Market reports

The office market vacancy rate for Sydney CBD has increased from 3.9% to 5.6% in the six months to July 2020 as a result of limited demand. It is expected that the vacancy will continue to increase over the balance of 2020 as many organisations adopt a work from home policy due to the Covid-19 pandemic.

Brisbane CBD bucked the trend of several other states and saw the total vacancy rate increase to 12.7% in Jan 2020. This was mainly as a result of a major addition of supply, which outweighed the positive net absorption which has increased over the past two consecutive years.

The office market vacancy rate for Melbourne CBD has reached a 10-year low and remains the lowest of any Australian CBD. The overall vacancy rate is now at 3.2% as at Jan 2020.  

The office market vacancy rate for Sydney CBD has increased slightly from 3.7% to 3.9% in the six months to January 2020 as a result of an increase of sublease supply. This remains below the 10-year average of 6.8%, with development continued to be considered to meet demand. 

The overall vacancy rate has continued to decline, down from 4.1% as of January 2019 to 3.7% as of July 2019, which is now at its lowest level since July 2008.

The overall vacancy rate has continued to decline, down from 14.7% as of Jul-18 to 11.9% as of Jul-19. The decline in vacancy is driven largely by strong demand and limited new supply.

The vacancy rate in Adelaide continues to drop from its peak at the end of 2016 of 16.2%, with the vacancy rate now at 12.8% -  a 1.9% decrease from January 2019.

The vacancy rate in Melbourne CBD had reached a 10-year low as of Jan 2019 and during the second half of the year the vacancy is expected to remain tight.