The volume of sales across the Gold Coast has slowed the second half of the year after a robust start to the year. Strong development site sales, shopping centre transactions as well as hotel sales saw volumes reach close to $1 billion in the first six months of the year, this has waned in the period from July to November where development site transactions reached $83 million and retail sales were just shy of $50 million.
Office transactions however have been higher later in the year recorded at over $100 million notably due to the sale of The Rocket at Robina for $70 million. Despite this total turnover level reducing, the number of transactions has remained high, highlighting a greater proportion of sub $10 million assets. The buyer pool at this price point has been greater including overseas investors; resulting in increased competition and reduction in yields across all asset classes.
Demand for quality assets across the Gold Coast remains strong however the lack of stock has resulted in a slowdown in activity. 2016 is likely to be another busy year for both domestic and international buyers given the low interest rate and falling Australian dollar.