heres one for the big boys - vendor listed price at 9.25% net

[eggnog]

Just emailed to me

http://propertyconnector.cbre.com.au/listings.aspx?pid=2524

vendor listing at 9.25% net. ie: sets a negotiation floor with minimum purchasable yield of 9.25% ...... can easily be 10%+ with good negotiation skills.

Pitty its too big for me ATM

 

[investor_eddie]

'Drools'

With that yield and tenant why would anyone want to sell that?

 

[prandsa]

Looks interesting on the face of it however it is a relatively short term lease and Suncorp are moving out. It will be a pig of a thing to re-lease.

 

[boods99]

The building looks quite old, so it might be an idea to see if it is heritage listed. If so, there will be limitations of what can be done in regards to redevelopment down the track, and being in such a good position (according to the sales brochure) this would one of my reasons to buy it.
Also agree with prandsa about the anchor tenant moving out. This should have the effect of lifting the cap rate considerably. Not too up to date with Brizzy comm's vacancy rates, but finding another tenant for the space might prove to be a pain in the a$$.

Boods

 

[Belu]

would be interesting to get Dazz's take on value.

At the yield they are after ~ $16m.

 

[Chris.R_WA]

would be interesting to get Dazz's take on value.

At the yield they are after ~ $16m.

I want to see Gross Real's take on it !!

He would probably offer $8m or less...

 

[Dazz]

would be interesting to get Dazz's take on value.

Without reading any details on it.....

1. I think the Tenant sucks, too small - kills the deal for me right there.
2. Lease term looks short - kills the deal for the Lender right there.
3. For that package size - yield is not good enough.
4. Age of building too old - heritage big problem, also lifts and air con facilities.

Overall, much better properties available, with better more secure tenants, paying better yields in areas that I am more familiar with.


Might be just the ticket for all of you Qld investors. Why doesn't wylie, LynnH and 007 get together and have a crack.

 

[vbplease]

brisbane cbd office space vacancies are definitely on the up... just a stones throw away http://www.545queenstreet.com.au/ is newly constructed and still sits half vacant..

Different story from 12months ago.. when there was a chronic shortage and rents were going through the roof.

 

[Horizon]

4. Age of building too old - heritage big problem, also lifts and air con facilities.

Was thinking the same (in my lack of experience view)

Have been in the building a few times recently visiting the current tenant , and our office is nearby, so I pass this building daily.

Watched the refit last year, and wondered what they could do with the space, as I feel sure it would be listed. It was the old Births, deaths, marriages building.

 

[LynnH]

Might be just the ticket for all of you Qld investors. Why doesn't wylie, LynnH and 007 get together and have a crack.

For much the same reasons that you won't touch it, Dazz!

Cheers
LynnH

... and, besides that, it's ugly!

 

[wylie]

Might be just the ticket for all of you Qld investors. Why doesn't wylie, LynnH and 007 get together and have a crack.

What.... and get involved in Comm???? No thanks . I'll stick to my ressy.

 

[Dazz]

What.... and get involved in Comm???? No thanks . I'll stick to my ressy.

Wise move wylie - it sux big time over this side of the fence. Carnage everywhere.

 

[wylie]

Very happy with my little patch of ressy, thank you sir. Couldn't give a rats about what is over the fence. If it ain't broke, don't fix it. I have no burning desire to "better" myself .

 

[grossreal]

hi all
here my view
val about 13 mil
offer about the 8 mil
5.2mil now and 2.8 mil in 12 months vendor finance back at 5% interest rate and the vendor site as a secons behind the first
would need to see the leases and the lifts and other stuff not that much of a problems to me as I would add those costs into the building costs and add those as a portion to teh leases of teh tennants
as mone are net net net leases
only thing in qld I would pay is land tax
they wont let me hit the tennant for those by law or I would.
they want 14 mil so thats why john won't have sent it to me
as they have a bit more dreaming to do to get me involved.
not looked at the leases but I only go for 5 x 5 or 5 x 5 x 5 so if TPFKAD says they are short I take it he has had a look at them I haven't as I have vendors that would deal on the above numbers and don't worry about those that don't.
not sure about the
just offer 50% to a fund yesterday and they did go but if they have to sell they have to sell that was resorts not comm so they are hurting a bit more.
I like old building and like comm in old building and some more then new building as they have alot of warmth to them
but as I said to the guys yesterday and say to most in these times.
its not about warmth or looks or for that matter tennant they are all important.
but the main thing for me is in the numbers and meeting my requirements for the leases then its just this is the figure
now my figure is not going to excite alot of people and alot of people have or on there face but as long as the numbers work for me and my merry men thats fine for me.
if not there are heaps more to look at.
would I buy it anyway in cbd bris
now that a very different question because I need to want to buy into that area and bris cbd is not high on my list.
and suncorp would also be an issue for me as well.
just a side line if you do want a view as I miss alot of posts pm me with the post details and will post my view no problems at all.
and chris
your 8 mil was very close you must be working on the same numbers as me or have learnt well done

 

[grossreal]

hi all
melb cbd at the moment is net net at 10 to 10.5% and there is a bit around
and they are in the same numbers as this one
if people are looking at grouping investors I would be very interested to run the numbers