Commercial property agency Sheffield Property Group has established an asset management division in anticipation of increased transactional activity in Perth’s office market in 2019.
Former Savills head of asset management Jason Ridge will head up the new division, to be known as Sheffield Asset Management.
Perth’s office market has been on the upswing since midway through 2017, with international and institutional investors focusing on potential upside through acquisition.
In the last 12 months, major office transactions in Perth have totalled $896 million, according to JLL research.
Sheffield Property joint managing director Digby Sutherland said the division was a natural extension of the company’s office leasing business, which has been operating in Perth since 2007.
Recent wins for Sheffield include a successful leasing campaign at Kings Square, with more than 14,000 square metres of space recently taken up by a variety of new occupants, including the federal government, engineering firm BG&E and P&N Bank.
“The asset management division will allow Sheffield to deliver an agreed investment strategy over a set period of time to capture maximum building value and take advantage of an improving office market in 2019,” Mr Sutherland said.
“The upswing has already started in the higher grade office buildings where there is a lack of contiguous floor options.
“The lack of office supply has started to drive down leasing incentives and has been the catalyst for the next cycle of office developments we are marketing.”
Sheffield joint managing director Mark Clapham said Mr Ridge’s 24 years of experience in property and asset management, at Savills and JLL, made him the obvious choice to lead the new team.
“A number of our existing clients have been asking us to establish an asset management platform while continuing to provide our office leasing services,” Mr Clapham said.
“However, we have had to wait until now to secure the right person.”
