ASX listed Aspen Group – which comprises Aspen Group Limited and Aspen Property Trust – has acquired a small build-to-rent investment on the Gold Coast.
The 9388 square metre site at 4 Fleay Court, Burleigh Heads, includes 18 townhouses, developed in 2004 – marketed for their water views and potential to be refurbished.
It was also a mortgagee in possession campaign, managed by Knight Frank and Canford.
Aspen is paying $3.15 million.
It will now subdivide the block known as Burleigh Views,and re-purpose the two and three bedroom dwellings into build-to-rent units, targeted to families and co-living households.
All up its estimated outlay will be about $7.2 million – or $400,000 per townhouse.
The net rental yield is expected to be between 4.5-5 per cent.
“Aspen’s new Burleigh Heads residential community is situated in Australia’s fastest growing region, attracting over twelve thousand people from other states every year,” Aspen chief executive officer David Dixon said.
“They choose to relocate to the Gold Coast because of its diverse economy and job prospects, excellent education and health facilities, attractive coastal location and lifestyle, and cheaper housing costs relative to other eastern states.
“These large, quality townhouses are highly suitable for families and co-living arrangements and will be offered at very competitive rents upon completion”.
Burleigh Heads is about 15 kilometres north of Surfers Paradise.
The executive added that Aspen intends to continue to grow its portfolio of affordable accommodation properties “through organic growth and acquisitions and we believe the opportunities will increase in the new environment”.