Property Details

Bold corner position, solid income and room to grow. Empire Gardens is a resi-commercial investment property on the prominent corner of Empire Road and Marie Road in Auckland Park. Empire Road is the main route from Auckland Park into the Johannesburg CBD, so the property has main-road visibility and access in an established commercial node.

THE PROPERTY

• Erf size: 1,398 m2
• Two separate buildings with a combined gross lettable area (GLA) of approx. 1,340 m2
• Corner retail building: approx. 590 m2 GLA with several street-front shops
• Double-storey red facebrick building: approx. 750 m2 GLA, with workshops on the ground floor and residential units on the first floor
• 8 retail/shop spaces, 3 store rooms and 10 residential rooms
• Secure, paved on-site parking with gated access off Marie Road
• Zoning: Business 1, which allows shops, offices and residential use

THE NUMBERS

• Asking price: R6,995,000 excl VAT
• Gross rental (May schedule): approx. R99,730 per month
• Net income: approx. R81,000 per month (R80,887 after expenses and recoveries)
• That's approx. R970,000 net a year, an initial net yield of roughly 13.9% on the asking price
• Assessment rates: approx. R7,644 per month
• Shop leases mostly carry 10% annual escalations
• Upside: the carwash (100 m2), Shop 5, a store room and two residential rooms are currently vacant, so income can rise once the property is fully let

LOCATION

• Close to two universities, Wits and UJ, which brings strong, constant demand for student and young-professional accommodation
• Close to two hospitals, a wide range of amenities and major roads
• On a busy arterial route with constant passing traffic and exposure for retail tenants

INVESTMENT AND DEVELOPMENT POTENTIAL

• Let up the vacant units to push the net income past R81k a month
• Business 1 zoning gives you flexibility for retail, office and residential use
• The property is near two major universities, so the residential component could be expanded or upgraded into student accommodation, subject to council approval
• A 1,398 m2 corner erf in an established node offers longer-term redevelopment or densification potential, subject to council approvals
• Diversified tenant mix across retail, storage and residential spreads your risk

This is a cash-producing corner asset with room to add value, and opportunities like this rarely come up in Auckland Park. Click message to request the full income schedule or to arrange a viewing.

All figures are approximate as supplied by the seller and must be independently verified by the purchaser.