04/11/2026
Industrial leasing is making a comeback as businesses rethink where they commit their capital.
With economic uncertainty, rising operating costs and pressure on business confidence, more SMEs are prioritising flexibility over property ownership.
Bawdens recently analysed 229 industrial property transactions completed during FY2025/26, revealing a notable shift in buyer and tenant behaviour.
During 2023–24, almost 4 in every 10 transactions represented a purchase. Today, that figure has fallen to approximately 2–3 in every 10, with more businesses choosing to lease.
So, what's driving the shift?
For many businesses, leasing offers the opportunity to preserve capital, manage financial risk and maintain the flexibility to relocate, expand or adapt as market conditions change. Depending on lease terms, assigning or subleasing premises can provide further options as business requirements evolve.
For industrial property owners, this changing behaviour is equally important. Understanding what today's occupiers value can help inform rental expectations, lease structures, tenant attraction and long-term asset performance.
The market hasn't stopped moving. Businesses are simply becoming more strategic about how they move.
Whether you're looking to lease your industrial property or secure premises for your next stage of growth, speak with Bawdens about what we're seeing across Sydney's industrial market.
Source: Bawdens Industrial Property News | FY2025/26 transaction analysis.
