Blue-Chip Gold Coast Tenanted Investment To A+ Tenant And 8+8year Lease To 2040

Client MandateRuth is an investor who engaged us to source her 1st commercial Investment property, ideally with a 5%+ net yield, with a long lease and in a good location. Her main goal was to have a low-maintenance investment, with low risks of vacancy and a secure income to sustain and retirement phase.
‍ResultSourced on market just before Christmas, this brand-new 113m2 retail shop located in a blue-chip Gold Coast location with very low vacancy is leased to an A+ tenant that signed an 8year lease to 2032 + 8year option to 2040: it ticked all of our client boxes. We negotiated a $100,000 price reduction, and conducted extensive DD establishing that some of the outgoings were to be paid by the tenant (and not the owner). This resulted in an increase of the net yield from 5.61% to 6.44% within 6months of purchase creating immediate equity uplift to our client.