VANESSA RADER
THE GROWTH IN AUSTRALIAN COASTAL OFFICE MARKETS
There has been significant turbulence across the global office markets over the past couple of years , as staff were encouraged to work from due to the threat of COVID-19 and subsequent extended lockdowns . As employers grapple with the forced change in working conditions , many staff have embraced this new era , resulting in some reluctance to move back into major CBDs on a full time basis , even as lockdown restrictions ease .
To counter this change we have seen many different working models emerge , including : the combination of working from home / working from office ; working close to home ( as employers provide satellite office locations ); or more local shared office options so collaboration isn ’ t affected . These changes have seen less staff in the office at any one time , with hot desking rampant . This has resulted in a growth in subleased office space in many CBD locations , and many suburban markets have reaped the benefits .
More noticeable , however , has been the shift in office requirements following population change . Over the last two years , we have seen a significant increase in interstate migration out of “ traditional office ” user states such as New South Wales and Victoria into Queensland and to some extent Western Australia and Tasmania . A combination of lifestyle and affordability has seen the population relocate , spurred on by the greater ability for the workforce to work remotely . This is most apparent in markets such as the Sunshine Coast and Gold Coast which have witnessed strong interest by both Brisbane-based and interstate businesses looking to provide local office facilities for their broadening workforce . This has resulted in net uptake of office space during 2021 at 17,068sqm and 17,216sqm respectively causing office vacancies to tumble , while CBD vacancies continue to increase .
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