Strata Storage Avantages

STRATA STORAGE – i can get all the pro’s and sounds excellent to me/noob in investing and would be something seemingly low risk and cheap to add to my assest collum, whilist in pursuit for that property, but can someone tell me what i’m missing or just there thoughts on this investment, thankyou. Jarred.

Advantages – Buying Strata Storage Units as an alternative to residential real estate

Low Entry Price – from $10,000
No need to find a tenant
No tenant hassles
Low maintenance
Solid tenant (Strata Storage Melbourne)
Better than residential property returns
Bricks and mortar security compared to share market uncertainty
Unique property with NO competition in the Melbourne CBD
Prohibitive council zoning – will maintain its sole presence (existing use rights)
Great returns – minimum of 8.35% (including depreciation allowance) or 7.05% net return before depreciation
Better returns than bank interest rates
6 x 6 year lease
5% increase in rental every two years – fixed within the lease and renewable terms
Pay substantially less in stamp duty due to low acquisition cost and favorable stamp duties act ruling (most clients will pay less than 2.5% instead of 6% overall)
Return is paid monthly into your bank account
All outgoings paid on your behalf by employed property management company, tenant (Strata Storage Melbourne) pays 8.5% gross rental p/a
Strata Title – best form of title giving great freedom and control
Anticipated high capital growth due to limited competition and high demand for self/document storage in Melbourne CBD
Tax advantages of negative gearing
Great depreciation allowances
Choosing the size and cost of an investment to suit every budget
GST free sales available to investors (going concern)