Summary
Acquired unconditionally with vacant possession, BHP secured the necessary planning consents to split the ground floor from the upper parts and convert the same to residential apartments.
The upper parts were refurbished and along with the shop, once leased, were sold at auction.
Business Case
STRENGTHS
- Upper parts already used for residential (accessed through the retail)
- The works required to present the residential would be limited to a refurbishment
OPPORTUNITIES
- To refurbish the residential upper parts
- The ability to undertake a very rapid sale of the residential
WEAKNESSES
- Relatively small lot size
- No ability to increase the massing on site
THREATS
- Relatively small lot size could result in management efforts not being commensurate with the ultimate profits