Brisbane Airport in full flight as demand on the ground soars
With $1.3 billion in property assets and rising demand for its retail, commercial and industrial space, Brisbane Airport precinct is in full flight.
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IT could be regarded as Brisbane Airport’s “third runway” but it’s for landing property deals not aircraft.
With $1.3 billion in property assets and rising demand for its retail, commercial and industrial space, Brisbane Airport precinct is in full flight.
It has taken off as a sought-after destination for growing businesses due to its strategic location and a tightening in available stock in the market.
One of the precinct’s latest and most significant arrivals is engineering and construction giant Downer Group in a leasing deal worth more than $1 million a year.
Consolidating several of its business units under one roof, it has secured a 7112sq m office/warehouse at 60-62 Qantas Drive within Export Park.
The move follows the departure from the facility of Swedish mining equipment supplier Sandvik.
It is understood the Downer deal was struck at a rental rate of $897,750 plus GST and outgoings.
Brisbane Airport Corporation’s general manager of commercial businesses John Tormey said there was significant interest in the facility property and a number of competitive bids were submitted.
“It’s pleasing to see Downer, another high-calibre tenant, join the robust business community here at Brisbane Airport,” he said.
“Our quality industrial facilities are developed to the highest specifications so that we have the best possible prospect to relet to credible tenants expeditiously, should our tenants decide to vacate once their initial term is complete.”
Cushman & Wakefield’s Michael Callow and Bevan Galloway negotiated the 10-year lease with a five-year option.
“Brisbane Airport at the moment is a very popular hub for companies to relocate to,” Mr Callow said.
“There’s a lot of activity because of the momentum behind the construction of the second runway as well as the increased amenity and infrastructure that the precinct now offers to tenants out.
“And there’s a lot of land still to be developed through that Brisbane Airport precinct.
“They are controlling one of the largest and last remaining land parcels within the TradeCoast region.”
The Qantas Drive facility comprises 1758sq m of corporate grade office space and a 5354sq m high bay warehouse on a 21,600sq m fully fenced and secured site with ample hardstand and 131 on-site car spaces.
Mr Galloway said Downer came out with a mandate earlier this year to reduce the number of properties it was occupying and took a requirement to the market to consolidate five of its business lines in one location.
“They did a complete review of all the property options within the TradeCoast and a number of suitable options were identified,” he said.
“The Qantas Drive facility appealed because it had a slightly higher office component (24 per cent) and large hardstand area.”
Mr Tormey said BAC’s property division, BNE Property, would begin construction on another 5000sq m office/warehouse facility in Export Park early next year for an undisclosed tenant.
Miele Australia is also moving into a purpose-built 7065sq m office/showroom/warehouse before the end of the year.
Other plans include development of a campus-style business park within its expansive Skygate precinct, home to DFO Brisbane.
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