Property Details
Purchase a cashflow positive property with solid commercial leases in place or if you fancy profiting from the turnover, then there's an opportunity to own and run your own successful pub with full liquor license.
Investment Overview
This high-yield commercial property at 173 Ontdekkers Road offers an excellent income-generating opportunity in a high-traffic area, with a 7% annual rental escalation ensuring increasing returns over time.
With 375 sqm under roof, the property benefits from prime visibility due to its strategic location on one of the busiest roads in the West Rand. A traffic light (robot) directly in front guarantees continuous exposure, particularly during peak hours. Positioned between two security firms, including Dowrey Head Office, the property offers enhanced safety, CCTV surveillance, fibre internet, and an app-linked alarm system.
A large advertising pole provides an additional revenue stream or enhanced business visibility.
Financial Highlights (10-Year Loan at 10% Interest + 7% Rental Escalation Per Year)
• Asking Price: R3,200,000
• Total Annual Rental Income (Year 1): R465,000
• Lions Den Annual Profit, ± R250K
• Rental Escalation: 7% per annum
• Projected Annual Rental Income (Year 5): R609,520
• Expected Loan Term: 10 Years
With an annual 7% rental escalation, this property ensures increasing profitability over time, making it an ideal long-term investment with strong capital appreciation potential.
Current Tenants & Income Streams
1. Lions Den Pub (Established 2011) pls checkout their trendy and popular Facebook page
• Rental Income: R30,750 per month + Profit From food and Liquor sales
• Seating Capacity: 60
• Loyal Customer Base: Hosts weekly dart competitions with ±40 participants
• Liquor License: Open until 2:00 AM
• Strong Social Media Presence: 2,200+ Facebook followers
2. Fire & Spice (Opened May 2024)
• Rental Income: R6,000 per month
• Business Type: Indian takeaway cuisine
• Additional Revenue Driver: On-site car wash service
3. Lit Gas
• Rental Income: R2,000 per month
• Business Type: Gas bottle exchange & delivery service
• Prime Location Advantage: Utilizes high traffic volume for branding & visibility
Additional Features
• JoJo Tank & Pump – Ensures uninterrupted water supply during outages
• Generator – Keeps businesses operational during load shedding
• CCTV & Security – Monitored surveillance & alarm system linked to mobile app
• Large Advertising Pole – Offers additional marketing exposure or a potential revenue stream
Why Invest?
* Prime Location – Heavy daily traffic, maximum exposure in a thriving commercial hub
* Fully Tenanted – Stable, long-term rental income with established tenants
* 7% Annual Rental Escalation – Ensures growing returns year-on-year
* Diverse Revenue Streams – Rental income plus potential advertising revenue
* Security & Connectivity – CCTV, fibre internet, alarm system, and proximity to security firms
* High Rental Yield (ROI) – 14.53% ROI in Year 1, projected to reach 26.71% by Year 10 (THIS EXCLUDES THE BUSINESS PROFIT)
* Exceptional Cash-on-Cash Return – 12.97% in Year 1, increasing to 68.78% by Year 10
* Turnkey Investment – A well-maintained, high-demand commercial asset with growing income potential
This high-yield investment property offers immediate cash flow, increasing profitability, low vacancy risk, and strong long-term appreciation potential.
Contact us today for a full financial breakdown and to schedule a private viewing!