Parkes, New South Wales
Business and profit going from strength to strength. New 30 year lease , LOW RENT
SOLD
Business Description
Regrettably the vendors MUST sell due to their divorce settlement. The result is that the prospective buyer will have motivated vendors for the sale of the Leasehold of their property in Parkes.
Due to all the infrastructure spending (see below) by both Government and the private sector this property has had an increase in turnover, despite Covid 19.
“Parkes is set to be Australia’s largest intermodal hub.”
Michael Kilgariff - Australian Logistics Council
At around 4800ha, Parkes National Logistics Hub is set to be Australia’s largest intermodal site, integral to the national freight solution.
Pacific National has committed an initial $35 million to build and establish the terminal, located within the Parkes Shire Council’s National Logistics Hub, and acquire rollingstock (i.e. locomotives and wagons)
It is one of the largest private sector investments in freight and logistics infrastructure in regional Australia, helping to give the Federal Government’s 1,700km Melbourne to Brisbane Inland Rail project added momentum
Major construction of Pacific National’s logistics terminal by Coleman Rail commenced in October 2018. Pacific National owns 365-hectares at Parkes – located within the 4800-hectare National Logistics Hub
More than 50,000 person hours dedicated to delivering the new terminal.
Once fully operational, Parkes Logistics Terminal will have the capacity to process approximately 450,000 shipping containers each year, including the ability to haul double-stacked containers on 1,800m long freight trains between Parkes and Perth
The terminal is hoped to be fully operational by 2025 – when the Federal Government’s Melbourne to Brisbane Inland Rail project is due to be completed
1,800m rail sidings at Parkes Logistics Terminal are the longest sidings in Australia for transferring shipping containers between trucks and trains.
Pacific National is proud to be part of Parkes, including being a major sponsor of the Parkes Elvis Festival and The Henrys (Parkes Chamber of Commerce Business Awards)
INFORMATION SUMMARY
*own this leasehold within 4 years
*2021 Projected T/O $52000 plus and Projected Profit $ 220 000 (after rent)
* First year's Rent $115000 CPI indexed with a minimum of 1.5% and a maximum of 3%
*Rent is approximately 34% of projected total profit
*NO RESTAURANT
*24 units - all recently refurbished (2019) 0nlly 6 new bathrooms need to be upgraded.
*New 3 bedroom residence, new carpets in all rooms
* New 30kw solar system
* Inspection of Parkes motel and trading figures will impress
Business Summary
Business Snapshot
Price: SOLD
Net Profit: $210,000
Motel Information
Total Rooms: 24Stars: 3.5Liquor Licence: NoRestaurant: NoSale Type: LeaseholdLease Term: 30 years
Key Investment Insights
1. The business and profit are continuously growing.
2. The vendors are motivated to sell due to a divorce settlement.
3. The property is located in Parkes, which is set to be Australia's largest intermodal hub.
4. The National Logistics Hub is expected to be completed by 2025.
5. The business has received significant investments from both the government and private sector.
6. The property has had an increase in turnover despite the impact of Covid-19.
7. The business has a projected turnover of $52,000 and a projected profit of $220,000 (after rent) in 2021.
8. The rent is approximately 34% of the projected total profit.
9. The business does not have a restaurant.
10. The motel has 24 recently refurbished units and a new 3 bedroom residence.
11. The property has a new 30kw solar system.
12. The inspection of the motel and trading figures will impress potential buyers.
13. The leasehold can be fully owned within 4 years.
14. The first year's rent is $115,000 with a CPI index and a minimum of 1.5% and a maximum of 3%.
15. Only 6 new bathrooms need to be upgraded in the motel.
ROI Estimate: 32.31%
