Property confidence back
FOLLOWING commercial sales hesitation at the beginning of the COVID-19 crisis, a major Cairns property firm is noticing some confidence return to the market.
CBRE Cairns senior sales and leasing agent Bill Millett said the group had been able to maintain the sale of commercial and industrial properties through the COVID-19 crisis, with a number of properties settling in the past week.
“Properties have been selling quite well and stock is low,” he said.
Mr Millett did not consider the current situation to be more helpful either to the buyer or the seller.
“We have not got people racing around offering stupid prices and we have been very lucky that both buyers and sellers are realistic,” he said.
“We have not seen any distressed sales and the market has maintained a steady momentum over the COVID period.”
Recent sales include a quality commercial office of 507m² at 37 Anderson St, snapped up by southern investors.
“In investment properties we did think there would be a delay (in sale activity) and the Anderson St buyer was a little
ORIGINAL concerned,” CBRE’s Mr Millett said.
Also sold recently was a freestanding warehouse at 11 West St which sold to local company Smart-Crete Floors, who are planning a move to this larger facility to meet expanding business needs.
“In further good news, vacant industrial land has also proved to be very popular with a large industrial parcel of 5054m² in Newell St being sold to a local buyer also wishing to expand their business in Cairns, with the intention of constructing a large warehouse,” he said.
Mr Millet said the expected downturn resulting from the COVID crisis had affected leasing figures which had been depressed slightly but he was not forecasting a “doom and gloom” outlook.
“We are going to have our share of pain but even in regard to leasing inquiries they have started to pick up,” he said.
“We have maintained our sales, leasing has slowed a little bit, but now they are much more confident to go forward with expansions or leasing.
“It’s a tough market out there but not a doom and gloom market.”
Other recent sales include an office in the Woree Industrial Business Park.