Southport CBD emerges as a 'sleeping giant' amid $44 million sales spree

Southport is emerging as the ‘sleeping giant’ of the Gold Coast commercial property market, according to Colliers, with the leading agency revealing it has secured a string of deals totalling $44 million in the first five months of this year.

Colliers says that investors and end-users are flocking to Southport market opportunities amid a multi-billion investment spree in private and public currently driving the Southport CBD’s revival.

Colliers has negotiated eight deals in Southport so far in 2023, with the sales led by development sites and office holdings.

Among the negotiated sales are two vacant lots with existing development approvals at the $500 million Queen Street Village project, which Colliers’ Gold Coast director-in-charge Steven King said highlighted demand for prime sites that are ‘shovel ready’.

“Over the past six months we’ve experienced a surge in demand from investors, developers and end-users for properties in Southport CBD which is fast becoming the go-to precinct for many of them,” said Mr King.

“The feedback we are getting from these buyers is that they recognise the untapped potential of the CBD precinct.

“Southport is definitely the sleeping giant of the Gold Coast market as the prime focus in recent years has been squarely on Surfers Paradise, Broadbeach and further south to Burleigh.”

The latest Colliers Gold Coast Market Overview identified the growth potential of Southport, with the CBD’s transformation supported by more than $5 billion in public and private investments.

The Colliers report says Southport CBD has firmly established itself as the Gold Coast’s city centre with the highest concentration of employment and population.

The report notes that with ‘city-changing projects expected to become a reality’, commercial redevelopment opportunities are emerging in the precinct, which it describes as a ‘crucial location’ for the city’s expanded transport network.

Mr King said significant infrastructure investment across the city, including the light rail extension to Burleigh, has helped heighten investor interest in the area.

“The planned rejuvenation of Chinatown and the refurbishment activity currently under way at Australia Fair have added to the growing appeal of the Southport CBD,” said Mr King.

“We’ve seen a sharp spike in investor interest in Southport since this time last year.

“The office market has been particularly strong, with the Southport market ranking among the city’s top markets for the take-up of space. That’s comes at a time when the Gold Coast continues to outshine the national office market with vacancy rates falling against a backdrop of rising vacancies nationally.”

Among the Southport sales negotiated by Colliers so far in 2023 are:

·       Lot 1 Queen Street Village (development site)

·       Lots 7,8 and 9 Queen Street Village (development site)

·       34 Nerang Street (retail) 

·       Pivotal Point (office)

·       Lot 105 Scarborough Street (office)

·       6 Short Street (office)

·       56 Nerang Street (office)

·       509 Olsen Avenue (industrial).