Perth’s commercial property market is showing mixed results, with the industrial sector outperforming both office and retail.

REIWA Research has released its latest data on the industrial, office, and retail property markets in Perth. While the industrial sector continues to thrive, the office market shows signs of recovery, and the retail sector faces challenges due to economic conditions.

Industrial Market Booms

The industrial market is the standout performer, with strong demand for larger industrial lots driving up prices. Despite a slight decrease in sales compared to the previous year, the median sale price per square meter has surged by 13.3%.

Office Market Stabilizes

The office market has shown resilience, with sales numbers exceeding pre-pandemic levels. While prices are lower than before the pandemic, they are gradually increasing. Notably, Perth CBD’s office vacancy rate has defied the national trend by decreasing, indicating a positive outlook for the sector.

Retail Market Faces Headwinds

The retail market has experienced more volatility, influenced by consumer sentiment and rising interest rates. Sales and prices have declined compared to the previous year, reflecting the challenges faced by retailers.