Melbourne, often regarded as the cultural and economic heart of Australia, is a vibrant city that boasts a thriving commercial real estate market. As a global hub for business and innovation, Melbourne offers a diverse range of commercial real estate options. From transformed warehouses to modern skyscrapers, the city’s real estate market has something for everyone. In this post, we’ll explore Melbourne’s diverse commercial real estate scene.
The Central Business District (CBD) is home to an array of office spaces, making it a hotspot for Melbourne commercial real estate. These spaces cater to a wide range of businesses, from startups and small enterprises to large corporations. The city’s skyline is adorned with towering skyscrapers, such as the Eureka Tower and Collins Square, which provide premium office spaces with breathtaking views. Furthermore, Melbourne’s coworking spaces, like WeWork and Hub Australia, offer flexible, collaborative environments for freelancers, small teams and businesses transitioning to a hybrid working model.
Finally, offices on the city fringe are also popular, particularly with owner occupiers, which include North Melbourne, West Melbourne, Kensington, Parkville, and Carlton. And on the other side, popular inner-city suburbs for commercial real estate in Melbourne, include Cremorne, Abbotsford, and Prahran. These suburbs are appealing to Millennials who want to live and work close by.
Melbourne’s reputation as a fashion destination within Australia extends to its commercial real estate landscape. The city features a vast array of retail properties, from boutiques in quaint laneways to flagship stores on major shopping streets. Retailers seek prime brand locations on iconic streets like Chapel, Brunswick, Smith, Ackland, and Collins Street. The diversity of retail spaces available caters to all tastes and niches.
Melbourne’s industrial heritage is still visible in its commercial real estate market. The city’s many former warehouses have been repurposed into trendy, spacious industrial office spaces, providing a unique and creative working environment. Areas like Collingwood and Richmond have witnessed a surge in the demand for these character-filled spaces, attracting startups, design firms, and tech companies. Industrial warehouses in inner Melbourne have also been snapped up for warehouse conversions and are particularly popular if the façade has an element of character such as a heritage overlay.
Alternatively, significant opportunities exist for industrial real estate in Melbourne, on outer suburbs including Tullamarine, Sunshine, Hoppers Crossing, Epping, Dandenong, and Hallam. These suburbs have warehouses of all sizes including, large scale distribution centres and purpose-built premises. Additionally, they are also suitable for e-commerce businesses.
Medical and Healthcare Real Estate
Melbourne is a leader in healthcare and medical research, making it home to a variety of healthcare real estate facilities. From large hospital complexes to specialized clinics and research centres, the city offers a broad spectrum of medical and healthcare-related commercial properties. These facilities serve patients and professionals, bolstering Melbourne’s medical innovation hub status.
Hospitality and Restaurants
With its thriving food scene and vibrant nightlife, there are a range of Melbourne commercial real estate opportunities in the hospitality sector. The city is famous for its cafes, restaurants, bars, and clubs, which line its streets, laneways, and waterfront areas. Investors and entrepreneurs can choose from a range of spaces to create unique dining and entertainment experiences. Key streets are known as dining destinations including Brunswick Street Fitzroy, Smith Street Collingwood, Lygon Street Carlton, Fitzroy Street St Kilda, and Chapel Street Prahran.
As a burgeoning tech hub in the Asia-Pacific region, Melbourne boasts a growing number of technology-focused commercial properties. Tech startups, incubators, and innovation centers are widespread, with tech precincts like Melbourne Innovation District promoting collaboration and innovation. Therefore, these hubs have spurred significant growth in the technology sector, attracting both local and international businesses.
Commercial Land Developments
Melbourne’s urban expansion continues with the development of new commercial land projects. Business parks, office campuses, and mixed-use developments are transforming the city’s outskirts into modern business hubs. These developments cater to evolving business needs with state-of-the-art infrastructure, ideal for companies seeking purpose-built spaces. Whilst vacant inner suburban land is competitive and in high demand, (but certainly not impossible to find), there are significant land opportunities in industrial areas.
Overall, Melbourne’s diverse commercial real estate landscape reflects the city’s dynamic and ever-evolving economy. From warehouses to skyscrapers, Melbourne offers diverse commercial spaces. With a thriving focus on innovation, healthcare, technology, and hospitality, it’s ideal for a variety of purposes. If you would like to discuss your commercial real estate portfolio or investment needs further contact us today.