Industrial Vacancy Report Breakfast
The Property Council’s Brisbane Industrial Vacancy Report has found the city is currently enjoying relatively low vacancy rates in industrial property, thanks to growth in the logistics sector.
A breakfast held for the launch of the report, on Tuesday 6 June, saw Ash Page – CEO of AEC Group – outline the results and provide an economic snapshot of the factors influencing the local industrial property market.
The report found an average vacancy rate of 4.5% of properties and 3.2% of floorspace across the four study areas. The report, which measures vacancy in industrial property greater than 3,000 sqm, has revealed that the Logan Motorway Corridor is the best performing industrial precinct in Brisbane with only 1.3% of floorspace vacant.
Brisbane North and Brisbane South West were also found to be performing well with 3.4% and 2.2% of available floorspace vacant, respectively.
While the Australian Trade Coast (ATC) precinct recorded the highest vacancy rate of 6%, since the 31 March reporting date three large facilities have been absorbed totalling nearly 53,000sqm. If recorded more recently, the vacancy rate at ATC would be approximately 4.5%, more in line with the other Brisbane precincts.
Following the presentation Ash was joined by Leah Ong, Director – Tenant Advisory Group with Cushman & Wakefield, and Chris David – Head of Investment, Office & Logistics with The GPT Group, for a panel session moderated by Michael McVeigh, Managing Director with McVeigh and Chair of the Property Council’s Queensland Industrial Committee.
The panel had a wide-ranging discussion on factors affecting both the rental and sales market in Brisbane. The panel discussed how innovations such as increased automation are predicted to create new efficiencies that will impact the profile of the city’s industrial property stock. Growth in the logistics sector is expected to continue to drive new investment over the long term.
The Property Council would like to thank the speakers for sharing their insights, and to RCP for their sponsorship of the breakfast.
Photos from the event can be found here.