office-space-north-sydney

Office Space Vacancy Forecast - North Sydney and North Shore
As at Feb 2010.

There is likely to be very little new supply in the North Sydney office space market over the
next 5 years, which in practical terms will likely mean a reduction in the north sydney
office space vacancy rate. The north sydney rental market is likely to be the best performer
across the North Shore commercial real estate market, with total north sydney office space
vacancy anticipated to average 9.9% over the period, which from a practical perspective
amounts to close to full occupancy;

The Crows Nest/St Leonards office space market has been adversely effected by the global
financial crisis with commercial vacancy rising to 15.2%. New office space supply will enter
the market with little or no pre-commitment which will drive vacancy higher in the short
term.

The Chatswood commercial office space market has struggled to recover since the end of
2007, with occupied suites declining by nearly 20,000 sq m over the past 18 months,
pushing vacancy of commercial suites up to 17.8%.

In the North Sydney office space market net face rental rates have remained stable, and
some upward pressure is expected as demand improves, particularly for smaller suites as
vacancy declines and demand increases. Yields for commercial property in north sydney
are also anticipated to remain stable ranging between 8.50% and 9.50% over the next 18 to
24 months before competitive tension will drive yields lower.

If you are interested in leasing office space in North Sydney please contact us on
02 8920 1233 and we will do our best to cater to your commercial property rental needs.