Key Investment Insights
1. Blue-chip Teneriffe riverfront location, direct riverfront with riverwalk access to New Farm Park, Howard Smith Wharves and the CBD, strong appeal for renters and capital growth.
2. High verified net profit of $349,471 per annum, with body corporate salary of $269,141 per annum accounting for over 77 percent of that profit.
3. Long-term agreements in place until June 2047, equating to a 25-year agreement with approximately 22 years remaining, providing income security.
4. Manager’s residence is dual-title, consisting of a three-bedroom apartment, one bathroom, two secure carparks and an office on title, offering owner-occupy or rental income flexibility.
5. No office hours and no requirement to live onsite, enabling lifestyle flexibility and low management oversight.
6. Light caretaking duties limited to pool, BBQ area and grounds, reducing operational workload and staffing needs.
7. 160-unit complex with diversified occupancy mix, including 26 units in the letting pool, 32 self-managed Airbnb units and 49 units with outside agents, presenting multiple upside levers.
8. 53 owner-occupy units and available outside rentals offer potential to grow the letting pool and increase management income.
9. Attractive financial metrics, including a 20.2 percent ROI on the business component and a below-market multiplier of 5.35x, indicating strong investment value.
10. Manager’s apartment value quoted at $925,000, providing significant asset value tied to the management rights package.
11. Prime local amenities nearby, including Teneriffe café culture, Gasworks precinct, James Street retail and a ferry terminal, supporting high rental demand and guest appeal.
12. Combination of high recurring body corporate remuneration and low-effort caretaking yields a high-return, low-maintenance management rights investment.
Management Rights Multiplier: 0.67
ROI Estimate: 100.00%
