Recently we caught up with the team at Real Capital Analytics (RCA) Australia to chat about their sponsorship and what they are looking forward to at The Property Congress.
What drew you to The Property Congress and your very generous support of this event?
The Property Council has always been a valuable partner with Real Capital Analytics (RCA) Australia. Property Council’s commitment to nurturing the advancement of Australian Property with better information, connectivity, diversity, and advocacy aligns well with RCA’s goal of providing comprehensive, current, and accurate global commercial real estate intelligence in Australia. Whilst long term Property Council partners, RCA officially launched the Sydney office in 2021 and are excited to showcase our data alongside this key industry organisation.
As the official Analytics Partner of The Property Congress, can you tell us more about RCA’s experience in analytics/transactional data?
RCA’s experience is similar to most Data/Software providers across Fintech, Proptech, and SaaS solutions. Many organisations have fractured datasets, unstructured systems and difficult-to-use interfaces, which can mean a lot of time is lost curating data instead of drawing insights and investment opportunities from the data.
Real Capital Analytics has been integrating and enhancing transaction data for over 20 years, effectively used by all the major brokers, significant pension/sovereign wealth funds, developers, fund managers, REITs, and several individual commercial real estate professionals. RCA believes that the Australian market has excellent property professionals, great investment opportunities, and a positive future of growth. RCA is here to help our clients and partners focus on the deals while supporting them with competitive, accurate and timely data and analytics.
Given that RCA is a global organisation so privy to data from all over the world, can you share how Australia is currently comparing to the rest of the world in the property/investment sector?
Economies worldwide are emerging from the tumultuous year that was 2020, but they are all at different stages of recovery. Australia managed to weather the storm better than many, yet commercial real estate (CRE) volumes still declined over 40%, with some sectors faring even worse. Nevertheless, volumes for CRE in H1’21 surpassed those achieved in H1’20, with industry expectations that 2021 will far exceed the overall levels seen in 2020. So whilst levels are still 20% down compared to 2019, these are positive signs that bode well for the recovery.
Despite this strong bounce back in activity, Australia is lagging many of its global counterparts, but not all. For example, several US markets have seen substantial recoveries in transactional activity, whereas European markets have struggled to see performance increases. Across Asia as well, markets have seen more robust performance than Australia. That said, Australia traditionally sees over a third of transactions occur in the last quarter of the year, so there is plenty of time to catch up.
Looking at the historical and current data, what property sector including alternates and core do you think has the most momentum?
The industrial sector has grabbed all the headlines this year with good reason because of a spate of mega-deals that have, so far, seen volumes outstrip both office and retail combined. However, retail actually had a much more robust start to the year than expected.
In terms of alternatives, the healthcare sector is seeing a lot of activity at the moment. Institutions, in particular, have significantly increased their exposure to the industry through direct acquisitions and acquiring stakes in platforms
What are you most looking forward to at The Property Congress?
I am excited about hearing from industry experts about what they are seeing in the market and what they believe the future has in store, and I’m very much looking forward to collaborating face-to-face!
If you missed out on face-to-face tickets, join our live stream audience on the 29th and 30th of March 2022 to find out more insights from our industry leaders and more about Real Capital Analytics. Register here.