Monthly Musings.

Thoughts on the Real Estate market and beyond.

Scourge or Saviour: The return of inflation

Jun 02 2021

The lack of inflation in our economy of recent times has been something of a scourge for many. Those reliant on fixed incomes or rental incomes from industrial property have seen their incomes plummet, and money as a tool in itself for generating income, almost worthless with many bank deposit rates under 1%. But all that may be coming to an end…

Market Comment June 2021

Jun 02 2021

The pre-eminent sentiment in the market currently revolves around the lack of stock. With so little stock available, many potential vendors rightly will not release properties for sale when they cannot find an alternative investment opportunity. At Expedio our sentiment is certainly that agents who find us opportunities to purchase should have the…

The Myths of the Media

May 02 2021

Joseph Goebbels said that if you repeat a lie often enough it becomes the truth.

And for some time now, and magnified by Covid, we have seen that happen in our media with regard to the concept of working from home – or “WFH” as the media likes to call it. Possibly because there is an aversion to words with more than 5 letters, or more likely…

The Productivity Problem

May 02 2021

The Productivity Council recently issued a report saying, in brief, that the productivity of leading companies in New Zealand is on average less than half that found in the top companies in other small advanced economies.

And we can quite believe them!  And that conclusion is not simply based on the amount of wasted time spent decorating…

May 2021 Comment in Brief

May 02 2021

Taupo Marketplace: Over the past year Expedio has been accumulating a small portfolio of properties in Taupo. It’s a very different industrial proposition from Auckland, with tenants taking longer to secure, but yields are substantially higher. We will be shortly be releasing some of these investment opportunities at yields between…

Wherefore art thou Marketplace?

Apr 02 2021

In Shakespeare’s Romeo and Juliet, Juliet asks “Wherefore art thou Romeo?“, and later in the same speech laments “Sober or drunk, still fooles, that shall know nothing”.

There are times when we feel almost as confused in our predictions of the future direction of the industrial property market. Trying to determine where the market is heading…

Avocado and Lemon Juice

Apr 02 2021

To bring out the real flavour in avocado, you need to add a little lemon juice. And I am told that it’s not a real hot chocolate without marshmallows. A supermarket stocks basic essential items as well as luxury products. It’s part of the service to stock bread and milk as well as those lines where there is a more substantial margin. A bike shop…

New tax rules to impact sale negotiations?

Apr 02 2021

Legislation currently before Parliament, and likely to be passed later in the year has the potential to add another layer of complexity to price negotiations for commercial property sales. Under the proposed legislation the price allocation (of improvements compared to the overall property value) will impact both buyers and sellers. Under current…

It ain't over until the fat lady sings (colloquialism)

Apr 02 2021

The colloquialism says that the show isn’t over until the Fat Lady has sung. But is the show really over? Industrial Real Estate is a show that is ongoing. Properties go under contract, with due diligence, and agents are only paid their commission if the deal goes unconditional. Which makes it surprising when an agent goes missing in (in)action during…

Adaptation of the species

Mar 02 2021

On a recent Saturday morning I ventured out to run a trail. It had been some time since I had run this particular trail. But as I ran into the bush, the environment  reminded me as to why I should run it more often. The whole trail is incredibly scenic. It  follows a river – upstream, and then back downstream – through a variety of native bush, including…

Street Smarts v. University Learning

Mar 02 2021

The team at Expedio have a variety of learning experiences that they bring to our sector of the property industry. Not all learning comes from the formal setting of an institution. Often learning comes from life experiences, and collectively the team has plenty of those.

Amongst those experiences:

One of the team had a career breaking…

Marketplace 2021

Feb 02 2021

Already we are a month into the new year, and there are patterns emerging. Whether they continue is anyone’s guess, but here are our observations from our time back in the office this year.

Interest rates are continuing to be a dominating factor. As fixed term deposits roll over and investors find banks offering sub 1% rates, they are turning…