Queensland Commercial Property Weekly Wrap-Up

Week Ending 22 May 2026

The Queensland commercial property market is exhibiting sustained transactional momentum across primary asset classes, balanced against shifting national macroeconomic indicators and upcoming federal regulatory overlays. Private and institutional capital continues to compete tightly for defensive, long-leased assets within regional and metropolitan expansion corridors, heavily incentivised by strategic land-banking opportunities established ahead of the 2032 Brisbane Olympic Games (Herde, 2026). However, the broader investment landscape faces headwinds as recent interest rate cycles contribute to an uptick in the national unemployment rate to 4.5 per cent, signalling an incremental cooling in economic output and corporate footprints (Jurkovic, 2026). Concurrently, incoming structural changes to federal trust tax policies and revisions to property tax incentives are anticipated to drive asset realignments, creating a complex operating environment for small to medium enterprises managing state-level transaction duties (Jurkovic, 2026; Kehoe, 2026).

This Week’s Highlights

Medical – Southeast Queensland Aged Care Portfolio

Buderim, Beerwah, Cleveland and Burleigh Waters QLD

A property fund manager has finalised the acquisition of a geographically diversified portfolio of four high-quality medical and aged care assets across high-growth locations in Southeast Queensland for $90.2 million. Acquired by Clarence Property for its specialised Aged Care Fund, the portfolio is fully leased to Australia’s largest not-for-profit aged care provider, Bolton Clarke. The assets are secured by long-term triple net leases featuring an institutional-grade 22-year weighted average lease expiry and annual CPI-linked rental increases. The capital raising campaign closed fully subscribed due to strong demand from wholesale investors attracted to the defensive qualities and demographic fundamentals of the sector. The vehicle is forecast to deliver a first-year distribution of 7.1 per cent per annum, targeting an average of 7.5 per cent per annum over a five to seven-year investment term with an internal rate of return exceeding 11 per cent (Herde, 2026).

Retail & LFR – 64 Burnett Street

64 Burnett Street, Buderim QLD 4556

A passive private investor has secured a freehold commercial asset in the core commercial retail precinct of the Sunshine Coast for $3.885 million. Occupying a prominent 1,517 sqm freehold site positioned directly opposite the Woolworths-anchored Buderim Marketplace Shopping Centre, the property comprises approximately 480 sqm of total lettable area across two separate buildings. The transaction realised an initial yield of approximately 6.1 per cent on a net passing income of $237,808 per annum, carrying a weighted average lease expiry of roughly four years. The asset is supported by long-term tenancies, including ANZ Bank, which has occupied the site since 2005 with a lease extending to 2028 plus options, alongside Retire Invest and Cassells + Smith Chartered Accountants, who hold fresh five-year lease agreements (Herde, 2026).

Retail & LFR – Royal Hotel Nundah

1259 Sandgate Road, Nundah QLD 4012

An accommodation and hospitality group has expanded its asset portfolio with the acquisition of the historic Royal Hotel Nundah for $13.171 million. The freehold heritage property was divested by a vendor group that had held the asset since 2002. Situated on a prime 2,025 sqm corner allotment featuring 87 metres of dual street frontage to Sandgate Road and Station Street, the 1888-established hotel incorporates a bistro, public bar, function spaces, and 34 gaming machine authorities. The property generates a net annual income of $692,178 and transacted on a yield of 5.26 per cent. It is fully leased to Australian Venue Co under a net lease structure running to November 2028, with five subsequent 10-year options extending potential occupancy out to 2078 (Herde, 2026).

Industrial & Development – 67-77 Trade Street

67-77 Trade Street, Lytton QLD 4178

A local family has acquired a premium industrial distribution facility within the TradeCoast logistics corridor from an ASX-listed industrial giant for $34 million. Transacted at a tight 4.79 per cent yield, the asset features an 8,568 sqm building positioned on a 2.16-hectare site zoned General Industry C, reflecting an efficient site coverage of 39.7 per cent. Located within a specialised industrial pocket offering direct arterial road network connectivity near the Port of Brisbane and Brisbane Airport, the property returns a net passing income of $1.62 million. It is fully tenanted by Queensland Blow Moulders with a remaining weighted average lease expiry of 6.8 years, illustrating sustained capital depth for well-connected logistics hubs (Herde, 2026).

Industrial & Development – 103 Castlemaine Street

103 Castlemaine Street, Milton QLD 4064

A 625 sqm warehouse and showroom asset has traded off-market in a cash-unconditional transaction valued at $3.5 million, representing a building rate of $5,600 per square metre. Bounded by Black, Castlemaine, and Granzell Streets and Milton Road, the inner-city asset is subject to flooding risks but occupies a tightly held freehold location. The property was acquired by a private investor whose family had historical ties to the original construction of the asset in the 1960s. The site has been occupied by a national electrical retailer for more than three decades. With the long-term lease expiring at the end of April, the purchaser intends to land-bank the strategic asset in anticipation of intense localised infrastructure deployment ahead of the Olympics corridor (Herde, 2026).

General News

• PsiQuantum Relocates $1 Billion Quantum Computer Facility: Silicon Valley tech company PsiQuantum has altered its infrastructure plans, abandoning its initial 13-hectare parcel at Brisbane Airport to relocate its utility-scale quantum computer project to the council-owned Moreton Bay Central precinct in Petrie, situated on the old Petrie Paper Mill site (Jakes, 2026; Levinson, 2026).

  Commercial Property Industry Impact: The shift underscores the vital role that planning agility plays in attracting advanced technology tenancies. By transitioning away from Commonwealth land, the project avoids complex federal master plan approvals, demonstrating that specialised tenants are prioritising immediate site readiness over traditional airport or transport hubs.

• Bypassing of Public Consultation via Priority Development Area (PDA) Framework: By selecting the Petrie precinct, the development utilises a Priority Development Area framework administered through Economic Development Queensland. This regulatory status enables the company to completely bypass a standard two-month public consultation phase, fast-tracking approvals to break ground in June 2026 and meet a 2027 infrastructure completion target (Jakes, 2026; Levinson, 2026).

  Commercial Property Industry Impact: PDA designations continue to give specific industrial zones a competitive edge. Landlords and developers operating within these fast-tracked state planning corridors can leverage accelerated development timelines to attract large-scale occupiers who are capital-exposed to regulatory delivery friction.

• Heavy Infrastructure Commitments Target Local Utilities: The incoming advanced manufacturing facility will require substantial operational infrastructure, pulling high-capacity power from the Petrie substation on Dohles Rocks Road and utilising recycled water from the Murrumba Downs Wastewater Treatment Plant. Project leadership confirmed that the hardware utilises significantly less power than traditional artificial intelligence data centres (Jakes, 2026).

  Commercial Property Industry Impact: Tech-driven industrial assets place acute, non-standard demands on surrounding utility grids. Developers must ensure that target land parcels possess heavy power connectivity and sustainable water recycling alternatives to secure global technology and manufacturing mandates.

• Trust Tax Changes to Trigger SME Asset Restructuring: Federal budget revisions introducing a minimum 30 per cent tax rate on discretionary trust distributions are forcing small and medium enterprises to evaluate unwinding their internal asset structures. While federal capital gains tax rollover relief will be provided for three years from 1 July 2027, the exemption does not apply to state-based transaction duties (Kehoe, 2026).

  Commercial Property Industry Impact: In Queensland, stamp duty exemptions for internal trust restructures are restricted to operating businesses with less than $5 million in revenue and less than $10 million in assets, explicitly excluding commercial investment properties. Consequently, internal reorganisations of real estate assets could trigger significant transaction tax liabilities, potentially freezing near-term private portfolio reallocations or driving sudden transactional frictions.

Final Take

The Queensland commercial property sector continues to demonstrate solid transaction volumes across medical, retail, and logistics assets, though investors are moving with increased deliberation against a shifting macroeconomic and regulatory backdrop. High-conviction private families and institutional syndicates are actively placing capital into long-leased freehold assets to secure durable income streams and land-bank strategic metropolitan footprints ahead of the 2032 Olympics. Moving forward, the velocity of the industrial and tech sectors will be heavily dictated by planning agility and heavy utility capacity, as evidenced by PsiQuantum’s major project relocation, while private investors must carefully navigate localised stamp duty exposures arising from broader federal tax structural changes.

References

• Herde, C. (2026, May 15). Aged care opportunity. The Courier-Mail.
• Herde, C. (2026, May 15). Logistics demand rises. The Courier-Mail.
• Herde, C. (2026, May 15). Son buys back the warehouse built by his dad. The Courier-Mail.
• Jakes, E. (2026, May 20). $1bn PsiQuantum computer project moved from Brisbane Airport to Petrie, Moreton Bay. The Courier-Mail.
• Jurkovic, L. (2026, May 19). States face stamp duty loss from housing tax crackdown. The Australian Financial Review.
• Jurkovic, L. (2026, May 21). Unemployment rate jumps to 4.5pc as economy sheds jobs. The Australian Financial Review.
• Kehoe, J. (2026, May 18). Small business faces stamp duty hit after budget changes. The Australian Financial Review.
• Levinson, B. (2026, May 20). Billion-dollar supercomputer on the move after two years of stagnation. The Australian Financial Review.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

The Queensland commercial property sector continues to demonstrate nation-leading resilience, with the NAB Commercial Property Index recording a state-wide reading of +55, significantly outperforming New South Wales and Victoria (McDonald, 2026). While the Brisbane office market faces a significant supply squeeze, the industrial and development sectors remain standout performers, buoyed by a “flight to quality” and strategic acquisitions in high-growth corridors. Investor sentiment remains robust despite broader federal fiscal changes, as the state’s fundamental undersupply of industrial land and acute housing shortage continue to drive competitive bidding (Herde, 2026a; ANZ Research, 2026).

This Week’s Highlights

SOLD Transactions

LEASED Transactions & Activity

Development – Woolloongabba Priority Development Area

109 Logan Road, Woolloongabba

A Queensland-based developer has acquired a 3,297 sqm corner site for $21 million from the non-profit Spinal Life Australia. The property holds significant upside within the Woolloongabba PDA; while currently approved for 203 apartments across 20 levels, updated zoning allows for code-assessable development of up to 36 storeys. The vendor will lease back the premises in the medium term, providing the buyer with holding income while they seek to amend the approval to capitalise on the enhanced density provisions (Herde, 2026a).

Industrial – Rocklea Expo Heritage Asset

1640 Ipswich Road, Rocklea

An owner-occupier has purchased a 10,440 sqm General Industry C-zoned site for $14 million. The property features approximately 4,000 sqm of office and warehouse space, including a structure originally built for the 1988 Brisbane Expo. The sale price reflects a 108.96 per cent capital uplift since 2021, highlighting the extreme value currently placed on heavy industry-zoned land where replacement costs often exceed existing asset pricing (Herde, 2026c).

Retail – SEQ Shopping Centre Portfolio

Various Locations, South East Queensland

Consolidated Properties Group and CVS Lane have returned a portfolio of six shopping centres to the market, with price expectations between $500 million and $600 million. The portfolio includes assets in Karalee, Palm Beach, Wilsonton, Springwood, Keperra, and Yeerongpilly. The move capitalises on the resurgence of institutional interest in supermarket-anchored retail assets that offer resilient, non-discretionary income streams (Herde, 2026d).

Medical – Dutton Park Precinct Acquisition

163 Annerley Road, Dutton Park

A consortium of doctors has acquired a medical suites hub for $5.1 million, reflecting a capital rate of $7,213/sqm. The 1,801 sqm site is located directly opposite the Boggo Road health and retail precinct. The buyers intend to occupy a portion of the 707 sqm office area and lease the balance, underscoring the strong demand from owner-occupiers within inner-city health corridors (Herde, 2026e).

Development – Anstead Residential Hub

383 & 393 Hawkesbury Road, Anstead

Sydney-based developer Kingsmede has secured a 3.3ha residential site for $6.15 million. Slated to yield 22 boutique housing lots, the transaction represents the largest development site sale in the Anstead-Moggill catchment in recent years. The pricing reflects a rate of $279,545 per lot, driven by the acute housing shortage in Brisbane’s western corridor (Herde, 2026f).

General News

• Brisbane’s CBD office market is facing its tightest supply squeeze in a decade, with net effective rents projected to reach $2,000/sqm by 2029. Comment: With only one new tower currently under construction and prime vacancy at 8.6 per cent, businesses are increasingly looking at adaptive reuse of older B-grade buildings to mitigate soaring costs and delivery delays (Herde, 2026h; Colliers, 2026).
• The Federal Budget’s removal of the 50 per cent capital gains tax discount for individuals and trusts is expected to impact retail investors, particularly in the small-cap and tech sectors.
  Comment: This tax shift may result in a modest de-rating of growth stocks, potentially increasing the relative appeal of high-yield commercial property assets for investors seeking consistent income over capital gains (Gluyas, 2026).
• Queensland’s construction sector is grappling with a projected shortfall of 19,100 workers over the next seven years due to the state’s massive infrastructure and Olympic Games program.
  Comment: This labour shortage is causing private commercial tower construction to grind to a halt as builders prioritise lower-risk government projects, further exacerbating the office supply deficit (Herde, 2026h; Construction Skills Queensland, 2026).

Final Take

This week’s activity reinforces Queensland’s status as a top-tier destination for both institutional and private capital. While the “survival story” of CBD office development highlights significant headwinds in the construction sector, the aggressive bidding for industrial assets in Rocklea and medical suites in Dutton Park demonstrates that demand for established, well-located assets remains white-hot. As federal tax changes shift the landscape for retail investors, the fundamental value of Queensland land and the looming 2032 Olympics continue to provide a solid floor for commercial valuations.

References

ANZ Research. (2026). Commercial Property Update – Q2 2026. ANZ Bank.

Colliers. (2026). Brisbane 2032 Olympic and Paralympic Games: Creating Solutions. Colliers Queensland.

Construction Skills Queensland. (2026). Horizon 2032 Report. CSQ.

Gluyas, A. (2026, May 13). Small caps, tech stocks at risk as budget hits retail investors. The Australian Financial Review.

Herde, C. (2026a, May 8). Future goes sky high. The Courier-Mail.

Herde, C. (2026c, May 8). Local buyer cuts a $14m deal for Rocklea industrial property. The Courier-Mail.

Herde, C. (2026d, May 8). Shopping centre portfolio returns to market. The Courier-Mail.

Herde, C. (2026e, May 8). Doctors snap up suites. The Courier-Mail.

Herde, C. (2026f, May 8). Housing estate future. The Courier-Mail.

Herde, C. (2026h, May 14). Brisbane businesses slugged as office rents soar and tower construction grinds to a halt. The Courier-Mail.

McDonald, B. (2026). Commercial market resilient: NAB Commercial Property Survey Q1 2026. NAB Economics.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 8 May 2026

Market Overview

The Queensland commercial property market continues to exhibit a strong appetite for defensive assets, particularly in the retail and social infrastructure sectors. Investor sentiment remains focused on non-discretionary income streams, such as supermarkets and childcare, as well as blue-chip automotive assets in high-growth corridors. Despite economic headwinds, yields for premium assets remain sharp, reflecting a “flight to quality” and long-term confidence in the South East Queensland and regional growth hubs (Herde, 2026a; Wilmot, 2026).

Weekly Transaction Summary

This Week’s Highlights

Retail & LFR – High-Profile Automotive Asset

Address: 247-249 Morayfield Road, Morayfield

A prominent 8,699 square metre automotive dealership site was sold in an off-market cash transaction for $18.5 million, reflecting a tight yield of 4.7 per cent. The property, which features a two-level showroom and hardstand occupied by major brands including Kia, Subaru, and Mitsubishi, was purchased by a neighbouring owner only six months after its previous sale. The asset currently returns $875,000 per annum and is situated within the rapidly expanding Moreton Bay region (Herde, 2026a).

Retail & LFR – Freestanding Supermarket

Address: Corner of Bellevue Drive and Main Street, Varsity Lakes

A high-net-worth Victorian investor acquired the Coles Varsity Lakes shopping centre for $37 million in an off-market deal. The 3,592 square metre centre, situated on an 8,670 square metre site that formerly served as the Billabong International headquarters, sold at a yield of 4.75 per cent. The transaction is underpinned by a 10-year lease to Coles extending to 2075, reinforcing the continued demand for secure, non-discretionary retail assets (Herde, 2026b).

Retail & LFR – Neighbourhood Shopping Centre Portfolio

Address: Various Locations, South East Queensland

A portfolio of six neighbourhood shopping centres has been brought to market with an estimated value between $500 million and $600 million. The assets, located in Karalee, Palm Beach, Wilsonton, Springwood, Keperra, and Yeerongpilly, are anchored by major retailers including Woolworths, Coles, and Aldi. The portfolio maintains a 97 per cent occupancy rate and a weighted average lease expiry of 5.1 years by area, offering institutional-scale exposure to the resilient convenience-based retail sector (Wilmot, 2026).

Medical – Specialist Suites Construction

Address: Nightingale Specialist Suites, Health City Precinct, Springfield

Construction has commenced on the Nightingale Specialist Suites, a six-storey medical development next to the Mater Public Hospital. The project, which occupies a 5,300 square metre footprint, has already sold out its first stage at rates of $13,500 per square metre. The facility will house a range of practitioners, including general surgeons, specialists, and allied health providers, with completion scheduled for June 2027 (Herde, 2026a).

Social Infrastructure – Childcare Investment

Address: 6 Cutler Drive, Andergrove

The Imagine Childcare and Kindergarten in Mackay has been sold for $6.45 million to a private investor. The 2,749 square metre site, located within the Andergrove Lakes masterplanned community, realized a yield of 5.79 per cent. The sale was underpinned by a new 15-year net lease running to 2040, highlighting the competitive nature of essential services assets in regional Queensland growth corridors (Herde, 2026c).

General News

• The Queensland Government has invited private sector proposals for fuel refining and storage facilities across six state-owned coastal sites to enhance supply chain resilience.
  Impact: This initiative could unlock significant industrial land for development and infrastructure, potentially driving long-term investment in regional coastal hubs (Levinson, 2026).
• Significant development pressure in Palm Beach is forcing local hospitality and retail tenants to relocate, as older low-rise sites are targeted for high-density residential towers.
  Impact: While these 18-storey developments increase local population density and modern retail supply, the loss of character-filled tenancies creates temporary disruption and increased rental competition in established centres like Palm Beach Pavilions (Fox, 2026).
• Infrastructure investment in the Moreton Bay region is forecast to exceed $15 billion as the population grows toward 690,000 by 2041.
  Impact: This sustained capital injection is expected to fuel investor confidence and drive demand for large-scale assets with future development upside (Herde, 2026a).

Final Take

This week’s activity confirms that South East Queensland remains a primary destination for both domestic and interstate capital. The successful off-market transactions in the automotive and supermarket sectors, combined with the launch of a major neighbourhood retail portfolio, suggest that investors are prioritising assets with high occupancy and non-discretionary income profiles. As development pressure continues to reshape suburbs like Palm Beach and Springfield, the market is seeing a distinct shift toward modern, multi-use, and essential service-based facilities.

References

• Fox, C. (2026, May 7). UE Bagels to move to Palm Beach Pavilions after years of uncertainty surrounding 18-storey tower. Gold Coast Bulletin.
• Herde, C. (2026a, May 1). Investor races to buy. The Courier-Mail.
• Herde, C. (2026b, May 1). Appetite for retail hub. The Courier-Mail.
• Herde, C. (2026c, May 1). Investor finds safe haven in childcare. The Courier-Mail.
• Levinson, B. (2026, May 6). The numbers on getting back into fuel refining don’t add up: experts. The Australian Financial Review.
• Wilmot, B. (2026, May 6). Don O’Rorke selling Queensland shopping centre portfolio with CVS Lane. The Australian.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 01 May 2025

The Brisbane commercial market continues to demonstrate resilience, characterised by strategic consolidation in the development sector and a “flight-to-quality” in the office and retail markets (Herde, 2026). While the RBA has maintained a “higher-for-longer” cash rate of 4.10 per cent since March, investor sentiment remains positive, particularly for assets with strong fundamentals or high-growth potential in tightly held precincts (Robin, 2026).

This Week’s Highlights

Development – South Brisbane Luxury Consolidation

Levvel Property Group has executed a significant consolidation play, acquiring two adjoining sites for a total of $21 million. The group paid $15 million for the 1,822 sqm Browning Street site and $6 million for the 910 sqm O’Connell Street site. This strategic merger improved the combined site yield by 50 per cent. Plans have been lodged for a 10-storey project featuring 92 high-end boutique dwellings, doubling down on the precinct following the success of their nearby Atelier project (Herde, 2026).

Office – Potential $700m CBD Divestment

Dexus is reportedly testing the market for its premium 34-storey office tower at 480 Queen St with a price tag exceeding $700 million. The asset, which has a book value of $700 million, features large 2,800 sqm floor plates and premium end-of-trip facilities. This potential sale aligns with the company’s capital recycling strategy as it progresses with the $2.5 billion Waterfront Brisbane development (Herde, 2026).

Retail & LFR – Major Mitchelton Lease

Choice the Discount Store has secured a 1,112 sqm large-format retail tenancy at Shop 1-3, 177 Osborne Rd on a 10-year lease with options. The deal reflects a gross annual rent of $389,000 plus GST. The campaign saw significant demand, attracting 78 inquiries and seven formal offers, highlighting the scarcity of quality large-format space on Brisbane’s northside (Herde, 2026).

Retail – Noosa Heads Investment

A private investor has acquired a 723 sqm retail centre at 1 Arcadia St for $9.4 million following a competitive EOI campaign. Despite initial investor concerns regarding the building’s age and upcoming lease expiries, the asset sold on a 5 per cent yield. The property includes 10 diverse tenancies and triple street frontage in a commanding Noosa Heads position (Herde, 2026).

Industrial – Banyo Modern Fitted Suite

A 275 sqm modern office and warehouse tenancy at 7/10 Depot Street has been leased for $68,750 per annum plus outgoings and GST. The property includes a 95 sqm ground floor office, a 150 sqm first floor office, and a 30 sqm warehouse component. The tenancy features seven exclusive car spaces and a 47 sqm exclusive external courtyard (Realcommercial, 2026).

General News

• Queensland has made its 50c-a-trip public transport trial permanent. While this supports commuter patronage, experts suggest it may impact the long-term business case for new infrastructure projects by reducing fare recovery ratios (Robin, 2026).
  Impact: Increased patronage supports foot traffic for transit-oriented retail, but may constrain future government capital for network expansions.
  From a retail perspective, the scheme acts as a significant driver for foot traffic within transit-oriented developments (TODs), as the drastically lowered cost of commuting encourages higher patronage across the network. This increased flow of people directly enhances the value proposition for ground-floor retail and service-based tenancies located near major hubs like South Brisbane, Fish Lane, and the CBD.
  However, the “Impact” note highlights a growing concern among economists and consultants regarding the “fare recovery ratio”, the proportion of operating costs covered by commuter fares. By making fares almost free, the government must cover approximately $12.50 for every additional trip induced, according to LEK consultants. For the commercial industry, this creates a potential “funding gap” for future infrastructure. When fare revenue is negligible, it becomes harder for the state to justify the business case for new, multi-billion-dollar projects like further Metro expansions or heavy rail upgrades, which are traditionally the primary catalysts for long-term commercial land-value appreciation
• The RBA maintained the cash rate at 4.10 per cent in its most recent meeting. Market analysts note that while rates are stable, the “higher-for-longer” outlook continues to influence yield expectations across core assets (Robin, 2026).
  Impact: Investors are prioritising assets with strong income security and rental growth potential to offset debt costs.
• Infrastructure projects like the $2.5 billion Waterfront Brisbane are progressing, with expected completion in 2028 (Herde, 2026).
  Major construction activity continues to revitalise the CBD, attracting offshore capital and reinforcing Brisbane’s status as a top-tier investment destination.

Final Take

The Queensland market is currently defined by a high level of competition for quality assets across all price points. Whether it is a $9.4 million retail strip or a $700 million office tower, the common thread is a strong appetite for properties with reliable fundamentals and quality locations. This suggests high investor confidence in the state’s medium-term economic outlook despite broader national headwinds.

References

Herde, C. (2026, April 24). Developer doubles up. The Courier-Mail.

Herde, C. (2026, April 24). Investor buys into Noosa. The Courier-Mail.

Herde, C. (2026, April 24). Expanding discount chain secures Choice retail lease. The Courier-Mail.

Realcommercial.com.au. (2026). 7/10 Depot Street, Banyo, Qld 4014. https://www.realcommercial.com.au/leased/property-7-10-depot-street-banyo-qld-4014-504934320

Robin, M. (2026, April 23). Why free public transport is a terrible idea. The Australian Financial Review.

The Courier-Mail. (2026, April 24). Leases. The Courier-Mail.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 23 April 2026

Market Overview

The Queensland commercial property market is exhibiting resilience as construction entities navigate the tail end of post-pandemic inflationary pressures. While major firms work to stabilise margins through the implementation of escalation-protected contracts, investor interest remains robust for well-positioned freehold assets. Policy discourse surrounding fuel security and resource extraction in the Cooper Basin has emerged as a significant thematic driver for regional economic and industrial infrastructure interest (Foster, 2026). Concurrently, the tourism sector is facing significant headwinds due to fuel-related cost increases, prompting urgent calls for government support as visitor numbers soften (Levinson, 2026).

Summary of Transactions

The following table summarises the commercial property transactions processed for the week ending 23 April 2026.

This Week’s Highlights

Retail – Janus Deli West End

120 Boundary St, West End, QLD Janus Deli has secured a five-year lease for a prominent corner site in West End. The hospitality operator will occupy the space to expand its Korean-Australian fusion concept, supported by two five-year options. The lease is structured at $96,000 net per annum plus outgoings. This deal highlights the continued appeal of West End for premium hospitality operators; key interest factors include the site’s strong foot traffic, surrounding residential density, and proximity to major developments like West Village (Herde, 2026).

Tourism – Wyndham Surfers Paradise

Wyndham Surfers Paradise, Gold Coast, QLD Travel + Leisure Co. has announced a $5 million refurbishment of its flagship Wyndham Surfers Paradise resort. The project involves comprehensive upgrades to holiday apartments and suites, incorporating design elements intended to reinforce coastal connectivity. This investment signals ongoing confidence in the Gold Coast tourism sector and demonstrates a commitment to maintaining competitive asset standards despite broader economic uncertainty (Pierce, 2026).

Industrial & Development – Clutch Racing Coomera

Foxwell Rd, Coomera, QLD Construction has commenced on a 2301sq m site for Australia’s largest simulator racing venue. Situated within the 47.7ha Foxwell Coomera precinct, the project is expected to open in October 2026. This development serves as a strategic addition to the precinct, which is slated to include significant health and commercial infrastructure in the coming decade, further establishing Coomera as a growth hub (Potts, 2026a).

Retail & Development – Mermaid Beach Freehold

Gold Coast Hwy and Seaview Ave, Mermaid Beach, QLD A 610sq m corner block in Mermaid Beach has sold at auction for $7.7 million. The site, which attracted competitive bidding from multiple parties, is positioned near the under-construction $450 million Alfred mixed-use development. Interest in this property was driven by its rare blue-chip corner position and significant redevelopment potential, highlighting the depth of demand for premium coastal highway assets (Potts, 2026b).

General News

• Multiplex Financial Turnaround: Construction giant Multiplex has reported a return to profitability with a $16.5 million annual profit. Impact: Improved balance sheets for major contractors provide greater stability for large-scale development pipelines, reducing the risk of project stalls that have previously hampered sector confidence (Carter, 2026).
• Cooper Basin Regulatory Reform: The Quilpie Shire Council is advocating for regulatory reform to unlock greater oil production in the Cooper Basin. Impact: This initiative could drive demand for industrial land and storage infrastructure in remote regions, potentially diversifying industrial property investment beyond traditional metropolitan centres (Foster, 2026).
• Tourism Sector Headwinds: Queensland tourism is at a tipping point as fuel price volatility and consumer cost-of-living constraints lead to a significant decline in bookings. Impact: The downturn threatens the viability of hospitality and retail tenancies in tourism-dependent corridors, potentially leading to increased vacancy rates and pressure for rent relief (Levinson, 2026).

Final Take

While the construction and development sectors show signs of stabilisation and robust institutional interest, the tourism-dependent commercial property market faces significant short-term pressure. Investor focus is likely to remain on prime, supply-constrained assets that are less sensitive to immediate volatility, while regional industrial markets may benefit from evolving energy security policies.

References

Carter, B. (2026, April 21). Construction giant Multiplex swings to $16.5m profit after Queen’s Wharf loss. The Courier-Mail.

Foster, S. (2026, April 23). Secret ‘Kuwait of Australia’ fuel-rich claim revealed in tiny town. The Courier-Mail.

Herde, C. (2026, April 17). West End gets a taste of Korea as Janus Deli signs five-year lease. The Courier-Mail.

Levinson, B. (2026, April 22). Bookings down by half: Queensland tourism’s massive fuel hit. The Courier-Mail.

Pierce, J. (2026, April 17). Resort scores a $5m upgrade. The Courier-Mail.

Potts, A. (2026a, April 17). Pole position for plan. The Courier-Mail.

Potts, A. (2026b, April 17). Block fetches $7.7m at auction. The Courier-Mail.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Week Ending 17 April 2026

Market Overview

The Queensland commercial property sector continues to demonstrate significant resilience, recently ascending to the position of the second-largest state for transaction value across Australia (Radar, 2026). Investor sentiment remains buoyed by a “flight to quality” and the ongoing “Olympic-proofing” of the Brisbane CBD. While vacancy rates have seen a slight increase to 11.8 per cent due to the completion of major supply additions, prime effective rents have surged by 14.4 per cent, positioning Brisbane as a top-performing office market on a global scale (Wilmot, 2026).

Weekly Transaction Summary

SOLD

LEASED

Office – 288 Edward Street

288 Edward Street, Brisbane

A venture led by Marquette and backed by Heitman has listed the 28-level office tower, known as Highpoint, with price expectations of approximately $160 million. The 20,457sq m A-grade building underwent a $35 million refurbishment following its $113 million acquisition in 2019. The repositioning focused on facade upgrades and ground-floor works to meet evolving occupier demands for high-quality workspace near Central Station (Wilmot, 2026).

Retail & LFR – Fantastic Furniture Rockhampton

143 Gladstone Road, Rockhampton

A Victorian property syndicate has acquired a 3,305sq m high-clearance showroom for $9.5 million, reflecting a net yield of 6.54 per cent. The asset, situated on a 6,907sq m site with significant Bruce Highway frontage, is secured by a 10-year lease to Greenlit Brands (Fantastic Furniture) with options to 2044. The deal highlights sustained investor appetite for national-brand covenants in regional hubs (Herde, 2026c).

Medical – Former Officeworks Site

Hume Street, Toowoomba

The former Officeworks site in the Toowoomba CBD has sold for $7.25 million to a Brisbane-based medical fund manager. The 3,900sq m parcel, which includes 44 car parks, is slated for transformation into a healthcare precinct. This transaction represents the largest CBD sale in Toowoomba over the past 12 months, signaling a strong pivot toward medical-use conversions of existing built forms (Gillespie, 2026).

Industrial & Development – Varsity Lakes Industrial

6 Rina Court, Varsity Lakes

A 28-year-old shed on a 1,450sq m block has set a new Gold Coast industrial benchmark, selling for $2.71 million at auction. The rate of approximately $6,062 per square metre reflects the intense demand from owner-occupiers seeking functional transport and haulage depots. This result surpasses modern tilt-slab rates in nearby Burleigh Heads, which currently average $5,000 per square metre (Potts, 2026a).

General News

• Business owners across Queensland have expressed heightened concern regarding potential fuel rationing as the nation remains at stage two of the federal government’s emergency fuel plan (Levinson, 2026). Impact: If fuel issues drag on, higher transport and delivery costs will adversely impact on industrial tenants. Builders, construction firms will face more expensive material. Deveopers will push back the start of any new projects.
• Queensland’s trust laws are set for a major update with the Trusts Act 2025 expected to commence on 28 April 2026 (Smith, 2026). This is to replace the outdated Trusts Act 1973
  Impact: This legislative shift simplifies trust administration and grants trustees broader powers, providing greater flexibility and transparency for the many commercial property assets held within family and discretionary trust structures. For the first time, core trustee duties,such as acting honestly, in good faith, and exercising reasonable care, diligence, and skill,are clearly defined in the legislation. You can learn more here
• The Paddock Bakery site in Burleigh Heads has hit the market as part of a 4,261sq m landholding, attracting significant developer interest for its future repositioning potential (Potts, 2026b).
  Impact: Large-scale industrial land amalgamations in central Gold Coast precincts are becoming increasingly rare, driving competition for sites that offer diversified income streams and long-term redevelopment upside.

Final Take

The Queensland market is currently navigating a period of high-conviction investment, driven by strong rental growth in the CBD and a maturing healthcare sector. While external pressures such as fuel security and legislative transitions remain persistent, the structural demand for quality regional assets and functional industrial spaces continues to underpin a robust outlook for 2026.

References

• Gillespie, T. (2026, April 16). Former Toowoomba Officeworks site sold for $7.25m to become new healthcare precinct. Toowoomba Chronicle.
• Herde, C. (2026a, April 10). Coffee lures workers. The Courier-Mail.
• Herde, C. (2026b, April 10). Build-to-rent plan set for Hamilton. The Courier-Mail.
• Herde, C. (2026c, April 10). Fantastic deal in Rocky. The Courier-Mail.
• Levinson, B. (2026, April 9). Business owners fear fuel rationing could be just weeks away. Australian Financial Review.
• Potts, A. (2026a, April 12). Gold Coast industrial land benchmark smashed as old shed sells for $2.7m. Gold Coast Bulletin.
• Potts, A. (2026b, April 15). Landmark Burleigh site home to The Paddock Bakery hits the market. Gold Coast Bulletin.
• Radar. (2026). McGees Wrap Up – McGees Property Brisbane.
• Smith, B. (2026, April 16). Queensland set for major shake-up of trusts law as long-awaited reforms take effect. QLS Proctor.
• Wilmot, B. (2026, April 15). Marquette-led venture selling Brisbane tower 288 Edward St for $160m. The Australian.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 2 April 2026

The Queensland commercial property market continues to defy broader economic headwinds, underpinned by record-breaking transactions and a strategic “flight to quality” across diverse asset classes. While national business confidence remains subdued and global supply chain disruptions—particularly in the energy and agricultural sectors—threaten to increase operational overheads, local demand for freehold landholdings and essential service assets remains robust. From the Brisbane CBD to the high-growth Ipswich-Springfield corridor, investors are prioritising secure income streams and long-term repositioning potential in a tightly held market (Allen, 2026; Herde, 2026).

This week summary

*Compiled from The Courier-Mail and The Australian (March-April 2026)

Tourism & Leisure – Country Motel Ipswich

250 South Station Road, Raceview

A national benchmark has been set in the Ipswich-Springfield corridor with the $19.5 million sale of the Country Motel Ipswich to the Deltine High Yield Motel Fund. The transaction represents the highest sum ever paid for a traditional motel in Australia and a record per-key rate of $443,000 for a non-coastal facility. The 44-room, four-star resort-style asset was sold at an 11 per cent yield, with the purchaser citing the region’s population growth—currently six times the national average—and an existing development application for nine additional units as key drivers for the acquisition (Allen, 2026).

Industrial & Development – McKechnie Drive Portfolio

18 & 25 McKechnie Drive, Eight Mile Plains

Two premium office-warehouses in Eight Mile Plains have been acquired by a Sydney-based private investor for a combined $13.1 million. 18 McKechnie Drive, a 1,674 sqm facility, sold for $6.6 million (5.25 per cent yield), while 25 McKechnie Drive, comprising 1,380 sqm, fetched $6.5 million (5.45 per cent yield). Both assets are secured by five-year leases to Weber South Pacific. The deals highlight the intense competition for “unicorn” industrial assets that offer warehouse-heavy configurations in traditionally office-dominant precincts (Herde, 2026).

Office – 376 George Street, Brisbane CBD

376 George Street, Brisbane City

The Community and Public Sector Union (CPSU) has secured a long-term headquarters in Brisbane’s legal precinct, purchasing a five-level corner office building for $9.85 million. Located on a 252 sqm site with 933 sqm of net lettable area, the asset sold at a building rate of $10,560/sqm. The sale reflected a low passing yield of 1.3 per cent, a result of partial vacancy and the purchaser’s strategic intent to occupy the building while capitalising on future rental reversion and underlying land value (Herde, 2026).

Medical – Ocean Family Medicine Sippy Downs

19 Lakehead Drive, Sippy Downs

Strong competition for Sunshine Coast medical assets was evidenced by the auction of 19 Lakehead Drive, which sold for $2.35 million to a private investor. Despite a short 18-month lease tail, the 270 sqm freestanding building attracted 359 inquiries and eight registered bidders. The property, which benefits from a triple net lease and a captive audience due to its proximity to a retirement village, produces a net income of $126,710 plus GST per annum (Herde, 2026).

Office – Green North Tower Valuation Uplift

Green North Tower, Fortitude Valley

Quintessential has reported a $16.8 million valuation increase for the 12-storey Green North Tower, just six months post-acquisition. Now valued at $191.7 million, the uplift is attributed to new leasing deals and long-term extensions with the Crime and Corruption Commission and Dyno Nobel. The successful leasing of 50 per cent of the building has removed significant downtime risk and allowed for a $5.34 million capital return to investors (Herde, 2026).

Child Care

25-27 Jones Road, Bellbird Park

Confidence in the childcare sector remains high, evidenced by a significant 103-place lease commitment at 25-27 Jones Road, Bellbird Park. A top-tier operator has secured the position in the “soon to be built” centre, highlighting the strength of the Western Corridor.

1 Aria Boulevard, Narangba

A newly constructed 125-place childcare centre at 1 Aria Boulevard has been sold off-market to a local family for $9.875 million. Completed in December 2025, the facility is subject to a 20-year lease to Spring Early Learning. The transaction achieved a 5.3 per cent yield, underscoring the high demand for modern childcare investments in high-growth corridors where operators show a strong, long-term commitment to the location (Herde, 2026).

General News & Industry Impact

While high-profile sales often dominate the headlines, broader economic shifts and government policy decisions play a massive role in property valuations. Understanding these trends helps clarify why certain sectors are thriving while others face significant pressure. Here is a detailed breakdown of this week’s major news and what it means for the Queensland commercial landscape.

• The Fuel Tax Stalemate:

  There is currently a national plan to provide $500 million in relief to drivers by lowering fuel costs. This would be funded by a “windfall” in GST revenue caused by high oil prices. While states like New South Wales and Victoria have moved toward a deal, Queensland remains the only state holding out. The Queensland Government is currently asking for more specific details on how this money will be distributed before they sign on.(Karp, Ilanbey & Levinson, 2026).

  Impact on Commercial Property: High petrol and diesel prices act like a “hidden tax” on the economy. For the industrial sector, particularly in transport-heavy hubs like Logan or Ipswich, high fuel costs eat into the profit margins of logistics companies. If these tenants are struggling to pay for fuel, they have less capital available for rent. This could lead to a slowdown in rental growth across the industrial sector as businesses prioritise survival over expansion.

• The Global Fertiliser Crisis:

  A severe shortage of fertiliser has been described by industry leaders as a “natural disaster” in the making. Global supply chains have been battered by conflict in the Middle East and export bans from major producers like China and Russia. Experts warn that these supply issues could persist for up to five years. This is particularly concerning for Queensland, following the closure of the major Incitec Pivot plant at Gibson Island in late 2025.

  Impact on Commercial Property: Queensland is now heavily reliant on importing fertiliser from interstate or overseas. To manage this, we will need a significant increase in specialized industrial space. We expect to see rising demand for “HAZMAT” (hazardous materials) compliant warehouses and agricultural storage facilities near the Port of Brisbane. Investors who own or develop these high-specification industrial sites are likely to see increased interest and higher yields.

• Moreton Bay’s “Polycentric City” Strategy:

  The City of Moreton Bay is moving away from traditional planning. They are adopting a “Polycentric” model, which focuses on creating multiple central hubs rather than one single downtown area. As part of this, they have introduced new rules for Narangba East to protect land specifically for enterprise and employment use. This ensures the land isn’t just swallowed up by residential housing estates (City of Moreton Bay, 2026).

  Impact on Commercial Property: This strategy provides “long-term certainty” for the industry. When a local council explicitly protects employment lands, it reduces the risk for commercial developers. It guarantees that a new warehouse or office won’t eventually be surrounded by noise-sensitive residential neighbours. This planning clarity makes the northern corridor much more attractive for owner-occupiers and long-term institutional investors.

• The Construction Labour Drought:

  Queensland is facing a massive construction challenge. Forecasts suggest the state will be short of 50,000 workers by 2027. At the same time, the cost of materials and office fit-outs is expected to rise by another 5% this year. This “perfect storm” of high costs and low labour availability is making it incredibly difficult to get new projects off the drawing board. (Knight Frank, 2026).

  Impact on Commercial Property: Because building new offices or warehouses is so expensive and slow right now, existing buildings have become much more valuable. This is known as a “flight to quality.” We are seeing a major premium placed on “turn-key” properties, buildings that are already finished with high-quality interiors. This trend was clearly seen in the Fortitude Valley this week, where an existing office tower saw a $16.8 million valuation jump simply because it was already built, leased, and ready to go.

Final Take

The Queensland commercial property sector is currently defined by a “two-speed” economy: The Slow Lane: “Macro-Uncertainty”, and the Fast Lane “Micro- Market”

While global supply chain disruptions and political impasses over tax relief create macro-uncertainty, the micro-market performance remains exceptional. The record-setting motel sale in Ipswich and the aggressive bidding for medical and industrial assets confirm that capital remains abundant for properties with strong geographic fundamentals and secure, long-term income profiles.

References

• Allen, L. (2026, April 2). Country Motel Ipswich sets Australian motel sale record at $19.5m. The Australian.
• City of Moreton Bay. (2026). Planning for a Polycentric City: Narangba East TLPI. City of Moreton Bay.
• Harcourt, T. (2026, April 1). Fertiliser shortage is now a ‘disaster’, Perdaman boss warns. The Australian.
• Herde, C. (2026, March 27). High growth area attracts investor. The Courier-Mail, 61.
• Herde, C. (2026, March 27). Private buyer gets the nod at auction. The Courier-Mail, 61.
• Herde, C. (2026, March 27). Public sector union buys itself a long-term home. The Courier-Mail, 61.
• Herde, C. (2026, March 27). Setting the standard. The Courier-Mail, 61.
• Karp, P., Ilanbey, S., & Levinson, B. (2026, April 1). Queensland the holdout on $500m fuel tax relief plan. The Australian Financial Review.
• Knight Frank. (2026). Australian Office Fit-out Cost Guide 2026. Knight Frank Research.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 27 March 2026

The Queensland commercial market continues to demonstrate a unique brand of resilience, balancing high-conviction investment activity against intensifying macro-economic headwinds. While national business confidence has softened to 15-month lows, Queensland remains a comparative stronghold with business conditions significantly outperforming the national average (NAB, 2026). However, the narrative this week is dominated by “economic realism” as the industry grapples with surging fuel costs and a tightening credit environment. Investors are increasingly gravitating toward high-barrier assets-ranging from inner-city development amalgamations to specialized marine infrastructure-viewing scarcity and operational revenue as the primary hedges against sustained inflation and construction cost volatility (Herde, 2026; Wilmot, 2026).

Weekly Transaction Summary

Development – 80-82 Doggett Street, Newstead

80-82 Doggett Street, Newstead QLD 4006

Pikos Group executive directors Simon Cathcart and Pedro Pikos have acquired two freestanding warehouses near Gasworks Plaza for $8.25 million. The 920 sqm site, currently featuring 965 sqm of clear-span warehouse space, was sold following an expressions of interest campaign. The transaction reflects a land rate of $8,970/sqm and a building rate of $8,550/sqm. The buyer intends to integrate the site into their ongoing development pipeline to meet sustained demand for residential units in the inner-north precinct (Herde, 2026).

Office – 2 Baroona Road, Milton

2 Baroona Road, Milton QLD 4064

Dosa Investments (David Zappala) has completed a strategic inner-western amalgamation with the off-market purchase of a two-storey office building for $6.47 million. The 774 sqm NLA building sits on a 620 sqm corner lot and was acquired at a sharp net yield of 5.75%. This purchase complements existing holdings at 16 Baroona and 271 Milton Road, forming a substantial 3,235 sqm consolidated site. The owner plans to maintain the current multi-tenanted format in the medium term before considering future repositioning (Herde, 2026).

Industrial – Gold Coast City Marina & Shipyard

76-84 Waterway Drive, Coomera QLD 4209

Alternative asset manager MA Financial has significantly expanded its marine portfolio, acquiring the Gold Coast City Marina & Shipyard for a reported figure exceeding $60 million. Located within the tightly held Coomera marine precinct, the asset serves as a major hub for vessel maintenance and refit activity. The deal underscores a growing institutional appetite for operationally rich, specialized industrial assets that offer diversified income streams and significant underlying land value in high-barrier waterfront locations (Herde, 2026).

Retail – Pacific Centre, Sunnybank Hills

Lots 6 & 7, 8 Lear Street, Sunnybank Hills QLD 4109

A 156 sqm strata retail tenancy has changed hands for $1.625 million, reflecting a capital value of $10,417/sqm of NLA. Sold with vacant possession to a local Asia-Pacific owner-occupier, the asset is expected to be repositioned for education-related use. The transaction highlights the depth of demand for well-located suburban commercial space within established ethnic business hubs (Herde, 2026).

General News

Suburban Skyscraper Hubs: The “Tall over Sprawl” Strategy

For decades, Brisbane’s housing strategy focused on high-density in the inner city while keeping suburbs “low-set.” However, with a 210,000-home deficit looming by 2046, the Brisbane City Council has proposed a radical shift toward suburban densification (Levinson, 2026). Under the “More Homes, Sooner” plan, height limits will triple near major shopping hubs.

• • Carindale: A radical jump from 10 to 30 storeys near Westfield.
  • Indooroopilly: An increase to 25 storeys to capitalise on the rail and retail precinct.
  • Nundah: A move to 15 storeys to bolster its existing “urban village” feel.
  • The “Mix-Zone”: Perhaps more impactful for everyday streets is the new 3-4 storey “mix-zone.” This replaces older, more restrictive rules to allow townhouses and small apartment “walk-ups” near local shops, effectively ending the 2018 “townhouse ban” in many areas.

This unlocks massive land value for suburban owners and creates a new wave of retail and medical suite demand as local populations swell around these hubs.

The “BPIC” Reset: Cutting Construction Red Tape

The Queensland Government has officially abolished the “Best Practice Industry Conditions” (BPICs) as part of the 2026 Procurement Policy (MinterEllison, 2026). Previously, these strict rules for projects over $100 million were found to add up to $20 billion in extra costs and discourage smaller contractors. By slashing the administrative burden, the government intends to lower tender prices and improve project productivity (MinterEllison, 2026).

This policy shift may stabilise costs for infrastructure-adjacent projects and prevent state projects from hoarding the construction labour pool, potentially making private commercial builds more viable.

Supply Chain “Cost-Push”: The Fuel and Material Squeeze

While policy is improving, global oil market turmoil is hitting the bottom line. Regional Queensland outposts, such as Pentland, have seen diesel hit $3.25/L, leading to fuel rationing (Levinson, 2026). This energy shock is filtering through the construction chain, with freight operators seeking 15% fuel surcharges and petrochemical-based materials like PVC piping jumping 30% in cost (Wilmot, 2026).

This “supply-side squeeze” threatens to delay new housing and commercial projects, which ironically protects high rents for existing asset owners by limiting new competition (Wilmot, 2026).

Final Take

The Queensland market is currently defined by a tug-of-war between strong underlying property fundamentals and escalating external cost pressures. While “trophy” amalgamations and institutional deals prove that capital remains available for premium sites, the broader industry faces a complex environment where fuel prices and interest rates are reshaping project viability. Success in the current climate is increasingly tethered to asset scarcity and the ability to navigate a volatile construction cost landscape.

References

• Fellows, T. (2026, March 20). River Rail tradies would have been paid up to $334,000 a year under CFMEU push. The Courier-Mail.
• Herde, C. (2026, March 20). From warehouse to units: Inner-city development site sales. The Courier-Mail.
• Herde, C. (2026, March 20). Milton asset cornered: Local investor completes amalgamation. The Courier-Mail.
• Levinson, B. (2026, March 18). Building heights to triple at Brisbane site under latest council plan. The Australian Financial Review.
• Levinson, B. (2026, March 24). The town where you can buy only enough fuel to get to the next stop. The Australian Financial Review.
• MinterEllison. (2026). Queensland Procurement Policy 2026: Removal of BPICs.
• NAB. (2026). Quarterly Business Survey – Q1 2026.
• Wilmot, B. (2026, March 26). Rising fuel prices and interest rates threaten to halt new housing projects. The Australian.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Queensland Commercial Property Weekly Wrap-Up

Week Ending 20 March 2026

The Queensland commercial property market is currently navigating a period of high-conviction investment set against a backdrop of increasing construction cost pressures. Transactional activity this week has been dominated by a “flight to quality” and “fear of missing out” (FOMO), particularly within the Brisbane CBD office sector and prime coastal retail strips. While record construction activity of $318 billion was noted nationally last year, emerging geopolitical tensions and a 5-6% forecast increase in Queensland building costs are beginning to weigh on project feasibilities, further elevating the value of established, income-producing assets (The Courier-Mail, 2026; Wilmot, 2026).

Weekly Transaction Summary

Development – Bloom Tower Site, Auchenflower

355 Coronation Drive and 6 Lang Parade, Auchenflower

A 1,430 sqm riverfront corner site has been secured by Joe Adsett Developments for $15 million. The unconditional sale paves the way for “Bloom Tower,” a 23-storey luxury residential project featuring 90 apartments with an estimated completion value of $250 million. The site was fully leased at the time of sale, providing a gross holding income of approximately $273,260 per annum. The campaign’s intensity, featuring over 150 inquiries, underscores the significant appetite for blue-chip residential land within 1.5km of the Brisbane CBD (Herde, 2026).

Office – Gold and Blue Towers, Brisbane CBD

10 & 12 Eagle Street, Brisbane City

Marquette Properties has successfully leased 17,030 sqm across 21 separate transactions within the Gold and Blue towers over the last six months. Key commitments include CIMIC (8,100 sqm) and MOORE Group (1,800 sqm). Rental rates for the Gold Tower ranged from $1,075/sqm to $1,095/sqm gross, while the Blue Tower and Annex achieved between $1,095/sqm and $1,250/sqm. This activity indicates a tightening market where tenants are moving quickly to secure space ahead of major infrastructure completions like Cross River Rail (The Courier-Mail, 2026).

Retail & LFR – Sails Restaurant, Noosa Heads

75 Hastings Street, Noosa Heads

In a major hospitality play, a private investor has purchased the beachfront property housing Sails Restaurant for $15.3 million. The deal reflects a 4.66 per cent yield for the 460 sqm asset, which is secured by a long-term net lease with options extending to 2045. Noosa remains one of the most tightly held markets in the country, with this iconic Hastings Street asset attracting 186 inquiries from national and international buyers (Herde, 2026).

Retail & LFR – North Rise Shopping Village, Deception Bay

1-7 Mariner Boulevard, Deception Bay

The IGA-anchored North Rise Shopping Village has been sold off-market to a Sydney-based investor for $4.15 million at a 4 per cent yield. The 1,099 sqm centre, situated on a 5,083 sqm site, has seen a value increase from its $3.5 million purchase price in 2020. Located in the Moreton Bay growth corridor, the asset’s diverse mix of medical and essential services continues to drive investor interest in neighbourhood retail (Herde, 2026).

Retail & LFR – Bicycle Riders Building, Morningside

600 Wynnum Road, Morningside

A prominent 232 sqm retail freehold has sold to a local investor for $1.56 million, representing a super-tight yield of 3.48 per cent—the sharpest commercial yield recorded in 2026. The property, tenanted by Bicycle Riders for over 20 years, was sold on behalf of St Vincent de Paul Society Queensland. The rapid 10-day campaign highlighted the depth of demand for main-road retail investments in Brisbane’s middle-ring suburbs (The Courier-Mail, 2026).

General News

• Townsville North Rail Yards Transformation: The Queensland Government has unlocked $35 million for the remediation and heritage stabilisation of the 4.5ha North Rail Yards site. Impact: This investment clears the primary financial hurdle for a high-density hub featuring 319 apartments, significantly boosting commercial and residential density in the Townsville CBD (Smith, 2026).
• Construction Cost Projections: Rider Levett Bucknall (RLB) forecasts a 5% to 6% rise in construction costs across Brisbane, the Gold Coast, and Townsville in 2026. Impact: Escalating costs for steel, cement, and bitumen, compounded by skilled labour shortages, are likely to delay secondary project starts, further tightening supply in the premium office and residential sectors (Wilmot, 2026).
• Geopolitical Volatility: Rising tensions in the Middle East have introduced upside risks to freight and oil prices. Impact: For the commercial industry, this translates to higher logistics costs and potential material delays, prompting developers to focus on “unconditional” and “development-ready” sites to mitigate timing risks (Wilmot, 2026).

Final Take

This week’s activity reinforces a clear trend: capital is gravitating toward assets with long-term lease security or irreplaceable location credentials. The record-low yields in Morningside and the high inquiry levels for Noosa and Auchenflower sites suggest that despite a 5-6% construction cost escalation forecast, the “top end” of the Queensland market remains robust. As Brisbane’s CBD vacancy continues to tighten, the focus is shifting toward supply delivery and the preservation of heritage assets as seen in Townsville.

References

• Herde, C. (2026, March 13). Investor Sails into Noosa with beachfront purchase. The Courier-Mail.
• Herde, C. (2026, March 13). Retail Rise lures buyer. The Courier-Mail.
• Herde, C. (2026, March 13). Sale sparks new tower. The Courier-Mail.
• Smith, L. (2026, March 17). Platform for future growth in rail yards. Townsville Bulletin.
• The Courier-Mail. (2026, March 13). Bicycle retailer to stay.
• The Courier-Mail. (2026, March 13). Tenants in a rush for space.
• Wilmot, B. (2026, March 19). Construction at record level but problems build. The Australian.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation

Brisbane Commercial Property Transactions & Market News – Week Ending 13 March 2026

Market Overview

The Queensland commercial market continues to outperform southern counterparts, recently ascending to the position of the second-largest state for transaction value (Radar, 2026). While investor appetite remains high, particularly in “Olympic-ready” precincts, the sector is navigating significant headwinds including a projected construction workforce shortfall of 50,000 workers by 2027 and a national fuel security crisis (Fellows, 2026; Queensland Government, 2025). Despite Brisbane office fit-out costs being forecast to rise by 5% this year, the city maintains a competitive edge over Sydney and Melbourne, supporting continued occupancy demand in a supply-constrained CBD (Knight Frank, 2026).

Weekly Transaction Summary

This Week’s Highlights

Development – Southport Over-55s Community

60 Marine Parade, Southport

David Devine’s DD Resort Living has lodged a Development Application for a landmark $1.5 billion luxe over-55s precinct on the 1.4ha former Star of the Sea school site. The masterplanned community comprises 626 independent living luxury apartments across three towers rising 58, 52, and 41 storeys. The project includes 13,145 sqm of dedicated wellness amenity and 9,000 sqm of commercial space, marking a significant evolution in the scale and sophistication of the Gold Coast’s retirement living sector (Herde, 2026a).

Industrial – Port of Brisbane Logistics Lease

2-6 Bishop Drive, Port of Brisbane

PNG-based mining producer Ok Tedi Mining Limited has secured a critical 10-year lease for a 1.55ha logistics facility at the Port of Brisbane. The deal, valued at $36.6 million over the term, covers a high-intensity logistics hub featuring a 10,000 sqm container-rated hardstand. The transaction highlights the acute demand for port-centric assets and the sustained momentum in the TradeCoast precinct (Herde, 2026c).

Office – 9 Nicklin Way Investment

9 Nicklin Way, Minyama

RM Capital has acquired a high-profile, two-level office complex in Minyama for $7.5 million in an off-market transaction. The 1,234 sqm asset, situated on a major arterial road with 65,000 daily vehicle passes, was purchased at a discount to its estimated $11 million replacement cost. The deal underscores the strength of the Sunshine Coast office market, which currently boasts a mainland-low vacancy rate of 4.3% (Herde, 2026c).

Industrial/Development – Woolloongabba Portfolio Sale

11-13 Lotus Street, Woolloongabba

A private investor has paid $5.85 million for two neighbouring office-warehouses totaling 1,065 sqm. While currently refurbished for commercial use, the acquisition was driven by the site’s 35-level development potential. This sale reflects a continued trend of investors banking inner-city land for future vertical expansion within high-density urban renewal corridors (Herde, 2026c).

Medical – The Wesley Hospital Expansion

451 Coronation Drive, Auchenflower

Construction is underway on a $250 million, 10-storey medical services building at The Wesley Hospital. The expansion will include a dedicated Day Surgery Centre with six new operating theatres and expanded radiation oncology facilities. Scheduled for completion in 2028, the project is a significant investment in meeting the healthcare demands of a growing and ageing state population (Herde, 2026c).

Industrial – Acacia Ridge Lease

5/74 Murdoch Circuit, Acacia Ridge

Social impact workwear brand TradeMutt has secured a four-year lease on an 1,197 sqm office/warehouse unit for $205,190 per annum net. The building’s significant 345 sqm office component was a key attractor for the expanding tenant, illustrating a robust niche market for hybrid-use industrial spaces in Brisbane’s southern suburbs (Herde, 2026c).

General News

• Construction Insolvency Crisis: Major formwork contractor Form Structures is facing potential insolvency, having been removed from multiple high-rise sites across Brisbane and the Gold Coast due to non-payment of subcontractors (Skene, 2026). Impact: This instability poses a “contagion risk” for the development pipeline, potentially increasing delivery costs and timelines as developers seek replacement contractors in a tight labour market.
• National Fuel Shock: Global oil prices exceeding $US110 a barrel have led to retail fuel prices of $2.17 per litre in Queensland, with “panic buying” causing widespread shortages (Fellows, 2026). Impact: The surge in diesel costs and supply uncertainty is placing extreme pressure on logistics-heavy industrial tenants and construction material transport surcharges.
• NAIF 10-Year Extension: The Federal Government has extended the Northern Australia Infrastructure Facility (NAIF) for another decade, following a track record of $4.3 billion in committed financing (King, 2026). Impact: This provides long-term capital certainty for regional Queensland infrastructure, de-risking large-scale projects in the resources, energy, and housing sectors.
• Daintree Infrastructure Failure: Flash flooding has disabled the Daintree Ferry, isolating Cape Tribulation businesses and leading to calls for a disaster declaration (McLean, 2026). Impact: This event underscores the vulnerability of regional commercial tourism assets to infrastructure fragility, highlighting the need for resilient transport links to protect regional business values.

Final Take

The Queensland commercial market is currently a study in contrasts. While large-scale institutional projects in the over-55s and medical sectors signal long-term optimism, the ground-level reality of sub-contractor insolvency and a national fuel crisis presents immediate operational risks. For investors, the disparity between acquisition prices and soaring replacement costs remains the primary driver for interest in existing stock. As delivery certainty becomes the most valued commodity in 2026, assets with existing tenants and quality infrastructure will continue to command a premium.

References

• Fellows, T. (2026, March 10). Servos run dry as price surges. The Courier-Mail.
• Herde, C. (2026a, March 6). Devine place to retire. The Courier-Mail.
• Herde, C. (2026b, March 6). Mining firm’s silver lining with Port of Brisbane lease. The Courier-Mail.
• Herde, C. (2026c, March 6). Quick sale for office gem. The Courier-Mail.
• King, M. (2026, March 6). Why we’ve put the focus on our northern regions. Townsville Bulletin.
• Knight Frank. (2026). Asia-Pacific Fit-Out Cost Guide 2026.
• McLean, G. (2026, March 9). Daintree tour guide ‘overwhelmed by generosity’. The Cairns Post.
• Queensland Government. (2025). State Budget 2025-26: Employment and Infrastructure Outlook.
• Radar. (2026). National Commercial Transaction Analysis Q1 2026.
• Skene, K. (2026, March 7). ‘Red flag’: Company on brink as furious subbies, builders walk away. Gold Coast Bulletin.

For a complete list of weekly commercial transactions in Queensland, visit McGees Wrap Up | McGees Property Brisbane

Disclaimer: The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or professional advice. While we strive for accuracy, we make no guarantees regarding the completeness or timeliness of the content. Always seek independent advice before making any financial or real estate decisions. We are not liable for any loss or damages arising from your reliance on the information provided.

Liability Limited by a Scheme approved under Professional Standards Legislation