Landmark Toowoomba CBD building listed on tightly held Margaret Street
Toowoomba is fast cementing its position as one of Australia’s most compelling regional CBD investment areas, with strong population growth, major infrastructure spending and rising tenant demand.
Now, a tightly held office asset in the heart of the city’s commercial centre has hit the market, offering investors a blend of secure income and long-term development upside.
The mixed-use office and retail building at 216 Margaret Street is integrated with the Grand Central Shopping Centre. The city’s dominant retail hub covers about 90,000 square metres and is home to more than 160 specialty stores.
This means the site benefits from consistent foot traffic generated by national retailers like Kmart, Myer, and Coles, while also capturing strong exposure through its position on Margaret Street, which is one of the city’s key arterial routes.
The 1596-square-metre building hosts the Australia and New Zealand Banking Group, which operates as a Suncorp Bank Business Centre and occupies about 57 per cent of the property. The remaining income is supported by a mix of five office and four retail tenants that provide a diversified revenue stream of $460,837 a year with a weighted average lease expiry of just under three years.
Daniel Cullinane from Cushman & Wakefield says the property is expected to attract strong interest from investors seeking stable returns with exposure to regional growth markets.
“We’re seeing strong enquiries from private capital, syndicators and high-net-worth investors targeting regional CBD assets with secure income streams, particularly those anchored by institutional-grade tenants and located within dominant retail and commercial precincts,” he says.
The property also has the potential for redevelopment of up to 10 storeys, subject to approval.
Ned McConnel from Cushman & Wakefield, who is also representing the listing, says opportunities like this don’t come around too often.
“Assets of this nature are rarely offered, particularly those that directly adjoin a region’s dominant retail centre and provide immediate exposure to the CBD’s highest foot traffic environment, while also offering flexibility to reposition or intensify over time,” he says.
Toowoomba’s growing reputation as a thriving regional hub is another major drawcard. It’s Australia’s second-largest inland city and has benefited from significant infrastructure investment in recent years, including Inland Rail, Wellcamp Airport and the Toowoomba Bypass, all of which are driving population growth and increasing demand for centrally located commercial property.
The property at 216 Margaret Street, Toowoomba, is for sale via an expressions-of-interest campaign closing at 4pm AEST on May 13.
