Chuq
February 10th, 2005, 07:26 AM
http://www.themercury.news.com.au/common/story_page/0,5936,12201793%255E3462,00.html
Hobart low for office vacancies
By CHARLES WATERHOUSE
10feb05
HOBART'S CBD office space vacancy rate has shifted from the highest of Australia's capitals to the lowest.
In January 2001 the vacancy rate in Hobart was 14.28 per cent, with only Adelaide close to this.
Since then, Hobart's vacancy rate has dropped each year to a low of 3.5 per cent last month.
During the same period the vacancy rate in Sydney has increased from just under 5 per cent to just over 11 per cent, and in Melbourne also the rate has increased.
Randall Jackson, of Knight Frank Tasmania, gave Hobart's statistics at a Property Council of Australia Tasmanian division lunch yesterday.
In Hobart vacant A grade space has dropped from 12.58 per cent to just 0.44 per cent. Grade B now stands at 5.72 per cent (was 17.92), grade C at 5.10 per cent (10.45) and grade D at 8.76 per cent (16.52).
Mr Jackson said demand for A grade space had been strong for two or three years and B to D grade areas were also showing improvement, which he suggested would continue.
William Reynolds, of Brothers and Newton valuers and property consultants, said much capital investment was occurring in northern Tasmania with the proposed billion-dollar pulp mill, major spending to upgrade the Bass Highway and mining and exploration on the West Coast.
"The core business of the state is being driven out of the North," Mr Reynolds said.
"What will happen in Hobart is it (investment) will be driven more by turning our waterfront into a nice place to be with shops and restaurants."
He predicted a major new office building would be built in Hobart in two to five years and said several buildings had been constructed in the early 1990s and it had taken a decade to recover from an oversupply of space.
Mr Jackson, however, said it was his view that the oversupply was created in the 1980s when several buildings were built on 10-year leaseback arrangements with the Federal Government.
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The bold is mine. Interesting! I reckon they need to blow up 10 Murray St (ugly, ugly building) and build something decent/taller in its place. Problem is they will need to house the offices that are there during construction - perhaps build a real big one (to house 10 Murray St + more) on another site, then on the old 10 Murray St, build something a bit more waterfront-friendly rather than a big tower.
Hobart low for office vacancies
By CHARLES WATERHOUSE
10feb05
HOBART'S CBD office space vacancy rate has shifted from the highest of Australia's capitals to the lowest.
In January 2001 the vacancy rate in Hobart was 14.28 per cent, with only Adelaide close to this.
Since then, Hobart's vacancy rate has dropped each year to a low of 3.5 per cent last month.
During the same period the vacancy rate in Sydney has increased from just under 5 per cent to just over 11 per cent, and in Melbourne also the rate has increased.
Randall Jackson, of Knight Frank Tasmania, gave Hobart's statistics at a Property Council of Australia Tasmanian division lunch yesterday.
In Hobart vacant A grade space has dropped from 12.58 per cent to just 0.44 per cent. Grade B now stands at 5.72 per cent (was 17.92), grade C at 5.10 per cent (10.45) and grade D at 8.76 per cent (16.52).
Mr Jackson said demand for A grade space had been strong for two or three years and B to D grade areas were also showing improvement, which he suggested would continue.
William Reynolds, of Brothers and Newton valuers and property consultants, said much capital investment was occurring in northern Tasmania with the proposed billion-dollar pulp mill, major spending to upgrade the Bass Highway and mining and exploration on the West Coast.
"The core business of the state is being driven out of the North," Mr Reynolds said.
"What will happen in Hobart is it (investment) will be driven more by turning our waterfront into a nice place to be with shops and restaurants."
He predicted a major new office building would be built in Hobart in two to five years and said several buildings had been constructed in the early 1990s and it had taken a decade to recover from an oversupply of space.
Mr Jackson, however, said it was his view that the oversupply was created in the 1980s when several buildings were built on 10-year leaseback arrangements with the Federal Government.
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The bold is mine. Interesting! I reckon they need to blow up 10 Murray St (ugly, ugly building) and build something decent/taller in its place. Problem is they will need to house the offices that are there during construction - perhaps build a real big one (to house 10 Murray St + more) on another site, then on the old 10 Murray St, build something a bit more waterfront-friendly rather than a big tower.