Purchased 7 year lease to multinational tenant! Tenant option in place to November 2035 $55,700 net pa Security with $37,000 bank guarantee Purchase Details Asking Price $1,200,000 Purchase Price $1,052,000 Deposit (assuming 70% debt) - 30% $315,600 Stamp Duty $45,866 Building Report* $600 Solicitor Costs $5,500 Valuation $2,000 Total Cash Required $369,566 Purchase Price + Purchasing Costs $1,105,966 Net Annual Cash Flow Return $55,700 Net Yield on Property 5.29% Net Yield Accounting for Purchase Costs 5.04% Cash-On-Cash Returns Deposit Needed = 30% + Costs: $369,566 Cost of loan (assume 3% pa on 70% debt): $22,092 Return on Equity (pure cash flow return): 9.09% Return on Equity with a 5% Capital Growth Rate: 23.33% Return on Equity with a 7% Capital Growth Rate: 29.02% Return on Equity with a 10% Capital Growth Rate: 37.56% *approximate numbers Building Type: Retail Building Area: 150m2 NLA: 150m2 WALE: 7 years How we helped this client This was our client’s second purchase with Rethink Investing. They were looking for an investment with a long secure lease to help facilitate lending. After 100% of the mortgage and outgoings were accounted for, this solid commercial investment clears them nearly $700 per week in passive income. More properties Contact Us Get in touch If you’re interested in joining the lucrative world of commercial property, contact us now. *required fields Name* first name last name Phone*Email* Date Lead Submitted Date Format: DD slash MM slash YYYY NameThis field is for validation purposes and should be left unchanged.