Approximately 13 percent of total industrial zoned land in Melbourne has been identified for available development within the next three years, according to CBRE.
The lack of available land is particularly evident in the inner precincts, where these areas are becoming ever more sought after as last-mile hubs due to recent and forecasted growth in the ecommerce penetration rate. This is expected to place upward pressure on rents and land values, with vacancy likely to remain at low levels (below 2.5 percent).
CBRE expect the reassessment of optimal inventory levels (upward) by major occupiers across multiple sectors will further fuel demand for space in Melbourne during the next few years.
To read the full report, click here.
