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Purchased

Medical Asset

$4, 550,000 

 

The presence of long-term medical tenants provides confidence in the investment, with a weighted average lease expiry (WALE) of 8.9 years.

✓ Location: Springfield, QLD
✓ Net income of $285,203.00 (after 100% of outgoings including mgt fees and land tax)
✓ Land Area: 1,967m2 (freehold)
✓ Wale: 8.9 Years
✓ Other: convenient car parking for 21 vehicles

Purchase Details

Asking Price

$4,800,000

Purchase Price

$4,550,000

Deposit (assuming 65% debt) - 35%

$1,592,500

Stamp Duty

$261,009

Building Report*

$1,200

Solicitor Costs

$9,000

Valuation

$4,000

Total Cash Required

$1,867,709.45

Purchase Price + Purchasing Costs

$4,825,209.45

Net Annual Cash Flow Return

$285,203

Net Yield on Property

6.27%

Net Yield Accounting for Purchase Costs

5.91%

Cash-On-Cash Returns

Deposit Needed = 35% + Costs:

$1,867,709

Cost of loan (assume 6.25% pa on 65% debt):

$184,843

Return on Equity (pure cash flow return):

5.37%

Return on Equity with a 5% Capital Growth Rate:

17.55%

Return on Equity with a 7% Capital Growth Rate:

22.43%

Return on Equity with a 10% Capital Growth Rate:

29.73%

*approximate numbers

Building Type: Medical Asset

Land Area: 1,967m2 (freehold)

Wale: 8.9 Years

*Please note due to privacy we can not disclose all details regarding this deal

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