Sydney CBD vacancy lowest in almost ten years
The Sydney CBD office market continues to be the strongest CBD market in Australia and has the lowest vacancy rate in almost ten years with the vacancy rate dropping from 5.8 to 4.6 per cent in the six months to January 2018 according to the Property Council of Australia’s latest Office Market Report released today.
The drop in the vacancy rate is due to withdrawals from the market and positive demand, indicating a strong outlook for the State’s largest office market.
“We continue to see very strong results for our CBD office market. With the latest report showing 99,695sqm of withdrawals and 37,376sqm added over the period– the Sydney CBD continues to go from strength to strength,” Property Council NSW Executive Director Jane Fitzgerald said today.
Key market indicators, Sydney CBD (aggregate)
“Strong vacancy levels were seen in all grades of office space with a particular fall in Premium Grade stock, going from 9.3 to 6.9 per cent and only a very small rise in A Grade vacancy.
“There is a significant amount of supply coming into the market over the next few years with 85,712sqm entering the market in 2018 and 147,248sqm is due to come online from 2020 onwards.
“NSW had five of the top ten markets with the lowest vacancy rates in Australia demonstrating our state continues to foster successful emerging commercial office markets.
“These results do highlight the need to get the policy approaches right in balancing commercial and residential space in our city’s centres and ensure there is enough commercial supply to support a global, competitive city.”
William Power | M 0429 210 982 | E firstname.lastname@example.org