Office occupancy rebounds in the CBDs

According to the latest Property Council of Australia office occupancy survey, Brisbane and Adelaide see the biggest ski lifts. Occupancy in the Queensland capital rose from a record high of 13% in January to 41% in February, while Adelaide’s 11% occupancy rate soared to 47%.

Additionally, Melbourne and Canberra are getting back on track, reaching occupancy levels on par with their June 2021 levels. Melbourne’s CBD reached 15% occupancy, while Canberra reached 21%.

Meanwhile, Sydney had an occupancy rate of 18%, which was slightly lower than November’s result (23%).

PerthPerth, TAS Perth, WAwhich reported its lowest office occupancy rate at 55% since the survey began in July 2020, was the only CBD not to register a positive gain – likely due to Omicron entering Australia -Western.

Overall, Ken Morrison, chief executive of the Property Council, said the latest survey results were positive.

“Given that occupancy really bottomed out in January due to the Omicron wave and the holidays, it’s encouraging to see such a significant turnaround a month later,” Mr Morrison said.

“There’s still a long way to go and there are local factors that affect every city, but these numbers are a good start that we expect to accelerate in March as more businesses reopen their offices.”

And for this reason, the Chief Executive concluded with a reminder to occupants of CBD offices: “It is important that governments, councils and businesses focus on the revival of our CBDs.

Office occupancy as a percentage of pre-COVID levels by CBD

Jul-21 21st of August Sep 21 21st of October Nov-21 Jan-22 February 22

melbourne

12% 7% 6% 4% 12% 4% 15%
sydney 7% 4% 4% 8% 23% 7% 18%
Canberra 73% 8% 8% 7% 17% 7% 21%
Brisbane 67% 60% 51% 57% 63% 13% 41%
Adelaide 15% 65% 64% 64% 73% 11% 47%
Perth 78% 77% 76% 79% 77% 66% 55%

Figures are based on responses from Property Council members who own or manage CBD office properties and cover occupancy for the period 22-28 February 2022.

Office occupancy rebounds in the CBDs



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Last update: March 09, 2022

Posted: March 10, 2022