Sydney and Melbourne fringe suburbs are achieving some of the highest office rents in Australia, according to JLL's Future Cities report.
Top performing precincts have outperformed the wider market in terms of office sector rental growth over the past 7 years.
South Yarra and Cremorne located on Melbourne’s city fringe and Surry Hills on Sydney’s fringe are the “standout precincts”, the report says the fringe locations surpass the wider market by 2 to 4 per cent per annum in rental growth.
JLL senior research director Annabel McFarlane says features common to both precincts reflect “the ingredients for out-performance”.
“Office precincts that are likely to outperform will have the following: rail infrastructure and urban amenity,” she said.