The Gold Coast’s commercial real estate market has seen no signs of slowing down with 67 per cent of commercial properties selling under auction conditions at Ray White Surfers Paradise’s July auction event.
Vacant industrial properties were having their time in the sun, with 23/8 Distribution Court, Arundel, selling under the hammer for $575,000, and 16/8 Hopper Avenue, Ormeau, selling under the hammer for $646,000. Both properties sold for well above the sellers’ expectations.
Another property at 6/27 Motorway Circuit, Ormeau, was snapped up prior to auction.
Ray White Commercial Gold Coast agent Jackson Rameau said 23/3 Distribution Court attracted a lot of attention from owner-occupiers, with eight bidders competing for the property hoping to secure a near new property rather than waiting for development stock to come on the market.
“The vacant industrial market on the Gold Coast continues to go strong in the sub-$1.5 million range,” Mr Rameau said.
“At the auctions today we saw more than five bidders per auction on the vacant industrial properties, and saw all vacant industrial properties sell as part of our monthly auction.
“There was competitive bidding and all properties sold well above reserve, with demand for vacant property at a high because it’s currently so difficult and expensive to lease properties.”
Ray White Commercial Gold Coast team leader Luke Boulden sold an office suit at 11/39-47 Lawrence Drive, Nerang, prior to auction which he said demonstrated the demand for Gold Coast assets.
“The market is remaining stable if not continuing to increase, obviously still influenced by low interest rates. The buyers are a lot more astute in their own right and there’s still a lot of affordable aquistiations out there too,” Mr Boulden said.
“If you look at the Gold Coast office market over the past 12 months, we’ve been one of the best performing office markets in the nation as we saw those Sydney and Melbourne markets start to retract, we’ve still been bolstered.
“The same can be said for the other markets as well. South east Queensland, and especially the Gold Coast, has seen a massive increase in the strength of the industry. We’ve seen all the sectors grow and I think that will continue to be a trend as the years go on.
Mr Boulden said the 2032 Brisbane Olympics, the change in government, and major infrastructure investment in south east Queensland had been major drivers to the commercial real estate market.
“We will certainly see uplift off those things,” he said.
“Throughout the whole Covid pandemic, the flavour of the month has been relocation and lifestyle and we’ve seen those massive migrations here to the Gold Coast.
“With that brings a higher skill set of people wanting to relocate their business and families and invest in the coast.
“We have seen a surge in local investment on the back end of that, and interstate investment as a follow on from that, and it’s a driver of the prices, while still being affordable compared to those other states and cities.”
Article source: www.raywhitecommercial.com