THE office vacancy rate in Canberra has decreased over the last six months to its lowest level in two years however continues to be the highest office vacancy rate in the country, according to the Property Council of Australia’s “Office Market Report”.

The report has shown, due to a combination of demand and withdrawals, that Canberra’s office market vacancy is now at 10.6 per cent, down from 13.3 percent reported in July, with all grades of space posting vacancy decreases. However, with the exception of B Grade, all grades remain in double-digit territory for vacancy.

Canberra continues to hold the highest office market vacancy rate of any capital city with Sydney’s CBD the next closest in vacancy, at 9.6 percent.

Property Council of Australia ACT executive director, Catherine Carter, says: “There has been some movement within the different grades of space in the Canberra office market.

“Civic’s vacancy rate decreased from 14.2 per cent to 9.6 per cent due to withdrawals of 19,989sqm, the second highest on record, and net absorption of 13,042sqm.

“Vacancy in the non Civic market decreased from 12.9 per cent to 10.9 per cent. This was due to net absorption of 23,510sqm and withdrawals of 19,431sqm. 12,280sqm of space was added over the period.”