Boisterous commerical property market comparable to major city growth
THE Gold Coast's steady population growth and broad range of infrastructure means it can now 'mix it' with the major cities in commercial property, says commercial property financier Balmain Commercial.
Directors George Vazey and Noel Pennell say the commercial property market continues to be boisterous, as it gains momentum with investment and acquisitions reamain strong.
"The Gold Coast is a desirable location with well-established businesses driving the economy and spurring investor confidence in commercial property," says Mr Pennell.
"A continuing market trend for active investors is to acquire under-developed and under-performing properties, refurbish and then put them on the market for lease and/or resale," he says.
"Interest rates also remain favourable to the investor, with longer-term fixed rates holding steady as a good sign for the future. Lease rental rates for quality property continue to hold firm and increase in line with the growth of the business sector.
"A range of new office blocks are making their way to the market place, providing a diversity of location, rental rates and owner-occupier strata acquisitions."
Balmain Commercial is one of Australia's largest commercial mortgage originators and managers, with more than $3 billion in settled loans annually and a total loan book exceeding $6 billion under management.
George Vazey, who founded Balmain Commercial Gold Coast nine years ago, says commercial property is tightly held, particularly in Southport and Robina.
"We expect this demand to continue into 2007, as an increasing number of investors look to the commercial property market as a sound investment option," he says.
Get our daily business news
Sign up to our free email news updates.