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Introduction This week in Queensland, the commercial property market has seen notable activity across various sectors, including retail, office, industrial, social infrastructure, and development. From the sale of prominent assets in regional centres to significant leasing agreements and ambitious development projects, the landscape reflects strong investor interest and continued growth opport...

Happy New Year! Welcome to the first McGees Wrap Up of 2025   This Week’s Commercial Transactions in Queensland  Queensland's commercial property market saw notable activity this week across development, retail, and office sectors, reflecting continued investor confidence in high-visibility locations, redevelopment opportunities, and versatile office spaces. Here is a b...

H1 2025 Forecast With so many marco and mirco factors influencing the market, many investors are unsure what 2025 will hold. Despite this uncertainty, the Brisbane market will continue to grow through strong economic tailwinds driven by population growth, housing demand, infrastructure roll out, consumer spending and overall positive sentiment. There will be a lot to unpack at the end...

Summary of This Week’s Commercial Transactions in Queensland  This week witnessed significant activity across various commercial property sectors in Queensland, highlighting strong investor interest in retail, industrial, office, hospitality, and development assets. Here are the key transactions:    Retail  Kedron, QLD  Address: 19...

Australia's industrial and logistics sector is experiencing a significant surge in demand, leading to concerns about the adequacy of land supply to meet future needs. Recent analyses indicate that the country may face a shortfall in industrial land within the next five years, with Queensland being a focal point of this issue. Land Supply Challenges In Brisbane, the third-largest industr...

Table of Contents:[hide] What Are Outgoings and Operating Expenses? Net Lease Key Features: Gross Lease Key Features: Benefits: For Tenants: For Landlords: Drawbacks: Semi-Gross Lease Key Features: Challenges: Comparing Gross, Net, and Semi-Gross Leases Which Lease Type is Best? ...

No Rate Cut for Christmas The Reserve Bank of Australia (RBA) has maintained the cash rate at 4.35% for the ninth consecutive meeting, aligning with market expectations. However, a subtle shift in the RBA's language has led to increased speculation about a potential rate cut in early 2025 (The Australian) In its December statement, the RBA expressed "some confidence" that inflation is return...

A commercial lease agreement is a written and legally binding contract between a landlord and a tenant that outlines the terms and conditions of a commercial tenancy. It is a crucial document that protects the interests of both parties and ensures a smooth and successful business relationship. This article will provide an overview of commercial lease agreements, their key elements, and the impo...

Summary of This Week’s Commercial Transactions in Queensland  This week’s commercial property market in Queensland displayed significant activity across retail, industrial, office, and hospitality sectors. Investors continue capitalising on strategic locations, stable lease agreements, and redevelopment opportunities. Notable sales include a historic Sandgate property tr...

  This week, Queensland’s commercial property market showcased various transactions across office, industrial, and retail sectors. Office Brisbane, QLDAddress: 1/191 George StreetDetails: 111 Architectural Studio leased a 114 sqm office space on a two-year term for $37,500 per year net plus GST. Brisbane, QLDAddress: 145 Ann StreetDetails: Aware Super acquired this 27-level A-g...

The Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) has recently made headlines with large-scale industrial actions across Australia, including significant strikes in Brisbane, Sydney, Melbourne, Adelaide, and Perth. These actions stem from the federal government’s intervention in the union’s construction division and broader issues within the construction sector. ...

This week’s commercial property activity in Queensland showcases robust developments and significant transactions across multiple sectors, including hospitality, office, and industrial spaces. These events highlight Queensland's appeal to investors and developers alike, from the acquisition of a significant holiday park in Avoca to the announcement of an innovative carbon-neutral office...

This week’s commercial property transactions in Queensland reveal a healthy appetite across various sectors, with notable activity in Retail, Office, and Industrial spaces. Investors are showing keen interest in established office locations close to Brisbane's CBD, while suburban and regional properties continue to attract tenants due to affordability and accessibility.  Indus...

  The phrase "Survive to '25" has gained attention, particularly in European and US commercial real estate discussions but it resonates with the current challenges facing Brisbane’s CBD retail market. As of June 2024, the city’s retail vacancy rate sits at 19.2%—the second highest in Australia, following Perth at 25.0%, (CBRE Research, August 2024). In Brisbane, retail ...

This week’s Queensland commercial property transactions reveal strong investor interest across office and industrial sectors. High-value acquisitions in the CBD and suburban areas show continued demand for well-leased, income-generating assets, particularly those with established tenants. Strategic sites in Brisbane’s western corridor saw impressive gains in the industrial market, r...

This week’s commercial property transactions in Queensland showcase substantial investments across the industrial, office, and hospitality sectors. Buyers target well-located assets that promise strong returns and redevelopment potential. Below is a detailed account of the week’s notable deals, reflecting diverse investor interest across key locations. Industrial Hemmant, QLDAdd...

Australia has long been one of the top destinations for international students, drawn by its high-quality education system, multicultural environment, and attractive lifestyle. However, the relationship between universities, international students, and the housing sector has become increasingly strained.   International students represent a critical source of revenue for Australian unive...

According to the Australian Taxation Office, every year you need to value your Self-Managed Superannuation Fund (SMSF) assets and provide supporting evidence to your auditor. A key responsibility SMSF trustees have every income year is valuing your fund's assets at 'market value'. You should use a qualified independent valuer if: the value of a fund asset represents a significant ...

This Week's Queensland Commercial Property Market Overview: This week, Queensland’s commercial property market has seen notable activity across multiple sectors, including office, industrial, and rural properties. The demand for strategic real estate remains strong from the largest new barristers' chambers in over a decade in Brisbane’s CBD to significant industrial sales and lease...

This week’s Queensland commercial property market saw significant activity across multiple sectors, including office, industrial, retail, and rural properties. Notable transactions include Sentinel Property Group’s $72 million acquisition of RACQ House, record-setting industrial sales in Brisbane’s southern corridor, and strong rural property demand from local graziers. Retai...

Overview of the Brisbane Fringe MarketThe Brisbane Fringe commercial market is undergoing a significant transformation, driven by rising institutional demand for Build to Rent (BTR) developments. This shift reflects changing investment strategies and a strong interest in the rental sector. Key BTR ProjectsProminent sites like 458 Wickham Street and 50 Constance Street in Fortitude Valley, orig...

This week’s commercial property market in Queensland saw a diverse range of transactions across development, industrial, office, retail, and rural sectors. Significant leases, government acquisitions, and high-profile rural property sales highlighted the ongoing demand for strategically located assets. With major deals in both urban centres and rural regions, Queensland continues to offer...

The Economy Brisbane’s momentum is building, and the majority of the city’s industries and services are growing. Brisbane is the fastest growing major Australian capital city over the past 10 years with a further 34% growth expected over the lead up to the 2032 Olympic Games. Stable governance and ease of doing business turn growth opportunities into reality, exemplified by Brisban...

This week’s commercial property market in Queensland remained active, with notable transactions across the industrial, office, and retail sectors. Leasing activity surged, reflecting strong demand for functional spaces in key locations, while major sales in aviation and retail properties underscored continued investment in the state’s infrastructure. The latest deals highlight inves...

McGees Property Brisbane is proud to announce the successful lease of 36F Vernon Terrace, nestled in Teneriffe’s vibrant dining and entertainment precinct. After the previous tenant was locked out, the landlord turned to McGees Property to secure a quick and effective result. Acting swiftly, our leasing agent Liam had the premises cleaned in no time and brought the space to mark...

In 2024, real estate valuations play an increasingly crucial role in financial reporting, particularly for compliance with key accounting standards. For many businesses, understanding the nuances of real estate valuation ensures their financial statements are accurate and compliant. One of the core principles guiding these valuations is International Financial Reporting Standards (IFRS) 13, Fai...

This week’s commercial property market in Queensland saw significant activity across the industrial, office, and retail sectors. High demand for well-located assets, particularly in growth areas like Brisbane’s TradeCoast and suburban retail hubs, continues to drive strong investor interest. From multi-million dollar sales of industrial sites to a record-setting retail auction, thes...

This week’s commercial property market in Queensland saw a diverse range of transactions, spanning office leases, major industrial investments, historic hotel sales, and development site acquisitions. From significant investments in logistics properties to the unveiling of a new Olympic-standard sports centre, these deals highlight ongoing growth and confidence across various sectors.&n...

The Northern Fringe of Brisbane, including key suburbs like Bowen Hills and Fortitude Valley, continues solidifying its position as one of the most sought-after commercial investment areas. Known as the Urban Renewal Precinct, this region benefits from Brisbane’s strong population growth and robust economic performance, making it a hub for investors and businesses alike. Population Growt...

Industrial:  Murarrie, QLD  Seller: New Britain Catholic Investment  Transaction Details: Sale of three industrial properties for nearly $14.4 million  1-5/22 Alexandra Place & 4/9 Archimedes Place: Six units sold for just under $8 million to five investors and one owner-occupier.  Commentary: The sale of thes...

The Queensland commercial property market continues to demonstrate resilience and growth, with a diverse range of transactions across retail, industrial, and development sectors. Recent lease agreements, property acquisitions, and government-approved developments signal strong demand for well-located assets in both suburban and regional areas. From bustling retail spaces in Taringa to industria...

The industrial property market in Brisbane’s southside is undergoing significant shifts driven by high debt costs and limited land supply. Developers face challenges with speculative developments as financing costs rise and market sentiment changes. This has led to a slowdown in the acquisition of vacant land, further tightening the already scarce supply of developable industrial land. W...

Retail  Brisbane CBD, QLD  Property Address: 152 Queen Street  Property Type: Three-Level Retail Building  Sale Price: $14 million  Lessee: The Body Shop Australia  Property Size: Over 660 square metres of net lettable area  Frontage: 7 metres  Yield: 3.36 perc...

The scope and application of the Retail Shop Leases Act 1994 (Qld) in depth

Source Courier Mail 16.08.2024 Price Attack, a leading hair-care chain, has left its warehouse past behind and upgraded to a prime location in Brisbane’s trendy inner city. The company has secured a five-year lease on a modern, spacious office in Bowen Hills at the corner of Abbotsford and Cintra roads. This move, facilitated by McGees Property’s Guy Stafford and Quartz Commercial,...

The Queensland property market continues to showcase a diverse range of investment opportunities across retail, office, and industrial sectors. Recent transactions highlight the robust demand and investor confidence in various regions, from Brisbane's bustling suburbs to the strategic locations of the Sunshine Coast and Moreton Bay.  Retail  Clontarf, QLD  ...

  Sector Location Transaction Details Retail Clontarf, QLD A retail investment, 80 Hornibrook Esplanade, Clontarf, a 178 sqm of ground floor space in a 69-unit apartment building, was sold for $1.28 million within 40 hours. The sale price represented a 6.9% yield. Retail Kedron, QLD 1/201 Stafford Road, Kedron.A 102 sqm shop was leased to Banh Mi Factory for 5 ye...

Table of Contents:[hide] 1. Understanding ROI in Commercial Properties 2. The Benefits of Hiring an Experienced Commercial Property Manager 3. The Importance of a Proper Lease Structure Gross Lease (Fully Gross Lease) Net Lease Understanding Net Lettable Area (NLA) Importance of NLA 4. Understanding the Variable Outgoing Washup 5. A...

If you're considering investing in commercial property, Brisbane stands out compared to other Australian capital cities like Sydney and Melbourne. McGees Brisbane is committed to this vibrant city, but there are compelling reasons why Brisbane is an excellent choice for property investment. Market Overview Brisbane: As of 2024, Brisbane's commercial property market is experiencing robust grow...

  Image by Edar from Pixabay If you’re looking at investing in commercial property in Brisbane but you’re not sure which option is best for you, we wanted to share some knowledge that can help you make the right choice. Here’s a look at the pros and cons of each property type. Office Property The benefits of investing in office property include: Pos...

Image via. Pixabay As Brisbane's economy continues to grow and evolve, the city is experiencing a notable surge in demand for office space. According to recent reports, over the next decade, it is projected that Brisbane will need to add approximately 2 million m2 of floorspace to accommodate this demand. And it’s worth noting that this demand could increase even more the closer we ...

Image by coorparoomassage from Pixabay The recent sale of 240 Queen Street in Brisbane’s CBD, for well under the expected price, has sent a wave of uncertainty across the market. There’s no doubt that over the past few years, the commercial real estate market has undergone a major transformation. Work-from-home (WFH) trends continue to reshape the office dynamics, a...

As one of Australia’s largest industries, the Property sector is well-positioned to use its influence to address social issues and drive sustainable outcomes. Environmental, Social, Governance (ESG) is a major consideration for landlords and occupiers, bringing to light issues like climate change and resource scarcity. While these are important environmental factors, ESG covers a much br...

A recent assessment of a light industrial unit in Brisbane’s Northern Precinct has highlighted the growing popularity of these assets. Not just useful for a tradie shed or a big toy locker, these compact units are increasingly being utilised for warehousing/distribution by smaller online retailers, flexible exercise space by specialist gyms and office space by marketing/recruitment agenc...

A unique mixed-use property with breathtaking views over Moreton Bay has finally found its new owner, and I am thrilled to have facilitated the sale. The long-standing anchor tenant, a beloved local fish and chip shop, was recently taken over, which played a key role in securing a successful outcome for this property. The two-storey corner property at 139 Margate Parade, Margate Beach, Redcl...

In a notable shift within Brisbane's premier entertainment precinct, a Hungry Jack’s outlet has taken over a prime retail location in Brunswick Mall, previously occupied by its chief competitor. The fast food chain has secured a 13-year lease on a strata-titled retail space on the ground floor of the historic McWhirters building in Fortitude Valley. According to CoreLogic, this space bec...

Federal Budget 2024-25: $6.2 Billion Boost for Housing Click here for the full detail of the Budget Also, in the latest budget, the federal government pledged a $6.2 billion investment in housing to help Australians struggling with finding homes. With record-low vacancy rates and an ambitious target of building 1.2 million new homes, this initiative is designed to make housing more affordable...

Image by Andy Leung from Pixabay Federal Budget 2024-25: $16.5 Billion Infrastructure Boost The federal government has announced a $16.5 billion investment in infrastructure over the next decade in this year's budget. This funding is aimed at enhancing Australia's transport networks, boosting connectivity, and supporting the country's growing housing needs. Here's how this coul...

Image by coorparoomassage from Pixabay As we head into the second half of 2024, Brisbane's commercial property market is showing impressive growth. This surge is fuelled by a booming population and smart investments. Queensland's rapid population increase has made Brisbane a hot spot for major property investors, diverting attention from other states. According to the Australia...

Properties Sold At Portfolio Auction According to recent reports, a number of properties were recently sold at auction. In Caboolture, a property leased to EG Group and Oporto sold for $7.985 million, while a Carl’s Jr in the same area fetched $5.105 million. Meanwhile, in Dutton Park, the Chatterbox Early Learning Centre at 23 Tillot St sold for $5.38 million, achieving a notable yield ...

Table of Contents:[hide] Green Architecture and Sustainability Smart Office Solutions Health and Well-being Focus Flexible and Collaborative Spaces Enhanced Connectivity and Accessibility Image by MagicDesk from Pixabay We expect the office property market to experience a significant transformation in 2024 and 2025 (and beyond), driven by new in...

Image by Michal Jarmoluk from Pixabay We believe retail property market innovations are set to redefine shopping centres and retail spaces, including enhancing the aesthetic appeal of these spaces and changing the shopping experience. Here are some of the innovations we’re expecting (and starting to see): Experiential Retail Environments One of the most significant trend...

Image by Buffik from Pixabay Innovation is changing the logistics landscape, enhancing operations and at the same time, adapting to changing technology, economic environments and environmental concerns. Here are some of the things we’re hearing about and seeing in regards to the future of industrial property: Automation and Robotics The integration of automation and robo...

According to the Australian Taxation Office, every year you need to value your Self-Managed Superannuation Fund (SMSF) assets and provide supporting evidence to your auditor. A key responsibility SMSF trustees have every income year is valuing your fund's assets at 'market value'. You should use a qualified independent valuer if: the value of a fund asset represents a significant proportio...

In a recent assessment of industrial land, local real estate operatives indicated there are ample options for hardstand rental in Pinkenba with land areas ranging between 4,000m² and 2Ha. Furthermore, market conditions for sales of vacant land is starting to show signs of slowing.  Typically, agents have indicated that high construction costs together with high land selling prices ar...

A roof over their head is a basic right that Brisbane residents are struggling to find. With significant population growth of 3.1% over the past year, boosted by interstate and overseas migration, Brisbane property prices increased by 14.8% year-on-year to January 2024 (ABS, 2024). With a median price tag of $899,474 purchasing a home seems much more achievable for residents from the southern ...

Image by Marcin from Pixabay The Australian industrial property market has experienced an unprecedented surge, propelled by soaring warehouse rents and a flurry of mega developments, driving its value to nearly $300 billion, according to recent research. Brisbane, in particular, has seen a significant transformation in the industrial landscape, fuelled by the e-commerce boom, w...

Image by Siggy Nowak from Pixabay Brisbane's office landscape is transforming as a new generation of workers, primarily Millennials and Gen Z, drive demand for innovative, eco-friendly workplaces prioritising health and wellbeing. According to recent research, this generational change is reshaping tenant priorities, focusing on reaching net-zero targets and fostering sustainab...

Image by sandid from Pixabay As 2024 unfolds, Brisbane is set to embrace a transformative wave of development projects that promise to reshape its skyline and infuse the city with new energy and opportunities. In this article, we take a closer look at the top developments. 1. Queen’s Wharf The Queen's Wharf development on the River in the CBD is at the forefront of Bri...

Office Transactions: Heritage-Listed Building in Brisbane CBD Location: 47 Edward Street, Brisbane, QLD Property Type: Five-storey Victorian warehouse Building Area: 772 sqm Purchase Price: $5.5 million Buyer: Horton Media Australia Key Features: Character-filled heritage-listed building with views over the Brisbane River and Botanic Gardens. 8.5m frontage to both Edward Street...

A vacant office tower in Brisbane, once valued at nearly $160 million and owned by a Saudi-backed fund, is now attracting offers at nearly half its original value after languishing on the market for over 18 months. The tower, located at 41 George Street in Brisbane's government district, was acquired by the Basil Property Trust for $159 million in 2016. However, despite investing in upgrades to...

Image by Siggy Nowak from Pixabay According to data from the Property Council, Brisbane's CBD vacancy rate increased from 11.6% to 11.7% in the six months leading up to January 2024. Prime segment vacancies, including Premium and A-grade spaces, stood at 10 per cent and are anticipated to drop to 8% by year-end. However, heightened construction costs have dampened the feasibilit...

Summary of the difference between a Bank Guarantee and a Cash Bond?

Image by taso60 from Pixabay Commercial property in Queensland is experiencing significant shifts, with CBD office rents poised to surge alongside Australia Post's substantial investment of $50 million in a cutting-edge airport parcel facility. The demand for prime office space in CBD towers is intensifying, driving rental rates to new heights, with premium building rents hittin...

The Brisbane CBD retail vacancy rate is currently around 19%, with greater vacancy in fringe locations away from core pedestrian thoroughfares.  Local real estate agents are indicating when tenants want to lease premises, they desire prime locations with high pedestrian foot traffic passing.  While the number of people in the CBD continues to slowly increase, stagnating gross effectiv...

Westbridge, a Western Australia-based fund manager, has successfully acquired the Redbank Plains Retail Centre in Ipswich from Charter Hall Long WALE REIT (CLW) for $23 million. This acquisition marks the eighth and final asset for Westbridge’s Diversified Fund No. 4. The sale was facilitated by Michael Hedger and Joe Tynan from CBRE and is part of CLW’s portfolio strategy, which a...

Australia Post has unveiled plans to construct a cutting-edge parcel delivery facility at the Brisbane Airport Industrial Park, with an investment exceeding $50 million. Expected to open its doors in early 2026, the StarTrack premium facility aims to revolutionise parcel processing in Queensland, boasting state-of-the-art sorting technology capable of handling up to 176,000 parcels daily. The 3...

Image via. Pixabay According to recent reports, the Brisbane property market is expected to continue its upward trajectory in 2024. The housing market, in particular, has experienced a staggering 52% price growth since the onset of the COVID-19 pandemic, reaching a new peak. Despite the impressive growth, property sellers are cautious in 2024, with new listings in Brisbane 17.8% lower th...

Image by Philip Saldais from Pixabay As we get into 2024, the commercial investment market shows signs of rejuvenation, and Brisbane is leading the charge. Brisbane's office market has outshone other Australian cities, boasting one of the lowest CBD vacancy rates in the country. According to recent data from the Property Council of Australia, the vacancy rate in Brisbane's CBD ...

In the last half of 2023, Brisbane’s Central Business District (CBD) saw a slight tightening in its retail vacancy rate, dropping from 19.5% in the first half of the year to 18.7%. Despite this improvement, it remained one of the highest among Australia's major cities. Yet, this high vacancy rate might be seen as an opportunity rather than a challenge for businesses looking for retai...

I am pleased to share the successful sale of a rare freestanding property located on a busy road in Brisbane’s northern suburbs. The property at 458 Enoggera Road, Alderley, was sold for $2.25 million to a private investor after auction. The buyer was drawn to the property’s strong passive income potential and long-term development opportunities. The single-level building is curren...

Image by Ronald Carreño from Pixabay Brisbane’s office landscape has shown a remarkable turnaround and is expected to face a scarcity of prime-grade office spaces in 2024. The trend, a distinct "flight to quality," reflects the national market's inclination towards high-grade accommodations. According to recent news reports, the exceptional performance of Brisbane&...

Image by Malachi Witt from Pixabay The commercial office sector in Brisbane is navigating a period of uncertainty as 2024 unfolds, with the primary concern shifting towards decreasing sales volumes. This decline appears to be driven by macroeconomic factors, especially vendor and purchaser price expectations. Brisbane's CBD is also witnessing decreased vacancy rates due to incre...

Image by Borko Manigoda from Pixabay   According to development experts, the commercial property development market in Brisbane is up against a significant challenge: an insufficient number of builders to keep pace with the region's rapid growth and infrastructure demands as it heads into the next decade. Considering recent reports, there's concern over whether the curren...

Since inflation began to rise in late 2020, and peaking at 7.8% in December 2022, the Reserve Bank of Australia (RBA) continues to keenly observe how rising inflation is impacting the costs of everyday goods and services, both domestically and abroad. Seeking to bring inflation to within its target range between 2 -3 percent by adjusting the cash rate. Recent Monthly Inflation data (which only...

In a competitive market where quality commercial properties are highly sought after, a rare freestanding property located at 458 Enoggera Road, Alderley, Brisbane, was brought to market as part of a deceased estate portfolio. The property, previously occupied by Taubmans Professional Trade Centre and extensively refurbished by Exercise Health Australia, attracted significant attention due to it...

McGees Property Brisbane are thrilled to share with you the successful off-market sale of a prime commercial property, located just 9 kms from Brisbane’s CBD. This transaction not only highlights the vibrant nature of the local market but also reflects our commitment to delivering exceptional outcomes for our clients. The property features a substantial land size of 410m² and a buil...

Image via Pixabay As 2024 begins, the changing financial markets we faced in 2023 are still with us, especially as interest rates are likely to remain higher for longer. This situation is proving tricky for investors and developers who are feeling the pinch of mortgage stress. The pressure isn't just about interest rates either. Since the pandemic, costs for construction, maintenance, la...

Image via Pixabay Looking to invest in commercial property in Brisbane in 2024? It's a great time for investors like you to take advantage of some exciting opportunities. Plus, with the 2032 Olympic Games on the horizon, things are looking even brighter. Keep your eyes on suburbs close to the city centre like Fortitude Valley, Milton, and Woolloongabba. These locations are not just close...

Image by DroneImagineNation via. Pixabay Just like Brisbane, the Gold Coast has seen a few key factors pushing property prices to new highs in 2023: ·         Population Growth: The Gold Coast keeps attracting more residents, especially people moving from other states and retirees. ·         Af...

The best way to sum up 2023 is "RE”, and I don't mean Real Estate. Across the board, we saw investors and developers REvaluing, REassessing opportunities, REassuring investors, REsilience of strategy, REtargeting assets and REdirecting capital. 2023 saw a noticeable shift in Brisbane's commercial real estate market, significantly reducing transaction volumes. The shift mainly triggered b...

Brisbane's Struggle and Signs of Renewed Interest According to the AFR, Brisbane’s Logan Hyperdome mall, listed at $700 million, failed to secure a buyer, highlighting the disconnect between seller and buyer expectations. This led to a reset in local shopping centre values, causing some assets to be withdrawn due to pricing ambiguity. However, glimmers of activity from other big players ...

The commercial property market in 2024 looks promising, with a period of transformation and opportunity across Brisbane, Gold Coast, and Sunshine Coast. Here are the top predictions set to shape these regions' commercial office landscapes in the coming year. Brisbane: Navigating Uncertainty Towards Stability Brisbane's commercial property market has weathered a turbulent period, facing inflat...

The industrial property market in SE Queensland is experiencing significant shifts, impacted by factors such as supply, demand, construction costs, and economic trends. Looking ahead to 2024, predictions suggest a nuanced landscape for these regions. Brisbane's Industrial Market: A Balancing Act In the second quarter of 2023, Brisbane's industrial market saw a rise in vacant space by 15%, rea...

As the end of the year draws near, Queensland’s capital city of Brisbane is experiencing one of the most incredible pricing booms since the end of the pandemic. Along with the rest of the country, Brisbane is expected to see a property price explosion in the coming year.  Following a spectacular 9.1% price increase since January 2023, many are wondering whether the city can keep up ...

Southeast Queensland has been a hotbed of developments in recent years. As the already high population saw an increase in activity in 2023 that isn’t projected to slow down, the city continues to prepare for the Brisbane Olympics of 2032. Larger projects include Brisbane Live, an 18,000-seat arena dedicated to bringing top-tier entertainers to Brisbane from Australia and beyond, as well ...

The Brisbane River has always been a great spot for locals, tourists and business owners. Whether you’re there for a gentle, quiet stroll along the riverside, taking in the sights of Brisbane’s skyline at sunset, or looking for a quality commercial office space or apartment with views, Brisbane’s riverside has lots to offer.  And it’s about to get busier. Two proj...

Technology is taking over the world, and Brisbane’s commercial property market is no different. Smart building systems and Internet of Things (IoT) integration are changing how commercial properties are managed and operated. Buildings are no longer just brick and mortar, they’re now intelligent ecosystems where technology plays a seamless role to enhance efficiency, comfort, securit...

In the past decade or so, the commercial property market in Brisbane has experienced many transformations – and one of the key drivers for that is sustainability and increased demand for green buildings. This change is not only shaping new development, but also investment decisions. This month, we thought we’d look at how sustainability is influencing Brisbane’s prope...

  As we navigate the new fiscal year, property investors need to stay savvy with their tax strategies to maximise returns and minimise liabilities. With the right planning and advice, you can leverage tax to your advantage. Here are five essential tax tips for property investors. 1. Engage a Good Accountant A skilled accountant specialising in property inv...

In the last few years, the way we work has seen a lot of change, thanks to COVID restrictions sending people home for months on end. As we move back into the office, many companies are recognising that they no longer need such large work spaces – people are quite capable of working autonomously. This is not only saving those companies money on space, but also providing more flexible optio...

RATES & INFLATION Last week our ever-prudent Reserve Bank decided to keep interest rates on hold at 4.1%. This was off the back of the June quarter, where inflation fell to 6% (slowing from 7% in March), falling short of the expected 6.2%. The fall in CPI can be attributed to cost decreases in domestic travel and accommodation, as well as automotive fuel, while the costs of most other good...

As mentioned in our article What to expect in office property in 2023-24, sublease space in Brisbane is becoming more sought-after as businesses look at hybrid locations to run their operations. Rather than renting out an entire building, many businesses are leasing smaller spaces, where employees can go on a rotation system. And it’s proving popular. According to new research,...

The office property market is set for ongoing transformation as we dive into the new financial year. While we are experiencing economic uncertainties, the shift towards hybrid work models, and evolving tenant demands, commercial real estate is set for potential growth. The forecasted challenges in the market, including increased interest rates and possible recession, are expected to create a c...

Tax incentives on offer for BTR in Queensland  A reduction in land tax of up to 50% for up to 20 years for BTR developments which feature at least 10% of rental homes as affordable housing; A full exemption for the 2% foreign investor land tax surcharge for up to 20 years; and A full exemption from Additional Foreign Acquirer Duty (AFAD) for the future transfer of BTR sites. (KPMG,...

Rainforest Tower (QIC - $1.2bn) QIC’s “Rainforest Tower” is located at 101 Albert Street, in the heart of Brisbane’s CBD and fronting onto the new Albert Street Cross River Rail Station. The 2,500m2 site will be home to around 45,000m2 of mixed use space in the form of a 40 level structure incorporating a 5-level podium with an additional 35 level tower above. The build...

Recent research has highlighted a substantial surge of interest in industrial property within the Brisbane area during 2022, which has had significant implications for the economy, landlords, and tenants. The demand for industrial space in Brisbane has led to a sharp decrease in vacant spaces, which fell by 14 per cent in the fourth quarter alone and were 65 per cent lower than the peak levels ...

According to new research by CoreLogic, residential property market movements in Brisbane have taken a turn as dwelling prices have shown signs of stabilising. The uncertainty around increasing interest rates likely played a part in changes in market conditions during the second half of 2022. Buyer confidence dwindled and attendance at open homes and auctions diminished. And with the tenth con...

Brisbane is on the brink of a major transformation. Construction has been underway at 360 Queen Street, which when finished will be a beacon of modern architecture and reshape the skyline of Brisbane. The project represents a new chapter in architectural history for Brisbane. It uses cutting-edge technology and materials to produce a structure that is both aesthetically pleasing and structural...

Brisbane is on the brink of a major transformation. Construction has been underway at 360 Queen Street, which when finished will be a beacon of modern architecture and reshape the skyline of Brisbane. The project represents a new chapter in architectural history for Brisbane. It uses cutting-edge technology and materials to produce a structure that is both aesthetically pleasing and structural...

According to new research by CoreLogic, residential property market movements in Brisbane have taken a turn as dwelling prices have shown signs of stabilising. The uncertainty around increasing interest rates likely played a part in changes in market conditions during the second half of 2022. Buyer confidence dwindled and attendance at open homes and auctions diminished. And with the tenth con...

The Gabba and Brisbane Live arena  The state and federal governments have reached a funding agreement to redevelop the Gabba and Brisbane Live. Queensland state government will fund the Gabba to the tune of $2.1bn, up from the original estimation of $1bn in 2021, with demolition commencing in 2026 after the Ashes cricket tests in 2025. Monumental cost blowout aside, this is a big win for ...

I am delighted to share the successful sale of three strata units in a health and wellness centre located at 100-102 Donald Road, Redland Bay. The units were sold for $1.95 million to a Sydney-based investor after being passed in at auction. My colleague Harry Tsigounis and I facilitated the sale on behalf of Kosmos Health. Our auction campaign generated significant interest, with 58 inquiri...

Commercial property is a popular investment thanks to the historically higher rental returns, longer leases, and lower expenses than residential property, however, there’s no doubt the Australian market has been shaken by rising inflation, interest rate hikes, and recession fears. Still, the outlook is good. If you’ve decided to invest, here’s what you need to know. Office T...

As inflation and cost-of-living concerns impact on the economic outlook, commercial property investors are expected to stay cautious until interest rates peak in 2023. Following a tumultuous year in 2022 in which the Central Bank raised interest rates eight times, the commercial real estate sector concluded on a sluggish note, with transactions stalling and confidence progressively declining. ...

The Property Council of Australia’s Office Market Report recently released has shed some light on the changing profile of the CBD and non-CBD office markets across Australia. The post-COVID-19 economy has been particularly challenging for some office locations, with many staff continuing to work from home. This shift has changed the nature of new take up of space and movement across regio...

The retail property outlook in Australia for 2023 is largely positive, with overall retail spending expected to continue its upward trajectory. In Greater Brisbane, retail property market conditions are particularly strong, and the city is seeing increased investment from retail developers looking to capitalise on growth opportunities. Retail vacancy rates for Brisbane remain low at around 5%,...

In general terms, the performance of the Neighbourhood Retail sub-sector has been exceptional, driven initially by covid related themes such as compulsory masks, lockdowns and the push for ongoing work-from-home arrangements, largely accommodated by the major corporates and the public service sector. This has created a reluctance to travel to major centres and has curved our daily spending habi...

The industrial property market in Brisbane is anticipated to strengthen over the coming years, with industrial land and rental rates expected to increase in 2023. Demand for industrial space continues to grow, driven largely by increased interest from investors, coupled with high-value projects such as major infrastructure investments and urban regeneration efforts. This trend is expected to c...

As office property demand remains strong in 2023, Brisbane will remain a key hub for office space. According to the recently released Property Council of Australia’s January 2023 Office Market Report, demand for office space in the city centre of Brisbane has shot up to more than four times the historical average. In the six months leading up to January 2023, the number of empty spaces i...

As we hit the ground running with optimism and gusto in the New Year, our Capital Transactions team conducted a think-tank session analysing Brisbane's commercial real estate economy and what our clients need to know when investing and developing in the current environment. The result was that we needed to investigate the stubbornly high inflation figure better to understand the interest rate c...

Table of Contents:[hide] What Are Car Parking Fringe Benefits? Why Is Valuing Car Parking Benefits Important? Valuation Methods for Car Parking Fringe Benefits 1. Commercial Car Parking Station Method 2. Average Cost Method 3. Market Value Method 4. Statutory Formula Method 5. 12-Week Register Method Compliance and Documenta...

1.      How has the appetite of the top-tier lenders changed over the past 6-months? And how is that reflected in their lending policy? (LVR, ICR, Geographical/Asset Class Appetite) The biggest change in appetite has been driven by the rising cost of funds and its effect on the Interest Coverage Ratio’s & overall serviceability. Recently, I’ve observed some banks...

Table of Contents:[hide] 1. Understanding the Cost of Capital 2. Rising Interest Rates and Their Impact 3. Pressure on Underperforming Assets 4. Development Sites and the Cost of Capital 5. Banks’ Unhindered Appetite for Lending 6. The Strategic Response of Developers and Investors 7. Long-Term Outlook: Will the Pressure Ease?...

There’s no doubt the construction industry has had a lot of challenges in 2022. Here’s a few of them. Increase in materials cost The cost of materials is rising and there aren’t enough of them. This is especially true for wood, where states such as Victoria have promised to stop logging native trees by 2024. Not only that, but bushfires and floods have caused waves in su...

2022 Recap In 2021, house prices in Brisbane went up at the fastest rate in 13 years. Though growth slowed in other parts of Australia in the first half of 2022, Brisbane’s housing market continued to do well and unlike in Sydney and Melbourne, prices in the city are still much higher than they were a year ago. As of November, the median house price in Brisbane was $817,684. This is a d...

Prices to Stay Low According to the National Australia Bank, rising interest rates and the difficulty of obtaining a loan will keep commercial property prices low well into 2023. The NAB Commercial Property Index found it has become more difficult to obtain debt or equity funding in 2022, and there was an increase in the number of people who believed that debt and equity financing cond...

Despite ongoing pressure on household budgets, Queensland’s Retail trade has remained remarkably strong throughout the year, recording its 9th straight month of growth. Queensland’s seasonally adjusted retail turnover has increased by 9.7% over the past 12 months.   Australian hospitality businesses are set to benefit the most from the imminent Christmas spending spree, with ...

Despite ongoing pressure on household budgets, Queensland’s Retail trade has remained remarkably strong throughout the year, recording its 9th straight month of growth. Queensland’s seasonally adjusted retail turnover has increased by 9.7% over the past 12 months.Australian hospitality businesses are set to benefit the most from the imminent Christmas spending spree, with trade...

The Government has committed billions to the development of infrastructure in the next decade or so. These include: For Queensland, this includes $586.4 million to upgrade the Bruce Highway through Brisbane’s outer northern suburbs and $210 million to upgrade the Kuranda Range Road. In other states: New South Wales, $500 million for corridor acquisition, planning and early works...

There’s not enough housing in Australia and we have a low level of institutional housing investment – despite having the world’s third largest pool of capital in our superannuation system. The Budget offers: A National Housing Accord Under a new national Housing Accord, the government is bringing together the states and territories, the Australian Local Government Associatio...

This year’s Budget included aspects to help more Australians become home owners, through the following: Regional Guarantee for First-Time Home Buyers The government will help 10,000 eligible first-time buyers in regional Australia buy a home every year by guaranteeing up to 15% of the price. Helping Veterans Buy Their Own Homes The Defence Home Ownership Assistance Scheme will...

The development site space is the most talked about sector in our market at the moment. With development margins either being squeezed or non-existent, the conundrum that a project has strong underlying demand for the end product, but the financial viability of the project simply doesn’t stack-up is a common narrative. The result of this is downward pressure on site values as developers l...

  A small retail asset at 465 Waterworks Rd, Ashgrove, home to the beloved Old Salty’s fish and chip shop for nearly 50 years, has been successfully sold at auction. The fully leased three-tenanted property attracted significant attention during the marketing campaign led by McGees Property’s Nina Brailey and Justin Clarke. The campaign generated 40 inquiries from high-qual...

The development site space is the most talked about sector in our market at the moment. With development margins either being squeezed or non-existent, the conundrum that a project has strong underlying demand for the end product, but the financial viability of the project simply doesn’t stack-up is a common narrative. The result of this is downward pressure on site values as developers l...

Brisbane’s office market continues to show signs of recovery in net absorption and occupancy rates, assisted by a lack of new supply coming online and more workers returning to traditional office hours.    Driven by significant population growth, major infrastructure investment, and a 13-year low in unemployment, the immediate future looks bright for our CBD. However, there is...

Brisbane’s office market continues to show signs of recovery in net absorption and occupancy rates, assisted by a lack of new supply coming online and more workers returning to traditional office hours. Driven by significant population growth, major infrastructure investment, and a 13-year low in unemployment, the immediate future looks bright for our CBD. However, there is still a c...

Click & Collect was first introduced to Australians in the early 2010s. In 2015 there were just 24% of retailers that offered the option, and 2019 that figure was at 40%. During the COVID-19 pandemic, more Australians shopped online than ever before. According to stats, there were 1.7 million new online shoppers in 2020; with 1.4 million of those households continuing to buy online in 2021...

Interest Rates, Australia 10-Year Bond, Weaker AUD where to from here? With the Reserve Bank of Australia (RBA) raising the Official Cash Rate on Tuesday by 25bps to 2.6%, commercial property investors and developers will be looking to reassess where they see real value and how much risk appetite they are willing to accept. The rate hike marks the sixth rise from the RBA since May this year, w...

After an unprecedented period of uncertainty caused by the pandemic, growth in Queensland’s hospitality and tourism sector is back on the agenda. Of all the Australian Capital’s, Brisbane is showing the strongest recovery and leads the nation in domestic overnight expenditure, despite having a much smaller economy than our friends down south. Since Brisbane was announced as the ho...

There’s no doubt property is booming across Queensland, with prices skyrocketing for sales and leases in every property market. This trend has led to growth in places like the Gold Coast and Sunshine Coast, where prices are growing much faster than in Brisbane. And where increased housing demand has led to greater infrastructure projects and more appeal for commercial property. Most ana...

Medical centres are actually some of the most sought after investment properties in the commercial market – they have good rental returns and stable tenants. But there are a few pros and cons you need to think about before going down the medical centre road. The positives To start with, the medical centre market remains largely unimpacted by changes to the economy like residential or re...

With the Reserve Bank of Australia (RBA) raising the Official Cash Rate on Tuesday by 25bps to 2.6%, commercial property investors and developers will be looking to reassess where they see real value and how much risk appetite they are willing to accept. The rate hike marks the sixth rise from the RBA since May this year, with most economists predicting further rate rises over the coming 6-12 m...

While the housing market is absolutely on fire, the same cannot necessarily be said for the retail market in Brisbane. According to industry reports, Brisbane recorded a retail property vacancy rate of 18.9% in H1 2022. Though that might sound discouraging, according to Herron Todd White, Brisbane’s retail economy and therefore retail property is on its way back to its best. ...

The coastal vibe of Maroochydore is currently one of rapid expansion, amid economic growth that has spurred a construction boom across the country that has now reached the shores of Maroochydore. The Sunshine Coast Council has approved a plethora of new building projects – over 500 units of housing have been approved by the council. It’s a good thing too, as there’s be...

The Gold Coast has been a hotspot for development since the economy began to roar back to life this year, following two years of lockdowns and loss of employment and loss of industrial activity. The construction industry across the country has been crying out for new developments and the Gold Coast has not disappointed. With much to be excited about in 2022 and beyond, construction in Australia...

According to a survey of Property Council members, Australia’s property industry has less confidence because of the current state of the economy. The survey found that the overall Confidence Index fell 19 points in the June quarter. Ken Morrison, the CEO of the Property Council of Australia, said confidence was down because of things like inflation, a lack of skilled workers, and broken ...

A rare freestanding retail and office building in Brunswick Mall, situated directly opposite one of Fortitude Valley’s major live music venues, has been swiftly acquired by an investor eager to capitalise on the precinct’s growing investment appeal. Samford Commercial Investments purchased the three-level property at 281 Brunswick Street for $6.45 million despite its being approx...

Plans are in progress for a build-to-rent apartment development located within a medical precinct on Brisbane’s southside. The project is designed to provide furnished studios specifically for health workers. Belong Capital has invested $2.65 million in purchasing a block of seven units at 55 Regent Street, Woolloongabba. The transaction was facilitated by Guy Stafford of McGees Property....

Land Lease Communities are growing in popularity all over Australia with some states offering more than 500 communities. Are they a solution to affordable housing? Let’s take a look. What Are Land Lease Communities? A land lease community gives you the chance to own a building, without buying the land – which is usually the big expense when purchasing property. It’s an oppor...

National Australian Built Environment Rating System (NABERS) is a sustainability measurement used across the building sector. It’s a simple and reliable way to measure the sustainability of offices, shopping centres, data centres, hotels, and apartments, etc. It’s part of the Australian initiative to achieve the 40% energy productivity target of 2030 and falls under the National Ene...

While there has been a lot of focus on where there are enough child care workers to meet demand, a more important question to ask is: are there enough child care centres to meet demand? We are at the tipping point. According to a survey from Australia Talks, 57% of rural families struggle to access child care. This compared to just 41% of families in inner-metro areas. Child care is a vit...

COVID changed the way we operate as a society. It forced businesses to change processes; it reshaped working from home, and the result was big wins or major losses depending on which sector you operate within. Commercial property was no different. Within the sector, there were winners and losers. Which is why it’s a good time to ask the question – what makes a good investment post-C...

Whether you own a single commercial property or an entire portfolio, its success hinges on effective management. The owner will need to go to great lengths to ensure they meet the needs of both the building and the tenant. It’s a time-consuming prospect. It also requires expertise that not every commercial property owner has. As such, commercial property owners should consider enlisting t...

While COVID has impacted the world over, at McGees Property, we have been lucky to remain operating in full capacity throughout 2021. However, after 2020, we made changes to adapt to the shifting world, just as many businesses were forced to do. Much like others, our first step was to introduce new advanced technology. While video technology was a large part of that, technology as a whole allo...

The cost of the average new build has hit its fastest increase in over 20 years – largely due to the increased cost of construction material and labour shortages. The situation with materials was at its worst from March until May, lengthening lead times and seeing prices soar. The worst of it impacts the domestic sector and this is expected to improve no earlier than the first q...

When it comes to commercial real estate, COVID-19 has certainly impacted several sectors, many of which are still uncertain. However, some areas defied the odds to buck the trend – and service stations (or fuel stations) is one of them. Service stations have thrived over the past 12 months as a business (and an investment). Many people avoided public transport for travel and othe...

Los Angeles. Paris. London. Brisbane. After the announcement in July, the Queensland capital will join the list of iconic Olympic cities in 2032. Brisbane will be the 24th city to host the Games and the third capital in Australia after Melbourne 1956 and Sydney 2000. Premier Annastacia Palaszczuk said that the economic modelling showed the Games has the potential to drive Queensland&rs...

The new industrial estate at 541 Bilsen Road, Geebung, is transforming the area as space for development becomes increasingly limited. Pacific Dunlop's 3.07-hectare property has been repurposed by Sibad Investments Pty Ltd, which purchased the site for $4.16 million a year ago. David Bright from McGees National Property Consultants shared that this property became available when Olex Cables, a...