News

Beachside Commercial Precincts in Hot Demand

By Michele Dale

Once the domain of surfers and sunseekers, the Sunshine Coast’s beachside strips are now among the region’s most tightly held commercial precincts. From Noosa to Caloundra, demand is surging from business owners, private investors and professionals looking to work, live and invest within walking distance of the ocean. 

Activity spans hospitality, boutique retail, medical and professional services, with a unique mix of lifestyle, visibility and loyal catchments proving a powerful combination.

Following in the footsteps of Noosa’s now-iconic Hastings Street, these high-performing precincts – defined by consistent foot traffic, rental growth and deep local loyalty – are proving both resilient and highly sought-after. 

“We’re seeing strong interest from people who want to invest in a place they already know and love,” says Ray White Commercial Noosa & Sunshine Coast Principal Paul Butler. “It’s not just about the returns; it’s the visibility, the salt air, the lifestyle. There’s a real desire to be part of these coastal hotspots.”

REGION-WIDE TRENDS

Extremely limited supply and high demand

Most beachside areas are tightly held, with low vacancy rates and few commercial properties changing hands. When they do, they’re quickly snapped up, particularly when there’s potential for repositioning or redevelopment.

Buyers are predominantly private investors and owner-occupiers

Much of the demand is being driven by private buyers, especially owner-occupiers across hospitality, retail, medical and services. For many, owning their premises offers long-term security, control and a base for future growth.

Legacy and lifestyle value

Many buyers and tenants are motivated not just by returns but the proximity to surf, parks, cafes and community. This enduring “love affair with the coast” often translates into long‑term ownership and stable tenancies.

“They’re often locals or regular visitors who know these pockets will always be special,” says Paul Butler. “They want to own something tangible that they feel proud of and connected to.”

Self‑contained precincts with loyal catchments

Coastal neighbourhoods like Peregian Beach, Coolum and Cotton Tree are self-contained hubs, with locals living, shopping and socialising in the same area. 

“People tend to stick to their patch,” says Commercial Property Consultant Adam Morley. “This level of community loyalty adds resilience to local businesses and long-term confidence for investors.”

Hospitality-led, with retail playing a supporting role

In most precincts, hospitality is the dominant commercial use, driving foot traffic and energy. Retail often plays a supporting role, with boutiques, galleries and homewares stores thriving off the activity from food and beverage anchors.

AROUND THE REGION: NORTH TO SOUTH


HASTINGS STREET, NOOSA HEADS 

Hastings Street  is known around the world for its eclectic mix of iconic businesses, national brands and relaxed eateries set alongside clear waters and shimmering sands. The beachside strip has always boasted a diverse commercial mix but food and beverage has dominated in recent years. 

“Hastings Street remains one of the most sought-after commercial beachside precincts in the country and investors are willing to pay a solid yield to secure assets in this location,” says Paul. “High rents are justified by strong turnover, and investors are willing to pay a solid yield to secure assets here.”

Highlights:

  • Retail rents among the highest in Queensland – prime spaces achieving $1,500–$2,000/m²
  • Yields for blue-chip assets compressed to the low–mid 4% range, reflecting ongoing demand from national and international investors
  • Vacancy remains near zero –  limited opportunities for new entrants.
  • Recent transactions indicate record capital values exceeding $85,000/m² for premium freehold assets

PEREGIAN BEACH

Peregian Beach is well-established as a coastal village with an authentic, beachy vibe. Anchored by its vibrant Village Square, the precinct offers a full mix of amenity including a supermarket, restaurants, cafés, boutique retail and professional services. It is growing into a centre for techpreneurs and startups, supported by the Peregian Digital Hub and links to the region’s growing digital sector.

“Peregian is one of those places people design themselves into,”says Paul Butler. It has a natural draw. Stock is tight, demand is rising and the square supports year-round trade. With revitalisation planned it’s only going to get better.”

Highlights:

  • Yields for prime assets compressed to 5-6%
  • Recent sale: 5/10 Grebe Street, $749,000 ($13,870 per m²
  • Rare opportunity to purchase Otilly & Lewis, now on the market

COOLUM BEACH

Coolum Beach offers the best of both worlds – a bustling, full-service commercial centre alongside clean sandy beaches. Supported by a large residential catchment area, Coolum features major supermarkets, professional services, allied health and a growing dining precinct.

“Coolum is really benefiting from regional infrastructure investment and tight supply,” says RWC Commercial Property Consultant David Brinkley. “Vacancy rates are under 2% and demand is broad – from warehousing to flexible retail and medical.”

“The market is tightly held, buyer interest is strong and both investors and SMEs are drawn to Coolum’s real ‘business meets beach’ appeal.”

RWC Commercial Property Consultant Tracey Ryan concurs, adding that the expansion of nearby residential areas will boost commercial potential even further. “The new development at Beachside Yaroomba which will include 300 new dwellings will have a major positive impact on retail and hospitality at both Peregian and Coolum Beach. It’s a good time to consider long term commercial investment in the area.”

Highlights::

  • Vacancy rates below 2%
  • 8–10% rental growth forecast for 2025
  • Office yields circa 6%

COTTON TREE 

Nestled between the Maroochy River and the Pacific Ocean, Cotton Tree is a compact but high-demand precinct. Framed by tranquil waters, expansive parkland and new residential apartments, many with ground-floor commercial, Cotton Tree’s popularity with locals and visitors continues to underpin demand.

Vibrant retail and hospitality, with cafés, boutique shops and well-known venues like Cotton Tree Beach Bar, create a lively, alfresco atmosphere complemented by riverfront parklands. 

“Investors and tenants specifically want to be in Cotton Tree,” says RWC Commercial Property Consultant Adam Morley. “Recent riverfront sales show how tightly held and desirable the area is. It’s small but incredibly well positioned between the new CBD, the river and the beach.”

Highlights:

  • Yields generally improved 50bps during 2025 to 5% to 6%
  • Recent sales regularly above $10,000/
  • Nearby CBD expansion will spread investment into Cotton Tree

MOOLOOLABA

Mooloolaba is best known for its golden beaches, safe swimming and vibrant esplanade lined with cafés, restaurants, bars and boutique retail. Beyond the leisure appeal, it’s a commercial precinct with significant potential.

Primarily driven by retail and office use, Mooloolaba benefits from a strong local and visitor customer base, and proximity to key infrastructure including the Sunshine Coast Airport and major transport links.

“Mooloolaba has all the right ingredients – excellent main beach, consistent foot traffic, a great coastal lifestyle offering and recently improved access thanks to the Brisbane Road upgrade,” says Adam Morley.

“With the proposed new town plan issued earlier in the year and demand for mixed-use coastal hubs increasing, we’re expecting real momentum and renewed development interest following the expected adoption of the town plan in early 2026.”

Highlights:

  • New Town Plan to drive future development
  • Yields low 5% to high 5% with quality tenants
  • Broadly, office rents $400/+ / Retail $500/+ / Medical $550/+

KINGS BEACH & MOFFAT BEACH

At the southern end of the Coast, Kings Beach and Moffat Beach offer distinct but equally tightly held beachside commercial zones, supported by large residential populations and growing tourist appeal.

Kings Beach has very limited commercial space, while Moffat Beach offers just 10–15 tenancies but ranks among the Coast’s most sought-after strips.

“Moffat Beach is known for its café culture, boutique retail and the brewery. It’s a small strip, but the demand is huge,” says Josh Harris. 

The appeal is amplified by a nearby Moffat Beach Industrial precinct, making the area ideal for business owners seeking a true work-life balance.

Highlights:

  • Moffat Beach leasing rates now exceeding $800/m²
  • Seaview Terrace leading seaside values
  • New industrial units selling at $9,500/m²

CALOUNDRA & BULCOCK BEACH

Caloundra is undergoing rapid transformation, supported by major infrastructure upgrades, council-led revitalisation and planning around the 2032 Olympic and Paralympic Games.

The commercial mix spans supermarkets, medical and allied health, hospitality, and professional services, all buoyed by increasing demand from the expanding catchment in Aura and Caloundra South. 

“Five years from now, Caloundra will look very different,” says Josh Harris. “Council is investing in new parks, a library and better access, and there’s a steady pipeline of private development. Every lease is being upgraded to A-grade. It’s not just about filling space, it’s about lifting the whole precinct.”

Highlights:

  • Lease values in Caloundra up 75% in three years
  • Medical achieving over $600/m², general commercial above $500/m²
  • Mid-5% sales yields for quality stock
  • Ongoing upgrades to retail strips, hotels and foreshore areas

In a dynamic market defined by high demand and ongoing transformation, beachside commercial property across the Sunshine Coast offers both challenges and opportunities. 

Ray White Commercial Noosa & Sunshine Coast covers the entire region, with local teams offering deep market knowledge, up-to-date insights and innovative ideas to help owners, investors and occupiers navigate their next move with confidence.

Whether you’re buying, selling or leasing, our team has their finger on the pulse and the local knowledge to support your next move.

Get in touch with our team on +617 5474 7600.

Offices in NOOSA | MAROOCHYDORE | CALOUNDRA

*Approx.

Market Intel: Exclusive commercial property insights from the
RWC Noosa & Sunshine Coast team

Up to Date

Latest News

  • Dynamic Maroochydore Team Capitalises on Sunshine Coast Growth

    With the 2032 Olympic and Paralympic Games on the horizon, the Sunshine Coast is undergoing a period of significant growth – and our Maroochydore team is perfectly placed to help clients capitalise on the momentum. As part of RWC Noosa & Sunshine Coast, the Maroochydore office is home to a … Read more

    Read Full Post

  • 10-Tenancy Noosa Junction Property Listed For Sale

    A fully-leased commercial property in the beating heart of Noosa Junction has hit the market, offering what the agents are calling one of the precinct’s most compelling opportunities in years. “This is a landmark holding in one of the Sunshine Coast’s tightest commercial markets,” said David Brinkley of RWC Noosa … Read more

    Read Full Post