The development of prices for the commercial properties in Sydenham

Abstract

In the last three years there has been a significant increase of land prices, rentals and property prices in Christchurch and, on an absolute scale, especially in Sydenham. With those increases at hand, the central question for any property investor is whether those price levels are sustainable over the next 18 to 24 months or whether there may even be further potential for future price increases. Since the question is fairly complex, this paper will concentrate on an analysis of the commercial/light industrial property market {later referred to as CPM) in Sydenham. Besides secondary data, a questionnaire has been prepared in order to extract more material relating to the central question of the sustainability of commercial land and property prices and rentals in Sydenham, and to get some inside understanding of the tenant and owner/occupier profile of that suburb. A further insight to the Christchurch CPM market has been achieved through consultation with an expert panel.