2025-04-17-莱坊-Sydney_Industrial_State_of_the_Market_Q1_2025_8页_1mb

Sydney Industrial Market Summary

Overview

The Sydney industrial market experienced moderate activity in Q1, marked by stable prime net face rents at $267/sqm across all precincts, while incentives increased to over 15%. Annual leasing volume dropped 30% in 2024 to 818,100 sqm due to easing tenant demand. Vacant space rose to 586,243 sqm, with Outer West and South West contributing 79% of total availability. Total investment activity in Q1 was $476 million, supported by institutional investors and owner occupiers. Overall, rents and yields remained stable, but incentives edged higher, reflecting market adjustments.

Key Statistics for 2024 and Q1 2025

• Prime rents flat at $267/sqm; secondary rents at $155/sqm.
• Leasing volume declined by 30% to 818,100 sqm, with Outer West accounting for 37% of vacancy.
• Vacant space increased 9% q/q to 586,243 sqm, stable annual level.
• New supply expected to reach 842,278 sqm in 2025, with 8% completed in Q1.
  -Yields stable at 5.46% for prime and 6.38% for secondary.

Supply, Vacancy, and Occupier Activity

• Outer West led vacancy with 37% share, new supply projected at 632,216 sqm in 2025, featuring 48% pre-committed space.
• South West saw subdued leasing, with manufacturing accounting for 41% of demand and vacancy rising to 246,559 sqm.
• Inner West reported 20% y/y leasing increase to 114,379 sqm, driven by new developments, but vacancy rose 12% q/q.
• South region experienced minimal new development, stabilizing high rents despite moderate leasing.

Investment and Transaction Highlights

• Investment activity supported by owner occupiers and institutional players, including Goodman's $200 million acquisition of Minto Intermodal Facility.
• Key transactions involve occupiers like Baker & Co Ingredients and Superior PAK Holding purchasing space for direct use.
• Occupier demand focused on transport/logistics and manufacturing, with CTDI Australia securing large leases.

Future Outlook for 2025

• New supply anticipated at 842,278 sqm, potentially easing vacancy pressures, especially in Outer West.
• Rents and yields are expected to remain stable amid rising incentives to attract tenants.
• Overall market paused, with first-time rent stability since mid-2022, suggesting resilience despite volume declines.

Methodology Notes

Vacancy data includes existing, speculative, and under-construction properties over 5,000 sqm, categorized into prime and secondary grades based on design, condition, and office component. Yield calculations stable, reflecting ongoing market equilibrium.