Key Investment Insights
1. Asking price split clearly stated, $420,000 for the management rights business and $730,000 for the manager’s unit, total $1,150,000.
2. Net profit of $145,476, with a Body Corporate salary/remuneration component of $102,469, indicating significant recurring contractor income.
3. Manager’s unit valued at $730,000, four bedrooms, two bathrooms, three car spaces, offering substantial on-site asset value.
4. Potential additional rental income of approximately $630 per week from the manager’s unit, not included in the reported P&L.
5. Currently managed by a single person, implying a manageable operational workload and potential to scale or convert to multiple staff.
6. No mandatory on-site residency, with option to secure the office and operate remotely, increasing buyer flexibility.
7. Complex is a landscaped gated community with a dedicated picnic area, tables and chairs, enhancing resident amenity and appeal.
8. Prime western suburbs location, positioned near a major shopping centre and essential amenities, supporting demand and tenant satisfaction.
9. Complex size and composition: 59 total units, 14 units in the letting pool, 41 owner-occupied, 4 managed by outside agents, providing clarity on lettings exposure.
10. Management agreement is 10 years in term with approximately 8 years remaining, offering long-term contractual stability.
11. Marketing emphasis on an attractively priced, fast-sale opportunity, signalling potential for timely transaction and investor interest.
Management Rights Multiplier: 2.89
ROI Estimate: 12.65%
