Cranes still dominate Gold Coast skyline
Seafood king looks to take development site off market after buyers fail to chase the prize
GOLD Coast crane numbers still show signs of growth despite a drop in the second quarter.
That is according to property consultancy Rider Levett Bucknall, which has released its 10th Crane Index.
Launched in 2012, the index purports to show the health of the Australian construction sector based on the number of cranes on construction projects during a three-month period.
The latest report notes that the number of cranes on the Gold Coast fell from 34 to 30 between the first and second quarters of 2017.
Twelve cranes were added, all at residential projects, including Qube at Broadbeach, Boardwalk at Burleigh Heads and an additional crane at Jewel in Surfers Paradise.
Sixteen have come down, including seven at the Commonwealth Games athletes village and one each at Southern Cross University and Robina Private Hospital. Twenty-eight cranes are working on residential projects while the remaining two are located at The Star Gold Coast’s hotel development.
The number remains well above the second quarter of 2015 when there were 15.
GEORGE Raptis, Brisbane seafood king, baited a big Broadbeach property hook in 2015 but the buyers haven’t been biting.
Now George appears to have taken the bait – in this case the almost forlorn Niecon Plaza shopping centre and two adjoining properties – off the hook.
A move to sell the three titles, together forming a near 5000sq m development site in the very heart of Broadbeach, could well be in limbo for three years or more.
They are approved for two apartment towers, along with retail, food and office space.
That approval was being touted when an international campaign was launched to find a buyer.
Any interest that surfaced has failed to result in a sale – or even joint venture – and the Raptis camp appears to have moved to plan B.
One of the properties, a former home to a National Australia Bank branch and then a McGrath real estate office, has been leased to Kollosche Prestige Agents.
The lease runs to 2020 and comes with a two-year option.
Efforts are under way to lease the adjoining Raptis building, a former Commonsix-month wealth Bank base.
Meanwhile, the biggie in the Raptis three-pack, Niecon Plaza, is a somewhat sad sight.
There are numerous empty shops on the ground level.
One former tenant says the “emptiness” might in part be related to the landlord’s decision, ahead of marketing the development parcel, to seek demolition clauses in any new or renewed leases.
That’s common practice with properties that are being sold as redevelopment sites – no developer wants the added financial impost of having to buy tenants out of leases.
At one point, apparently in an effort to make things look a bit busier, pop-up space was being offered in Niecon Plaza.
The Raptis camp has owned the plaza and adjoining Niecon tower since 1993, buying them for $22.1 million from mortgagee the ANZ Bank.
The ex-bank buildings, bought in 2009, cost a further $18.715 million.
The 2015 Raptis sales campaign was not George’s first move to bring new life to the Niecon Plaza site.
Back in 2007 he and developer Larry Matthews were laying plans for a Trump tower on the plaza and Matthews owned CBA site but the GFC intervened.
Meanwhile, George is suffering rather crimped income from his Broadbeach holdings but he has the financial fortitude to easily endure any “pain”.
He appears to have a rather healthy property portfolio and in 2013-14 spent nearly $100 million buying shopping centres at Inala and Ballina.
ANY INTEREST THAT SURFACED HAS FAILED TO RESULT IN A SALE AND THE RAPTIS CAMP APPEARS TO HAVE MOVED TO PLAN B