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Who pays Strata Fees?

Discussion in 'Commercial Property' started by Darlinghurst Boy, 11th Apr, 2016.

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  1. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    i have been looking at a Country Area shop.
    Price is $100,000 and rental return is $130 weekly.

    Strata fees are $726 every quarter .

    Can i give these to a tenant as its Commercial to pay ?
     
  2. D.T.

    D.T. Adelaide Property Manager Business Member

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    If you write it into your lease, sure.
     
  3. sanj

    sanj Well-Known Member

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    What does the lease say? it can certainly be part of the outgoings charged to the tenant but only if that's in the existing lease.
     
  4. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    Ok... I was under the impression being Commercial it was automatic.

    If not .. I doubt its a good investment ... $130 week =$520 month minus the agents fees, taxation , etc then Strata.
     
  5. D.T.

    D.T. Adelaide Property Manager Business Member

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    Nothing is automatic.
     
  6. sanj

    sanj Well-Known Member

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    have you read the lease? start there. agents frees and strata contributions could be paid by the tenant or landlord, it will all be there in plain English.
     
  7. pinkboy

    pinkboy Well-Known Member Premium Member

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    Even if there was a serious lease in place, whereby the tenant pays ALL outgoings - a net yield of 6.8% for a C- grade tenant, in a country town, with little to no growth and income growth prospects?

    Yuck.

    pinkboy
     
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  8. Shady

    Shady Well-Known Member

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    ^^^ What he said.
     
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  9. Scott No Mates

    Scott No Mates Well-Known Member

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    Succinct
     
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  10. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    You dont think this is good value?
    Would be $520 a month ...
     
  11. Shady

    Shady Well-Known Member

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    Umm no!
    I'd suggest you spend at least 3-6 months learning about commercial property and ask at least another 300 questions before you buy anything....or better yet, pay a buyers agent who knows commercial property and the area you want to buy in.
     
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