Article by Alister Thomson | 20 Apr 2018 | Gold Coast Bulletin | Business Property | p55
Refurbishment of Australia Fair’s office tower is set to delivery an injection of A-grade space into the tightening Southport market.
The vacancy in the CBD has been on a downward trajectory for years. In 20100 it sat at 21.9 per cent, but at the start of this year, that rate had fallen to just 13.2 per cent.
Australia Fair centre manager Ramon Otten said the owner, YFG Shopping Centres, is looking to take advantage of growing demand for quality office space. “The vacancy for B or C-grade space is pretty high, but the likes of Zupp Place, where the owner has put money in to the building are pretty much fully leased, “he said.
Mr Otten said the refurbishments to the office tower will start with serviced offices on Level 10, and extend over a 12-month period.
Australia Fair has 5800sqm of C or B-grade space.
Mr Otten said the renovations will include installing new lifts and upgrading the air conditioning for the tower.
He said the property offers some of the largest floor plates in the CBD, as well as some of the best views out over the Broadwater.
Mr Otten said once the serviced offices have been built, and new tenant Petsafe Pet Supplies moves into a 254sqm space, there will be an 11.7 per cent vacancy rate at the tower.
“The opportunity really is to take the space forward,” he said.
The Southport A-grade office market has undergone something of a revival in recent years.
Zupp Property Group relaunched the refurbished Zupp Place in 2015, after purchasing the nine-level building for $10.7million in 2014.
It underwent extensive renovations including relacing he air conditioning and lifts. The building now has just one vacancy.
Seabank, prior to its sale to Strada Group, was also renovated, including new lifts.
Strada paid more than $34million for the asset.
