CENTRAL HUBS IN DEMAND

Written on the 21 August 2015 by Greg Bell

CENTRAL HUBS IN DEMAND

COMMERCIAL leasing is springing back to life in Southport and Surfers Paradise as tenants jostle for the best position in well exposed locations.

The resurgence of leasing activity is in large part due to the overwhelming success of the first stage of the city's light rail system which has breathed new life into these markets.

Vacancy rates are significantly lower than they were 12 months ago and we are seeing more instances of multiple offers on a tenancy.

Surfers Paradise, in particular, has experienced a major turnaround from past years when shops and offices would stay vacant for months without raising any inquiry. Now, regardless of the season, Surfers' streets are bustling.

Our Surfers Paradise retail leasing specialist Ryan Chandler reports that in particular, The Forum and Lido Arcade properties in Surfers Paradise have experienced a huge spike in interest and offers from tenants.

We are seeing high quality operators relocating to Surfers Paradise from competing areas like Main Beach, Broadbeach and even Byron Bay.

National tenants and strong interstate operators are also beating a path to our tourism heart. For example, Sydney-based indoor skydiving company iFly is soon to open a Gold Coast location on Surfers Paradise Boulevard.

Burger and bar venue Brooklyn Depot, by the creator of Crust Pizza, has launched a new concept in Surfers Paradise is looking at interstate expansion. Howl at the Moon has relocated north from Broadbeach and the new Cocoon has breathed fresh air into the suburb's bar scene.

High calibre tenants are drawn by the growth and maturation of the precinct and the great opportunities to flow from being centrally located on the Gold Coast.

Subsequently, the tenancy mix is strengthening.  As these higher quality operators come into town, it inspires others, as businesses want to be surrounded by other good operators. The result is vacancies are dropping and rents are firming up.

Interestingly, tenants aren't solely focussed on the traditionally high foot traffic areas like the top of Cavill Avenue they're spreading out to areas that not long ago were 'no go' zones.  The old bus depot, which has now become the 4217, is representative of how quality operators are spreading from the heart of Surfers Paradise.

Another spinoff is the very welcome rise in the standard of shop presentation, with more unique and impressive fit-outs evident along the street fronts of Surfers Paradise and Southport.

Not surprisingly, tenancies with a wide shopfront or alfresco dining spaces are the most sought after by prospective tenants.

It's clear that these areas have turned the corner and are set to flourish further as development continues to take off and the city readies itself to host the 2018 Commonwealth Games.

This is an opinion piece by Greg Bell (pictured), director of Ray White Surfers Paradise.


Author: Greg Bell
About: Greg Bell is the Director of Ray White Surfers Paradise Group

Latest News

STAFF CHURN BLAMED FOR MCGRATH EARNINGS DOWNGRADE

MCGRATH will fail to meet earnings forecasts after some of its star real estate agents defected to growing Perth firm...

MCBAIN RESIGNS AS BELLAMY'S DIRECTOR WHILE THIRD CLASS ACTION MOVES CLOSER TO SECURING FUNDING

LAURA McBain (pictured) has resigned as a director of Bellamy's Organic (ASX: BAL) today, effective immediatel...

REDBUBBLE TO MISS IPO FORECASTS

REDBUBBLE, the online marketplace for independent artists, will miss a series of forecasts set out in its IPO in its ...

BLUESCOPE CONTINUES STRONG RUN WITH GUIDANCE UPGRADE

BLUESCOPE Steel (ASX: BSL) is trading up 7.51 per cent at $11.16 per share after upgrading its half-year guidance thi...

Related News

CARSALES CEO RETIRES AS NEW COMPETITOR COX FINALISES MERGER

CARSALES will have a new CEO as it takes on a fresh challenger to its crown as the dominant online car sales portal i...

BUSINESS CONFIDENCE AT A SIX-YEAR HIGH

SMALL and medium businesses have entered 2017 with their confidence at a six-year high, building on strong gains m...

CONSUMERS PESSIMISTIC ENTERING 2017

CONSUMER confidence remains at its weakest point since April 2016, according to the latest Westpac Melbourne Institut...

RISE OF STARTUP SUPPORT PROGRAMS NOT AS ROSY AT IT SEEMS

ENTREPRENEURIAL cultivation companies in Australia are appearing quickly, but questions have been raised about whe...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter