In Brisbane, demand for flexible office space decreased 31% year-on-year between 2021 and 2022. By contrast, both Sydney and Melbourne saw demand increase by 14% during the same time period.
Demand for flex space in both Melbourne and Sydney increased by 14% in Q3 2022 when compared to Q3 2021, while Brisbane saw a 31% decrease over the same time period.
This is according to an analysis from global workspace innovation firm The Instant Group, whose digital platforms constitute the world’s largest digital marketplace for flexible workspace solutions, including meeting rooms, virtual offices, flexible office bookings, and coworking memberships as well as consulting services.
“The flexible workspace market has shifted in 2022 compared to pandemic years, with interest returning to key business hubs like Melbourne and Sydney as we continue to live and work with no lockdowns. Demand for flex space in Brisbane dropped in Q3 compared to last year, when the city had high stock levels and high vacancies, plus a hot sub-leasing market which drove demand up. We are however seeing it pick up again in Q4,” said Daniel Tyson-Jones, Regional Director, Client Solutions - ANZ at The Instant Group
The average cost-per-desk for flexible workspace in Sydney and Brisbane increased by 5 and 8% respectively in Q3 2022 compared to Q3 2021, while rates in Melbourne decreased by 5% over the same period.
In addition to demand data, The Instant Group also analyzed supply in these Australian markets to see how the industry is working to accommodate rising flexible inquiries.
Supply, meaning the number of flexible workspace centers in the market, grew in all three cities in Q3 2022, up by 7% in Sydney, 5% in Brisbane and 2% in Melbourne compared to Q3 2021.
