Commercial Property in Brookvale

Commercial property

The residential property market on the Northern Beaches is in a slump. No one can argue against this statement. Here at Man and His Van there are many occasions where we are moving storage back to the original house after the property failed to sell at Auction.

Commercial property though, particularly in Brookvale on the Northern Beaches is holding up well.

A recent sale was 10/16 Clearview Place, Brookvale. This little units are tightly held and are always in demand by both investors and owner occupiers. This unit sold recently for $1,150,000 plus GST. This type of industrial unit is an office/warehouse setup which is always in demand and will usually rent easily on a decent yield.

Northern Beaches commercial property

Brookvale commercial property
In the current low interest rate environment, with no signs of a rate rise on the horizon, the cost of interest payments is lower than the rent. Commercial rents are higher then residential so the tenants are usually the first party to express an interest when a building comes on the market.

As an investor the returns are good, but only so long as the building is occupied.

Investing in commercial property though is not without risk and problems. The draw backs include high insurance land tax and rates so these do need to be considered in the rental income charged.

On the Northern Beaches there is limited land for commercial zoning. The main pockets include Brookvale, Frenchs Forest, Cromer and Warriewood.

The change in commercial property in Brookvale has been interesting to observe over the last 30 years. In the old days it was factory type manufacturing, smoko at 10 o clock, luch at noon and all finished by 4pm. The only people in suits were the real estate agents. These days Brookvale offers a whole array of activities from retail to micro breweries and dystilleries, from lawyers to furniture removals and storage operations, a few fashion outlets and designers are moving into the area and, believe it or not, there is still some actual manufacturing