Key Investment Insights
AI generated. Confirm details with the seller.
1. Body Corporate salary constitutes over 80% of net profit, providing a highly stable and predictable income stream.
2. Annual Body Corporate remuneration stated at $50,344 plus GST, with CPI increases, supporting revenue growth over time.
3. Reported net profit of $52,704 per annum, relative to an asking price of $680,000, implies a low multiplier of 1.32.
4. Manager’s residence included, described as a spacious standalone three-bedroom home, valued at $610,000, enhancing owner-occupier value.
5. Residence features listed as three bedrooms, two bathrooms, a garage and an office on title, providing on-site management convenience and accommodation value.
6. Low maintenance profile, no swimming pool and minimal gardens, reduces operating costs and upkeep obligations.
7. Flexible operational model with no set office hours, enabling adaptable management arrangements.
8. Growth potential from a 12-unit pool handled by outside agents, offering scope to expand letting income and capture additional management work.
9. Agreement structure is permanent accommodation management rights, 25-year term with over 12 years remaining, providing long-term contractual security.
10. Complex includes a gym, adding amenity value to owners and residents without the higher costs of pools or major landscaping.
Management Rights Multiplier: 1.33
ROI Estimate: 7.75%