Upgrading entrance lobbies and end-of-trip facilities and offering sophisticated and updated building interiors can be a more affordable or practical solution than the creation of brand-new premises.
Rising construction costs and high interest rates are also curtailing development of new towers. With this new commercial office stock still years away from completion, building owners are rejuvenating existing spaces for their current tenants.
“Vacancy rates in the South-East Queensland office market have been below the national average for several years and it is difficult to see that changing given strong tenant demand and the lack of new supply due to the cost and complexity of delivering a new office building,” said Jess Caire Queensland Executive Director, PCA Queensland.1
Bringing workers back to the city
Many tenants are deliberating over decisions as they plan for their workforce to return to the office three to five days per week. This trend reflects a shift towards optimising workplaces for return-to-work mandates as per the findings of the The Knight Frank September 2024 report.2
“For many businesses, their people and the magic that happens when they work together, is their competitive advantage.”
– Dexus chief executive Ross Du Vernet.3
Upgrading entrance lobbies and end-of-trip facilities and offering sophisticated and updated building interiors are more affordable or practical than the creation of brand-new premises. As was the case with 480 Queen Street.
RCP recently oversaw the completion of the 480 Queen Street Brisbane revitalisation works for building owner Dexus. These included:
- Upgraded Lobby (Adelaide Street entrance) featuring a striking digital artwork and introduction of a barista bar in place of a full-service café providing more seating / workspace areas
- Redeveloping under utilised areas to provide facilities tenants are seeking e.g., wellness centre (available to all building tenants)
- Upgraded EOT facilities – with towel service, post exercise ‘cool room’, ample locker storage, plentiful bicycle and scooter racking.
Major Tenant Works
The project also saw a major upgrade for a major tenant. All levels (10 – 17) were refurbished including EOT facilities and enhanced plus lobby security upgrades including tenant only access gates to a specific bank of lifts. This complex upgrade also included a base building plant and services upgrade.
RCP’s Managing Director, Greg Atkinson “Property revitalisation is a key sub-sector of the commercial office sector that is experiencing a renaissance. Attracting workers back to the office has seen existing office space across the country being reinvigorated.
“Recent reports show a growing trend towards tenants choosing to re-sign where they are and not undertake the major capital works of a relocation. For example, tenants are seeking to offer a better workplace experience for staff while balancing cost pressures.”
Greg Atkinson, Managing Director
0412 089 315
gatkinson@rcp.net.au
Read more about 480 Queen Street here.
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