A new wave of office, industrial and mixed-use projects on the city fringe is redefining where Melbourne works, lives and leases. Here are five worth watching.
While the CBD consolidates around premium stock, the city fringe is quietly delivering the next generation of workspace. Five projects currently under construction between Richmond, Cremorne, South Melbourne and Fishermans Bend illustrate where occupier demand is heading.
New mid-rise office stock in Cremorne is pre-leasing to technology and media occupiers at rents approaching CBD A-grade levels — a first for the precinct. The lesson: amenity and character now compete directly with address prestige.
Office-over-retail projects around the market precinct are creating genuine 20-minute-neighbourhood workplaces. Ground-floor retail leasing in these projects is running ahead of program.
The first wave of high-clearance, ESD-rated industrial product in Fishermans Bend is attracting occupiers priced out of the inner-west logistics market, signalling the precinct's shift from promise to delivery.
Former factories are being repositioned as showroom-office hybrids, drawing homewares, automotive and trade-showroom tenants seeking exposure plus workspace in one line item.
Projects surrounding the Metro Tunnel stations are setting new benchmarks for integrated office, retail and residential delivery — and resetting land values within the walkable catchment.
For owners, the city fringe is no longer the discount alternative to the CBD — in selected pockets it is the market leader. For occupiers, the window to secure space in these precincts at pre-completion rents is narrowing quickly.
