As mentioned a few times in Engines of Wealth, I own seven Hairdressing salons and would gladly have more, they make dependable tenants. With that many hairdressing salons in my portfolio I am keen to learn more about their business, so I interviewed a local Hairdresser/Barber to gain greater insight and improve my investment calculations. Read more
In Engines of Wealth I discuss at length how to interact with real estate agents from a buyer’s perspective, but when considering them as a tenant and agencies are one of my preferred tenants, there is a twist. When considering the viability of a real estate agent in your shop first you need to ascertain if they are among the 90% that sell residential properties only. Remember the catch-cry “Location, Location, Location”, all areas are not equal and if your shop’s neighbourhood is not providing attractive prices or has too much competition then a real estate agency may struggle. Read more
I recently assisted a fellow investor acquire his first retail shop. We found an ideally priced Thai Massage centre in Maroochydore QLD that was opposite a popular beach and caravan park. The gross rent was $21,350 per annum and the outgoings were $7,220 per annum leaving a net annual rent of $14,130.
A step-by-step guide to building a commercial property portfolio that leverages your savings to create a long-term engine of wealth.