Premium Investments Yield Sweet Success

Published on: 12/09/2023

Premium commercial properties leased to ASX-listed tenants have proven to be sweet successes for investors, offering stability, consistent returns, and long-term growth.

“Burgess Rawson has researched 28 premium properties purchased and subsequently divested since 2009. The statistics have exemplified the potential of such investments showcasing an outstanding average annual return of 12.9%, far outweighing the ASX 200 average of 8.9% per annum for the same period.”

Despite market headwinds such as interest rates, inflation, and contracted lending conditions, these properties have outperformed. Premium commercial properties occupy prime locations, attracting strong tenant demand and increasing their desirability. These sought-after areas offer the potential for capital appreciation, making them highly attractive investments for those seeking long-term growth.

Investors value the financial stability provided by ASX-listed tenants, who undergo rigorous scrutiny and regulatory compliance. This ensures consistent rental payments and minimises the risk of rental defaults, enhancing the safety of the investment.

Long-term lease agreements with ASX-listed tenants create a steady income stream and property stability, even during market fluctuations. The assurance of a reliable and reputable tenant fosters investor confidence which rightly so demands premium pricing.

These assets returning to market are rare, often they are tightly held for generations.

Listed tenants have access to detailed and indepth consumer data that allows them to uniquely identify the very best locations. For investors, this directly correlates to certainty and value and simplifies the investment process.

ASX leased properties also present opportunities for value addition through lease negotiations and rent reviews.

Investors view premium commercial properties as stable, long-term investments that offer consistent returns. The ability to withstand short-term fluctuations in interest rates makes them resilient choices amidst more challenging environments.

Investing in premium properties offers diversification benefits, acting as a hedge against market volatility. This balanced approach aligns with investors’ risk management strategies.

Burgess Rawson’s track record and results-driven approach has yielded remarkable returns for investors.

Premium commercial properties leased to ASX-listed tenants offer stable, consistent returns and long-term growth. The combination of prime locations, safety, long-term lease commitments, and value-addition opportunities make them attractive investments, even amidst rising lending rates.

The impressive average annual return of 12.9% further highlights the potential rewards of investing in these premium properties.

It is essential to remember that past performance is not a guarantee of future results. The dynamic nature of the real estate market requires ongoing research, prudent decision-making, and consultation with experts.

As investors continue to navigate the market, it is crucial to assess individual goals, risk tolerance, and market conditions. By approaching investments with careful consideration and relying on expert insights, investors can unlock the sweet success offered by premium commercial properties leased to ASX-listed tenants.

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