Wednesday, September 21, 2011

Office Lot: Ara Ampang Commercial Centre

Details
Location of Property:    6C, Ara Ampang Commercial Centre, Jalan Ampang, Ampang 68000, Selangor
Type:                          2nd Floor, Office lot, standard unit.
Build Up:                     1220 sq ft
Age of Property:          Completed since 2005, condition reasonable
Facing:                        South-West, Main road of Jalan Ampang
Current status:            Tenanted @ RM 1500 monthly, valid till April 2013
Title:                           Strata, Freehold
Floor Plan:

GoogleMap Visual:

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Asking:                       RM 300,000.00

Indicative Prospects
* Computation of potential gain / earning for the next 25 years. Please take note of the assumptions stated.
Assumption: Loan secured against property. Margin of financing 80%, tenure 25 years at average interest rate.

(1)Initial capital  
Downpayment (20%)               - 60,000
Related expenses for purchase - 15,000            Total: RM   75,000

(2)Collected rent:
25 years: 25 x 12 months x RM 1,500 X (3/4) =          RM 337,500
* Rental history of this property shown a stability of rent for past 5 years, average buffering for new tenant is about 2~3 months, average tenancy 1.5 year

(3)Interest cost of mortgage =                                       RM 154,028

(4)Miscellaneous maintenance cost =                                        RM   37,000

Aggregate Financial impact
Effective yield from rent:     RM 146,472 ( 2 - 3 - 4 )                                                                                           - (5)
Reselling value of property: RM 300,000 (assuming the property did not appreciate throughout the next 25 years)   - (6)
Monthly cash flow:              + RM 150 ~ + RM 240
% Gain per capital:             595 %         (5+6) / 1   
Profit rate on compounded basis:   7.4% p.a.

Recommended purchasers' segment:
1. long-term investors, age below 40.
2. Accumulation of retirement's passive income
3. Office 

Photos of property:





Interested investors please contact our officers for viewing. 




                      

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