National Office Market Heads Steadily Into Second Half

"Australia’s CBD office market is performing steadily as we head into the second half of 2015," said Simon Hunt, Colliers International Managing Director of Office Leasing.

"The national average office vacancy rate has decreased over the last six months from 10.8% to 10.4% and the amount of space leased nationally in the first half of the year is up 22% from 198,360sqm last year to 241,551sqm this year.

“In terms of demand for office space nationally, there has been increased traction at the larger end of the market.

“This is in contrast to 2014 enquiry data, which is a reflection of what we are seeing on the ground – larger firms are driving demand for office accommodation in 2015 compared to 2014, when we saw smaller space in strong demand.

“Our enquiry data for the second quarter of 2015 also shows a significant shift in the industries searching for office space. In 2014, we saw the government sector dominating as they put large requirements into the market.

“However, as we move into the second half of 2015 we are seeing business services, communications and finance catching up and dominating both in enquiry levels and leasing deals being negotiated.”