* 40 Storage units (28 established, 12 brand new - completed Sept 2024)
* Income 2024 FY $48,000
* Latest rents at $37.50 per unit per week
* Perimeter fencing
* Flood free, located on edge of South Grafton
Located in the South Grafton Industrial Area, 5.9km from the Grafton CBD, this secure storage complex features 40 individual units - 12 of which are newly constructed (completed September 2024).
The complex has a strong rental history and has shown income of $44,900 and $48,200 in the last two financial years with the potential to increase that substantially with the leasing of the newly constructed units. The current owners are not registered for GST as the income is below threshold.
Maintenance is easy with a lawn mowing contractor taking care of most of the upkeep and Council rates and building insurance are comparatively affordable.
The complex has been managed long term by McKimm's Real Estate or could easily be self managed moving forward.
Storage has been a long term success story in the Grafton area as modern home construction and moving trends have created strong long term demand and low vacancy rates over the past 20 years. Each individual unit now rents for between $25 - $37.50 per week. Long term tenants in place for many years currently pay the lower rents which could be reviewed as existing agreements take the form of a basic licensing contract not a fixed term commercial lease.
As a forecast - if 40 units were leased 90% of the time at $37.50 per week the total annual revenue would be $70,000. More tenancy income would not increase outgoings for rates, insurance and lawn care. - in fact the newly constructed sheds will make lawn care easier.
Storage complexes of this type offers the investor multiple small income streams that create security of income over the economic cycles.
Current long term owners are now looking to retirement and estate planning and have made the decision to sell after owning since 2001.
Insurance: $4015 pa
Council rates: $3323 pa
Lawn mowing / Maintenance: $900 - $1200 pa
