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CBD Health Hub Secured in Hobart's Tightest Office Market

CBD Health Hub | $2,250,000 | Net Yield: 7.51% | Anchored by Performing Arts & Allied Health Tenants

This off-market opportunity exemplifies Rethink Investing's access to high-performing commercial assets in core growth markets. Strategically located in Tasmania’s best-performing economy, this investment offers strong income, minimal vacancy risk, and longer-term upside through tenant retention and strata consolidation.

Purchase Details
Asking Price
2595000
Purchase Price
2250000
Deposit (assuming
65
% debt)
787500
Stamp Duty
Nil
100372
Building Report*
2000
Solicitor Cost*
6000
Valuation*
3000
Other Fees* (Depreciation
report, bank fees)
45410
Total Cash Required
944282
Purchase Price + Purchasing Cost
2404122
Net Annual Cash Flow Return
168975
Net Yield on Property
7.51
%
Net Yield Accounting for
Purchasing Costs
7.02
%
Cash-On-Cash Returns
Deposit Needed =
% + Costs
944282
CASH FLOW AFTER
MORTGAGE COSTS
73912
Cost of Loan
(Assume
6.5
% pa on
65
% debt)
95062
Return of Equity
(Pure cash flow return)
7.83
%
Return of Equity with a
5% Capital Growth Rate:
19.74
%
Return of Equity with a
7% Capital Growth Rate:
24.51
%
Return of Equity
10% Capital Growth Rate:
31.66
%
*approximate numbers

Key Highlights

• $168,975 net annual income with a 7.51% net yield

• 699m² mixed-use asset in Hobart CBD with strong foot traffic

• Anchored by Eternal Performing Arts on a 5-year lease to 2029

• Six office suites leased to allied health professionals, all with CPI-linked increases

• High-occupancy location in Australia’s tightest office market

• Fully leased, diversified tenancy mix with 7 long-standing occupants

• Opportunity to secure the full freehold via ground-level acquisition

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