The Queensland commercial sector is currently the nation’s standout performer, with transaction volumes in 2025 surging by 170 per cent to cement Brisbane’s position as a core national investment hub (Colliers, 2026). While the Reserve Bank of Australia’s decision to hold the cash rate at 3.85 per cent has maintained a "wait-and-see" approach for some, the market remains underpinned by a critical supply-demand imbalance. Prime retail yields are holding firm at 4.85 per cent, while the industrial sector continues to lead capital growth, particularly in the South East where vacancy rates remain historically low (Radar, 2026; JLL, 2026).

Retail – Uptown Mall $350m Revamp

91 Queen Street, Brisbane City

Vicinity Centres is set to take full control of Brisbane’s Uptown Mall (formerly the Myer Centre) by acquiring the remaining 75 per cent stake from IFM Investors for $212 million. The acquisition precedes a planned $350 million redevelopment aimed at transforming the 63,965 sqm asset into a premium retail, dining, and entertainment precinct. The project seeks to address the lack of large-scale, full-price luxury retail in the CBD and is scheduled for completion in time for the 2032 Olympic Games (The Australian, 2026).

Office – Sentinel Wood Street Sale

110 Wood Street, Mackay

Sentinel Property Group has divested a government-tenanted office building in Mackay for $8.085 million, achieving a 150 per cent profit over a two-year holding period. The 1,330 sqm asset, which holds a 6-star NABERS rating, was sold to a private investor following a value-add refurbishment. The deal underscores the strength of regional office markets where government covenants provide an internal rate of return exceeding 37 per cent (Herde, 2026).

Industrial – Acacia Ridge Refurbishment Uplift

189 Bradman Street, Acacia Ridge

A strategic refurbishment of a 4,000 sqm corner site has resulted in a 43 per cent increase in net income for the landlord. Whitford Hire has secured a five-year lease on the property, which features an 880 sqm building, at approximately $200,000 gross per annum. The rapid six-week turnaround from vacancy to tenancy highlights the intense demand for low-site-coverage industrial assets in Brisbane's southern corridor (The Courier-Mail, 2026).

Development – Rochedale and Woolloongabba

465 Rochedale Road, Rochedale

CFMG Capital has expanded its South East Queensland pipeline with a $30 million acquisition of a 4ha site in Rochedale, earmarked for a 51-lot residential community and a 4,500 sqm neighbourhood commercial centre (The Courier-Mail, 2026).

891-897 Stanley Street East, East Brisbane

Nearby, DAKL Group has secured a $9.35 million corner site in the Woolloongabba PDA. Combined with their adjoining property, the 2,617 sqm footprint allows for a future 15-storey residential development near the Cross River Rail hub (Herde, 2026).

General News

• Industrial Land Shortage: Brisbane’s industrial vacancy rate has tightened to 3.4 per cent, with the Acacia Ridge/Logan corridor recording rates as low as 2 per cent for well-located assets. Impact: This structural undersupply is driving landlords toward value-add refurbishments rather than new builds, as rising construction costs and a lack of serviced land limit new supply until 2027 (Cushman & Wakefield, 2026; Ferns Finance, 2026).
• Night-Life Economy Reform: Night-Life Economy Commissioner John Collins has called for an end to "outdated" liquor laws and advertising restrictions to boost Brisbane’s international competitiveness. Impact: Proposed reforms to trading hours and precinct lighting could significantly enhance the valuation of hospitality-linked commercial assets in the CBD and inner-city fringes (Riley, 2026).
• Daylight Saving Proposal: Renewed discussion regarding a South East Queensland daylight saving time zone aims to align the state with southern markets. Impact: A shift could provide a significant boost to evening retail and hospitality spend by extending daylight hours during peak trading periods (Riley, 2026).
• QBCC Regulatory Changes: The Queensland Building and Construction Commission and Other Legislation Amendment Regulation 2026 commenced on 1 February. Impact: Increased reporting requirements for licensees aim to improve transparency and project delivery standards as the state navigates a $19 billion infrastructure pipeline (Ensure Legal, 2026).

Final Take

The Queensland market is currently benefiting from a "two-speed" growth model: CBD retail is being repositioned for luxury consumption, while outer-fringe industrial assets are seeing record rental growth due to land scarcity. As vacancy rates in key corridors like Logan and Acacia Ridge remain below equilibrium levels, the outlook for 2026 remains firmly in favour of landlords and developers with existing landholdings.

References

• API Magazine. (2026). Brisbane houses power past $1 million median as price growth surges into 2026. https://www.apimagazine.com.au/
• Colliers. (2026, February 11). Brisbane emerges as Australia's industrial powerhouse after peak 2025. https://www.theindustrialist.com.au/
• Cushman & Wakefield. (2026, January 21). Brisbane MarketBeat Reports. https://www.cushmanwakefield.com/
• Ensure Legal. (2026, February 1). QBCC Subordinate Legislation Commenced 1 Feb 2026. https://ensurelegal.com.au/
• Ferns Finance. (2026, February 12). How do I identify a good commercial investment property in Logan?. https://www.fernsfinance.com.au/
• Herde, C. (2026, February 13). Sentinel sale pays off. The Courier-Mail.
• Herde, C. (2026, February 13). Towering Gabba future for adjoining corner properties. The Courier-Mail.
• JLL. (2026, February 10). Latest Industrial Vacancy Rates Across Australia. https://www.jll.com.au/
• Radar. (2026, February 6). McGees Wrap Up 6th February 2026. https://www.bne.mcgees.com.au/
• Riley, R. (2026, February 19). Night-life tsar demands end to ‘outdated’ liquor laws. The Courier-Mail.
• The Australian. (2026, February 19). City mall to get $350m revamp. The Australian.
• The Courier-Mail. (2026, February 13). $30m for 4ha site in south. The Courier-Mail.
• The Courier-Mail. (2026, February 13). Property spruce up pays off big time. The Courier-Mail.