Public Sector Property Strategies within Australia

The changing economic drivers at the end of the 1990's led business and governments to focus on their property procurement strategies. Many governments globally adopted a market driven approach, subjecting non-core service delivery to competitive tendering and contracting with many services outsourced to the private sector. Australia readily adopted the new market approach and each State has to varying degrees implemented new strategies. The Commonwealth Government set about a major property review implementing a user pays market system followed by a comprehensive outsourcing of commercial property. This paper examines the property evaluation process and critically reviews the disposal processes adopted. It shows where lack of forward strategic planning led to a significant loss of value to the public purse. The paper concludes with a recommendation that public sector authorities establish a clear strategic approach rather than adopt a chop and change one led by management fashion.