Ochre Medical Centre, 20 Kalinga St, Caloundra QLD
Building type: Medical
Building area: 1,663m2
Land area: 2,428m2
Asking price: $15.5 million
Purchase price: $15.3 million
Net passing yield: 5.3%
$/m2 building area: $9,200/m2
$/m2 land area: $6,301/m2
Brand new 2 level medical centre
100% leased to national healthcare provider, Ochre Health, with a head lease for 15 years with two 10 year options.
Located within the town centre of Caloundra
Fund through transaction with a stamp duty saving of $700,000
WALE: 15 years
Net income, pa; $825,000
Net income, $496/m2
Tenancies: 100% leased
How Did Prosper Group Assist Their Client?
Prosper Group's market knowledge, track record with medical assets and extensive initial due diligence assisted their client in being chosen as the preferred buyer in a competitive sales campaign and in a market where medical centres are in high demand from investors and REITS.
A fund through transaction was negotiated on behalf of the client where they saved $700,000 in stamp duty costs by buying the land up front and then making development payments throughout the development of the property until completion. As part of the upfront negotiations Prosper Group also negotiated more favourable lease terms for our client.
Prosper Group provided development management services throughout the 12 month development phase until completion.
This is the fourth property which Prosper Group has assisted this client in purchasing and it is a great addition to their portfolio with the medical centre providing diversification across the client's other properties which cover industrial, office and bulky goods uses.