As Australia's commercial real estate landscape continues to evolve, Brisbane emerges as a standout performer, delivering exceptional growth across multiple asset classes. The convergence of strategic infrastructure investment, robust population growth, and diversified economic fundamentals positions Queensland's capital as a compelling destination for private investors seeking sustainable returns in an increasingly competitive market.

Brisbane's residential market presents compelling opportunities driven by exceptional population dynamics. Population growth averaged 2.5% annually over the past three years (2023-2025), significantly exceeding the long-term 20-year average of 2.1%. This growth trajectory, underpinned by domestic and international migration including foreign students, has created acute housing supply shortages.

The build-to-rent sector exemplifies this opportunity, with Brisbane accounting for 12,600 units or 22% of Australia's overall BTR development pipeline. Brisbane ranks as the second-largest BTR pipeline nationally, ahead of Sydney, benefiting from lower site acquisition costs and strong rental growth fundamentals that support project feasibilities.

Rental market conditions remain exceptionally tight, with rent prices increasing 7.1% over the past year and a remarkable 12.6% annually on average over three years to May 2025. Institutional investors have recently paused their Australian BTR expansion strategies, creating opportunities for private investors to address Brisbane's residential supply gap.

Queensland's retail performance continues to outpace national averages, with year-on-year growth of 3.6% as of March 2025, compared to the national average of 3.1%. Rolling annual retail trade volumes exceeded pre-pandemic levels by 34%, outperforming major East Coast capital cities.

Private investors have recognised these fundamentals, deploying $1.1 billion in the neighbourhood retail sub-sector from 2023 to Q1 2025, with an average deal size of $33.9 million.

The industrial sector has experienced extraordinary growth, with leasing activity totalling 2.9 million square metres between Q1 2022 and Q1 2025. Prime rents in Brisbane's largest industrial precinct increased 37.9% over three years, reflecting exceptional demand driven by e-commerce adoption and elevated retail trade.

Brisbane's commercial real estate market represents a convergence of demographic growth, infrastructure investment, and economic diversification that creates sustainable competitive advantages. The city's exposure to both traditional and emerging economic sectors, combined with transformative infrastructure development, positions Brisbane as a premier destination for investors seeking exposure to Australia's evolving economy with strong risk-adjusted returns.

To read further analysis, access our report of the Brisbane market for private investors: link