McGrath Estate Agents has won more than $600 million in apartment projects to sell in the rebounding Gold Coast market and is likely to see an additional $400 million as a fresh wave of development activity comes to the region.
The group, run by high-profile real estate agent John McGrath, was planning a potential $200 million initial public offering later this year and had been actively buying businesses across Australia.
The group’s entry into the Gold Coast and Brisbane project marketing space was a well-timed move as dozens of Asian-backed developers bought sites and made plans for huge apartment developments there. The move by McGrath also came as local project marketing teams shrunk after an exodus of developers and oversupply during the financial crisis. Now demand and the developers were returning and McGrath had positioned itself to capture the rebound.
“With the surge of development activity in Brisbane and the Gold Coast, it is imperative we have the best project marketing specialists on board to service our clients and take our marketing operation to the next level,” McGrath Projects director Steven Chen said.
“South East Queensland is one of Australia’s most dynamic and fast growing regions. This is resonating with buyers and in turn with developers who see huge opportunity and significant upside here,” Mr Chen said.
McGrath Projects had been engaged to manage the sales and marketing for two Hope Island projects approved by the Foreign Investment Review Board, including the Sheida Group’s Anchorage Apartments and The Peninsula which were the very last waterfront lots to be released for the Island.
The group was also in charge of sales for one of the Gold Coast’s fastest selling apartment projects – the three-tower Cambridge Residences, developed by SPG Investment Holding Limited and Shino Development Group.
Christopher Jones would head up the projects team on the Gold Coast while Paul Lambert would lead the Brisbane business.
“The Gold Coast is a vibrant city with strong development potential, and in time will be a city of true international appeal,” Mr Jones said.
The Gold Coast had been through a difficult downturn. In 2010 there was up to five years of new apartment supply but as finance to developers was cut, no major new apartment projects were built and the supply balance started to turn the other way.