Industrial Property for Sale

[Meisterin]

Hi guys

I need some advise as to selling my parent's industrial unit. We have had couple of agents selling this property and did not result in sale. It's been on the market for around 18 months. The link is below:




I would like to sell this property on behalf of my parents and need your advice. Originally, my parents thought about keeping the property and leasing it out, but after scrutinizing through their tax records, advice from 3 different accountants, and their preference to keep things simple(as they are non-English speakers and want to have a simple life and financial book keeping) they have decided to sell.

Is there something that I can do to sell this property?

Apart from couple of grammatical mistakes, is the advertisement bad?

Some ideas I have are:

- to call other industrial agents and actually pay for their marketing campaign and actually monitor every step. Until now my parents only signed agency agreements if the agent will accept payment of marketing costs at settlement and if no sale no marketing costs payable.

- start own marketing and pay for own advertisement in SMH and local newspaper and see if there are any enquiries.

Any ideas?

 

[BayView]

Owning investment property, wanting to "keep it simple" with no or very few records, and not speaking the language of the country you live in is not a good recipe.

If it has been on the market for 18 months, then the price is too high.

Lower the price - a lot, sell it, and send the folks a cheque.

 

[Simon]

What are all the numbers on the deal? Income, expenses, depreciation etc

What sort of figure are they hoping to achieve?

What is the area like? Is it in a growth area with high rental demand?

Thanks,

 

[evand]

My wife is from an Italian background. Her dad and most of her uncles all bought investment properties and made tons of money (or could have if they didn't offload most of them to the kids so they could get a pension)

They mostly weren't (and still arent) very good English speakers, wouldnt have a clue what a spreadsheet is, let alone DSRs and LVR is and had to keep it as simple as possible.

They just sort of sensed when things were going good or getting uncomfortable and sold or bought more or whatever. And they worked very hard. Typical migrant stories i suppose, they all did very well.

Sorry, no real advice with the unit. Maybe you need to research your market a bit more or make the sale more attractive in some way.

Owning investment property, wanting to "keep it simple" with no or very few records, and not speaking the language of the country you live in is not a good recipe.

If it has been on the market for 18 months, then the price is too high.

Lower the price - a lot, sell it, and send the folks a cheque.

 

[Simon]

Evand,

Can you detail to me exactly what point you are making?

I am a bit lost.

Cheers,

My wife is from an Italian background. Her dad and most of her uncles all bought investment properties and made tons of money (or could have if they didn't offload most of them to the kids so they could get a pension)

They mostly weren't (and still arent) very good English speakers, wouldnt have a clue what a spreadsheet is, let alone DSRs and LVR is and had to keep it as simple as possible.

They just sort of sensed when things were going good or getting uncomfortable and sold or bought more or whatever. And they worked very hard. Typical migrant stories i suppose, they all did very well.

Sorry, no real advice with the unit. Maybe you need to research your market a bit more or make the sale more attractive in some way.

 

[evand]

In response to L.A.A.'s comment below:

Owning investment property, wanting to "keep it simple" with no or very few records, and not speaking the language of the country you live in is not a good recipe.


Which i believe is patently wrong.

Evand,

Can you detail to me exactly what point you are making?

I am a bit lost.

Cheers,

 

[BayView]

In response to L.A.A.'s comment below:

Owning investment property, wanting to "keep it simple" with no or very few records, and not speaking the language of the country you live in is not a good recipe.


Which i believe is patently wrong.

If it's wrong, then why are they enlisting their son to sell their property for them when it hasn't sold after 18 months of trying, and why is he here on this site asking for advice on their behalf?

Obviously, for them, it is all very difficult - not a good recipe as I said.

 

[evand]

All of that could apply to an english speaking anglo saxon as well. It has nothing to do with the fact they don't speak english and like to keep it simple.

My point was that just because they don't speak english well (or at all) does not mean they cant successfully invest in property.

You'll find these types of migrants are the hardest working and generally the most successful members of society. And i'm as aussie as they come.

Oh....and its not uncommon for the migrant parents to use their much better formally educated children to do stuff like this for them...official stuff, paper work etc...they all help and they all benefit.

God...i know a guy on the central coast who is totally illiterate and is a millionaire a few times over.

If it's wrong, then why are they enlisting their son to sell their property for them when it hasn't sold after 18 months of trying, and why is he here on this site asking for advice on their behalf?

Obviously, for them, it is all very difficult - not a good recipe as I said.

 

[Alabex]

I have a fairly limited experience in industrial, but from my understanding it is very comomon to use multiple agents. This is usually because unlike residential there is not a huge amount of activity generated from internet advertising, there is a lot more importance put on the agents database of people looking and who they can introduce to your site.

Besides that looking at your site i still know very little about the property you are selling... which isn't great for an advertisement. I know you want to sell but that is about it! I think the ad needs work, some suggested uses etc. Another main way that commerical and industrial premises lease is through developing potentially uses and then directly approaching the businesses that would use this type of space.

Also i went to the link www.M5industrial.com.au provided in the ad for more info, and i can't find the full report they are refering to?

So my advice would be if you want to get it sold, go to several agents in the area, find out what they can do to help you sell it! And dont be afraid of spending some money on advertising.. you cant sell a secret! maybe negotiate a deal where you pay some upfront and the rest at settlement, at least that tells the agent you are serious, and might help them work harder for you.

 

[handyandy]

The info is as per this link

http://www.m5industrial.com.au/pol/...ropertyID=798173&xsl=1115&f_st=1&f_ct=&f_ps=2

Features include

• Warehouse Size: 478 sqm
• Total Building Area: 604 sqm
• Open Mezzanine: 126 sqm

Outgoings

• Water Rates: $147.00 Quarterly
• Council Rates: $457.00 Quarterly
• Strata Levies: $2,560.00 Quarterly

• Auction: Friday, 16 May 10:30 AM

What was the bid price at auction? If any.

Cheers

 

[jaycee]

All of that could apply to an english speaking anglo saxon as well. It has nothing to do with the fact they don't speak english and like to keep it simple.

My point was that just because they don't speak english well (or at all) does not mean they cant successfully invest in property.

You'll find these types of migrants are the hardest working and generally the most successful members of society. And i'm as aussie as they come.

Oh....and its not uncommon for the migrant parents to use their much better formally educated children to do stuff like this for them...official stuff, paper work etc...they all help and they all benefit.

God...i know a guy on the central coast who is totally illiterate and is a millionaire a few times over.

Oh yeah.... tell me about it.. pity I didn't realise it until now, could have learned so much growing up.. but all I saw was dad's spending their weeknds in flannel shirts & either concrete or vege gardens, what a waste of time I thought....

 

[jaycee]

If it's wrong, then why are they enlisting their son to sell their property for them when it hasn't sold after 18 months of trying, and why is he here on this site asking for advice on their behalf?

Obviously, for them, it is all very difficult - not a good recipe as I said.

Aren't recipes like results ? about then end taste ?

the place has been on the market for 18 mths, the parents haven't gone broke and sound like they will profit when it sells... tastes sweet to me

 

[westie]

Hi Hiflo
i know the area, got stuff around the corner in Banksmeadow, reckon you should do 2 things.
1.) hold the line, and be patient.
2.) get a local agent, and one only, suggest Simon Gray. i have no connection to him, but notice he sells and knows fair value. Your current agent is at Kingsgrove, that's half a city away, he must be a relative. LJhooker Commercial at Mascot are active too.

though considerring the size of the shed, your family know whats going on. Your story is an inspiration, thanks for sharing it.
westie