Southport development site sells at auction for $6 million as the ‘sleeping giant’ awakens

A prime redevelopment site in the heart of Southport’s CBD has sold under the hammer for $6 million plus GST in the first major commercial deal on the Gold Coast since Brisbane won the hosting rights for the 2032 Olympic Games.

The property, located at 114 Scarborough Street on the corner of Hicks Street, attracted strong interest from local and interstate parties following a marketing campaign managed by Steven King, James Crawford and Sam Biggins of Colliers International.

The in-room auction drew five active bidders who quickly exceeded reserve in a sign of renewed investor confidence in the Southport market.

Interest in the property was heightened by an existing development approval for a mixed-use project comprising a 47-level hotel and residential apartments.

The site, totalling 2430sqm, is fully cleared and was sold under instruction from receivers. It has been bought by a private local buyer with the sale price struck at $2,469 per square metre.

“This is well above expectations and signals renewed interest in the development potential of Southport as the city’s CBD,” said Mr King, Colliers International’s Gold Coast director-in-charge.

“Sales activity for high-density-zoned development sites in Southport has been relatively subdued this year compared to the rest of the Gold Coast market.

“While sites in southern beachside markets continue to attract record prices, this sale demonstrates that Southport has begun its development site rebound.”

The vacant site is located within Southport’s designated Priority Development Area and adjacent to the City of Gold Coast’s Mal Burke Car Park which has been earmarked for a $300 million twin-tower justice and government hub.

The Colliers International auction, held on Thursday, July 22, was the first major test of the Gold Coast commercial market, coming shortly after Brisbane was announced the official host of the 2032 Olympic Games.

“There’s no doubt securing the Games has given the market an added confidence boost,” said Mr King.

“But we have seen Southport as a sleeping giant for some time because of its central location, and its great infrastructure and amenity. The outcome of this auction and the level of interest we fielded for this property clearly shows the market is now starting to recognise this.”