Knight Frank appoints Head of Institutional Sales in South Australia
Max Frohlich returns to Knight Frank after a three-year hiatus after beginning his real estate career with the agency as a commercial appraiser.
Knight Frank has appointed a Head of Institutional Sales in South Australia.
Max Frohlich will take up his role in July, returning to Knight Frank after a three-year hiatus after starting his property career with the global real estate agency as a commercial appraiser in Adelaide.
He has since held national positions in capital transactions and property development in Adelaide and Sydney at firms including Realmont Property Partners and Leyton Property.
Most recently, he was Director of Transactions for Leyton Funds, an Adelaide-based boutique fund management firm.
Knight Frank Partner and National Head of Capital Markets Justin Bond said that in his new role, Mr Frohlich would focus on creating institutional quality investment opportunities in Adelaide and aligning with domestic and offshore capital mandates.
“We are delighted to have Max return to Knight Frank, where he will work closely with Knight Frank’s National Capital Markets team and its wider global network,” he said.
“In his new role, Mr. Frohlich will also work closely with our successful and experienced investment sales team of Oliver Totani and Jack Dyson, as well as our market-leading office leasing team of Martin Potter and Rory Dyus.
“Max has strong expertise in financial modeling and asset pricing with cross-industry experience across office, retail and industrial.
“We believe his experience of buy-side transactions, in addition to his technical understanding of debt and equity raising – including development finance – will be a point of difference for Knight Frank in South Australia.
“He will bring a tailored approach to aligning the right assets with the right capital and provide detailed, evidence-based advice to sellers and buyers to maximize both divestment and investment results.”
Mr Frohlich said he was delighted to join the Knight Frank team in Adelaide and was positive about what the next two years hold for commercial property in South Australia.
“In a market where macro-economic themes are rapidly changing, including labor shortages, accelerating inflationary pressures and rising interest rates, there is no better time to invest in Adelaide,” he said.
“Adelaide offers a genuine and stable value proposition to Eastern states with the strongest office yields, maintaining a positive spread of 100 to 130 basis points over East Coast yields.
“This gap is further reinforced by South Australia’s commercial property stamp duty exemption, providing an additional arbitrage of approximately 25 basis points on an adjusted current yield basis versus other states, and the occupant side of the equation is also positive.
“The Adelaide CBD office market is one of the few office markets nationwide where occupied stock is already above pre-COVID levels with relatively affordable rents and growing demand from technology , defense and government, and a strong base of small business activity.”
Source: Knight Frank