Prices to Stay Low

According to the National Australia Bank, rising interest rates and the difficulty of obtaining a loan will keep commercial property prices low well into 2023. The NAB Commercial Property Index found it has become more difficult to obtain debt or equity funding in 2022, and there was an increase in the number of people who believed that debt and equity financing conditions would worsen in the next six to twelve months.

Confidence Levels

According to The Australian, confidence in the office sector has declined across the country, with a very negative outlook for the next 12 months for many states. Retail confidence was higher along the eastern seaboard, and industrial confidence continued to outperform the market in all states. Industrial capital growth is expected to outpace growth in other sectors over the next one to two years.


Deloitte’s 2023 commercial real estate forecast states that most global real estate leaders are concerned about the economy as they plan for the rest of 2022 and 2023. Revenue expectations for 2023 are mixed, with 40% expecting an increase, 48% expecting a decrease, and 12% expecting no change (80% expected revenue to rise in 2022). As a result, more respondents plan to cut costs this year compared to last year, when only 6% planned to do so.


Respondents to the Deloitte’s 2023 commercial real estate forecast indicated that sustained high inflation, workforce management, cyber risk, and climate-regulated regulatory action will have the greatest impact on revenues in the next 12 to 18 months.