Brisbane’s reputation as an emerging ‘new world city’ is due to its amazing lifestyle attributes, yet this city will become even more vibrant in the near future. It is on the cusp of an infrastructure and tourism boom. As I see it, these developments are going to make the Brisbane of the future a thoroughly innovative, sustainable and lifestyle-driven city.
While Sydney and Melbourne have always led the way, investors have strong opportunities here. Brisbane will continue to evolve and expand, attracting more innovation and knowledge-based businesses, and that will help cement our city as a preferred place for people to live, work and play.
Brisbane has seen some intensive residential and business development in recent years, and the construction activity in the CBD is likely to peak in 2020. By that time, there will be a number of projects under way or about to open.
Queen’s Wharf, a $3.6 billion entertainment, leisure resort, casino and residential development on the Brisbane River, is ongoing. Brisbane Airport’s $2.2 billion second runway is due to open in 2020, providing vital support for increased business and tourism air traffic.
Meanwhile, the $1.1 billion Herston Quarter Health Precinct, a development being delivered by Australian Unity in conjunction with the Queensland Government and Metro North Hospital and Health Service, is in the construction phase. And there is the prospect of Brisbane Live, a $2 billion entertainment facility.
The pipeline is what you might see once in a generation, and it will drive population and tourism growth, while bolstering the local economy.
JLL’s teams have been involved in shaping exciting infrastructure projects nationally, and we are front and centre in Brisbane’s reinvigoration. Among the key projects are:
JLL has assisted Brisbane Airport’s property division, BNE Property, in executing the development of a $300 million automotive precinct near the airport. It’s anchored by a performance driving track, designed by former racing champion Mark Skaife and engineering and design firm iEDM.
This extraordinary auto precinct will draw car manufacturers and dealerships to a single location, providing high-speed straits and off-road circuits, allowing for a range of driver training and vehicle engineering and development events. There will also be a selection of entertainment, retail, office and hotel facilities.
Mark Skaife says this is going to be “a genuine game changer for the Australian automotive industry”. We tend to agree.
Sports and entertainment company AEG Ogden had a long-running vision for a new entertainment precinct, but it needed to present a detailed funding and operational proposal to the Queensland Government and the people of Brisbane.
Our strategic consulting team at JLL was appointed by AEG Ogden to help develop a market-led proposal for getting Brisbane Live established in the Roma Street Station precinct. This proposal focused on a real estate-based funding model to support the delivery of the project, which the developers believe will provide substantial economic stimulus to Queensland. All that is, of course, consistent with Brisbane’s aspirations to become a ‘new world city’.
We already have a track record of working with the government on many of its real estate interests and city-shaping initiatives. Plus, we have an extensive internal network of expertise across different real estate sectors. That meant JLL was uniquely positioned to submit a robust proposal on behalf of AEG Ogden.
But wait! There’s more …
JLL also is the lead real estate adviser to the state of Queensland and the Cross River Rail Delivery Authority, a role that involves our teams in a broad range of project components for the Cross River Rail, including real estate master planning, feasibility analysis, value creation and real estate uplift analysis. We are also doing work on identifying potential catalyst occupiers, market soundings and strategic structuring of real estate transactions.
The project is a $5.4 billion, 10.2 kilometre passenger rail line, which will include almost six kilometres of dual rail tunnels under the CBD and Brisbane River. It is, quite simply, a city-changing addition to the south-east Queensland public transport network.
It will give Brisbane a rail system with world-class connectivity and amenity. For investors, it will unlock the inherent value and economic benefits underpinning a number of key landholdings along the rail corridor, especially developments over railway stations and within railway stations.
These are exciting times! For more information on how JLL is helping shape the future of Brisbane, visit our Strategic Consulting team page here.