Institutional investors have been seeking increased exposure to industrial real estate — what has been the impact on the risk profile of industrial assets?
Insight
07 December 2020
Changing risk in Australia’s industrial landscape
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Since the emergence of COVID-19, the industrial and logistics sector has been the most stable of the core commercial markets. As such, the investment market for these assets has demanded a higher level of capital allocation than historical benchmarks during the pandemic. Investment volumes for industrial and logistics assets have accounted for 29.4% in 2Q20 and 38.7% in 3Q20 of the total investment volumes – record-high shares.
Figure 1: Quarterly Investment volumes by Sector (Australia)
