NSW Office Market Report – July 2024

The atmosphere buzzed with optimism at this morning’s NSW Office Market Report breakfast, as a significant positive development was revealed: vacancy rates in Sydney’s CBD have decreased for the first time since July 2019. This welcome shift is driven by the increasing demand for premium office spaces equipped with top-notch amenities. Businesses are recognising the importance of enticing employees back to the office while supporting a hybrid working lifestyle, and they’re willing to invest in environments that foster productivity and collaboration.

As we look ahead to the second half of 2024, the commercial real estate landscape shows promising trends. Much of the new building stock entering the market in Sydney is already pre-committed, indicating strong confidence in the office sector. With this pre-commitment trend, many businesses are likely to seek value by renewing leases or moving into existing buildings that are well-equipped to support the collaborative and community-driven workplaces of the future.

Interestingly, data presented today highlights that over 75% of tenants prefer spaces that are already fitted out, along with the incentives typically associated with leasing these offices. This preference underscores a broader trend in the market: the ongoing need to revitalise Sydney’s B & C grade commercial buildings. This trend aligns perfectly with our mission at Intermain.

At Intermain, we are passionate about refurbishing commercial buildings and transforming underutilised spaces into prime destinations. Our collaboration with property owners and leasing managers allows us to deliver high-quality, flexible speculative suites, sleek communal areas, and sought-after amenities. Our comprehensive end-to-end fitout services ensure a seamless process, saving you time, money, and hassle while enhancing the value of your property.

The NSW Office Market Report breakfast was also a fantastic opportunity to connect with peers in the property sector. We extend our thanks to the Property Council of Australia and Brookfield Properties for hosting such an insightful event. It’s clear that the future of Sydney’s office market is bright, and we at Intermain are excited to be at the forefront of this transformation.