Policy in play: Budget changes and a softer living market
Budget changes create short-term drag on residential activity (e.g. CGT and negative gearing changes) but sustain the signal for government commitment to housing supply over the longer term.
Prime markets hold firm as office demand concentrates
The winner-takes-more dynamic is intensifying, with institutional capital concentrating in prime assets and secondary stock falling further behind.
Data Centres: The race is now an execution problem
Demand is not the constraint. Power, regulatory complexity and community acceptance are. Capital alone does not win projects in this market.
Private capital slows, credit risk rises
The anticipated second-half recovery has yet to materialise. Instead, rising private credit stress is emerging as a key risk for real estate capital and financing markets.
Hotels: Scarcity Strengthens the Investment Case
Hotels remain a standout performer, with strong demand fundamentals and constrained future supply underpinning income growth.
Key takeaways
Q2 2026 FEATURE: AI in Commercial Real Estate: Opportunity is Real, but So is Legal Exposure
AI adoption across the sector is accelerating. The legal risks are not yet being managed with the same urgency.