Hi,
In Steve McKnight’s book (on page 84), he lists miscellaneous real estate investments.
One that caught my eye, was Self-storage facilities. There is a tv ad on at the moment (here in Melbourne) a self-storage company is advertising the same thing.
Can anyone remember the company name and are they sound investments, what are the returns?Also, has anyone heard about investing carpark spaces within the CBD or am I dreaming. I thought I read something about this a fair while ago. Any comments would be great.
Thanks
MarkHi Mark,
I’m no help I’m afraid, but I to would be interested in anyone’s comments.
I have actually seen carparking spaces in the CBD advertised for sale and wondered about returns and financing options etc.[?]
Cheers
KymHave seen carparks advertised in Brisvegas but not sure on financing. The ones I have seen would not be +ve and capital growth is questionable so haven’t explored further. Haven’t seen any advertising of storage units up this way.
bribie
Ive seen car parking bays for $25,000 …
I dont feel right paying 25,000 for a piece of tar with two lines down both sides… LOL [
]I would like to investigate factories/warehouses that have big long term tenants. [8D]
Regards,
Arty.[
]
“Why work to the age where you cant enjoy
what you have worked for !.” (Author: Me)People choose residential because everyone has to find one to live in. The more purpose-built, the more “niche”, the bigger the risk.
I would want 3×3 leases at least, with a recovery time of 5 years max.
>I dont feel right paying 25,000 for a piece of tar with two lines down both sides… LOL
But the up keep is cheap, now where did I put that broom and can of degreaser? [
]BC
Actually I checked out the storage company that was advertising in Melbourne mainly as an exercise in analysing a deal.
They are called Strata Storage Investments and their website is http://www.stratastorage.com.au
They have the numbers including for analysing the deal. Interestingly enough the management fees is almost 25% of gross return so the real rate of return is closer to 6% rather than the 8.5% they advertise.
I’m not sure about buying a car space in Australia but in Japan they can be a hot investment. A friend of mine leases 5 car parking spaces for 300 Aud per month each and sub leases for 500 Aud per month each. Not a bad investment return and he has people waiting for when one is vacant.
C2
“Is it true the more you owe the more you grow until the bank steps in?”
Anytime there is a need there is money to be made. I’m in Sydney and close to the city its quite common for people to rent garages and parking spaces. As a kicker to your rent why not think about renting the house/unit and the garage/parking space separately.
Alomg with the jist of this thread I would stay away from anything that is too packaged (if its too glossy theres probably someone else making the profits).
Dingo 21, well said about the glossy part.
C2
“Is it true the more you owe the more you grow until the bank steps in?”
here you go dudes
http://www.parkingsales.com.au/
and
http://offstreetparking.com.au/What.htm
and
http://www.parkingmag.com.au/articles/investing.html
hope that helps yas!
dags nobody
the hippie investorDon’t knock parking spaces. I bought 2 in the Sydney CBD in 1975 for $5,000.00 each
Dennis,
I’ll give you $7,500 for each of them !!
Phil
Hi Dennis,
How have you found the investment on the car parking spaces? I gather you’re happy with the outcome. Was the space leased for the whole time and what value do you think they are now?
Sue [
]Be careful not step on the flowers when you’re looking at the stars
]
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