Melbourne retail completions hit 68,900sqm in 2024

This is a significant 68% increase from 2023’s 40,956sqm.

According to a JLL report, two new retail projects, two extensions and one refurbishment project totalling around 26,800 sqm were completed in Melbourne in Q4 2024.

Quarterly completions fell to 1% below the 10-year historical average (26,982 sqm), having exceeded the historical average by 38% last quarter. Annual completions for 2024 totalled 68,900 sqm, an increase from 2023 of 40,956.

Here’s more from JLL:

Victoria’s year-on-year retail trade growth in December 2024 was recorded at 2.4%, in line with the national average.

Demand in Melbourne was subdued over the quarter with lower levels of leasing enquiries reported.

Outlook: Potential rate cuts are likely to drive transaction liquidity in 2025

Regional and sub-regional yields are expected to remain stable while neighbourhood yields are forecast to tighten over the next 12 months.

The cash rate futures market continues to forecast rate cuts by the RBA in H1 2025, potentially driving transaction liquidity in Victoria in the near-term and medium-term.