Shanhz
14-09-13, 23:30
anyone here are owners of industrial properties? is it true that in the initial 2 years after TOP, bare units will fetch very low rental, to the extent that perhaps cashflow might be negative?
what is the typical kind of model one should expect from industrial ppty? say, if the lease is 30 yrs, does it mean the rental should be good enuff to enable full payment within 15 yrs, with the next 15 yrs being pure profit? this was a formula that someone told me before as the golden rule for industrial investments. but surely this also depends on the downpayment amount. if you down 50% of coz it will be repaid after 15 years or less.
any inputs?
what is the typical kind of model one should expect from industrial ppty? say, if the lease is 30 yrs, does it mean the rental should be good enuff to enable full payment within 15 yrs, with the next 15 yrs being pure profit? this was a formula that someone told me before as the golden rule for industrial investments. but surely this also depends on the downpayment amount. if you down 50% of coz it will be repaid after 15 years or less.
any inputs?