Low interest rates and the falling Australian dollar haven't just brought foreign investors into our residential property market, with the retail, industrial and office sectors also undergoing a real estate boom, according to Colliers International's Australian Investment Review. Commercial investment was at a record high in the 2014/15 year topping $28.88 billion, a 19 percent increase from the previous year.

"Transaction volumes across the industry are up, as both offshore and domestic investors demonstrate a continuing strong appetite for Australian commercial property," said

John Marasco, Managing Director of Capital Markets and Investment Services at Colliers International, said the falling Australian dollar, our stable economy and the low interest rate environment created optimum conditions for Australian commercial property, helping lure more offshore investors to consider the Australian market for the first time.  

London remains the leading destination for global offshore capital, benefitting from $28.7 billion, with Manhattan the recipient of $12.2 billion, while global capital inflows to Sydney total $5.1 billion, putting it ahead of Shanghai and Paris.

According to Colliers International, offshore capital partnering with domestic managers is an ongoing trend that is becoming more prevalent across all commercial sectors.