The Industrial Land Shift

NATIONAL OVERVIEW

SYDNEY

MELBOURNE

BRISBANE

PERTH

ADELAIDE

CONTACT INFORMATION

THE INDUSTRIAL LAND SHIFT

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Capital Appetite For Industrial Land Remains Strong Despite Development Headwinds

Despite development feasibility challenges, demand for industrial land has remained strong in recent years. Approximately $9 billion of industrial land transactions above $10 million have been recorded nationally since the beginning of 2024. While data centres have been key contributors to this, several major institutional developers have diminished their industrial land banks, which has prompted several to be actively pursuing land. This has included established groups, such as Goodman, Dexus and ESR, alongside emerging groups such as LogiSPACE .

What Next? While demand for greenfield land is expected to remain strong as developers seek scalable development opportunities, interest in infill brownfield sites is expected to increase, particularly for assets offering holding income that allows investors to navigate

Investors are increasingly paying a premium for development activated with minimal planning or delivery risk. Similar to the data

-ready land that can be

current development challenges while positioning for redevelopment as market fundamentals improve.

centre sector, industrial

land values are increasingly being driven by deliverability rather than location alone. Sites capable of supporting development within two years are attracting significant competition, creating a two -tier market and the widest pricing differential on record between near

-term

development opportunities and longer

-dated pipeline sites.

Australian Industrial Land Transactions (>$10 million)

Australian Industrial Land Values by Submarket, 2026 ($/sqm)

$2.0 $2.5 $3.0 $3.5 $4.0 $4.5 $5.0

$2,000 $2,500 $3,000 $3,500

$500 $1,000 $1,500

$0

$1.0 $1.5

$0.0 $0.5

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026

Sydney

Melbourne

Brisbane

Adelaide

Perth

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