The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
OfficeStaff WriterSun 29 Jan 17

One City To Lead Them All In Office Market Stats

iStock-187141166_620x380

CBRE recently released their  Q4 Office Market View report, which revealed Sydney delivered the highest net effective rental growth of 5% in the closing months of the year, followed by Canberra at 4.8%.

CBRE Associate Research Director Felice Spark said the results came as the Australian office cycle reached the bottom – with the national office vacancy having peaked at 10.9% at the end of 2016.

“Brisbane and Perth are both considered to have reached their peak vacancy at the end of 2016, at 17.1% and 21.8% respectively, with Brisbane now at the bottom of the rent cycle and Perth expected to reach the bottom during 2017,” Ms Spark said.

“Sydney and Melbourne continued to see net effective rental growth during Q4, at 5% and 2% respectively.

"However, it was Canberra that surprised on the upside after recording the strongest white collar employment growth in the country.

"Increased demand from the public sector and limited vacancy in the prime end of the Civic precinct will all serve to support a positive outlook for the Canberra office market in the medium term.”

On a national basis, net office additions are expected to be nominal in 2017 at just 1,968 square metres following a two-year supply cycle during which just under 500,000 square metres of office space was added to the national market.

CBRE head of office leasing for Pacific Andrew Tracey said this was the first time in twenty years that such a small level of annual net supply had been added to Australia’s office markets.

“All CBD markets have limited new supply coming on line in 2017 and the level of activity in Q4 2016 was a big rebound,” Mr Tracey said.

“Occupier demand is expected to be solid in 2017 and we are forecasting the national office vacancy rate will decline to 9.9% by year’s end given the lack of construction activity.”

Vacancy rates are expected to tighten in all markets, most notably in Sydney, where the vacancy is expected to be just 3.5% by the end of 2017

OfficeAustraliaSector
AUTHOR
Staff Writer
"TheUrbanDeveloper.com is committed to delivering the latest news, reviews, opinions and insights into the best of urban development from Australia and around the world. "
More articles by this author
ADVERTISEMENT
TOP STORIES
Parallel Workshops Stockdale Housing PBSA project
Exclusive

Suburban Success Story Turns PBSA Thinking on its Head

Leon Della Bosca
7 Min
Exclusive

Interstate Developers Find Lots to Love in ‘Progressive, Affordable’ SA

Taryn Paris
5 Min
Bates Smart Richmond Sportslink HERO
Exclusive

BtR Focus Drives Bates Smart’s Richmond Sportslink Concept

Leon Della Bosca
6 Min
Exclusive

Carparking Correlation: How Parking Fees Provide Office Sector Health Check

Taryn Paris
6 Min
Molti chief Ben Teague out front of 32 Mercer Road Aramadale (rendering)
Exclusive

Buy to the Sound of Cannons: Molti’s Counter-Cyclical Move to Melbourne

Leon Della Bosca
5 Min
View All >
Hotel

Perth Hotel New Role Revealed After $105m Sale

Lindsay Saunders
Third.i Crows Nest Dolls House render EDM
Build-to-Rent

Thirdi Scraps Office Tower for Crows Nest Over-Station Site

Vanessa Croll
Warren and Mahoney's rendering of Leftfield's project at 691-693 Burke Road, in Melbourne's Camberwell.
Residential

Leftfield Lifts Cover on 14-Storey Scheme at Camberwell

Marisa Wikramanayake
The 57-apartment proposal at Camberwell comes as Melbourne’s move toward densification gain pace...
LATEST
Hotel

Perth Hotel New Role Revealed After $105m Sale

Lindsay Saunders
2 Min
Third.i Crows Nest Dolls House render EDM
Build-to-Rent

Thirdi Scraps Office Tower for Crows Nest Over-Station Site

Vanessa Croll
4 Min
Warren and Mahoney's rendering of Leftfield's project at 691-693 Burke Road, in Melbourne's Camberwell.
Residential

Leftfield Lifts Cover on 14-Storey Scheme at Camberwell

Marisa Wikramanayake
3 Min
Parallel Workshops Stockdale Housing PBSA project
Exclusive

Suburban Success Story Turns PBSA Thinking on its Head

Leon Della Bosca
7 Min
View All >
ADVERTISEMENT
Article originally posted at: https://theurbandeveloper.com/articles/one-city-lead-australian-office-market-stats