Sales volume for strata-titled industrial factory units drop 20.6%

What could be the implications of this?

According to Knight Frank, 2Q 2013 sales volume for strata-titled industrial factory units declined slightly by 1.3 per cent quarter-on-quarter (q-o-q) from 469 caveats lodged in 1Q 2013 to 463.

On a y-o-y basis, sales volume in 2Q 2013 decreased by 20.6 per cent. Overall sales volume in 1H 2013 has tapered off from peak levels in 2012 where about 500 to 950 strata factory units were sold every quarter.

Here's more from Knight Frank:

While the lower number of industrial project launches and the imposition of Seller’s Stamp Duty are factors impacting sales performance, a consistent monthly sales volume of above 400 caveats lodged in the first half of 2013 reflects tentative signs of normalisation to levels pre-2012.

Following the trend last quarter, the primary market has been the most affected, as the transactions for new strata-titled factory units fell 23.4 per cent q-o-q from 141 caveats lodged in 1Q 2013 to 108 records.

Activity in the sub-sales market, on the other hand, rebounded with sales volume having increased from 43 caveats lodged in 1Q 2013 to 63 in 2Q 2013.

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