Australia’s biggest companies have cut close to 200,000 square metres from their Sydney CBD office footprints. And so far, only Westpac is considering expanding again.
The Commonwealth Bank, Westpac and Telstra are among 19 Australia’s largest companies that have cut their office needs by almost 200,000 square metres in the Sydney CBD since the pandemic, sending vacancy rates sky-high in the country’s biggest market.
Commonwealth Bank left Darling Park One last year. That move, along with others, has led to the bank’s office footprint being reduced by 31 per cent. In total, the office footprint of the top 25 companies as a segment has shrunk 191,600 square metres, which accounts for about 43 per cent of additional vacancy since 2020.
Not all the downsizing moves from corporate giants were due to remote work or company restructures, however. Macquarie has reduced its office footprint by about 8500 square metres – 11.1 per cent of its Sydney CBD office exposure – in preparation for its move to its new flagship headquarters atThe retreat of the blue-chip corporates has been a major factor driving the CBD vacancy rate to a near 30-year high.
“How long is it going to take to see values increased on an office where it was bought after its value dropped 30 per cent? Are investors actually expecting the asset’s value to increase 30 per cent, or are investors happy to take a 20 per cent increase?”
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Westpac sanctioned over Tennant Creek bank closure, threatening safety of locals7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking sport, politics, entertainment, finance, weather and business headlines. Today's news, live updates & all the latest breaking stories from 7NEWS.
Read more »
Privacy laws preventing bank from adequately addressing financial abuse, Westpac representatives sayPrivacy laws are restricting banks' abilities to effectively deal with cases of financial abuse, Australia's second-largest bank has told a federal inquiry.
Read more »
ASIC catches ANZ, Commonwealth Bank, Westpac and Bendigo and Adelaide Bank repeating royal commissioner-era fee chargingANZ, the Commonwealth Bank, Westpac and Bendigo and Adelaide Bank have agreed to move 200,000 customers into lower-fee accounts.
Read more »
CBA shares: Commonwealth Bank’s anti-broker Digi Home Loan ‘not compelling’, Jarden analysts saysThe new mortgage product is not a credible threat yet to mortgage brokers, analysts say.
Read more »
CBA ASX: Commonwealth Bank has fighting words as it prepares to get one back at Macquarie by chasing $20b in real estate agents’ bank accountsCommonwealth Bank’s move to chase $20 billion in real estate agents’ bank accounts seems bitsy, until you realise who it is going after.
Read more »