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Robert Harley

The property sector where it pays to focus on the basics

For all the enthusiasm surrounding investment in social infrastructure, it is the property fundamentals such as interest rates and strength of tenancy that drive much of the value.

Rob de Vos, the managing director of the $1.3 billion Arena REIT – one of Australia’s best-performing listed social infrastructure funds – is conscious of the challenges facing his sector.

“In an environment of increasing interest rates, we see the likelihood of yield expansion in real estate markets, including in the social infrastructure property sector,” he commented in the A-REIT Survey 2022, released in November by global advisor, BDO.

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Robert Harley is a former property editor of The Australian Financial Review. Connect with Robert on Twitter. Email Robert at rob@rharley.com.au

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    Original URL: https://www.afr.com/property/commercial/the-property-sector-where-it-pays-to-focus-on-the-basics-20230124-p5cf18