Higher Yields, Better Value: An SMSF Investment Winner

When an investor approached me looking to buy a commercial property through their self-managed super fund, I knew we had to think strategically.

Like many SMSF investors, they were initially drawn to off-the-plan industrial units. But the numbers weren’t adding up—these properties only offered around 4% net yields.

We needed a better solution.

After looking at existing properties in the area, we spotted an industrial unit in a small complex of six units.

This Kincumber property ticked all the right boxes: a solid 4.9% net yield, generous space and a quality existing fit-out included in the $740,000 purchase price.

What made this property special?

It offered significantly more value for money compared to the off-the-plan options.

The unit sits in a tightly held industrial estate, adding another investment security layer. Plus, the higher yield meant better returns for my client’s SMSF.

As this success story illustrates, looking beyond the obvious choices can lead to better investment outcomes. Instead of settling for a new build with lower returns, my client now owns an established industrial property that’s already generating strong rental income through their SMSF.