Sydney CBD Sublease Barometer Q2 2024

Key Points:

• Sydney CBD sublease availabilities ended Q2 2024 at 80,088 sqm, declining by 8,670 sqm over the second quarter. This brought the CBD sublease vacancy rate to 1.5%.
• Sublease volumes are now at their lowest levels since the start of the pandemic.
• The addition of large sublease listings has continued to slow over 2024. Only three new sublease listings of greater than 1,000 sqm were brought to market over the second quarter.
• The Banking & Finance sector continued to account for the greatest share of sublease availabilities in Q2 2024, accounting for 32% of the CBD total.
• Contraction or shifts towards hybrid working remain the most common drivers for occupiers looking to hand back space. These factors were the driver behind 80% of the sublease space on the market as of Q2 2024.