Office Space 528 Sytze Wierda Avenue, Pretoria West

Residential to Student Accommodation Investment Opportunity For Sale in Pretoria

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This investment opportunity operates at an average occupancy of 50.00%, Net Operating Income (“NOI”) of ± R 3.02 million and NOI Yield of 3.48% for a purchase consideration of R 87.00 million. If converted to student accommodation, these figures have the potential to increase to ± R 16.22 million (NOI) and ± 18.64% (NOI yield), assuming approval of a maximum allowance of 540 beds and estimated rental rates of R 3 900 per bed and an expense ratio of 30.00%.

Building Description

This newly constructed residential asset is situated in the west of Pretoria. There is great student accommodation conversion potential given its proximity to several tertiary education campuses within Pretoria, a node well associated with tertiary education, government and scientific research. As it stands, there are 180 two-bedroom, single bathroom, units each estimated at 57 m2. The site obtains an estimated maximum capacity to cater towards 540 beds / students. In terms of external appearance, the property obtains a low maintenance external façade which consists of a combination of face brick walls, tiled roofing, and a paved parking lot. There are 140 carport parking bays on site.