It is predicted that commercial office rent will rise in Adelaide in the coming years due to increasing demand and a lack of supply. The vacancy rate is low and new developments are not keeping up with the growing demand for office space. Commercial office rent rose 8% on average in 2011.
The cost of premium office space is likely to rise the most due to increasing customer demand for higher quality rentals with green energy efficiencies and better services. This of course should increase the refurbishment market for owners looking to increase the value of their properties for lease.
Office relocation activity has also been on the increase mostly in the smaller spaces with small business trying to bustle through an environment that has little to offer them in the larger arena.
Our belief is that activity in construction, refurbishments and transport will have to grow to fill demand.
