A securely leased A-grade medical suite in the heart of Southport is expected to attract significant investor interest when it goes to auction in August. 

The whole floor medical suite, located at Lot 19 Premion Place, 39 White Street, has nine years remaining on a 25-year lease (expiring in 2033 with one five-year option thereafter) with Icon Group, one of Australia’s largest cancer-care medical providers.

The 1,226sqm top floor suite is one of 11 premium assets up for sale as part of CBRE’s National Auction Series on Wednesday August 21.

CBRE’s Mark Witheriff said the suite offered high rental growth and secure income over the remaining lease term. 

“The Gold Coast has enjoyed significant population growth in recent years and with that comes a significant need for medical services. Built in 2008, the Premion building is one of the few purely specialist medical centres within the city that offers a wide range of consultancy providers.

“The secure lease with Icon Group provides high rental growth provisions via annual reviews of CPI or minimum 5%, making this a true ‘set and forget’ investment opportunity” he said.

Icon Group is one of Australia’s largest cancer-care medical providers with over 35 specialist centres across Australia and several currently in development. Icon Group has expanded globally into Singapore, Mainland China, Hong Kong, New Zealand and the UK.

CBRE’s Nick Selbie said the Gold Coast was experiencing low vacancy rates in office and specialist use sites with that trend likely to continue in line with population growth. Employment opportunities, like the construction of infrastructure in the lead up to the Olympic Games, is also putting pressure on the existing office and healthcare sectors. 

“The Gold Coast is unlikely to see new supply within the core office precincts until 2026/27 due to high interest rates, construction costs, delays, and labour shortages restricting construction. Demand has also been boosted by medical and professional services occupiers looking to add space on the Gold Coast to support the ‘metro mover’ trend that has seen mass migration out of capital cities.”

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