Melbourne’s inner south office market is attracting more tenants as companies and firms continue to reassess their space requirements in the post-COVID world.
Australian Exhibition Group - whose events include Sexpo, Australian Tattoo Expo and Rites of Passage Tattoo Festival - has leased Suites A & B on Level 3 of 181 Chapel Street, South Yarra in a deal negotiated by Fitzroys Senior Manager - Agency Lewis Waddell
Both suites - of a combined 591sqm - were leased at $350 per sqm net on three-year leases on behalf of a local owner.
Australian Exhibition Group took on both offices with plans to use part of one office for a recording studio for a podcast. Waddell said the company is moving from the Richmond and Cremorne area to expand into more space as the exhibition and events industry starts to pick up again post-COVID.
“The Prahran and South Yarra office markets are maturing quickly and many businesses are looking beyond neighbouring Richmond and Cremorne, which have become very tight and overheated,” Waddell said.
“It made sense for Australian Exhibition Group to make the move in their search for a space of this size. Prahran and South Yarra also offer an excellent lifestyle and hospitality offering, which has become critical for businesses looking to attract and retain talent.
“More people are looking at inner suburban locations closer to their home to work, and locations that offer great options for coffee, lunch, dinner or drinks and shopping close to the office.”
The well-presented space is within a dominant character building standing at the corner of Chapel Street and High Street, and is surrounded by a number of renowned food and beverage operators including Lucky Coq, Grill’d, One Six One, Lord of the Fries, Hooked, Messina, Morris Jones and more.
According to Fitzroys’ latest Walk The Strip report, retail vacancies along both the Prahran and Chapel Street have come down to long-term lows, 11.5% and 10.7% respectively.
“Chapel Street’s heading into an exciting phase of renewal and there’s real anticipation for what’s ahead in the coming years,” Waddell said.