PODCAST
QLD MARKET OVERVIEW
QUEENSLAND
Mark Witheriff - CBRE Gold Coast Nick Witheriff - LJ Hooker Kingscliff
and possibly strengthen. Buyer confidence has improved, with more people looking to purchase or rent, albeit with limited property availability. Rob: Recent transactions indicate the Gold Coast is back on the radar of international investors, including a recent deal with a Canadian real estate investor. What’s driving this renewed interest from abroad? Mark: The Gold Coast has always been a top tourist destination, but it now offers stable population growth and job opportunities, making it an attractive investment. Premium beachfront properties are particularly appealing. For example, American investor Sentinel Real Estate acquired a hectare in Robina for a build-to-rent project. Driven by the city’s growth potential, we’ll see targeted investments rather than a flood of foreign capital. Rob: Regarding build-to-rent, are you finding other groups showing interest in similar projects? Nick: We’ve sold several sites for build-to-rent projects in the past two years. There’s strong demand from Canadian, Singaporean, and Hong Kong investors. However, the challenge is how to build, given the current construction constraints, which the Queensland government is working to address. What’s the market like for greenfield development sites across the Gold Coast and Northern Rivers regions? Nick: There’s high demand for sites which have development approvals (DA’s). In Northern New South Wales and Southern Gold Coast, sites with DA’s are snapped up quickly - buyers are cautious
Ready Media Group’s Rob Langton, caught up with Mark Witheriff, Managing Director of CBRE Gold Coast, and Nick Witheriff, Director of LJ Hooker Kingscliff, to discuss the Gold Coast commercial property market. Here’s a summary of their discussion. Rob: Mark, Nick, many thanks for your time and look forward to sharing your insights. You’ve obviously both been involved in the real estate industry for some time now, how have you seen the market change and evolve over the years? Mark: The market has changed dramatically over the last few decades, from a sleepy fishing village to now as an international destination with top-notch food, wine, restaurants, and accommodation The Gold Coast market is strong due to the migration from South to North. Office vacancy rates dropped from 17% pre-COVID to 6%, with rents up 20% in 12-18 months. There’s a supply shortage in both residential and commercial sectors, contributing to a positive outlook for the next 5-10 years. With rising construction costs and supply chain issues many developers project’s don’t stack up financially, with the exception of prime beachfront sites, which can command premiums. Nick: As a residential market it has seen a big shift, especially across the Southern Gold Coast and Northern New South Wales regions. With the vast infrastructure developments, it’s no longer just a holiday spot, it’s home to many families and retirees. With interest rates expected to stabilise, I expect regional property prices to stay positive
MARK WITHERIFF Managing Director of CBRE Gold Coast
NICK WITHERIFF Director of LJ Hooker Kingscliff
88 – May / June 2024
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