Forums / Property Investing / Value Adding / Opportunity to add storage to a CBD Unit

2019 Money Magnet Symposium - Discover how to make, and keep, more money and achieve a financially empowered future
Viewing 3 posts - 1 through 3 (of 3 total)
  • Profile photo of mjamja
    Participant
    @mja
    Join Date: 2005
    Post Count: 85

    Hi all,

    There’s an opportunity for my Brisbane CBD unit – one of the developers is selling his extra storage units to lot owners.

    Each storage unit has a small lockable roll-a-door… kind of like a mini garage.

    The size and prices are:

    4 square meters (has a lower ceiling): $8,000
    4 square meters: $10,000
    5 square meters: $12,500
    7.5 square meters: $17,500

    We already have one lot of storage (6 square meters) available to our tenant. Would adding additional storage massively increase the value of our unit?

    If I leased the storage out to an external party, what sort of prices fetch 4-7 square meters of storage?

    Cheers!

    — MJ.

    It is easy to get to the top after you get through the crowd at the bottom.
    — Zig Ziglar

    Profile photo of Fast LaneFast Lane
    Member
    @fast-lane
    Join Date: 2004
    Post Count: 527

    I wouln’t say massively increse the value of your property but it would certainly be of value to someone who needed it. If they need it. A lot of people rent out extra car spaces to other tenants in their buildings, so yes, I believe you’re onto a good idea.

    It’s just a balancing act on whether what you could rent it for would be viable to buy it in the first place.

    Also if the developer is selling heaps, why pay full asking price? He might be short of a buck and needs to offload. You might even get a bulk discount.

    In regards to renting it, check out ‘self storage’ in the Yellow Pages, get some quotes on units 4-7sqm and go from there. As a guess $20pw might be a good start. How swanky is the building???[wink]

    …FL

    Fast Lane- The poster formerly known as g7

    Profile photo of mjamja
    Participant
    @mja
    Join Date: 2005
    Post Count: 85

    The building is fairly swanky. The developer only has 4 storage units for sale, and the 7.5 metre one is huge! :)

    I’ll price the storage areas out and ring my possible future property manager and see what she thinks.

    Cheers!

    — MJ.

    Originally posted by Fast Lane:

    I wouln’t say massively increse the value of your property but it would certainly be of value to someone who needed it. If they need it. A lot of people rent out extra car spaces to other tenants in their buildings, so yes, I believe you’re onto a good idea.

    It’s just a balancing act on whether what you could rent it for would be viable to buy it in the first place.

    Also if the developer is selling heaps, why pay full asking price? He might be short of a buck and needs to offload. You might even get a bulk discount.

    In regards to renting it, check out ‘self storage’ in the Yellow Pages, get some quotes on units 4-7sqm and go from there. As a guess $20pw might be a good start. How swanky is the building???[wink]

    …FL

    Fast Lane- The poster formerly known as g7

    It is easy to get to the top after you get through the crowd at the bottom.
    — Zig Ziglar

Viewing 3 posts - 1 through 3 (of 3 total)

You must be logged in to reply to this topic.