New Additions Increase Office Market Vacancy on the Sunshine Coast

The Sunshine Coast has seen a significant increase in office market vacancy in the latest Property Council of Australia Office Market Report. 

Released today, the report shows vacancy rates on the Sunshine Coast climbed from 15 percent in January 2018 to 21.8 percent in January 2019.

Despite positive tenant demand of 5,334sqm being achieved throughout the year, new supply additions in the commercial market have led to an overall increase in vacancy, explained Chris Mountford, Queensland Executive Director of the Property Council of Australia. 

“This is the second consecutive year that vacancy rates have increased in the Sunshine Coast office market. With an additional 21,716sqm entering the market in the last 12 months, positive tenant demand could not compensate for this additional supply,” explained Mr Mountford.  

“The Youi headquarters at Sippy Downs Drive has added 12,000sqm to the market and new office space is also being developed at Dalton Drive and Innovation Parkway. There is significant space the industry needs to work through over the coming year.” 

“With a significant amount of office space mooted for the Maroochydore CBD, it is vital further consideration is given to future demands of the Sunshine Coast property market, and potential alternative uses for space within the new City Centre,” concluded Mr Mountford.