Major $500M redevelopment approved for Westfield Doncaster
The $500 million redevelopment of Westfield Doncaster is set to create around…
9 August 2018
More than 50 office projects in the fringe precincts have been approved, submitted or proposed in response to rapidly tightening vacancy rates in Melbourne’s CBD. This is more good news for construction professionals and signals ongoing completion for talent.
Commercial spaces in Melbourne has the tightest vacancy rate in the country due to professional service growth, with the office market hitting a 10-year low of 3.6 percent.
Nearing the 3 per cent record low we previously have seen a decade ago, Melbourne is down from the 4.5 per cent reported 6 months ago.
“To 2020, Melbourne CBD will supply over 450,000 sq m of new stock. Pre-commitments for this future stock sit at over 64 per cent”
said Property Council of Australia’s acting Victoria executive director Matthew Kandelaars to The Australian Financial Review
Colliers International revised an earlier forecast of peak vacancy in 2020 from 7.6 per cent down to 5.4 percent due to the new figures released from Property Council of Australia. “The key difference between Q1 and Q2 this year was the volume of deal activity on upcoming vacant space” said Colliers researcher Kristina Mastrullo to The Australian Financial Review.
“This means the impact of the backfill that was coming onto the market will not be as disruptive as first believed.”