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Retail Asset | $2,900,000 | Net Yield: 7.67% | VIC

This modern inner-city retail investment presents a rare opportunity to secure strong income at an attractive entry price point, just 3km from Melbourne’s CBD.

Completed in 2022, the property comprises 382 sqm of ground-level retail space secured by a quality tenancy structure, delivering a 7.67% net yield - a compelling outcome for a high-calibre retail asset in a tightly held urban infill location.

Positioned within Melbourne’s rapidly transforming Macaulay Renewal Precinct, the asset benefits from immediate exposure to large-scale residential development, improving transport connectivity and sustained population growth. Dual street frontages and mixed-use zoning provide long-term flexibility, while the fully fitted hospitality configuration supports ongoing tenant demand.

With strong cash flow from day one, a prime city-fringe location and upside driven by urban renewal, this is a well-balanced retail investment suited to investors seeking yield without compromising on fundamentals.

Key Highlights

Purchase Details
Asking Price
Purchase Price
2900000
Deposit (assuming
65
% debt)
1015000
Stamp Duty
Nil
84250
Building Report*
2000
Solicitor Cost*
5500
Valuation*
2000
Other Fees* (Depreciation
report, bank fees)
55100
Total Cash Required
1163850
Purchase Price + Purchasing Cost
3048850
Net Annual Cash Flow Return
222333
Net Yield on Property
7.67
%
Net Yield Accounting for
Purchasing Costs
7.29
%
Cash-On-Cash Returns
Deposit Needed =
% + Costs
1163850
CASH FLOW AFTER
MORTGAGE COSTS
109233
Cost of Loan
(Assume
6
% pa on
65
% debt)
113100
Return of Equity
(Pure cash flow return)
9.39
%
Return of Equity with a
5% Capital Growth Rate:
21.84
%
Return of Equity with a
7% Capital Growth Rate:
26.83
%
Return of Equity
10% Capital Growth Rate:
34.30
%
*approximate numbers

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