Australia Industrial 2H/2025

POPULATION GROWTH AND SUPPLY CHAINS DRIVING INDUSTRIAL’S MOMENTUM

Australian commercial property capital values have begun to rebound, with industrial real estate leading the recovery. The sector’s outperformance marks the start of a new asset price cycle, underpinned by lower interest rates and sustained demand for industrial floorspace. This momentum is expected to set the pace for broader market growth into 2026.

Despite global volatility, industrial real estate continues to benefit from enduring macro trends, including population growth, resilient consumer spending, technological innovation, and the transformation of supply chains. These forces reinforce the sector’s role as essential infrastructure, positioning it for long-term structural growth.