Australian Industrial Market Overview 1Q22
1Q22 statistics on the national Australia Industrial markets.
Activity in Australia’s industrial and logistics sector remains robust. However, headwinds like dwindling leasing options for occupiers and limited assets to market for investors have dampened volumes.
Developers are working through a backlog of projects delayed from population lockdowns, labour shortages and supply-chain constraints, which has bolstered 2022 supply expectations. With demand outpacing supply, average rents have increased significantly in 1Q22 with national prime average weighted net face rental growth the strongest since 1994. Pricing continues to sharpen in the logistics and industrial sector which has further compressed average yields over the first three months on the year.