Perth Commercial Property Market Update
Insights, Trends, and Opportunities in Perth’s Commercial Real Estate Market
Perth Market Snapshot – September 2025
Perth continues to stand out nationally for its tight industrial market and improving office sentiment. Add to that the resilience of everyday retail and the steady demand in specialty sectors like medical consulting, childcare and fuel/fast food, and we’re seeing strong activity across multiple fronts in the commercial property market.
Industrial Market
$2,733
15.1%
1,087
Industrial property has been a standout performer in Perth for a number of years. Vacancy in core industrial precincts is ultra-low, and demand is strong from buyers and tenants alike, with tenants locking in long leases.
JLL’s July 2025 report places Perth’s metropolitan industrial vacancy at 2.65%, with some northern precincts recording rates below 1%
A combination of limited development-ready land and the strong take-up in previous years means buyers and tenants are competing for fewer available properties. With fewer buying opportunities in industrial, many investors are turning their attention to other commercial sectors such as retail.
37.7%
38.5%
Ultra-Low
Office Market
17%
15.1%
1,087
Office markets in Perth are showing mixed signals. Perth CBD vacancy rose from 15.1% in January to 17% in June 2025, according to the Property Council of Australia — now the second-highest of all capitals after Melbourne (17.9%). This lift reflects both a glut of older stock and the delivery of new CBD space.
Suburban office markets are also uneven. Fringe locations such as West Perth and Subiaco continue to carry elevated vacancies, but well-fitted smaller suites are attracting enquiry from SMEs and owner-occupiers. While appetite remains selective, demand for quality suburban space closer to residential catchments provides some stability, particularly in the 100–300 sqm range. On the buyer side, strata offices are drawing increased interest from owner-occupiers looking to purchase rather than lease, though buyers remain highly selective and price sensitive
32.4%
2nd highest vacancy
Retail Market
17%
15.1%
1,087
Perth’s retail market has performed well over the past 12 months, underpinned by WA’s strong population growth, renewed investor confidence and interest in income-producing properties, including strong interest from Eastern States buyers.
Investor success in this category continues to depend heavily on tenant selection and location specificity. Looking forward, the outcome remains positive with strong population growth set to continue and potential further rate cuts. (17.9%). This lift reflects both a glut of older stock and the delivery of new CBD space.
32.4%
2nd highest vacancy
Speciality Sectors
Medical/Consulting/Allied Health
This remains a relatively resilient and prized segment of the commercial market. Demand is stable, especially for well-positioned, fit-out, or fit-out-ready premises.
Premium locations with excellent parking ratios, good access, signage and exposure command premium values.
Market assessment as of June 2025
Fuel & Fast-Food/Drive-Through
These assets remain in high demand, especially in growth suburbs or along arterial roads with high traffic exposure. These assets generally come at a higher entry cost, typically $2million+.
Key factors include visibility, traffic volume, and zoning/approvals. Investors/owners favour long-term leases with CPI or fixed increases, and strong tenant covenants.
Market assessment as of June 2025
Important Disclaimer
The information contained in this market update has been compiled from third-party sources including REIWA, Property Council of Australia, JLL, and Herron Todd White. While we endeavour to ensure the accuracy of this information, Perth Commercial Property makes no representations or warranties regarding its completeness or accuracy. This information is provided for general guidance only and should not be relied upon as the basis for any investment or business decision. We recommend that you seek independent professional advice before making any property-related decisions. Perth Commercial Property accepts no liability for any loss or damage arising from reliance on this information.
Recent Sales
Case Study: North Perth Retail Sale
We recently marketed a North Perth retail property with three separate tenants for sale, which saw incredibly strong interest from both local and interstate buyers.
365m²
281m²
3
$94,299
5.21%
The corner site featured two street frontages with great exposure to highly trafficked Fitzgerald Street. With development potential providing future upside, and three tenancies diversifying the income stream and drastically reducing wholesale vacancy risk.
Case Study: Industrial Sale in Osborne Park
Our team recently completed the sale of a premium industrial property on Edward St, Osborne Park, which attracted significant interest from investors.
4,047m²
2,517m²
4
4.14 years
$270,345
Outcome: Strong enquiry both locally and interstate, multiple offers and strong competition led to a sale at a competitive 5.84% yield. This case reflects the strength of Perth’s industrial market, where income diversification and location continue to factor heavily in buying decisions.
Case Study: South Perth Office Sale
Our team successfully brokered the sale of a premium strata office space in the sought-after South Perth precinct, attracting multiple qualified buyers despite the challenging office market conditions.
401m²
266m²
Offices
$94,299
Yes
Outcome: This property at 50/11 Labouchere Road demonstrated that well-positioned office assets in premium locations continue to perform strongly despite broader market challenges. The generous parking allocation and proximity to Perth CBD were key selling points that attracted significant buyer interest.
How We Can Help
Sale Appraisals
Our commercial property appraisals provide an accurate assessment of your property’s market position based on comprehensive market analysis, recent comparable sales, and our deep understanding of Perth’s commercial landscape.
We consider all factors that impact your property’s value, including:
- Location and accessibility
- Current lease arrangements
- Building condition and improvements
- Market trends and future growth potential
- Zoning and development opportunities
Commercial Property Management
Our comprehensive property management services are designed to maximise your investment returns while minimising your involvement in day-to-day operations.
Our property management services include:
- Strategic advice on commercial portfolio performance
- Tenant sourcing and screening
- Lease negotiation and documentation
- Rent collection and financial reporting
- Property maintenance and inspections
- Compliance with regulatory requirements
With decades of combined experience in Perth’s commercial real estate market, our team provides expert guidance and personalised service to help you achieve your property goals.
Our Expert Team
We blend sharp commercial expertise and experience with a progressive mindset, giving owners and landlords the confidence that their property is in the best hands. Meet the team that makes it happen
