Yatala Enterprise Update With Angus Page

The Yatala Enterprise Area comprises the suburbs of Yatala, Stapylton and Ormeau. This region is located along the M1 Pacific Motorway between Brisbane and the Gold Coast, and over the past decade it has become home to many major companies including ALDI, Trade Tools and Caterpillar.

The commercial property market is now thriving after the economic turmoil caused by the COVID-19 pandemic early in 2020. The increase in the level of interstate migration to Queensland in 2021 has created new opportunities for small businesses and improved the local economy in Logan and on the Gold Coast. Private investors and owner-occupiers are seeking to take advantage of the current low interest rates which is resulting in a strong demand for smaller, high quality commercial assets. This has driven up capital values and compressed investment yields.

Similarly, the leasing market has also witnessed considerable improvement. The increased activity of new and existing small businesses looking to expand, contract or relocate, has resulted in an increase in the number of lease transactions. Existing vacant stock absorbed a lot of this pressure in late 2020. However, currently there is a shortage in the supply of these smaller quality assets available for lease. In turn, this has driven up the net face rents for these assets in the Yatala Enterprise Area.