In the year just gone, office was again the most highly-sought after sector, particularly in central business districts of Melbourne and Sydney. A large proportion of the buyers were overseas investors, many looking to convert the lower-grade office stock into apartments.

Many expect the yield compression seen in 2014 will continue, as interest rates remain low and volatility limited in the price of the real estate investment trusts. In short, commercial real estate will be as popular as a safe haven as in the past year.

JLL's head of office investments, Australia, Rob Sewell, said 2014 was another record year for the sector. Transaction volumes for 2014, as at December 18, were already at $24.6 billion, just surpassing 2013 levels of $24.3 billion, including a number of deals above the $400 million mark.

JLL estimated average values across the CBD office markets increased by 5 per cent in 2014 although that is expected to slow a little this coming year.

"We still expect to record average capital value growth across the CBD office markets of 4.5 per cent in 2015 led by Sydney and Melbourne," said Mr Sewell.

"For 2015, we are expecting to see a peak in the amount of offshore capital chasing Australian real estate.  With so many large assets on offer in 2014, this has drawn the interest of some of the world's largest investors.  The added benefit for those groups who were not able to get invested in 2014 is the falling Australian dollar."

Matt Whitby, group director and head of research and consultancy Australia for Knight Frank, said office sales volumes ($10 million-plus in individual value)  have been super-charged over the past two calendar years.

"The value of sales is currently sitting just $100 million shy of this at $13.99 billion with more than $1.5 billion of deals in final negotiations or due diligence. To put the past two years sales activity into perspective, volumes have been about 70 per cent higher than what was achieved in the market peak in 2007," he said.

"Offshore investors have clearly been the largest purchaser type, accounting for 38 per cent, or $5.33 billion of the total sales volume. Offshore demand has broadened from the traditional core assets in the CBD and Fringe to now include suburban assets, value-add assets and buildings with immediate or longer term redevelopment/change-of-use potential."

Mr Whitby said another major factor impacting investor decisions was that core prime market yields have tightened by about 100 basis points across the cycle to date. With interest rates expected to stay "lower for longer", coupled with a 20 per cent plus depreciation in the currency over the past 18 months, downward pressure on both prime and secondary yields will continue into 2015.

"This is particularly the case in Sydney and Melbourne, where sub-6 per cent prime core market yields have been achieved over the past six months," he said.

John Marasco, Colliers International managing director of capital markets & investment services, said: "With such high levels of confidence, the outlook for investment volumes is, not surprisingly, also positive.

"Reflecting this confidence in investment conditions and expectations about investment volumes, the proportion of investors planning to increase their portfolios has increased to 83 per cent compared to 72 per cent last year. Australian investors who have been particularly active in the market this year include AMP, GPT and REST."

DEXUS chief executive, Darren Steinberg, used an investor day for its third quarter results to point out that although the group was the largest office landlord in the country, retail was also a sector ear-marked for growth.

The group has a Sydney CBD city retail precinct masterplan, which involves the Gateway and Grosvenor Place properties at Circular Quay. Development applications are being lodged with the City of Sydney Council.

But it will be the potential sell-down of interests in its shopping malls by Scentre that will generate interest. DEXUS owns a share of Westfield Miranda, Sydney, and could be a party to any purchases.

Peter Allen, chief executive of Scentre, which owns and manages the former Westfield group Australian malls, has said he could raise cash for developments by a sell down of interests in the malls, but would retain the management. In Australia and New Zealand, 25 per cent ownership is the minimum required to maintain management rights.

It is also anticipated Scentre will also seek out interest in its two prime office towers in Sydney's Castlereagh Street, worth about $800 million.

Nerida Conisbee, Colliers International national director of research, said the major trend in leasing has been technology, which continued to infiltrate the fabric of society and was making major changes to the property industry.

"In 2014, there was a jump in the number of technology firms looking for office space across all our CBDs in Australia," she said. "Similarly, workplaces continue to evolve and change as technology makes us more mobile.

"Technology changes are cutting across all sectors. Whether it be 3D printing starting to change manufacturing processes, online retailing continuing to evolve and change the way we shop or websites such Airbnb and Uber changing the way we travel for work or leisure."

Industrial property has also emerged as a key investment sector, not just for its land content, that can be used for residential conversions, but to store good for the internet and act as semi-retail outlets, as evidenced by Woolworths and Coles that use them to service the new online delivery businesses.

Winston Sammut, managing director of Maxim Folkestone, says, on the listed side, the REITs that don't have cornerstone investors, will be vulnerable to takeovers.

This has already started with the tilt by 360 Capital on Alan Fife's the Australian Industrial REIT.

Tony Pitt, head of 360 Capital said the combination of that and ANI would create the market leading sector specialist with gross assets in excess of $835 million, providing for an increased weighting in the S&P/ASX 30 Index and the potential for a substantial re-rating and a reduced cost of capital.

He said ANI also has about 41 per cent (by gross building area) of its leases expiring in the 2016 and 2017 financial year and 360 Capital has identified about $50 million in non-core asset sales to reduce this imminent risk in the ANI portfolio.

The ANI directors are expected to fight the bid for their investors.

There is also the tussle for control of the Folkestone Education Trust and other, smaller ones, that don't have a blocking large investor, are said to be on raiders' lists.