If it is one thing that we have come to know of late, is that there is no shortage of infrastructure and development projects on the horizon for the Brisbane CBD. With more than $10 billion worth of major projects due to be completed in 2022 - the myriad of infrastructure projects currently underway bestows a wealth of opportunities for property investors to tap into – and all thanks to Brisbane’s vastly growing economy!

As a tenant or property owner, one of the biggest advantages that comes with living in the CBD is convenience; saving both time and money which often stems from less time commuting to and from work as well as the close proximity to amenities such as schools, public transport, shopping precincts, etc.

Let us focus on this idea of being close to work for just a moment. With today’s fast-paced lifestyle, it is no wonder more and more people are seeking opportunities to save time and money. Nothing could do this better than living closer to work.

By living in the CBD, the money saved on fuel each day soon adds up. Plus, there are the countless hours each week which is saved in time going to and from the city, stuck in peak hour traffic. For many, that is why the option of city living is becoming an obvious choice.

It is also why these days we are starting to see a vast increase in the number of tenants taking solace of a CBD lifestyle. Also why so many investors are buying investment properties in the heart of the CBD! And why more offices were going up in the CBD.

The proof is in the numbers… according to the Property Council, Brisbane CBD’s office market record vacancy level has fallen to 15.3 per cent. Knowing that office vacancy levels are down can only mean one thing… the number or offices are up.

From recent reports we know that is certainly the case, especially given that the Brisbane Transit Centre is set to see 11,000sq m of its commercial space refurbished by Lend Lease as well as the Shayher Group’s plans to build an office tower.

Naturally, once the news broke that more commercial work spaces going up in the Brisbane CBD, we were more than pleased.  After all, with more work hubs and city offices being built in the CBD, that spells more workers… and equally more tenants for our property investors.

According to recent media reports^* and industry sources, here is what we do know about each of these projects:

Brisbane Transit Centre, Lend Lease

 -  The $8.5 billion ASX-listed construction and property company Lend Lease had signed off on an extensive redevelopment of the East Tower within the transport hub.

- Further redevelopment of the 29,000sq m complex is said to be on hold until the state government determines its plans for the much-vaunted but as yet unfunded $5.4bn Cross River Rail, which could use the centre above and around the Roma Street station.

 - The Lend Lease-managed Australian Prime Property Fund Commercial last year paid $62.6 million to buy out GPT Wholesale Office Fund’s share in the mixed use, developable asset.

CBD Office Tower, Shayher Group

- The Shayher Group, an affiliate of the Taiwanese Pau Jar Group, has invited construction tenders for its $600m office tower, with building contracts for this and its residential tower standing at $370m. 

- The proposed 40-storey tower in its $1bn Brisbane Quarter precinct is forging ahead despite the absence of a locked-in lease for the 48,000sq m space.

- Last year, it was announced JLL and CBRE would handle leasing for the office tower, and Colliers International the retail.

Add to this, the construction of the Shayher Group’s W Hotel and their residential tower which is set to go on the site of the city’s former Supreme and District courts.

With market confidence on the rise and a boost to major infrastructure projects (such as the likes of the Shayher Group’s new office tower and W Hotel as well as Lend Leases’ redeveloped Brisbane Transit Centre), it is clear that the Brisbane CBD is going through an exciting transitional period!

Thanks to this shift, Brisbane’s economy can expect to see a lot of positive changes take shape over the coming months and years.  By this we mean driving more employment in the CBD, which equates to more tenants. Further proof of the wonderful things in store for the Brisbane CBD and the investors that support it – once again!

For more information or to schedule an appointment with the experts in Brisbane property, contact the HSBP team on 0419 782 133.

Source: Courier Mail