How to get a Better Return on your Investment

We are being asked more and more these days, to design and build warehouses with increased volume.

Depending on where the land is situated and the current zoning, most industrial areas allow buildings up to 11.5m high and some areas (like Yatala) even higher.

From a construction point of view an increase in the height of the building is not proportional to the overall build cost.  Sometimes it is only a small increase in price to go from 7m high to 11m, which will give you a much larger volume.

To give you an example, pictured above is a building we have just completed.  It is 11.5m at the highest point.  The floor areas is a little over 1,700m² with a volume over 19,000m3.

Whilst the ability to charge higher rates of additional rent is not always there, you will find the building enters a new market where prospective tenants will pay a bit more per meter.

From an owner occupier or business owners perspective it is a great benefit if you are storing product on pallet racking or bulk storage.

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So in summary, for a small additional outlay on the construction cost you will increase the return on your investment as the land price remains the same, therefore bettering your return.

If you’d like to find out more about how we could help you, or if you have any questions, please call on 1300 11 25 11.