2025-05-19-莱坊-Brisbane_CBD_Office_Market_April_2025_10页_1mb

Brisbane CBD Office Market Summary

Market Overview

The Brisbane CBD office market is experiencing low vacancy rates and strong net absorption, supported by resilient demand from sectors like Professional, Scientific & Technical services and government entities. As of January 2025, total vacancy stands at 10.2%, with prime vacancy at 8.0% and secondary at 13.4%. Economic factors, including a GDP growth forecast of 2.0% for 2025 and population growth of 2.0% in Queensland, underpin market conditions.

Key Metrics

• Vacancy and Absorption: Net absorption for 2024 is +13,906 sqm, with prime vacancy remaining low at 8.0% despite a slight increase in vacancy. H2 2024 saw negative net absorption (-12,646 sqm), reversing some gains from H1 2024.
• New Supply: After a three-year absence, two new buildings will be delivered in 2025 (totaling ~90,000 sqm, 87% pre-committed), contributing to higher vacancy. Refurbishments at 70 Eagle St and 140 Elizabeth St will add inventory mid-2025.
• Rent and Yield Trends: Prime gross face rents increased by 11.8% annually in 2024, but growth slowed in Q1 2025 due to tenant fatigue. Prime yields stabilized at 7.25%. Rent growth is expected to accelerate from 2027-2029, supported by supply shortages.

Economic Context

Recent events include an RBA rate cut to 4.1% in February 2025 and stronger-than-expected GDP growth (1.3% annualized). Population growth has eased from 2.5% in Q3-23 to 1.8% in 2024, driven by interstate migration. Job market tightening, with an unemployment rate of 4.0%, is largely due to public sector spending.

Tenant and Investment Activity

Tenants are prioritizing renewals over relocations due to high relocation costs, with major firms like BHP and EY expanding in their existing spaces. Investment activity increased, with $1.1 billion in sales in 2024—domestically led and absent of offshore investors until 2025. Prime transactions, such as the sale of 145 Ann St for $215.5M, indicate yield stability.

Future Outlook

Vacancy is forecast to rise to 12% by 2025 due to new supply, but the prime market is expected to recover quickly. Net absorption will remain modest in 2025, with slower growth post-2025 if no new supply materializes (2026-2028). Rents and yields may compress later in 2025 if trophy assets hit the market, but longer-term growth in the office workforce is projected at 1.0% for 2025, stabilizing at ~2%.