Gross take-up increased over Q3 2025

• Occupier demand increased over the quarter, with gross take-up totalling 48,300 sqm. This figure is also below the average quarterly gross take-up of 38,600 sqm, recorded over the past two years.
• Four major occupier moves (>3,000 sqm) were recorded over Q3 2025, with the largest move being a 20,000 sqm design and construction deal for a new DHL South Australian Transport Hub at 78-84 Kaurna Avenue, Edinburgh, in the Outer North precinct.

Supply delivered to market dampened over the quarter

• New supply delivered declined in Q3 2025, totalling 37,300 sqm. Currently, there are seven major developments under construction totalling 90,200 sqm, with the latest project expected to deliver in Q2 2026. The pre-commitment rate for these projects is 40.2%.
• There are nine projects with plans approved in the future supply pipeline, totalling 134,900 sqm. Additionally, there are five projects with plans submitted, totalling 33,900 sqm.

Strongest quarterly rental growth recorded in the Inner South

• Average prime net face rents increased across three precincts in Q3 2025, with quarterly growth recorded at 3.1% (Inner South), 2.0% (Outer South) and 1.0% (North West). The rise in asking rents is a result of the continuing trend with occupier demand outpacing supply.
• Average land values increased 4.0% across the Inner South precinct in Q3 2025 as availability of serviced development sites remains limited in the market. On an annual basis, average land values for 2,000 sqm lots increased between 10.0% and 33.3%.

Outlook: Near-term rental growth expected to sustain due to supply shortage

• Speculative supply from developers is likely to be low as construction material and labour costs remain elevated in times of broader global economic uncertainty. Nevertheless, occupier demand is likely to be supported by the manufacturing sector over the short term.
• Rental growth is expected to be maintained over the short term due to low supply, competition from new buildings, and a major infrastructure project which has displaced many businesses. Prime yields are expected to be unchanged for the remainder of 2025.