We are pleased to launch our latest Office Briefing Spotlight report. In this edition, we provide an overview of recent macro developments, investment, and leasing market trends for the major CBD office markets in Australia.

Key takeaways from the report:

• Major central bank policy is set to diverge with the ECB and the Bank of England expected to begin easing from mid-year, while financial markets push out the timing of interest rate cuts in Australia and the US.
  
  
• Investment activity remained subdued in Q1 2024, although investors are gradually gaining confidence with asset repositioning and counter cyclical investment key drivers of activity.
  
  
• Major office funds recorded further declines in capital values in March, and 255 George Street sold early in Q2 at a 17% discount to peak book value, pointing to repricing gaining momentum.
  
  
• Leasing activity remains mixed, with moderating but relatively strong rental growth in Brisbane, while higher average incentives in Sydney and Melbourne are weighing on effective rents despite face rents holding firm.

 Read our Spotlight here