A day in the life of two Melbourne leasing agents

Has your day changed much with commercial property becoming the talk of the town?
The CBD Melbourne vacancy rate has plummeted to 3.65 per cent, the lowest vacancy rate since Q3 1989. With the 20th consecutive quarter of positive net absorption, the Melbourne leasing market is moving very quickly, and conditions are the best they’ve been in my short time – three years – as a leasing agent.

Are you substantially busier?
In such a fast-moving market like Melbourne, I need to be three steps ahead of the competition. Since I started in commercial leasing there are substantially more tenants actively looking in the market at any point in time. The stock and size range I work with has increased and therefore impacted the structure of my day. In 2016, for instance, I made 48 deals, in 2017 66, and last year, 88.

Is the job harder?
Not harder, just faster. I’m surrounded by a great team at JLL and we work together as a collective to add value and deliver results for our clients.

Has the relationship with clients changed?
Due to strong ongoing demand we have seen the market swing from a tenant-favourable market to a landlords’ market. Throughout this shift my role has naturally evolved as most space available in the CBD is gaining traction with multiple tenants.

Have your clients changed over the years?
Not really; my job is to provide my clients with an edge and add value.

What have been the favourite projects you’ve worked on?
A stand-out would have to be JLL’s involvement with Melbourne Central Tower at 360 Elizabeth Street. Our strategy delivered results for The GPT Group committing all of the 17 tenants to their best-in-market spec suites. The product was exceptional. I have recently been appointed to 130 Lonsdale Street and 555 Collins Street with Charter Hall, which are also both very exciting projects. Charter Hall is set to reshape two major corners of our CBD with these place-making projects.

What’s been the most challenging task you’ve faced?
The fast-paced nature of the job is always a challenge – juggling and managing several parties’ needs. Deals come together quickly or fall away suddenly … it’s exhilarating and very much suits my personality.

Jay Pavey, Director, Commercial Sales and Leasing, Lemon Baxter, Melbourne

How do you spend your day?
I’m in the office at 6.30am for any planning work, emails and property submissions; I like the quiet. I have a quick workout around 8am or 9am. Then typically from 9am to midday it’s owner-update meetings, conference calls, catch-up coffees, canvassing, follow-up calls and tenant inspections. Lunch will then be with a client or a team member, rarely alone these days, and the afternoon is mostly filled with inspections and negotiations.

Has your day changed much with office leasing becoming such a big deal?
We concentrate a larger portion of our time on new office developments, and the work before coming to market is very intense so a lot more time is spent in collaborative meetings with architects, creative agencies and developers to assist partners to get the product right. Previously, all our stock was physical so a quick inspection was all that was needed.

Are you substantially busier?
Yes, every break in the day consists of calls/texts/reading and emails. Tenants or customers look at real estate the same as any service – they want information instantly!

Is the job harder?
In a commission role, I don’t think it can get harder. At the end of every fee cycle, you start on zero and that never changes.

Has the relationship with clients changed?
I think there is less socialising with clients, long lunches are rare and clients are far more focused on getting something out of a meeting.

Have your clients changed over the years?
As a non-international agency we have picked up more high net-worth and syndicate clients, fewer institutional. We can provide a more tailored and multi-layered approach to real estate consultancy. I don’t just advise on office leasing and sale deals but on how the transaction will affect future positioning of an asset. Also, clients want only pertinent information in a sharp context.

What have been the favourite projects you’ve worked on?
499 St Kilda Road was special. Lemon Baxter managed the 20,000-square-metre building for decades, we then engineered break clauses in over 80 leases that provided for a great sale result in a tough market. As well, some market-leading results will be coming out of new office projects with Hickory at Market Lane, 68 Clarke Street, South Melbourne, and Pace’s 51 Langridge Street, Collingwood.