Advice York Mill, WA

G'day bright sparks

Now first up. I know little to nothing... about commercial property

There are a few reasons not to invest but it's an interesting site and keen to see what others think, positives, negatives, other considerations.

I am not looking at purchasing (unless it's a super awesome deal not to be passed up!) , I just think it's a unique site with more potential and want to learn about it and more about commercial. Maybe you'll find it fun too

The Flour Mill, 10 Henrietta Street, York WA 6302 - For Sale





It's asking price is $950k. Has been on the market since sept last year originally asking $1.2m.
It has only had the current tenants and resto work completed 12-18mths ago, that's the Cafe, outdoor eating, new gates and tidy up. Before that I believe it was just the inside of the warehouse used as a gallery, possibly 2 floors only.

There are still areas available to rent. I couldn't see ads or prices to rent the vacant areas. I don't think the current tenants would be covering the loan, assuming 100%, repayments 6500/mth (??) bigger spaces of the site are available, the tall building is empty I believe and half the warehouse.

I'm unsure about the owners but I assume they've tarted it up, got some tenants and now are selling.

Not sure of any heritage arrangements and haven't looked into the age of the building. Id think the age would be a risk with the ongoing maintenance, although the locals would have the skills given there are many old buildings in town.

York is the first inland settlement of wa, 2 years after Perth in 1831. It's main industry is farming being in the wheatbelt but also tourism, visitors from the city coming up for weekends away etc. Population is under 3000. Now before you say "regional town less than x0,000 don't touch it " (Or is that just houses??) it is a popular spot to visit and the weekends are quite busy. For the eastern pc'ers like a Mudgee perhaps. and it's just a hypothetical I realise the population is a risk but the sale price reflects that is not a big city deal.
The town hall would be the best in the country I think, I'm yet to see one better


Potential I see it having :
-there are empty spaces to fill, extra $$.
-Across the road is a vacant lot, markets or even a small stage for bands. They have monthly markets in town currently which draw tourists.
-Wonder if it's possible for accommodation in the empty for spaces? The exposed beam photos. I think it's 3 levels
-It has a bit of a "the grounds "in newtown type feel. Throw some chooks and pigs in there for the "country experience".

What do you all think? I'm keen to learn about this interesting one

 

Hi Bob

Like you i'm drawn to these unique properties because of the charm and endless possibilities that they can offer the imagination.
The question i ask people before we look further into a property is it purely an investment or lifestyle and or caters for personal business needs and has a potential for further income.

I have dealt with property similar to this before and if only you could pick up the entire building and drop it in another location you would kill the pig.
The success of a tenant in these properties will still be the same as city properties. viability
I have found that relying on small town tourism is not enough and filling vacancies is extremely hard as you rely on the locals in the area to want to operate from the premises.

Often you will find in country towns that instead of promoting the business its actually the whole town that needs to promote to draw the numbers in to make these sites work.

Mikewhois

 

Hi Bob,

I’ve always been interested in the HUGE possibilities for the old mill in York, I noticed it sold for $700k in 2016, came across this thread & just curious if you purchased the site ?

Katherine in Perth