The Sydney commercial property market is experiencing its highest vacancy rate since 1996.
While tough times are looming for most landlords, some have managed to maintain high vacancy rates by listening to their tenant’s feedback and meeting their needs. These requirements are more important than ever before.Â
Now, it truly is a tenant’s market.
The ‘cultural shift’
A cultural shift towards office work occurred during the pandemic and lockdown period. More remote working, more flexibility, and more focus on the well-being of people. Therefore, many office workers simply do not want to go back to the office as it was before.
Many commercial landlords have not made any changes to their space since the advent of COVID-19. As a result, they are not creating an attractive environment for the people and the businesses that become their tenants. However, this article in the AFR shows that landlords who are listening to tenant feedback are enjoying higher tenancy rates.
In fact, Shaun Bonett, who owns more than one billion dollars of office space in Sydney, is experiencing 95% occupancy. He claims that this is because he listens to the feedback of his tenants, and provides the spaces that they and their employees require. This includes amenities that make employees’ lives easier, such as childcare centres and gyms within the same building.
People want more from their workplaces these days, and so amenities that provide a better experience for them and simply make their lives easier, are impactful. It’s clear that if more landlords wish to boost their occupancy rates in 2023 and onwards, they need to listen to the feedback of prospective tenants.
Quality offices for commercial tenants
If you are looking for new office space in Sydney, we’re here to help. At Niche Advisory, we’ve been helping Sydney businesses find their perfect workspace for a number of years now. We work hard to locate the best deal and negotiate hard for our tenants. We can also help implement the right design and fit-out for your office space.
Get in touch with Niche Advisory today for all your office space needs.
