Industrial Land | Real Estate | Industry Development | Sydney’s Industrial Rent Rose Nearly 40% in One Year

According to a research report released by CBRE, over the past 12 months, rental prices for industrial warehouses in Sydney have increased by nearly 40%, surpassing AUD 200 per square meter for the first time, with a vacancy rate of only 0.5%, which has attracted attention.

In the inner south of Sydney, areas such as Mascot, Rosebery, and Zetland are seeing a rise in warehousing demand, and developers including Goodman Group and Charter Hall are starting to construct multi-level logistics facilities to expand or create new warehouse projects.

Strong rental growth has also appeared in Melbourne, with a year-on-year increase of 23.4%; the continuous surge in asking rents is not limited to the east coast market, as industrial rents in Perth reached an annual growth of 30% at the end of March after increasing by 4% in the first quarter.

Meanwhile, due to delays in many projects caused by adverse weather and planning approvals, CBRE predicts a further 10% increase in Sydney’s rents and a 13% increase in Melbourne’s rents this year; another report by JLL found that rental growth for prime industrial properties across the country increased by 25% in the 12 months ending in March, the strongest annual rental growth in over 30 years. (The image is related to JLL and the Australian Financial Review)

JurisBridge Legal
JurisBridge Legal
Articles: 18