HOT PROPERTY: Money to spend on land, buildings

Sale, leasing of industrial real estate picks up in Mackay since continued rise in coal prices

File picture. Picture: agnormark

THE sale and leasing of industrial real estate in Mackay has picked up significantly since the approval of the Adani Carmichael coal mine and the rise of coal prices.

Commercial and residential property real estate company Knight Frank senior consultant Mark Kelly said the month of December in 2016 was the best the company had seen in regard to sales and leasing turnover in two years.

"We've sold quite a lot of industrial land, established buildings and written numerous leases over the past couple of months," Mr Kelly said.

"There were miner signs of improvement in September, October lifted, and we had a better November, but December was fantastic and it seems to be continuing through into 2017.

"I think the improvement has been linked to the rising cost of coal and with that there is obviously more profit available for the mining companies that are established in Mackay.

"These positive signs have not been seen in Mackay for at least three years and it seems to be on the upside with industrial property demand."

Resource Industry Network director Mick Crowe agreed with Mr Kelly and said the mining industry sector was starting to invest in the Mackay region due to the announcement of Adani and the increase of coal prices.

"Most of the coal operators have spent the last three years not making money," Mr Crowe said.

"But with Adani and the increasing coal prices those clients are now starting to make money.

"We are now starting to see confidence within the sector with people starting to plan with a more structured approach to working which is positive sign for the Mackay region."

Originally published as HOT PROPERTY: Money to spend on land, buildings