Brisbane warehouses offer 9% yields for $500,000 investment

Larry SchlesingerJuly 30, 2013

Small investors looking for a near double-digit annual return on $500,000 could consider a tenanted warehouse in Brisbane.

Recently, a large office/warehouse located in the Morningside Industrial Precinct in Brisbane’s east sold to a private investor for $520,000. 

The property, situated at 2A/65 Riverside Place, Morningside, was marketed exclusively by Alex Smith and Stephen Ferguson of Ray White Industrial Milton. 

The 302 square metre property is occupied by independent security and automation company Kobe Integrated Technology.

Kobe Integrated Technology has taken out a two year lease with a further two year option at a gross rental industry sources estimate to be around $46,810 per annum.

This translates into a gross yield of around 9%.

Stephen Ferguson said the facility attracted a number of potential investors because of its versatility and prime location and attractive yield. 

“The site allows for ease of access to and from the Gateway Motorway, which services the ever-growing south-east Queensland corner and links Brisbane with the Sunshine Coast and Gold Coast,” he said. 

“In regards to the Brisbane CBD, it is within 10km, while the Brisbane Airport and Port of Brisbane are also close by.”

 

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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