• Retail sales grew 10.4% y-o-y and 0.9% m-o-m in May reaching another record level. This growth represents the fifth consecutive monthly rise in retail turnover. 

 

  • Consumer confidence fell 4.5% m-o-m to 86.4, the lowest recorded level since April 2020 and down for the seventh month in a row. The fall is a result of surging prices and the prospect of more interest rate hikes.

 

  • Net face rents fell for super prime CBD assets (-1.1% q-o-q) but were stable in most other sectors regional centres recorded modest growth q-o-q bringing y-o-y rent growth to 1.7%.

 

  • Yields sharpened across all assets classes as capital continues to look to the retail sector for solid returns. This is expected to slow in the second half of 2022 in line with interest rate increases.

 

  • Transaction volumes in Q2 2022 totalled $2.71b across 80 transactions, down 4.0% on Q2 2021.