A significant reshuffle of federal government offices is on the horizon for the national capital, with more than half a dozen major departments set to relocate their Canberra headquarters between 2026 and 2028. The moves come after years of planning, market searches, and, in some cases, stalled negotiations.
Infrastructure Secures Long-Awaited New Home
The Department of Infrastructure, Transport, Regional Development, Communications and the Arts has finalised a complex, two-stage move after a protracted search. The department will consolidate staff currently spread across four Canberra offices into two primary locations.
From mid-2026, approximately 843 staff will be based at 7 London Circuit under a $130 million lease. This office will operate with a hot-desking model, providing about seven desks for every ten workers.
The second and final phase will see more than 1200 staff move to the new-build One City Hill tower on Vernon Circuit by 2027. The department is planning a substantial $33 million fit-out for this space. This move will conclude a search that began with a market approach in 2022.
Tax Office and Defence Lock in Relocation Plans
The Australian Taxation Office (ATO) has confirmed its move from its Civic offices on Genge and Narellan streets is now scheduled for mid-2026. This marks a delay from the original 2025 timeline. The agency has committed to a 15-year, $323.4 million lease for a building in Barton developed by Doma.
Meanwhile, the Department of Defence has swiftly found a new consolidated home within the Canberra Airport precinct at 9 Molonglo Drive in the Brindabella Business Park. The move will bring together staff from four existing offices in the park that have been deemed "beyond end-of-life."
Fitting out the new, 19,000-square-metre building to Defence's strict security specifications is estimated to cost around $104 million. Work is expected to start in mid-2026, with completion by late 2027.
Electronic Commission Proceeds, While Other Searches Continue
In a separate move, the Australian Electoral Commission (AEC) has successfully secured its own future headquarters, signing a 15-year lease for 26 Narellan Street in Civic. The AEC plans a $36 million fit-out and aims to relocate its national office between late 2027 and early 2028, carefully timing the move around the next federal election window.
However, the journey remains uncertain for the Department of Employment and Workplace Relations (DEWR) and the Department of Education. Their planned joint move to a new London Circuit building was scrapped after negotiations between the developer and the National Capital Authority collapsed. The two departments, which share property services, continue their search for new accommodation together.
Additional Moves on the Horizon
Other major agencies are also on the move. The Department of Foreign Affairs and Trade (DFAT) is progressing with a $94 million development at a Barton site to bring staff closer to the planned National Security Office Precinct.
Services Australia has confirmed a consolidation plan for its Greenway offices. Nearly 1500 staff will be relocated from Reed Street offices before 2027 into the agency's Caroline Chisholm Centre and Louisa Lawson Building, with a proposed $144 million refurbishment of the Caroline Chisholm Centre to facilitate the move.
This series of large-scale relocations represents one of the most significant reorganisations of federal government office space in Canberra in recent years, with a total commitment running into the hundreds of millions of dollars for leases and fit-outs.
