The rise of the retail property investment market in Queensland

Over recent years, the Queensland property market has seen significant shifts in supply and demand. Historically, retail assets have faced arguably more challenges and setbacks than many other asset types thanks to economic pressures, interest rates, changes in consumer behaviour and an unprecedented health pandemic.

Despite these challenges, retail properties in Queensland have demonstrated remarkable resilience and are proving to be strong performers in the current market. In fact, retail assets are only growing in demand among buyers and are forecast to be the highest performing type of asset in the real estate landscape. For buyers looking capitalise on Queensland’s evolving property market, retail real estate is without doubt a sector to watch.

Why retail properties, and why now?

There are several factors that have contributed to the robust performance of retail properties in Queensland:

• Economic recovery –The state’s local retail demand has been fuelled by economic recovery and population growth in a post-pandemic world. There has been increased desire among consumers to get the “real” retail experience by visiting physical retail spaces.
• Diverse retail offerings – The retail sector being more open, creative and responsive than ever before when it comes to attracting and retaining customers. It’s not just about traditional shopping habits – there’s been a shift towards more experiential and multi-purpose retail offerings, such as entertainment quarters and dining experiences which attract a diverse range of consumers.
• Growing tourism – There has been a surge in Queensland’s tourism sector which has been a contributing factor to a more robust retail market. Retailers are eager to secure prime retail locations to capitalise on the influx of visitors which has created ongoing demand for prime retail property and further enhanced their investment potential. The growth in tourism and retail investment is only set to soar as we approach the Brisbane 2032 Olympic and Paralympic Games.

How to improve the performance of your Queensland retail property

Enhancing the position of your property in the Queensland retail market requires a careful combination of research, strategy and investment. As leaders in retail property management, here are our key tips to improve the performance of your retail property:

• Enhance operational efficiency – Optimise and negotiate operational costs, streamline supply chains and conduct regular maintenance to reduce overhead costs.
• Invest in capital improvements and property upgrades – Improve the attractiveness of the property for tenants, customers and even future buyers by investing in upgrades that add value, functionality or lifespan (or a combination of these) to the property.
• Maximise revenue streams – Consider opportunities to broaden revenue beyond the physical retail space such as leasing out space for billboards or pop-up events, or offering billable services like cleaning or premium signage.
• Stay abreast of the latest market research – By understanding current trends and consumer preferences, you can be more targeted and purposeful in your investments in the property.

Manage your retail property with Kelly & Co Property

At Kelly & Co Property, we take the hassle out of retail property management by providing end-to-end asset management through a single experienced team.

We take a comprehensive approach to managing retail properties by providing all asset management, including rental and outgoings, reporting and inspections, facilities management and compliance with legal requirements.

Kelly & Co Property leverages over 50 years of experience as specialists in property management for retail properties in Queensland. Our team combines in-depth market knowledge with strong relationships to ensure retail spaces are managed efficiently, maximising both tenant satisfaction and owner returns.

Contact us to learn more about how we can help take your retail property from strength the strength.