Comprising 37 strata titled lots boasting a yearly rent of $729,349, Gladstone Downtown Central presents an outstanding opportunity to own the freehold passive of a blue-chip accommodation asset ready to capitalise on the Central Queensland port city’s established appeal as a tourist and business destination.
The incoming owner will enjoy the security of having a first-rate tenant in place in the form of Central Apartment Group, one of Australia’s leading privately owned hotel companies.
Central Apartment Group only recently renewed its 5-year lease in July 2023. The lease expires in July 2028 with three further 5-year options to renew, which conceivably extends this premium tenant’s lease to 2043. The hotel is trading well, which will benefit the owner by way of a top-up based on 42.5 per cent of the gross accommodation revenue.
In addition to having the security of a stable tenant, the property is strata titled giving the incoming owner the ability to sell down individual units to benefit from local housing demand should they see fit and reduce rent accordingly.
Astute investors should be quick to consider this exceptional freehold passive investment in the vibrant regional city of Gladstone.