Back to properties
Purchased
One of two side-by-side units
Purchased for a Rethink Investing client. This securely leased industrial warehouse is one of two side-by-side units located in a high-demand industrial precinct in Perth. Our client was looking for a low maintenance industrial asset with a strong tenant and long lease in place. They were open to most locations making this Perth Asset perfect for their brief. They are now the proud owners of this blue-chip investment.
Purchase Details
Asking Price
1950000
Purchase Price
1850000
Deposit (assuming
70
% debt)
555000
Stamp Duty
87123.1
Building Report*
3000
Solicitor Cost*
6000
Valuation*
3500
Other Costs*
Other Fees* (Depreciation
report, bank fees)
report, bank fees)
1950000
Total Cash Required
654623.1
Purchase Price + Purchasing Cost
1949623.1
Net Annual Cash Flow Return
111000
Net Yield on Property
6
%
Net Yield Accounting for
Purchasing Costs
Purchasing Costs
5.69
%
Cash-OnCash Returns
Deposit Needed =
% + Costs
654623.1
Cost of Loan
(Assume
3
% pa on
70
% debt)
38850
Return of Equity
(Pure cash flow return)
11.02
%
Return of Equity with a
5% Capital Growth Rate:
25.15
%
Return of Equity with a
7% Capital Growth Rate:
30.8
%
Return of Equity
10% Capital Growth Rate:
39.28
%
*approximate number
Key Highlights
• Building Area: 1100m2
• NLA: 937m2
• Lease to June 2026 with options to 2036
• Established tenant with e-commerce driven business
• Tenant pays all outgoings, including Land Tax and rental mgt (to 4% pa)
Get in touch
If you’re interested in joining the lucrative world of commercial property, contact us now.
Oops! Something went wrong while submitting the form.
More Properties
Discover more examples of our commercial properties transactions.
