A little bit higher than 77....
The $ 330 psmpa is woefully under market rental.
Back of the fag packet, I'd do something like this ;
Expected Rental from NLA : 18,777 sqm * 800 psmpa = 15 MM p.a.
Rental from carbays : 78 * 600 pcbpm * 12 = 0.56 MM p.a.
Total expected rental = 15.56 MM p.a.
You'd be doing well to get a nett yield of 7% right in the heart of the CBD....cannot get 8's.
15.56 / 0.07 = 222 MM.
Maybe a slight discount, staggered for when the market rental review kicks in.
I don't reckon the Owners would let it go for anything under 210 MM. You'd simply put your best foot forward, have only one crack at it and then hang on for the ride. No such thing as "I'll go in lowball and sneak up from there, toing and froing with the Vendor".
It would need to be cash unconditional. No poxy white ant or building or tricky little finance clause to fall back on.
If you wanted it, you'd be up against the folks / institutions and funds who play hardball. No time for cutesy niceities or pleasantries. She's teams of solly's and 'take or leave it' type posturing. Not for me - I'm far too nice and pleasant, despite what people think of me here on this forum.
You need to be an out and out b@st@rd to play at that level. Plus the headaches I can do without.
Ask the Bank to stump up the lot. At 10% rates, that's only $ 57,500 per day in interest.
Stamp duty to buy would be a snip at only 11.3 MM.
Maybe put the PPoR down as a deposit.....but just watch that X-coll, it's a killer.....you might lose your house.
