Developers Look South For New Opportunities
Illawarra Mercury
Wednesday May 21, 2008
THE sale of Austinmer Bowling Club for $1.8 million reflects a trend in the Wollongong property market, according to Colliers International sales and leading agent Travis Machan.
The bowling club property will immediately become available for lease and could be used for anything from a restaurant to a child-care facility or pre-school.Travis said the commercial market had gone from strength to strength.He said studies showing substantial growth in the commercial sector were being supported by a high level of interest."We have been contacted by numbers of developers for reports on what is available in Wollongong and there is definitely a lot of properties coming on board," he said."A lot of developers from out of the area who have inquired about particular properties we have marketed since the start of the year have requested we keep in contact with them about development opportunities. There are a number of exciting properties that will come on board within the next 12 to 18 months."Travis said the Independent Commission Against Corruption inquiry had had little impact."It ruffled a few feathers and prompted a few decisions about whether to go or not go forward with certain projects," he said. "But based on plans I have seen for the Wollongong CBD, some exciting developments are coming on board that will significantly improve the quality of commercial accommodation and tourism."Travis said the new GPT development was fuelling some of the interest."That site will attract a lot of high-quality franchises and businesses that haven't been seen in Wollongong for a while," he said. "Wollongong was seen as a regional city and wasn't seen as offering a diverse range of product lines."But that is now changing. Colliers International has recently been talking to some major companies wanting to open franchise outlets in the Illawarra.Travis said many wanted to be informed as soon as new commercial land or developments came on line."They are now seeing us as a major city. They are looking beyond Miranda and southern Sydney because they see Wollongong and Nowra as a growth area. They are starting to realise the growth potential."Travis said the Illawarra business community had some reason to be confident.But the investors were only serious if they were looking at attractive yields of about 8-9 per cent.
© 2008 Illawarra Mercury
