Speaking at the Property Council luncheon in Adelaide this week, Mr Ford said the sector needed to rebuild its image as a safe investment.

“The property sector used to be a safe haven for investors. You could invest, secure tenants and rent would come in, but it’s all changed now,” Mr Ford said.

“People need to go back to the fundamentals. They need to look at where the property is, who the tenants are, what the lease term is and where the building is positioned.”

To rebuild investors trust Mr Ford said the property sector needed to focus on transparency, governance and improving the performance of boards.

“Disclosure needs to be as transparent as possible. Companies need to revisit their disclosures in past annual reports and do the absolute maximum,” he said.

“Don’t try to hide anything, make sure everybody understands exactly what the finances are.”

He said there needed to be a re-examination of governance procedures to make sure they are as strong as possible.

Mr Ford suggested using a recruitment firm to conduct a board skills evaluation to save transparency and increase performance.

“There needs to be a review of the skills base on the board and make sure there is industry representation,” he said.

“It would mean when management put up a proposal, the industry person would fully understand all the nuances and be able to quiz the management about it.”

Mr Ford had an optimistic outlook on the current economic climate.

“There have been forecasts for an unemployment rate of 10 per cent, but this means that 90 per cent of people are still employed,” Mr Ford said.

“Things are dreadful, but it’s not the end of the world. The existing fundamentals are quite strong but there will be significant pain for a couple of years.”

Cbus Property is one company making the most of potential investments. It has recently bought into the 1 Bridge Street development in Sydney, pumping much needed funds into the project.

The company has bought one-third of the project in partnership with DEXUS and DEXUS wholesale property fund.

Around 55 per cent of the building, which is designed to achieve a six star Green Star rating and a five star NABERS Energy rating, is already leased by law firm Clayton Utz.

“It’s the first major transaction in the current climate. People are wondering whether the timing is right,” Mr Ford said.

“We bought in at cost and it will be valued on completion in mid 2011.”

Mr Ford said there would be a lot of opportunity at the end of the cycle.

“There will be an opportunity for buying, things will be repriced and more sustainable long term pricing will come into play.

“A lot of sellers who are under pressure to sell will create opportunities for those who are well positioned, have a strong balance sheet and access to debt.”