New office developments impact Sunshine Coast vacancy
Despite healthy demand for office space on the Sunshine Coast, the completion of significant new office developments in 2017 have affected the region’s vacancy rate, according to figures released by the Property Council of Australia.
The 2018 Office Market Report, released today, has found that over the course of 2017 the office vacancy rate on the Sunshine Coast rose from 6.9 per cent to 15 per cent.
Property Council Queensland Executive Director, Chris Mountford, said that the result conceals strong tenant demand.
“The completion of the Kon-Tiki building in Maroochydore and the Headland Business Park at Buderim have added a considerable amount of new office space to the local market,” Mr Mountford said.
“Nearly 23,000sqm of new space was always going to affect the vacancy rate, but the reality is that tenant demand more than doubled over 2017.
“7,139sqm of office space across the market was absorbed by new tenant demand in 2017, up from 3,448sqm in 2016.
“2018 will provide an opportunity for office demand to catch-up with supply on the Sunshine Coast, with no significant developments due to come online.
“It is clear that the Sunshine Coast is becoming an increasingly attractive destination to do business, with significant construction activity driving the local economy.”
Chris Mountford | E [email protected]