Two Sunshine Coast property sales worth over$5 million shows confidence in premium market

The recent sale of two Sunshine Coast properties, a retail property at 41-43 Bulcock Street Caloundra and an industrial property at 33 Technology Drive Warana show strength in the Sunshine Coast property market.

The transactions by Colliers Queensland agents Shaun Seeto, Hunter Higgins, Nigel Irving and Ben Flower demonstrate there is strong demand for quality investment opportunities.

The premium retail property at Bulcock Street Caloundra, tenanted by Westpac and ANZ, and located on the main street was purchased for over $3.1 million by a local business owner.

Colliers Queensland Executive Investment Services Shaun Seeto said with 547 sqm of lettable area, 881sqm of land and with the opportunity for future development, there was huge interest in the site.

“Premium investment opportunities of this quality and location, and with strong national covenants, are rarely offered to market,” Shaun Seeto said.

“The expressions of interest campaign generated over 130 enquiries resulting in strong inspection traffic, multiple competitive offers at the close and a resulting yield of 6.74 per cent.

“The buyers were attracted to the property’s unrivalled main road exposure and the existing leases with anchor tenants Westpac and ANZ.

“Additionally, the buyers were drawn to arguably the best location on the main thoroughfare with zoning allowing for future development.  

“The purchaser was a Caloundra based investor who acquired the property as a long-term holding in one of Caloundra’s most bustling precincts,” Shaun Seeto added.

In another Sunshine Coast property transaction, 33 Technology Drive Warana was sold for $2 million to a private investor.

Shaun Seeto said the 840 sqm building on an irreplaceable 1,942 sqm industrial site was currently leased to an established tenant, Sunquest Signs.

“The Warana industrial precinct remains highly sought after by owner occupiers, tenants and investors due to its central location on the Sunshine Coast and proximity to the hospitals. Rarely is a freestanding investment property with a triple net lease offered to market in this precinct.

“The expressions of interest campaign generated over 60 new enquiries resulting in a highly competitive campaign, with 6 written offers at close and a resulting yield of 4.87 per cent.

“The purchaser, a Brisbane based investor, entering the commercial investment market acquired the property as a long-term holding in one of the Sunshine Coast’s tightest industrial precincts,” Shaun Seeto added.

Colliers Queensland Researcher Pragya Sharma said the Sunshine Coast had experienced a significant population increase, creating various property opportunities in the region.

“In the industrial sector, the rise in household consumption has resulted in a demand for warehouses which has led to reduced vacancy,” Pragya Sharma said.

“In the retail sector, the Sunshine Coast continues to benefit from the growth in inbound tourism following the reopening of borders.

“Increased hotel occupancy rates and the return of international students have further strengthened the retail market,” Pragya Sharma added.