Queensland | 31 The commercial property market in Townsville has remained strong throughout 2022. It is expected to continue its positive run into 2023 because of the combination of strong business confidence and employment growth that are up year-on-year. According to Peter McCann of Commercial Townsville, small properties under $1 million are popular, with owner-occupier buyers choosing to buy and take advantage of low-interest rates available in themarket. This activity has caused a shortage of small tomedium industrial warehousing opportunities for lease, and prices per square metre have shifted to anywhere between $130 and $180 sqm. Solid sales and leasinggrowth in 2022 for industrial properties have seenan increase in commercial land sales. Some industrial properties have sat dormant for years, and developers are reaping the benefits by building small industrial estates to meet demand. “The suburb of Garbutt remains the place to be for small to medium businesses who still want to be close to the suburbs and the CBD,” Peter says. Out-of-town investors continue to look further north of Brisbane to regional areas where they can buy a lot more for their dollar and receive better yields of anywhere between 7 and 9%. These yields are across all sectors, office, retail and industrial. Where strong leases are in place, investors are purchasing sight unseen in some cases to avoid missing out. Demand for office space in the CBD is middling, with businesses choosing the suburbs to set up rather than the CBD. However, there is evidence of renewed confidence in the CBD, with several investors buying older-style properties with views. Peter explains, “The investors are reinvigorating these properties with a new look and re-leasing them to retail and office-based businesses. “On the whole, Townville will benefit from strong economic development from infrastructure projects in the pipeline or already underway. This economic strength will enable the capital of North Queensland to remain the choice for commercial property owners for the foreseeable future.” Peter McCann peter.mccann@townsville.rhc.com.au Townsville
RkJQdWJsaXNoZXIy MTI3ODI1