Australian Flexible Office Space Report March 2022
Rubberdesk's Flexible Office Space Report examines actual flex office availability and pricing as well as trends in Australia. It gives prospective tenants the best snapshot of the whole market with which to start their search for offices.
Read our most recent Australian Flexible Office Space Report here.
Flex availability decreases by 7.4% QoQ as the Australian Market awaits national increase in supply.
The report shows that despite a decrease in available office space, median pricing remains at a national low, with a median of $608 / person / month. Rubberdesk predicts that as the market continues to adjust, pricing will remain relatively stable. Nationally, the impacts of COVID-19 lockdowns caused significant increases in flex vacancies with an increase of 24% (from 132,000 sqm to 167,000 sqm of flex offices available) between April 2020 and March 2022.
Over the past two quarters Rubberdesk has also witnessed a number of closures across both traditional businesses and coworking operators leading to a 9% reduction in available space since Nov 2021. Looking ahead though, there are over 20 new coworking centres that have opened or are set to open in 2022. This new supply to the Australian Market will contribute to growing the coworking and flexible office sector providing strength to operators and landlords.
“As 2021 came to a close, businesses were back on the hunt for office space. With a number of new coworking centres coming on line in 2022 the stage is set for strong competition from operators to attract tenants with premium offices or heavily discounted rates.” Said Jim Groves CEO and Co-Founder of Rubberdesk.
Key Findings:
- High vacancy rates can be directly attributed to extended covid-lockdowns and the growth of hybrid work arrangements.
- Whilst businesses are starting to return to the office, flex vacancy rates have remained high with only a 7% decrease in vacancy from January 2021.
- In Sydney, the median cost per person per month was up nearly 2.5% quarter-on-quarter to $867 making it the most expensive office space in Australia.
- Melbourne's Median Office Price up 9% since hitting bottom in July 2021.
- On the demand side, as 2022 began, enquiry levels continued to rise reflecting a renewed appetite from businesses bringing teams together across Australia.
- Whilst the market bounces back, there remains opportunities for businesses to find great deals in the CBD.
About Rubberdesk
Rubberdesk is Australia’s flexible office marketplace with thousands of fully furnished serviced offices and coworking desks ready for you to move in and rent by the month or year. Our proprietary platform combined with industry insights from our office specialists helps you find the best office for your needs.
With a view across all available options, we simplify the process to create a bespoke shortlist, arrange tours and negotiate the best deals. All for free and without obligation.
As well as being the proud partner of Cadigal.
Rubberdesk also operates in the UK and Ireland.
Media Information
For further information, images and interview requests, please contact Jim Groves at Rubberdesk:
- E: [email protected]
- T: 1300433757
