From The AFR comes yet another warning of the budding apartment oversupply, especially in Melbourne and Brisbane:
The largest apartment boom in the nation’s history will lead to a hangover in central Melbourne and Brisbane from next year, according to the latest report from CommBank Property Insights….The report estimates that 80,000 apartments are under construction…
The Head of Property Strategy and Research for CBA’s Corporate Financial Services, Kevin Stanley, said high concentrations of apartment completions would occur in a short space of time in central Melbourne and Brisbane from 2016…”These two locations will be subject to rising vacancy and reduced rents, leading to drops in property values and greater settlement risk,” he said.
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