28-bedrooms with attractive rent returns
This 28-room boarding house has recently undergone significant structural renovations and is sitting well to increase in value further with internal aesthetic refurbishments.
Attracting an approximate 60/40 ratio of tertiary student to working professionals year on year has made this a smooth operation with hassle free, quiet tenants that have enjoyed what the owners have produced in a living standard. Rents have been previously sat around $140 - $180 per room with some outliers, but are set to increase shortly by around $10-$15 per room. Prior annual occupancy been approximately 85-90% and the property is currently filling with tenants for 2021. Estimated weekly rent of around $4,575 per week is expected for the 2021 academic year.
The owners have recently undertaken major seismic strengthening work to bring the building up to a 70%+ NBS rating and a full new fire system has been installed including hard-wired smoke alarms or heat sensors in every room. Investment has also gone into the wiring and the rear exterior of the building, so much of the hard, expensive work has been completed for you. Ceiling and wall insulation are installed in most areas, and the insulation report indicates the building meets the Healthy Homes Standard for insulation.
While the internal fit out is tidy, dated areas could be upgraded to assist in increasing income further in time. The major opportunity now is for a new owner to further refurbish the interior and increase the capital value of the property, or run it as it is.
The property is registered for GST and the purchase price excludes GST (if any).
• Mix of tertiary students and working professionals
• Quiet location for quieter tenants
A full Colliers Information Memorandum and additional property documentation including LIM are available on request.
Viewings are by private appointment only with our Brokers.