Adelaide CBD office vacancy rates rose by half a per cent to 15.5 per cent over the last six months of 2025 – but these figures are an under count and conservative.
The true figure is closer to 20 per cent.
“A-Grade and well-located buildings continue to attract tenants, and this will continue … as employers look for quality and amenity,” a SA Property Council spokesperson said.
Not with rising inflation and interest rates and a moribund state economy.
Wander around Adelaide’s shopping strips and you’ll find many empty stores and derelict shopfronts. The zombies have come to stay.
In November 2025, MYOB’s Bi-Annual Business Monitor study of 1087 small-to-medium enterprises (SMEs) showed 80 per cent of those surveyed said revenue had decreased or remained stagnant.
As for 2026, 31 per cent believe the economy will remain the same and 42 per cent reported it would decline.
SMEs reported most of the pressures were in costs of utilities, fuel prices, remaining competitive, cash flow and acquiring new customers.
Adelaide faces a complex economic situation characterised by high cost-of-living pressures, with 45 per cent of residents reporting financial hardship.
While experiencing a post-pandemic housing surge and moderate growth, the economy is plagued by low productivity and high poverty rates in specific areas.
South Australia faces some of the nation’s highest electricity prices, leading to “summer energy poverty” where households must choose between cooling and food.
There is a persistent trend over the last 50 years of young professionals moving to the eastern states for jobs and higher wages, which are 23% lower on average in SA.
The claim that Adelaide’s CBD is the third most-vacant in the country, behind Perth (16.9 per cent) and Melbourne (19 per cent), is nothing to brag about.
Adelaide CBD is in massive decline with Rundle Mall a ghost town.
Adelaide’s commercial rental market relies almost solely on government tenancies.
“Demand for smaller, speculative fitted suites continues to dominate, driven largely by small to medium enterprises seeking high-quality accommodation without the risk, delays or cost uncertainty associated with bespoke fit outs,” Hartley said.
Which means short term leases so they can get out quickly.
Businesses are still navigating the implications of flexible working, particularly how hybrid arrangements influence future space requirements.
The Adelaide CBD has turned into a film set from the end of the world.