney and an accompanying retail complex known as MetCentre at a price tag of around $900 million.

Vanessa Rader, head of research at Ray White, said the sales volumes recorded were higher than they were a year ago when the pandemic hit full swing. Overseas investors continue to be interested in local assets as Australia is still seen as a safe investment destination given its economic and political stability.

“Capital flows are at a critical tipping point, with real estate investment trusts (REITs), the big buyers of 2021, retreating faster this year by selling than buying,” said Raider, the latest in investment. mentioned in the information.

Ray White data showed $48.6 billion had been invested in the commercial real estate sector by the end of August, with New South Wales being the favored location, accounting for 43.3% of turnover, up 5% from last year’s results. .

Victoria likewise increased its holdings to 27.8% in 2021 results, but strong population growth, economic growth and future potential have made it attractive to states such as Queensland and Western Australia last year. The market is currently slowing down.

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In Melbourne, Charter Hall led the attack by buying a half stake in the Southern Cross Towers complex through a $1.02 billion private office trust at a yield of 4.35%. Also, his 50% stake in the $800 million 55 Collins Street was sold to Singaporean sovereign fund GIC.

“Looking at asset classes, while confidence in office assets has returned, industrial sales are now moderate after an outstanding 2021, retail, hotels and medical/elderly care all , has seen more activity this year,” said Rader.