Login
iscover
Queensland’s industrial market has surged and is expected to continue growing over the year, according to recent industry findings.
Cushman & Wakefield has revealed that the industrial property sector in Queensland has recorded a significant increase in investor activity, with total investment volumes in Brisbane climbing to approximately $500 million over 2024.
This represents a marked 16 per cent increase compared to the same period last year.
Noting that the state’s industrial market is well positioned for further growth, Cushman & Wakefield revealed that more than $300 million of assets are currently under due diligence, suggesting a strong pipeline of deals in the months ahead as well.
According to the firm, the stabilisation of debt costs since late 2023 has been a critical driver of the resurgence of interest in Queensland, which has provided clarity on pricing and unlocked market liquidity.
With potential rate cuts and moderating bond yields anticipated over the next six months, Cushman & Wakefield stated that investors are witnessing a “window of opportunity to capitalise on cyclical investment prospects”.
Cushman & Wakefield’s national director of capital markets, logistics and industrial – Queensland, Gary Hyland, said that “the value proposition in Queensland’s industrial sector remains attractive, with market dislocation offering room for value growth before the anticipated yield compression cycle begins in 2025”.
Hyland further described Brisbane’s industrial occupier market as remaining “robust” through being supported by “ongoing structural trends and an undersupply of warehouse space”.
“Over the past year, rental growth in Brisbane has averaged 13.2 per cent, outpacing both the Sydney and Melbourne markets,” Hyland said.
“In select infill locations, rental growth has been even higher, nearing 20 per cent, highlighting the growing demand for well-located industrial assets,” he added.
As a result of this increased demand for “large-scale industrial opportunities”, Cushman & Wakefield’s Gary Hyland, Morgan Ruig and Matt Richards have been tasked with bringing the 29,470-square-metre Rocklea Central industrial estate to market.
With the industrial lot containing a mix of 24 tenancies across a variety of facilities, director and head of brokerage logistics and industrial – Queensland, at Cushman and Wakefield, Morgan Ruig, said that “the estate has maintained consistently low vacancy rates due to its high-profile location, tenancy mix, and large handstand areas”.
This sentiment was echoed by director, brokerage logistics and industrial – Queensland, at the firm, Matt Richards, who highlighted that through “spanning over three titles, with pending short-term lease expires across two, the asset provides the opportunity for owner-occupiers to secure functional buildings within a tightly held market”.
“The shorter lease terms are also attractive to investors who are seeking immediate rental reversion which will better enhance returns,” he said.
Never miss a beat with 
Stay across what’s happening in the Australian commercial property market by signing up to receive industry-specific news and policy alerts, agency updates, and insights from reb.
Subscribe to reb Commercial:
You are not authorised to post comments.
Comments will undergo moderation before they get published.