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Purchased

Retire today with your $288,000 passive income!

  • Net rent = $393,516 + outgoings
  • Affluent suburb
  • 31 car spaces on site

Purchase Details

Asking Price

$6,400,000

Purchase Price

$6,000,000

Deposit (assuming 70% debt) - 30%

$1,800,000

Stamp Duty

$347,453

Building Report*

$800

Solicitor Costs

$6,000

Valuation

$4,500

Total Cash Required

$2,158,753

Purchase Price + Purchasing Costs

$6,358,753

Net Annual Cash Flow Return

$393,516

Net Yield on Property

6.56%

Net Yield Accounting for Purchase Costs

6.19%

Cash-On-Cash Returns

Deposit Needed = 30% + Costs:

$2,158,753

Cost of loan (assume 3% pa on 70% debt):

$105,000

Return on Equity (pure cash flow return):

13.36%

Return on Equity with a 5% Capital Growth Rate:

27.26%

Return on Equity with a 7% Capital Growth Rate:

32.82%

Return on Equity with a 10% Capital Growth Rate:

41.16%

*approximate numbers

Building Type: Retail
Building Area: 2245m2

NLA: 893m2
WALE: 3

How we helped this client

This asset was recently secured for our client before it hit the market. Even after a 70% mortgage cost, this will give our client a passive income of $288,000 per annum! This thriving neighbourhood centre is in a high growth suburb in Brisbane (+10.2% rolling 12 month period). There is a strong mix of medical and food in the tenancy profile. The building was completed in 2006, so there should be a decent amount of depreciation on offer as well. Only Rethink Investing can deliver you properties like this before they hit the market through our superior industry contacts. Think about this before you buy!.

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