Industrial property in Sydney is available across all categories, including prime grade properties, high technology parks and distribution centres, with most located to take full advantage of transport infrastructure.

Capital values for prime industrial property in Sydney are among the most competitive in the Asia Pacific. Despite the strong appreciation of the Australian dollar, prospective owner-occupiers can purchase prime floor space at significantly lower prices in Sydney's industrial market than in major business centres such as Tokyo.

According to Jones Lang LaSalle, the total take-up in the Sydney industrial market has strengthened, which is consistent with the State's accelerating economic growth in 2007. The total take-up for the year to the September 2007 quarter exceeded the total take-up achieved in 2006. The outer west precincts of Sydney have continued to dominate market demand in Sydney, with the logistics and transport industries continuing to be the most important players within the market.

The Sydney industrial market is expected to remain stable for the next 12 months with a strong supply pipeline moderating rental growth. Jones Lang LaSalle's Survey of Investor Sentiment - Australia, as at November 2007, reports that investors viewed Sydney as offering the strongest short-term and medium term prospects of all Australian cities.