High-Yield Central Coast Industrial Investment

Client MandateJason & Amy are first time Commercial investors who re-engaged us to source an Industrial Investment property, ideally around the Central Coast where they live. Their goal was to purchase a high-yielding solid, low-maintenance investment with a quality tenant that would provide both income security, growth and an initial 6%+ net yield.
‍ResultSourced off-market, the only freestanding Industrial property in a small complex of 6 has a great logistic tenant in occupation since 2021 on a 3+year lease, with strong CPI or 3.25% with annual increases providing a low-maintenance, stable and secure income to our client. We negotiated a $50,000 price reduction, on an already favourable price for the buyer and conducted extensive DD establishing a below market rent with future upside. 

2024 upsideFast forward 3years and our client is thrilled with the tenant exercising their 3year option to 2027 increasing the rent to an incredible $169,910 pa = 8.71% Net yield in just 3years!