Invest alongside a market leader in office real estate
Office space is one of the most popular commercial property investments in Australia.
By its nature, office assets are usually well located in bustling areas, with high foot traffic volumes and solid potential for growth. White-collar businesses occupying these premises can be among the most lucrative tenants. This is owed to those in industries such as finance and mining, and even entrepreneurs occupying coworking office space.
Office property investment has particular benefits when purchased well:
- Investors can expect yields between 5% and 10%, and these high returns are a key attraction to invest in office real estate (and commercial property as a whole).
- Office leases usually include annual rental increases linked to Australia’s Consumer Price Index (CPI). In a growing economy, demand for premium office space can be higher, translating to increased rental yields.
- Contemporary appetites will favour properties with great sustainability features. This can be illustrated by the nationwide adoption of NABERS (National Australian Built Environment Rating System).
NABERS measures the environmental performance of Australian buildings and tenants. Businesses occupying office buildings tend to benefit directly as a result of solid ‘green credentials’, due to improved worker output in a quality, sustainable environment; and landlords benefit from the increase in property value once a strong NABERS rating is applied.
While offices may appear to be in the higher price bracket for investors, many participate in such a rewarding investment by joining an experienced commercial property syndicate. For more information on investing alongside a market leader in office property investment, get in touch with Properties & Pathways.