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Anyone buy any of these commercial holdings?

Discussion in 'Commercial Property' started by headsonbeds, 29th Sep, 2015.

  1. headsonbeds

    headsonbeds Well-Known Member

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  2. Scott No Mates

    Scott No Mates Well-Known Member

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    Is it gross or net yield? I'm not familiar with the street, what are the affinities for this location?

    What's the vacancy rate? How hard will it be to find a replacement?

    It's a large space - can it be split into two or 3 smaller tenancies without sacrificing shopfront?
     
  3. headsonbeds

    headsonbeds Well-Known Member

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    Scott I love your list of questions as I wouldn't have thought of half of them! Out of interest what number of commercial properties do you have? Mine are boarding houses so only just commercial.
     
  4. Elives

    Elives Well-Known Member

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    Hi Headsonbeds,
    i was wanting to ask with boarding houses they must be very time consuming. how long have you been doing this for?
     
  5. headsonbeds

    headsonbeds Well-Known Member

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    I've had 1 for over ten years and another for only 3. They certainly aren't like regular IPs, it's more like running a business. In saying that though it's only a few hours a week. Depends on the number of rooms in the building and your manager. Yields should be higher to compensate for this. I'd want 11%+ but depends on the future potential as well.
     
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