Inglewood apartments sell

Eastern states private investors have bought an Inglewood apartment complex for $2.64 million.

Helen and Robert Spurling, of Newton in Victoria, bought an eight-apartment development at 144 Central Avenue from retired couple Richard and Gloria Leigh.

Mark Hay Realty Group principal Mark Hay, who brokered the deal, said the property generated a $240,000 rental return in the last two years, equating to a 6.5 per cent net return.

“We’ve sold several of these blocks of apartments, which are being increasingly sought after by higher net-worth individuals, who see the continuing rental shortage as an opportunity to compete with the commercial property market,” he said.

Mr Hay added that having multiple tenancies offered the potential for diverse ownership and for reduced capital gains tax if the units were sold off individually.

“Having multiple tenants in a very scarce market, greater loan to value ratio for residential assets, are also proving to capture the attention of these investors, who once only preferred commercial assets and I suggest this will continue to do so, for several years,” he said.