Hobart Commercial & Industrial Property News October 2025

Hobart’s commercial and industrial property market continues to evolve from a tight, supply-constrained environment into one that’s cautiously expanding — with regional growth strategies, limited new land releases, and infrastructure upgrades shaping opportunities. Though small in scale compared to other capitals, Hobart’s unique mix of local owner-occupiers, public infrastructure investment, and emerging warehousing needs is generating steady activity across industrial zones and regional commercial precincts.

What’s influencing the market in October

A number of key factors are shaping Hobart’s development and investment landscape this month:

• Industrial vacancy rates remain low, though new pockets of industrial-zoned land are slowly coming online

• Public and government projects continue to drive demand for light industrial units, contractor yards, and warehousing

• Local logistics growth — spurred by population increases and regional e-commerce activity — is underpinning warehouse demand

• Hobart CBD office vacancy is steady, with local businesses preferring small, flexible spaces over major commercial builds

• Regional townships around Greater Hobart are becoming more important for distributed industrial and retail activity

Bought / sold highlights

5 Bender Drive, Derwent Park – $2.1 million sale

A 1,200sqm warehouse with small office component was sold to a local service operator for owner-occupation.
Significance: Highlights demand from local trade and logistics businesses for quality industrial stock in Derwent Park.

Commercial land parcel, Cambridge – $3.4 million

An off-market transaction involving zoned land intended for future development into a multi-unit trade centre.
Significance: Demonstrates rising confidence in Cambridge as a commercial growth node near the airport corridor.

Key industrial and commercial areas seeing activity

Although Hobart’s market is less dense than other capitals, several key locations are performing strongly:

• Derwent Park / Moonah: Inner-ring industrial and service-based precincts with limited land availability and high owner-occupier demand

• Cambridge: Rapidly growing as a logistics and trade hub due to proximity to Hobart Airport and the Tasman Highway

• Glenorchy: Strong base of industrial activity, now seeing more infill commercial development

• Bridgewater / Brighton: Benefiting from recent infrastructure works and regional freight movements

• Hobart CBD fringe (North Hobart, South Hobart): Popular for small-format commercial, allied health, and creative uses

Development activity and infrastructure movements

While large-scale industrial estates are limited in Tasmania, there are pockets of growth supported by council planning and infrastructure investment:

• Brighton Transport Hub expansion: Continued investment in this multimodal freight precinct is enabling growth for logistics operators

• Cambridge Trade Centre proposals: Several developers are pursuing new light industrial / trade showroom centres

• Bridgewater Bridge replacement: A $786 million project to improve movement through the northern corridor, indirectly boosting regional commercial appeal

• Hobart Airport growth strategy: Supporting more freight and logistics growth in the surrounding area

Suburb spotlight: Cambridge

Cambridge remains the standout industrial/commercial growth precinct in Greater Hobart, combining location, logistics advantage, and available land.

• Located near Hobart Airport and directly off the Tasman Highway

• Attracting a mix of national tenants and local developers

• Zoned land parcels are in short supply, but premium in demand

• Ideal for service trade, logistics, small manufacturing and showrooms

• Visualisation and professional IMs are helping local agents attract broader investor interest

What this means for property owners and developers

• Developers: Focused, well-located commercial centres are outperforming — clarity of concept and visual planning are key

• Investors: Industrial assets in Cambridge and Derwent Park remain tightly held, with value uplift driven by scarcity

• Agents: Premium marketing tools like 3D renders and aerial montages are helping distinguish listings

• Landowners: Those in Cambridge or Brighton should explore visual feasibility to show development potential

• Councils: Supporting fast approvals for small-to-medium commercial formats can help stimulate growth

How Commercial Property Marketing can help

Tasmania’s tight market demands clarity, creativity and quality. We help developers, agents and owners showcase the true potential of their sites — especially in emerging zones like Cambridge and Derwent Park. From strategic visualisation to polished IMs, we help you take your project to market with confidence.