South Australia's capital is undergoing a remarkable transformation, positioning itself as a rising star in Australia's economic landscape. With projections indicating that South Australia's economy will be 12.5% larger by 2030, the city is experiencing a perfect storm of economic growth, surging property markets, and an influx of skilled professionals, signalling a new era of prosperity and opportunity.

Speaking at a JLL property event held in Adelaide recently, JLL's Managing Director - South Australia & Northern Territory, Ben Parkinson, said: "What we're seeing in Adelaide is nothing short of transformative. The city's economy now has more diverse tailwinds, creating a unique value proposition for businesses, investors, and skilled professionals alike."

Presenting JLL’s research analysis at the event, Head of Research – Australasia, Andrew Ballantyne said: "It's important to time the commercial real estate investment cycle. An attractive entry price is a major determinant in generating outperformance, and Adelaide currently offers this opportunity. We're not just witnessing a momentary spike – this is the beginning of Adelaide's new chapter as a major player in Australia's economic future." 

This transformation in Adelaide is evident in the increase in skilled migration over the past year. Notably, on the domestic front, a higher number of 20–29-year-olds are choosing to remain in South Australia, providing a crucial multiplier effect for real estate demand. The influx of talent is being driven by robust growth in tech-enabled industries, including defence, space, education, and agtech. The defence tech sector alone is forecast to increase from 5,500 in 2024 to over 11,000 by 2040, according to Government of South Australia projections. 

Mr Ballantyne highlighted the market's strength: "Adelaide's commercial property market is showing robust performance across multiple sectors. We're seeing healthy competition from tenants for quality office assets, particularly in prime centralised locations. This demand, coupled with strategic development, is creating attractive opportunities for both occupiers and investors in this growing market." 

Investors are taking note of Adelaide's potential, with total property investment reaching AUD 1.5 billion in the past year, an increase of 45.7% from the previous year. 

Mr Parkinson concluded, “As Adelaide continues to attract top talent, foster innovation, and draw significant investment, its position as a rising star in the Australian property market and broader economy appears bright. 

“With its winning combination of career opportunities, affordability, and quality of life, Adelaide is not just keeping pace with its larger counterparts – it's charting a course to outperform them.”