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Commercial property transactions rebounded strongly in 2025, with national volumes up 27% and average deal sizes rising sharply, signalling a return of institutional capital and higher pricing for quality assets. 

According to Ray White Commercial research, total transaction value reached $85.6 billion, while the average transaction size lifted 24.6% to $9.49 million, well beyond inflation alone.

While Victoria recorded softer overall volumes (20.2%) than some interstate markets, the rise in average deal sizes points to a clear repricing of investment-grade assets. Retail, office and alternative sectors all saw materially larger transactions, reflecting buyer willingness to pay more for secure income, scarcity and replacement cost economics rather than speculative upside.

These conditions place greater weight on valuation accuracy for lenders, insurers and liquidators. Larger deal sizes and selective capital flows mean asset values are increasingly driven by income durability, tenant quality and asset-specific fundamentals, rather than broad market headlines or general sentiment. In this environment, precise assessments are critical when determining lending security, insurance exposure or realisable value.

#commercialproperty #propertyinvestment #valuations

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Clear, independent valuation advice is critical as commercial assets reprice and transaction sizes increase. To obtain evidence-based reports that reflect income strength, asset quality and current market pricing, call Mason’s Valuation Office on 0417 741 481 or visit https://propertyvaluation.melbourne/about-us/#contact