Queensland has been found to be “emerging as a standout economic performer” following the continued rise in interstate migration and infrastructure spending.
This was found by the new Unlocking Queensland’s Potential Report, which expects real estate to boom as the population grows ahead of the 2032 Brisbane Games.
“Brisbane’s commercial property sector is offering a rare combination of stability, scale and growth,” the US real estate services company, JLL, said in a statement.
According to the JLL report, Brisbane’s CBD office vacancy rates were the least volatile in the country over the last decade, driven by a 12% increase in whitecollar jobs.
The capital city also has the lowest price correction of any major city for commercial property between 2022 and 2024.
JLL economist, Ronak Bhimjiani, said the Queensland economy has demonstrated “remarkable resilience” since 2021 and the real estate services company analysts suggest the outlook remains positive.
“The state’s strategic diversification across sustainability, technology, advanced manufacturing and healthcare is expected to sustain growth over the medium to long term, thereby creating opportunities for the real estate sector,” Bhimijiani said.
Queensland’s industrial and logistics sectors have been boosted by a A$29.2 billion investment in planned infrastructure spending over the next four years. This is significantly higher than other major Australian states, NSW and Victoria, as a percentage of gross state product.
Shopping centre turnover in the state also grew by 22.9%, higher than any year since 2019. JLL found that new builds in the sector were meeting less than half of the total projected demand.
According to Commercial Real Estate, Brisbane has become the most expensive place to build in Australia, risking further surges in house prices and blowouts or delays to major projects.
It costs A$5,009 per square metre, which is around 3% more than second-placed Sydney, on average, to build in Brisbane, according to a 2025 Global Construction Market Intelligence report from consultants Turner and Townsend.
Last year, construction costs in Brisbane rose by 4.4% and are expected to grow by a further 5.5% in 2025, more than anywhere else in Australia.
