Raine and Horne Commercial

13 | INSIGHTS SPRING 2018 QLD | Hervey Bay Sharlene Muir, of Commercial Hervey Bay says yields in the area range from 6.0-7.0% on retail property through to 7.0-8.0% for industrial and office assets, though yields can climb as high as 8.5% on office property. Investors have been the key drivers of the local market with SMSFs especially active in the $1-2 million price range. SMSFs are typically seeking yields of around 10.0%. According to Sharlene, the bulk of leasing enquiries in 2018 have come from NDIS-eligible customers seeking much bigger spaces, and as this looks set to continue as this industry experiences rapid growth in the Hervey Bay area. Tourism however remains the dominant industry in Hervey Bay, and Sharlene believes hotels are the best pick of commercial assets in the current market. She explains, “Tourism has always been our number one industry and we have seen a surge in holiday visitors in 2018. Therefore, hotel accommodation occupancy rates are currently at 90%.” Hervey Bay “ The bulk of leasing enquiries in 2018 have come from NDIS-eligible customers seeking much bigger spaces, and this looks set to continue as this industry experiences rapid growth in the Hervey Bay area. ”