TIGHT credit conditions significantly hampered commercial property sales activity in the Perth CBD last year, with the number of properties sold almost half that of 2007.
Just 12 investment properties, each worth more than $5 million, changed hands in 2008 for a total value of $292 million, a 45 per cent drop on 2007 levels, according to Colliers International.
The year's biggest deal was the August sale of Wesfarmers House at 40 The Esplanade to Ascot Capital for almost $85 million.
The building's former owner, Orchard Funds Management, made a gain of $37.3 million through the sale of the asset, which it bought in 2006.
The A-grade office building holds a net lettable area of 11,016 square metres over 13 levels.
Other major transactions included 109 St Georges Terrace, bought in November by Charter Hall Diversified Property Fund for $65 million.
Alinta Plaza, at 12-14 The Esplanade, also changed hands, bought by New Star International Property for $60.9 million in December.
The credit crunch also caused a major slowdown in the industrial sector.
According to CB Richard Ellis, the value of industrial sales was down 30 per cent on 2007 to $172 million, with the number of transactions down from 25 in 2007 to 18 in 2008.
The largest industrial transaction was the purchase of 17 Hazelhurst St, Kewdale by Balcomore Investments Pty Ltd for $20.25 million.
The largest industrial land sale for 2008 was the $11.28 million purchase of 526 Ranford Road Forrestdale by Old Florida Investments Pty Ltd.
The retail sector also had a very quiet year, with the sale of Karrinyup Shopping Centre to Westfield Group and Unisuper for $152.5 million the largest transaction of 2008.
