Western Sydney gross take-up hits 470,000sqm in H1 2024

It is well above the pre-covid average of 400,000sqm.

According to a recent release by Cushman and Wakefield, development activity in and around Kemps Creek in Western Sydney is on the rise, with the potential for just over 1 million sqm of speculative projects expected to enter the market by the end of 2025. 

The Outer West is a key driver of this pipeline, contributing almost 420,000 sqm of development over the same period.

Here’s more from Cushman and Wakefield:

Western Sydney’s gross take-up measured approximately 470,000 sqm in the first half of 2024. While this level of demand is below the levels recorded since 2020, it remains above the pre-pandemic average of 400,000 sqm.

Despite the anticipated increase in supply, the Western Sydney vacancy rate currently averages 2.1%, significantly below the market equilibrium of 5.0%. This low vacancy rate underscores the strong demand and vibrant economic activity in the region.

Supporting this growth is substantial investment in infrastructure, with approximately $100 billion in funding allocated across Sydney. This includes the recently opened WestConnex project and the new Western Sydney Airport, both of which are set to enhance connectivity and accessibility.