Commercial/Corporate Investments

About our Commercial Spaces and/or Apartment Blocks: Why accept commercial property returns of 4-6% when you can own a brand new corporate space fully leased for 15 years only a stones throw from the likes of Exxon Mobil returning you 14-16% on your investment capital?

But to be fair, it's not that the CAP rate returns for commercial property(s) in the US are that much different to NZ, it's just that they can borrow 70-80% of the purchase price at interest rates much less than the CAP rate. This, of course, provides the leveraged returns that are almost non existent here in NZ. As a general rule of thumb with our commercial spaces we can borrow at rates 1-4% less than the CAP rate.

CORPORATE SPACES: Therefore, using the example of the corporate space we offer for sale in Houston TX, this property comes with a strong corporate tenant at a CAP rate of 7.5% (now down as low as 6.5% in some other US cities). We are able to borrow 70-75% of the purchase price of this property for interest rates of 4.5-5.5% providing you with a 14-15% return on your investment capital (ROI) The purchase price for this property is USD $900K

APARTMENT BLOCKS: Interestingly we can produce higher returns on your investment capital if your preference is for larger apartment blocks over corporate spaces, and the reason for this is the banks/lenders consider these properties a lower risk investment and therefore offer us lower interest rates and better loan terms that pushes ROI's up

An investment of USD $300K + our US bank loan will buy you a 10 unit apartment block with a 14-16% ROI, however an investment of USD $1.5M + our US bank loan can return 18 or even 20% on your investment capital.

 All our properties (corporate & apartments) are NEW and delivered to you complete with

• paying tenants in 1-2 yr or 15yr leases agreements
• property management in place for apartments
• US bank loan NON-recourse (ie no personal guarantee)
• 5 year corporate guarantee for 15yr lease spaces.

To find out more, order our commercial investment summary using the order form below

Commercial Investment Summary - CONTENTS

Use the order form below to read in more detail about earning 14-16% (or more) on your investment capital from our commercial property(s). This document will provide you with essential background information including:

• CASH FLOW CALCULATIONS: Detailed statements showing 14-16% ROI's for both our corporate spaces and apartment blocks that are for sale.
  
  
• PROPERTY LOCATIONS: US cities where we build/sell property and the economic data to support those cities as sound investment destinations.
  
  
• INVESTING SAFELY: How to ensure you always buy good investment property in the US and avoid being scammed.
  
  
• PROPERTY OWNERSHIP: About the corporate structure required for ownership of your US property to ensure tax efficiency and availability of US funding for leverage.
   
• PHOTOS: A variety of images of recently completed projects and projects currently under construction.
   
• INVESTMENT OPTIONS: We offer a number of different property sizes/types and your actual ROI options start at 14% but also range up to 20% dependent on the commercial property type and size you are after.
   
• COMMERCIAL EXPERIENCE: professional background and experience for ourselves (incl. character references) and some of our commercial business partners in the US
   
• FAQ'S & SERVICE: an overview of the properties we sell and the service we're providing you and answers to a few common FAQ's.
  

A US Property Evening

If you are a serious investor, have at least USD $150K and would like to consider an investment into US property market, then book your seat with other like minded professionals at one of our US property evenings.

Other than some fine reds and cheese, you'll be able to hear us directly speak to the most common FAQ's going into the US market, and for your tax or legal questions, we've also invited a senior partner from law firm Glaister Ennor and an International tax specialist to speak to you for a few minutes.   Booking form & details here

About the properties we buy

Who should invest in US property?