Supply And Demand For Real Estate

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INTRODUCTION Within the property industry, the ever changing nature of the real estate market is affecting supply and demand for real estate. As a result, a key issue stemming from reducing demand is increasing office vacancy in Brisbane’s central business district which reached a high of 15.6% in January 2015, according to the Property Council of Australia (2015). Current literature suggests that the lack of demand can be attributed to negative net absorption by the government and resources sectors, office over supply, low business confidence and high unemployment rates (Property Council of Australia 2015). This is making office space difficult to lease, increasing financial stress on property owners and changing how the office investment…show more content…
(2014, Febuary 6). Brisbane office vacancy aligns with expectations. Retrieved March 20, 2015, from Propertyoz Web site: http://www.propertyoz.com.au/Article/NewsDetail.aspx?p=16&id=10522 Credibility of the author: The Property Council is the listed author, comprised of a board of key leaders in the industry who devise priorities and strategic goals for the industry in terms of social and economic factors such as fairer taxes and better planning. Date of the Publication: The article was published on the 6th of February 2014, and is fairly recent and up to date information regarding the current market conditions and figures of office vacancy. However, the Property Council contained an additional article on office vacancy with figures at 15.6% in February 2015 which suggests office vacancy is still an increasing issue. Intended Audience: The Property Council, within its members, accounts for the nations, major investors, property owners and developers as well as the industry’s professional service and trade providers. This suggests the information is consumed and accessed by a broad range of groups and not only companies who are investing into the market for the purpose of running their businesses. The information is factual only, attracting the use of professionals in the property industry which ensures it is a credible source. Summary of Important Points: • The vacancy rate in Brisbane’s CBD office market
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