Commercial Property in the State of Saxony for Sale, Lease Agreement Ends 2040
Property type: commercial property
Purchase of established rental business
Location: the state of Saxony, Germany
• property is located in a town with a population over 30,000
Construction year: 1990’s
Lettable area: ca. 1,200 m2
Plot area: ca. 2,900 m2
Anchor tenant: A.T.U Handels GmbH & Co KG (large chain of automobile repair shops)
Occupancy: 100%
Triple Net Lease (NNN lease):
• tenant is responsible for all operating expenses including land tax, building insurance, minor repairs, potential renovation of the entire building, etc.
Lease Agreement: until 2040
Possibility of renewal: YES
Rent Review: YES
Purchase price: ca. 1,126,500 EUR
(+ closing costs)
Bank financing: 50%
Interest rate: from 5.0%
Amount of investor’s own capital required: ca. 615,000 EUR
Rental Income: ca. 76,600 EUR per annum
(+ index linked to inflation)
Yield: 6.8%
Return on investment (ROI): 7.5%
If using bank finance
