PROPERTY REVIEWER
OPINION: THE anticipation and sense of optimism that preceded the State Budget fell flat for those in the commercial property sector late on Tuesday evening.
Following the announcement of Victoria’s State Budget, the commercial property sector will be left frustrated at the missed...
It is difficult not to feel that the state government has missed the mark for the commercial property sector which will...
A budget will always have winners and losers, as evidenced by the media headlines and radio segments the days following budget...
This year, it is undoubtedly the commercial property sector which is continuing to grapple with the ongoing impacts of the...
Stamp Duty Changes Welcomed
One clear positive from the budget was the removal of stamp duty for commercial and industrial properties. This is of course a win for...
It is a welcome relief to some and will stimulate some activity in the market, but it doesn’t immediately or directly impact the main...
The introduction of the annual property tax in its place will see holding costs rise which will only increase obsolete stock in...
Where owners were keeping afloat with the income from rent, the additional tax could be the tipping point that sees the...
The Need for a Clear Path Forward
Lord Mayor, Sally Capp recently said, “We want Melbourne to be world-renowned as a vibrant place for business and innovation, a place where...
This is the ambition and intention shared by the sector but there must be a clear vision for how we achieve this...
Melbourne will soon become the countries’ most populous capital city and it is critical to the cities’ vibrancy, and longevity that...
Further exacerbating this issue, is the budget’s failure to provide adequate support to tenants and landlords, creating a sense of...
This is a major oversight by the state government which will undoubtedly hinder the sector’s capacity to expand and evolve in the short-term...
Practical Solutions the Budget Missed
What we do with our abundance of office space and how we utilise or reposition these assets will be key to the sector’s future and that of the...
Responding to the environmental requirements, high tenant expectation and being creative with the use of space are...
‘Greening up’, renovating and repositioning are key elements in the formula for the future success of the city’s commercial property....
More and more, we are seeing companies seeking office space that aligns with ESG principles and applying a ‘Green Grant’ to...
Subsidising the necessary renovations to bring B and C-Grade office space back to the fore as a viable office accommodation option....
Another option, most relevant to our headline issues around housing availability and impending immigration is to strongly consider...
Future-proofing for Prosperity
Ultimately, we need action – and we need it soon. Populating the cities’ CBD, whether it be for work, to live, or a combination of both...
Melbourne already has a strong core, great infrastructure and an abundance of commercial space. This needs to be treated as...
We need to see action from government, or we risk vacancy rates rising for years to come.
By Jason Stevens, Director of Commercial Office Valuations for Herron Todd White.*
Jason has worked in the commercial property sector for over 15 years and specialises in valuation of office space within the CBD and broader metropolitan area.