BrickX extends fractional property investment portfolio to Melbourne
BrickX, the online platform that allows Australians to buy and sell fractional equity in residential property, has acquired its first property in Victoria.
BrickX recently bought a Miller Street, Prahran townhouse, which BrickX chief Darren Patterson said was likely the first of many property investments in Victoria.
“BrickX reviewed numerous properties across Melbourne before finally settling on this apartment in Prahran which we believe has attractive investment fundamentals,” said Darren Patterson.
“The suburb has experienced capital growth of over 8% per annum over the past five years and will be appealing to tenants."
The recently renovated townhouse at 4/6 Miller Street was bought at an undisclosed price, but on an anticipated 3.17% gross yield, through John H Castran Real Estate.
It last sold at $330,000 in 1998. There had been a $901,000 nearby sale in 2013, which had initially sold in 1997 at $265,000.
The first phase of the BrickX platform is open only to wholesale investors, both individual and company, however the company intends to make BrickX available to retail investors in the near future.
Dividends derived from the properties’ yields are distributed to investors on a monthly basis.
"Prahran's rental property demand is 32% higher then the Victorian average, and over the last 2 years the median price changed by a gain of 11.24% with this apartment’s market-trending location a match with our high quality renovation and structural requirements," Darren Patterson said.
The initial unit or ‘Brick’ price will be $123 when units becomes available for purchase.
