Summary
The business is a portfolio of 5 residential properties within the same building in the Sydney CBD. The properties are rented from agents, and we rent out each bedroom in the property individually.
Revenue
$8,266 pw
Rent
$7,050 pw
Expenses
$50 pw
Net Profit
$1,166 pw
Potential
With a reliably proven change, for a little extra work you could increase profit to $1,916/week or $99,632/year - will explain how if interested.
The business model can easily be used to grow the portfolio as large as desired - expecting about $200-300 profit per week for each additional property.
Skills
No formal qualifications required. It helps to be organised, and proficient at negotiation.
Hours
Work whenever you please. There are weeks when no work is required. This is quite a passive business.
Lease
Mutiple leases expiring in mid 2026 to 2027. Typical renewals for 1-3 years. Have held some for 10 years now.
Employees
Currently zero employees - everything is managed by a single person.
Reason for Sale
It is a reliable business - we've been running it for 12 years, and my business partner and I have been able to use it as a pathway to purchase multiple investment properties ourselves. Our other properties have now become our main focus, hence the sale.
About the Business
The business is a portfolio of 5 residential properties within the same building in the Sydney CBD. The properties are rented from agents (we pay rent to), and we rent out each bedroom in the property individually. The total weekly rent received is more than paid - and works out to be around $1,166 profit/week currently. We have long term housemates - between 3-12 month minimum stays with the average being over 9 months. Due to the nature of the business there are some weeks where no work is required. The typical work is finding a new tenant if a current tenant gives notice.
Clients are typically internationals on work holiday visas.
This business is unique in how passive it is. With long term stays in place, there is not much work required each week.
This is a good investment as you will recoup your initial investment within 1 year, and even less if implementing a change that will result in slightly more work, but about $800/week more income.
History
My business partner and I began this business over 12 years ago, starting with a single unit. We then applied the same techniques to grow the portfolio to all kinds of properties across Sydney. Through this we identified the highest returning and lowest maintenence properties, and consolidated our portfolio to these units - all within a single building. The business has been very consistent and resilient (still profitable through COVID, even when rents took a significant hit).
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