Back to properties
Purchased
Well-positioned industrial asset with dual leases
This industrial asset was recently acquired on behalf of one of our valued clients. The property is well-positioned in Brisbane’s inner-north with dual tenant leases; complementary businesses for stone, tiling, construction and interior design. Our client was after an off-market industrial asset within the competitive Brisbane market.
We looked over a number of assets before landing this large freehold dual-tenanted investment. We expect some rapid capital growth as the market tightens under increasing demand and limited supply.
Purchase Details
Asking Price
9480000
Purchase Price
5480000
Deposit (assuming
70
% debt)
1644000
Stamp Duty
308450
Building Report*
1000
Solicitor Cost*
5500
Valuation*
3500
Other Costs*
Other Fees* (Depreciation
report, bank fees)
report, bank fees)
9480000
Total Cash Required
1962450
Purchase Price + Purchasing Cost
5798450
Net Annual Cash Flow Return
334000
Net Yield on Property
6.09
%
Net Yield Accounting for
Purchasing Costs
Purchasing Costs
5.76
%
Cash-OnCash Returns
Deposit Needed =
% + Costs
1962450
Cost of Loan
(Assume
3
% pa on
70
% debt)
95900
Return of Equity
(Pure cash flow return)
12.13
%
Return of Equity with a
5% Capital Growth Rate:
26.09
%
Return of Equity with a
7% Capital Growth Rate:
31.68
%
Return of Equity
10% Capital Growth Rate:
40.06
%
*approximate number
Key Highlights
• Building Area: 6,070m2
• NLA: 2,290m2
• Net Return $334,000 p/a
• 36% site coverage in Brisbane LGA
• 2 tenancies
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.
