Freehold Investment with Guaranteed Annual Growth
City Centre, Auckland City
- Proposed Usage
- Floor Area
- 876.00 m²
- Auction Date
- Aug 30, 2017
- Property ID
A solid investment of 2 prized properties for joint sale in sought-after Grafton returns a combined $203,500 net pa + GST.
New long-term leases on both properties with G14 tenanted by the Body Corporate and G15 by Flex Fitness Auckland CBD with fixed rent increases every year and a rare clause that ensures rent will never be able to drop.
Over 900m2 (approx) of Freehold Strata central commercial space and quality tenants, this will be hard to find again.
Tenants pay outgoings
* 40m2 (approx) leased to Body Corporate 490569.
* Long-term lease of 21 years and right of renewal
* Market rent reviews
* Property owner levies that are due to a body corporate in effect rank ahead of mortgages so you can feel secure that rent will be paid, on time and in full!
* 876m2 (approx) leased to JZ Fitness Limited (Flex Fitness AKL CBD)
* Strong covenants and personally guaranteed
* 10 year term with right of renewal
* Annual fixed rent increases
* Market rent reviews are by way of a rare hard ratchet clause, which means that at review, the rent will never be able to fall even if the market falls!
* Currently being occupied as a gymnasium, the tenant has put a massive investment into fitout of the space and equipment.