Hi
I was wondering if someone can help me with these questions. I saw an ad for a small office suite. Are small office room/suitre (say 37m2) good for investment property?
Reason i asked is that would anyone actually rent an office suite that small?
and also, as there are a few types of commercial properties (office/retail/warehouse etc).. are there certain types we should avoid or watch out for? (ie. which are generally in more demand – or it doesnt matter?)
cheers
fredhi Fred
not sure about the square meters required for office buildings but generally in commercial real estate, retail shops have the lowest risk and are the easiest to rent
Industrial warehouses tend to have a higher gross rental yield but are more difficult to rent if they become vacant.
These are just generalisations and each investment should be looked at on an individual basis.
I dont think there is any to avoid, it depends on your own risk profile and your ability to rent them out.
We buy properties in Adelaide. Immediate Cash Settlements, No Real Estate Agents, No Fees.
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phone 0412 437 582hi fredong
couple of things.
1. yes people do rent these offices but it depends where they are go and eyeball the office and ask the tennents next door what place is like.
2. strata fees
3. waiting list for tennents for that building??
any investment can be good you just have to evaluate as with any investment.
I own a car space as one of my investments and its smaller then this investment strata $300 per year 7% return nil up keep and a waiting list of 14 for the building with a growth currently running at 18% on cost, not bad for a city (sydney) that is supposed to be going backwards.
If I sold today after 50% cgt I would walk away with a 25% return on cost.here to help
thanks guys
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