Industry Analysis & Industry Trends
Commercial real estate agents facilitate the sale of commercial property in Australia. Over the past five years, the industry has struggled to rebound from the global financial crisis, which caused high levels of revenue volatility and several years of significant revenue declines. These circumstances arose as business sentiment dropped and lending standards escalated, causing investors to move away from commercial property to invest in lower risk ventures. During this period, commercial property sales volumes also fell, as property or premises upgrades became a secondary priority for struggling businesses. Overall, industry revenue is forecast to decline at an annualised 2.2% over the five years through 2014-15, to reach $838.3 million... purchase to read more
Industry Report - Industry Investment Chapter
The capital intensity for commercial real estate agents is low. As a service that relies heavily on labour to maximise leasing and sales values through human interaction, the role for capital in the industry is relatively low. Capital costs tend to relate to the use of information and communication technology such as computers and smartphones. As real estate software improves, small increases in capital investment are expected. In 2014-15, for every dollar spent on capital, an estimated $50.44 is spent on labour.
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