Southport office at 56 Nerang Street sells for $15.25m, up 83% in three years

What's happening

Southport's commercial property market has delivered another strong result. Realestatesource reported on 30 October that the office building at 56 Nerang Street, in the heart of the Southport Priority Development Area, has sold to a local private investor for $15.25 million.

The price is about 83% higher than the $8.35 million the property sold for in April 2023. Much of that uplift reflects a long lease to an education tenant and around $4.5 million of capital works, including air conditioning, fire services, tenant amenities and fit-out upgrades. It is a clear example of how repositioning older stock in the Gold Coast's CBD can add value.

The key details

The building is about seven kilometres north of Surfers Paradise and is used by ASX-listed education group NextEd for training, including simulated hospital rooms and commercial kitchens.

• Price: $15.25 million, reflecting a 7.53% yield on annual net rent.
• Building: three levels, 2,208 sqm of lettable area on a 944 sqm site, with 25 car parks.
• Lease: NextEd's lease began in September 2023; net rent is $1,147,946 a year.
• Rent reviews: CPI-linked, between 3.5% and 4.75%.
• Lease term: a weighted average lease expiry of 7.5 years when the property was listed in March 2026.
• Agents: Steven King of Colliers, with Mike Walsh and Peter Court of MP Commercial.

The deal adds to a run of Southport office sales. The building occupied by radio station Hot Tomato sold for $17.8 million in April, and Autosports Group paid $17.6 million last year for three adjoining Southport offices leased to Centrelink until early 2028.

Timeline and next steps

The building was marketed from March 2026, when the lease had a weighted average expiry of 7.5 years. No settlement date was reported. NextEd remains in occupation under its existing lease, so the new owner takes over an income-producing asset from day one.

What it means for Gold Coast property owners and developers

Southport is maturing as the Gold Coast's administrative and business centre, and investors are prepared to pay for well-leased buildings with long income streams. Private buyers continue to be active at the $10 million to $20 million level, which supports values for owners of quality commercial property across the CBD and the wider priority development area.

For owners of older buildings, the result shows the value that targeted capital works and a strong tenant can unlock. Buyers should still weigh lease length, tenant strength and future capital needs carefully, as yields and values depend on income security. This is general information, not financial advice.

Frequently asked questions

How much did 56 Nerang Street sell for?

$15.25 million, up from $8.35 million in April 2023.

Who is the tenant?

NextEd, an ASX-listed education group, which uses the building for training rooms. Its lease began in September 2023.

What yield did the buyer pay?

The sale reflects a 7.53% yield based on annual net rent of $1,147,946.

Source: realestatesource — Gold Coast office value jumps 83pc in three years, published 30 October 2026. This article is an independent summary and commentary by GC Prestige based on the original report — read the source for full details.