Raine and Horne Commercial

27 QLD - Mackay Des Besanko of Commercial Mackay reports yields on industrial property of 8-8.5%, and 9-10%on office space. Current vacancy rates are around 5% for retail assets, rising to 20% for office space. However, industrial property is a strong performer with a vacancy rate of just 2%. According to Des, the pandemic has not generally impacted retail or industrial property inMackay, and there has beenminimal impact on office space beyondmandatedwork fromhome rules during lockdowns. As a guide to the strength of themarket, Commercial Mackay recently sold 33Michelmore St, Paget, an industrial shed on a casual tenancywith Hastings Deering. The property sold for $5.4millionwith vacant possession. The buyer coordinated $250,000 in upgrades, to achieve an internal lease of $500,000pa plus GST. - Des Besanko des.b@rhc.com.au