Commercial and Retail Leasing Alert: September 2012 Quarter CPI Figures Released
by Meryl Snow, Nicholas Hew
The Australian Bureau of Statistics has today released the Consumer Price Index figures for the September 2012 quarter (for the period July to September 2012).
Landlords may wish to:
- check their leases to see whether a CPI rent review is due this quarter; and
- if a rent review is due, apply the correct index number for that review.
Partner Meryl Snow and trainee solicitor Nicholas Hew highlight the key areas of interest for landlords.
Key areas of interest
From the September quarter 2012, the index numbers for each index series have been reset to 100 for the financial year 2011 - 2012. While period-to-period percentage changes may differ slightly to those previously published due to rounding and re-referencing, the differences do not constitute a revision.
The new All Groups Index number for Brisbane for the September quarter is 101.6. This is an increase of 1.1 percent (or 1.1 index points) from the June 2012 quarter, which had an adjusted value of 100.5. The September 2011 quarter had an adjusted value of 99.9, so the new index represents an increase of 1.7 percent (or 1.7 index points) over the corresponding quarter for the previous year.
At the All Groups level, the CPI rose in all capital cities during the September 2012 quarter. Sydney and Adelaide recorded the largest increases (1.7 percent and 1.5 percent respectively). The remaining capital cities recorded increases of between 0.7 and 1.3 percent.
The housing group was the most significant positive contributor to the All Groups quarterly movement, recording increases in all capital cities. Adelaide (4.6 percent) recorded the largest increase in the housing group. The most significant factor contributing to the increase in the housing group was electricity.
The second largest positive contributor to the All Groups quarterly movement was the food and alcoholic beverages group. Brisbane recorded the second highest increase in this group (2.0 percent), with Sydney recording the largest positive movement (2.7 percent).
A detailed breakdown of CPI figures is available at the Australian Bureau of Statistics website.
For more information about applying CPI figures to your leases, please contact HopgoodGanim’s Commercial and Retail Leasing team.