Commercial Yield

<html><body>
<p>Net rental yields were mostly under 5% at Bayleys' recent auction of Auckland commercial properties.</p>
<p>The net yields achieved ranged from 6.11% on a medical clinic in Penrose that fetched $1,065,000, to just 2.66% on a $3.61 million house in Takapuna that had been converted to <a href="https://www.propertyobserver.com.au/https://www.bayleys.co.nz/1501322" target="_blank">legal offices</a> (pictured above).</p>
<p>The Bob Dey Property Report suggested it had more intensive development potential.</p>
<p>Most of the properties sold on yields between 4% and 5%, with prices ranging from $1,065,000 to $4.04 million.</p>
<p>The yields suggest commercial properties in Auckland can still be purchased for about the same price or less than the average price of a house in the region, but the commercial properties are likely to be providing investors with significantly better returns.</p>
<p>Other recent commercial property sales around New Zealand include a hair dressing salon in Hawkes Bay which sold for $815,000 providing a net yield of 5.61%.</p>
<p>A large industrial building in New Plymouth sold for $2.6 million providing its new owners with a net yield of 7.65%.</p>
<p>Another recent sale was 303-305 Great South Road, Papakura, an Asian supermarket a mixed use zoned site for $3,440,000 at a 4.73% yield. It was declared on the market at $2,800,000. </p>
</body></html>

j.ballantyne1990-6AQqhLzZaK

Auckland commercial property yields sitting under 5%

<html><body><div class="page" title="Page 4">
<div class="layoutArea">
<div class="column">
<p><span>High yields and exchange rates lured record overseas investors to to the commercial property market in calendar 2015 according to the Asia Pacific Investment Quarterly Q4, 2015 from Savills. </span></p>
<p><span>The report found approximately A$30 billion of national commercial property sales throughout the year with around A$17.2 billion worth of office transactions for the year to December 2015, up 3 percent from the previous year.</span></p>
<p><span>Savills recorded approximately A$4.8 billion worth of industrial transactions in the 12 months to December 2015, down from A$5.55 billion </span></p>
<p><span>Foreign investors purchased 36 percent of all industrial property sales and 26 percent of all commercial retail stock sold. </span><span style="line-height: 1.3em;"> </span></p>
<div class="page" title="Page 4">
<div class="layoutArea">
<div class="column">
<p><a href="/images/2016/04/13/Screen%20Shot%202016-04-13%20at%2012.29.03%20PM.png" target="_blank">Click to enlarge</a></p>
<p><img src="/images/2016/04/13/Screen%20Shot%202016-04-13%20at%2012.29.03%20PM.png" alt=""></p>
</div>
</div>
</div>
</div>
</div>
</div></body></html>

Commercial Yield

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Commercial Yield

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

Developments

New apartments

New townhouses

News