Strong office property market points to economic growth in Wollongong
The Wollongong office market continues to enjoy high demand, reflecting a strong local economy.
The latest Office Market Report from the Property Council of Australia shows a growing demand for the Wollongong office space over the last 12 months. The vacancy rate has decreased from 11.2% to 10.6% and solid results have been achieved across almost all grades of office space.
‘This overall increase in demand indicates a positive trend observed in recent years, and is testament to the success of public and private sector investment in rejuvenating the Wollongong City Centre’. Said Property Council Illawarra Regional Director, Kim Rawson.
‘With the new Western Sydney Airport and stronger connections to south west Sydney, the Illawarra is building momentum towards a strong future’.
Sydney-based St Trinity Property Group, who have a range of developments across the Illawarra, have made similar observations. Nicholas El-Khoury from St Trinity believes the commercial office market is going from strength to strength, after recently attracting two commercial tenants to one of the group’s mixed-use developments.
As demand continues to see vacancy levels drop, interest in the office property space is expected to continue. ‘On the back of this demand from top tier companies including multi-nationals such as Cardno, we envisage a very real market in Wollongong for potentially another commercial or mixed-use tower to answer this demand’ said Mr El-Khoury.
The office property landscape will continue to change, with the demolition of 47 Burelli Street Wollongong underway as the first step in building the new IMB head office and work commencing on the Gateway on Keira development.