Commercial Property: Client Case Study
How We Secured This Property:
We first heard of this property in Hastings through an agent in our network around September last year. We expressed interest but as it was a re-build we waited for progress to be substantially under way and a lease document to be finalized with the proposed tenant. This was done in recent months and we secured a conditional agreement through a multi-offer process.
After completing the due diligence which included a physical visit to the property the agreement is now unconditional, and settlement will take place on the latter of 31 May 2021 or within 7 days of the issue of the Code Compliance Certificate (CCC).
The agreement includes a sunset clause which can be exercised if the vendor hasn’t obtained the CCC by mid-July, if exercised this will would refund the client their deposit. We don’t expect this to occur as work is substantially completed and council records show all inspections to date have received pass assessments.
Title: Freehold 1005 m2 – information sourced from Property Guru
Floor Area: Approximately 500 m2 – information sourced from lease
Parking: On site – 13 vehicles
Tenancy: $133,000 per annum plus GST
Purchase Price: $2,700,000
Deposit Payable: 10% on unconditional date
Why This Property?
+ Fixed rental growth
+ Long lease
+ Substantial re-build will present as new building