ERF SIZE: 965m² and 5 140m²

BUILDING SIZE: 7 126m² (6 300m² lettable are, 30m² toilets, parking garage 788m²)

GENERAL:Commercial building in Mossel Bay CBD.  Very good exposed.  Easy accessibl on main entrance into town.  Property consists also out of office space as well as a flat.  There are 80 parkings.  The building is between the Shoprite building and the Pick ‘n Pay centre.

RENTAL INCOME - MONTHLY

Current Gross rental income (March 2010)  =   R 286 000

Current lettable area occupied - 90%

Vacant lettable area - 10% 

If the building is fully tenanted the monthly potential income is in excess of R 310 000 per month. 

VALUATION: 

Total gross rental income if fully tenanted           R 310 000

Minus: Vacancy factor (7.5%)                                  R   23 250

                                                                                      R 286 750

Minus: Monthly expenses                                       (R 62 000)

Nett monthly rental                                                   R 224 750                  

 Capitalized @ 10.35% = R 26m

 Asking Price = R 27m (10% Nett return)

ANCOR TENNANTS                                        (Contracts Expire)

Fashion Express           R   36 669                      28/02/2011

*Parking area                 R     7 700                          N.A.

Pam Golding                  R     8 026                       31/05/2010

State library                     R   25 688                       31/05/2011

Best Electric                    R   10 000                       31/03/2015

Fanies Pharmacy           R   34 794                       31/10/2010

Markhams                        R   28 294                       28/02/2011

TekkieTown                     R   15 921                       30/11/2011

Bears                                R   17 729                       01/02/2011

                                           R 184 821

The anchor tenants totaling 60% of the total gross rental.

 A schedule of the rentals is available.

 *          There is a shortage of parkings in the Mossel Bay CBD – therefore the parking area is also shown as a anchor tenant.  49 Basement parkings @ R 7 700 per month 28 open parkings for public on top of building.  The potential rental income of R 6 000 calculated at R 2 / hour not calculated for.