Considering commercial property investment?
Pictured above: Scott O’Neill overlooking the Waitematā Harbour.
Rethink Investing launches NZ’s first at-scale commercial property buyers agency.
Rethink Investing, a leading buyers’ agency specialising in commercial property, expands into the New Zealand market. This strategic move marks a significant milestone as Rethink Investing becomes the first at-scale commercial property buyer’s agency in the region.
The New Zealand commercial property market offers compelling opportunities, especially in regional areas where excellent yields are available due to limited local investor competition. As part of the agency’s commitment to the New Zealand market, the Rethink Investing teams plans to engage and educate investors to highlight the benefits of commercial property investments over residential options.
Scott O’Neill, CEO of Rethink Group, states, “A buyer’s agent can negotiate fees out of the deal, optimise savings, and identify opportunities that might otherwise be missed. Early involvement in the NZ market expansion can yield significant benefits, including expert negotiation, securing off-market deals, and thorough due diligence.”
Benefits of commercial property investment for NZ businesses
Commercial property investment offers numerous advantages for New Zealand businesses, particularly those seeking long-term investments. One of the primary benefits is the potential for increased cashflow from business tenants, which eliminates the challenges associated with residential tenants. Additionally, investors can capitalise on market timing opportunities, particularly as interest rates begin to drop, potentially leading to significant capital growth.
“Commercial properties provide a stable and predictable income stream, making them an ideal choice for businesses looking to secure long-term financial stability,” says O’Neill.
Rethink Investing opens doors to commercial property investments that were previously thought unattainable for many businesses. By focusing on value add opportunities such as billboards, solar installations, rent increases, tenant changes, and NBS works, the agency helps clients maximise their returns. Moreover, dealing with national tenants across New Zealand reduces the risk associated with managing distant residential properties. This nationwide approach also presents future syndication opportunities, enabling businesses to diversify their investment portfolios.
Enhancing cashflow through commercial property investment
Investing in commercial properties can significantly enhance cashflow, offering a stable and predictable income stream.
A balanced portfolio that includes both commercial and residential properties can offset negative gearing and boost capital growth. The guaranteed cashflow growth from fixed rental increases, combined with additional benefits from rental growth as interest rates fall, makes commercial property an attractive investment option.
O’Neill says, “The stability offered by commercial property investments can be a game-changer for businesses, providing a reliable source of income and the potential for capital growth. It’s about building a robust financial foundation that can withstand market fluctuations.”
Incorporating commercial property into a business stable
Businesses do not need to own their buildings to benefit from commercial property investments. By investing in properties within their familiar industries, businesses can leverage their expertise to identify high-potential opportunities.
Additionally, purchasing property under the business structure can offer tax advantages while also enhancing cashflow. This strategic approach allows businesses to put their cash savings to work, yielding substantial returns over time.
“Strategic property investments can not only enhance a business’s financial stability but also provide additional benefits such as tax advantages,” says O’Neill. “It’s a smart way for businesses to grow their assets and ensure long-term success.”
Rethink Investing is dedicated to helping New Zealand investors fully realise the potential of the commercial property market. The agency provides expert guidance and exclusive opportunities, aiming to become a trusted partner for businesses and investors seeking profitable, strategic investments. Offering a wide range of services, including Strategy, Acquisitions, and Due Diligence (DD), Rethink Investing leverages over a decade of experience and $5 billion of worth of property purchases for some 4,300 clients helping them navigate the complexities of the market ensuring informed investment decisions.