JLL eyes record earnings as deals return
Commercial agency JLL’s Australian arm has lifted revenue by one third over the first nine months this year compared with a year earlier, as the flow of major investment deals revived, putting the agency on track for a record year in revenue and earnings.
Big boosts for JLL came as commercial property transactions bounced back, despite the last two long lockdowns in Sydney and Melbourne. Revenue in the capital markets divisions rose 158 per cent over the first nine months compared with a year earlier, with industrial capital markets effort alone up 500 per cent.
“The pent-up demand of capital has been clearly illustrated in our business results for the first nine months,” JLL’s chief executive for Australia, Stephen Conry, said.
The industrial boom has pushed up land prices and delivered a series of headline deals through the year, include the record-breaking $3.8 billion sale of the Milestone logistics portfolio, which JLL helped broker. Revenue rose 127 per cent in JLL’s industrial arm over the first nine months this year year-on-year, including sales brokerage and leasing.
The retail real estate market has also bounced back, particularly in the second half of the year as shopping mall values reset. JLL’s retail investments business booked a 300 per cent increase in revenue over 2020 levels and office investments lifted 72 per cent by the September quarter.
“Similarly, the improved demand from occupiers of office space has seen office leasing revenues jump 81 per cent ahead of the same time last year, even despite the extended lockdowns in Melbourne, Sydney and Canberra,” Mr Conry said.
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