Medical Centre + Office and Retail Centre in Linz for Sale, WAULT = 8.2 Years, Freehold
Property type: medical centre + office and retail centre
Purchase of established rental business
Number of buildings: 3
Tenure: freehold
Location: Linz, Upper Austria
Construction date: 2002
Total lettable area: ca. 8,400 m2, incl.:
• medical practices: ca. 4,400 m2 (52% of total area)
• offices: ca. 2,600 m2 (31% of total area)
• retail units: ca. 1,400 (17% of total area)
Area size: ca. 6,200 m2
Car parking facilities: 150 spaces, incl. 120 underground spaces
Main tenants:
• dental clinic
• plastic surgery clinic
• IT company
• wellness centre
Other tenants: over 10
Occupancy: 92%
WAULT (Weighted Average Unexpired Lease Term): 8.2 years
Possibility of renewal: YES
Rent Review: YES
Double net lease (NN lease):
• tenant is responsible for almost all operating expenses (including land tax, building insurance, minor repairs, etc.), except for total building renovation
• the owner is responsible ONLY in the case of a potential renovation of the entire building
Purchase price: 30,250,000 euro
(+ closing costs)
Possibility of Share Deal:
• acquisition of the shares of the company that owns the property
• in case of Share Deal there is no obligation to pay property transfer tax
Current Rental Income: 1,605,000 euro per annum
(+ indexation linked to inflation)
Current Yield: 5.3%
Potential Rental Income: 1,695,00 euro per annum
(+ indexation linked to inflation)
Potential Yield: 5.6%
Extra opportunities:
There is a possibility to increase yield in case of renting out vacant commercial spaces.
