Key Investment Insights
1. Secured 12.6% ROI based on advertised figures, net profit $183,000 per annum.
2. Business sale price $788,000, approximately a 4.3× multiplier on reported earnings.
3. Total upfront investment including manager’s unit about $1,457,000, manager’s unit valued at $699,000.
4. Manager’s remuneration / Body Corporate salary reported at $153,164, enhancing overall cash return to operator.
5. Accommodation Module agreement in place with 25 years remaining, recently topped up, providing long-term tenure security.
6. Manager’s residence fully renovated, three large bedrooms, two modern bathrooms, open-plan entertainer’s kitchen and private courtyard, supporting lifestyle appeal and operator retention.
7. Assets included in sale, including a brand new ride-on mower, reduce immediate capex and operational setup costs.
8. Complex scale and composition: 80 total units, 16 in the letting pool, 63 owner-occupied, one outside agent unit, indicating a predominantly owner-occupied community and limited letting competition.
9. Recent transaction activity within the complex, eight unit sales in the last 12 months at an average price of $700,000, implying liquidity and consistent market pricing; potential commission upside around $100,000 plus.
10. Prime Western Brisbane location in a fast-growing corridor near the Brisbane River and Golf Club, with good access to major arterials, public transport and the growing Ipswich region.
11. Market tailwinds noted, including infrastructure and private investment in the region and rising rental and housing demand, supporting income stability and long-term growth potential.
12. Operation characterised as low-maintenance and straightforward, with supportive Body Corporate and lifestyle advantages for couples or families.
Management Rights Multiplier: 4.31
ROI Estimate: 23.22%
