Melbourne Retains Lowest CBD Office Vacancy Rate
Ongoing strong demand and steady population growth have kept vacancies in Melbourne’s city office market at a sharp 3.3%, still the lowest of any CBD in the country, according to the latest figures from the Property Council of Australia.
Strong pre-commitment levels are expected to soak up much of the massive 650,000sqm of stock that will be introduced to the city market by 2023.
BIS Oxford Economics Prime has forecast rents to rise a further 30% to 40% over the next five years, driven by pre-commitments and continuous demand.
Meanwhile, East Melbourne is again the tightest non-CBD office market, down to just 2% over the first half of 2019.
Fabulous Inner-City Freehold Offers Enormous Upside
A rare chance to acquire a substantial Smith Street freehold has been put to the
market through Mark Talbot and Lewis Waddell of Fitzroys, in conjunction with MMJ Real Estate.
On a 434sqm site near the iconic intersection of Smith Street and Gertrude Street, the quintessential inner-north property at 95-97 Smith Street is leased to popular bars Mr Wow’s Emporium and Pixel Alley over two levels, and returns $184,000pa net plus GST with scope for further rental growth.
The property is zoned Commercial 1 and is within one Melbourne’s most sought-after hospitality and lifestyle precincts, featuring highly regarded bars and eateries, supported by a rapidly developing apartment and commercial office population.
Disclosure: The weekly Fitzroys Property Wrap is for information only on transactions in the Melbourne property market. Fitzroys provides this information as a public service. We are not purporting that all sales and leases within this report were transacted by Fitzroys. Terms/Privacy © Copyright 2019 Fitzroys.