Market Trends and What Businesses Need to Know Right Now

Commercial rents on St Georges Terrace climbed 1.8 percent in the June quarter, according to the latest Property Council of Australia figures released this week.

The increase comes as national home prices continue to ease, pushing more households to review spending on goods and services. Perth businesses that rely on foot traffic or office leasing must now factor higher occupancy costs into budgets that already face tighter consumer wallets.

Two blocks from the Terrace, operators inside the Piccadilly Arcade reported steady but selective sales last month. The City of Perth’s Small Business Support Program, which offers matching grants up to $5,000 for fit-outs, recorded 47 applications in May alone.

Retail and Office Demand Patterns

Hay Street Mall stores selling mid-range apparel saw average transaction values drop 6 percent year-on-year through June. Meanwhile, Subiaco’s Rokeby Road precinct posted a 3 percent rise in café and takeaway revenue, driven by workers returning to hybrid schedules at nearby mining head offices.

These contrasts point to a clear split: discretionary retail faces pressure while convenience and food services hold up. Firms tracking daily sales data through the Perth Business Chamber’s new dashboard can compare their figures against these precinct averages released each Monday.

Immediate Steps for Local Operators

Businesses should review lease expiry dates before the end of July, when several mid-tier buildings on William Street list new incentives. Checking the City of Perth’s updated rates schedule, due for release on 18 July, will show whether any relief applies to properties under 500 square metres.

Owners who lock in fixed-rate electricity contracts before 31 August can avoid the 4.2 cent per kilowatt-hour increase flagged by Synergy for commercial accounts starting in October. Those two calendar markers give owners a concrete window to act before the spring leasing cycle begins.