Archives for April 2012

Several Short-Term Strategies For Commercial Property

Clever improvements can bring Quick ProfitsCOMMERCIAL properties are mainly a longer-term investment, bought for their regular high yields — as well as for good capital growth over time.

Even so, an investor with some knowledge and experience can easily find properties able to be improved, and then on-sold for a quick capital gain. [Read more…]

Industrial Property Is Clearly Holding Its Own

Industrial Rentals set to rise, and Selling Yields will begin to firm.Vacancy rates for Industrial property have fallen dramatically over the past year — declining by 39% on average, across the country.

This is mainly the result of strong demand for warehousing, following the high Australian dollar.

Plus, there has only been a modest amount of new construction. And that means you should see rentals improve and selling yields start to firm. [Read more…]

Where Do Your Profits Come From With Commercial Property?

You need to anticipate your Tenant's needsAS AN INVESTOR in Commercial property, you need to fully appreciate where your profits actually come from.

In most cases, the key lies with your tenants … who provide you a steady stream of income.

So finding reliable tenants is crucial; which means understanding their needs, and providing them an suitable premises.

Therefore, it is essential that you continually anticipate exactly what your tenants are expecting. [Read more…]

Current Opportunities Within The Commercial Property Market

The "Emotional Cycle" suggests an upturn in activityCONTRARY TO THE VIEW of many pundits, it’s certainly not all gloom and doom out there.

The share market may well have been moving sideways within a 4000 to 5000 band, since 2009.

Plus, the two-speed economy only seems to be benefiting the miners and those within the service industries. And unfortunately, increased savings levels are frustrating the retailers no end.

However, my view remains that Australians are now poised ready to come off the bottom of the “Emotional Cycle” — armed with a level of savings seldom seen in previous upturns. [Read more…]

Is the Mining Boom Causing a Surge in New Cafes?

New Restaurants & Cafes are emerging everywhereFOR SOME time now, the RBA has been as assuring us of the flow-on benefits soon to reach the non-mining states of Victoria and New South Wales.

However, these benefits may not be very easy to recognise. And so, let’s attempt to make things a little clearer. [Read more…]

Are You Fully Claiming the Depreciation Available on Your Commercial Property?

Depreciation can provide you with substantial Tax BenefitsIN SIMPLE terms, your Depreciation falls under two separate (but related) categories:

  • Plant & Equipment items (Division 40)
  • Capital Works allowance (Division 43)

And not everyone is in a position to acquire a stand-alone property.

More often than not, you’ll be looking to purchase a “strata-title” Office or Warehouse — involving an Owners Corporation and some common-area property.

As such, you may not be aware of the full extent of what you are entitled to, by way of your Depreciation claims.

However, by having a tax depreciation schedule professionally prepared, you can significantly enhance the overall return on your investment. [Read more…]

The Impact of Solid Population Growth Over the Past Decade

Solid Population Growth underpins Tenant & Buyer DemandEVERYONE seems to be talking about how people are flocking to the mining states … but does that really give a true reflection of what is occurring?

If you take a close look at the statistics, Melbourne is actually leading the country in increased population numbers.

In fact, it has added some 67,000 people during the 12 months to June last year. And Wyndham to the south-west (which includes Werribee) now holds the crown for Australia’s fastest-growing municipality, for the 2nd year running. [Read more…]