Melbourne’s central business district is experiencing a resurgence, with retail vacancy rates reaching post-COVID lows, however, Docklands is facing ongoing challenges.
The latest figures indicate a significant recovery in the CBD, contrasting with the slower revitalisation observed in other areas.
Retail vacancy rates in the CBD have decreased to 5.5 per cent, a considerable improvement from the almost 30 per cent recorded in 2021.
“Our streets are alive, the retail renaissance is underway and it’s a really exciting time for Melbourne,” Lord Mayor Nicholas Reece said.
This decline is attributed, in part, to the return of established businesses and the arrival of new ventures.
Cupcake Central, a dessert business that previously closed, is one of the companies that’s reopened in the CBD.
“This is the perfect spot for Cupcake Central to come back in the CBD – it’s time,” Thin Neu, from Cupcake Central, said.
“On our opening day, we had lines out the streets out there just welcoming us back.”
“You can feel the vibe where businesses are just booming again,” he added.
The arrival of global brands, such as Mecca, which is set to open a three-storey flagship store on Bourke Street, is also contributing to increased confidence among local business owners.
Docklands, however, presents a different picture, where commercial vacancy remains around 15 per cent.
“Docklands has been slower to come back than other parts of the city but the trajectory is really positive,” Reece said.
