The Property Council is calling on the Malinauskas Government to follow NSW's lead in directing more State Government workers back to the office.
Property Council SA Deputy Executive Director Richard Fowler said similar decisive leadership would benefit the local economy enormously.
"Given the comparatively high proportion of State Government workers in Adelaide CBD offices, our city economy can 'thrive or dive' based on foot traffic and discretionary spend," he said.
"The reality is that flexible work existed before COVID, and it will exist into the future.
"However, as revealed by the Property Council's Office Market Report, the private sector is now investing into office space at record levels because it offers employers a place to nurture talent, innovation and productivity growth. In other words, it's good for business.
"If the CBD does well economically, the benefits flow beyond the four terraces of the city.
"If the Malinauskas Government can push harder for more people working in the CBD as the Minns Government has done in NSW, they absolutely should.
"If we look around the country at the moment, we have one Government in NSW modelling the best behaviour on this issue and others missing the mark.
"Our advice to Premier Malinauskas is to follow the lead set by NSW Premier Chris Minns and prioritise the health and sustainability of our small business economy."
Mr Fowler also shared key findings from the July 2024 Office Market Report for Adelaide.
- Vacancy in Adelaide decreased from 19.3 to 17.5 per cent
- Melbourne's vacancy rate was the highest in Australia growing from 16.6 to 18 per cent
- Adelaide net demand was 29,041 m2 (well above historic average of 4,932 m2)
- Adelaide's net supply came in at neutral, down from January at 1.9 per cent
- Supply could slow from 2025 after delivery of 150 Grenfell and 42-46 Franklin
Richard Fowler | 0402 659 892 |
