The demand cycle in Brisbane has turned the corner and absorption over the last 12 months has been solid, at more than double the long-term average rate.

Face rents have remained stable over the year, however incentives have been under pressure, leading to significant declines in effective rents. While new supply has driven the vacancy rate up to record high levels, demand is gradually improving, supported by tenant relocations from fringe markets back into the CBD. A flight to quality has emerged with many tenants seeking to upgrade at an opportune time in the cycle.

Highlights

  • 88,463 SQM
    Total Lettable area
  • $503 Million
    Book
    Value
  • 5.1 Years
    Weighted Average lease expiry

Outlook

Vacancy rate to remain elevated as supply cycle nears completion, while rents and incentives remain relatively stable

Demand dynamics to continue improving in line with gradually improving economic conditions

Permanent asset withdrawals to mitigate much of the supply impact over the next few years

Property Map

BRISBANE
PORTFOLIO
Asset
value
Asset
weighting
1 140 Creek Street $191.0m 5%
2 295 Ann Street $113.5m 3%
3 232 Adelaide Street $16.5m 0%
4 239 George Street $126.3m 3%
5 15 Adelaide Street $55.7m 2%