ESTABLISHED TURNKEY SHORT-STAY INVESTMENT | PROVEN 5.15% NET YIELD | SOUTH YARRA
Offers over $705,000
An opportunity to acquire a fully operational, professionally managed and completely furnished short-term rental investment in the heart of South Yarra, with a proven multi-year income history and an established management arrangement already in place.
Positioned on Level 20 of the Vogue Building, just off Chapel Street, this spacious two-bedroom apartment combines panoramic Melbourne views, extensive resort-style facilities and a highly successful short-term rental operation.
Unlike an apartment being marketed on projected or theoretical rental returns, this property has an established record of producing consistent net income after all ownership and operating expenses.
PROVEN NET RETURNS - AFTER ALL COSTS
The property has produced the following net income:
2023-24: $35,572 - equivalent to 5.05% at $705,000
2024-25: $36,823 - equivalent to 5.22% at $705,000
2025-26: $36,291 - equivalent to 5.15% at $705,000
Three-year average net income: $36,229 per annum.
Importantly, these are genuine net figures after ALL costs associated with owning and operating the property, rather than gross rental revenue or income before management and property expenses.
The figures are calculated after deductions for all applicable ownership and short-term rental operating expenses, including management and platform costs, Owners Corporation expenses, council rates, utilities, internet, cleaning and linen, maintenance, consumables and other operating costs.
At an acquisition price of $705,000, the most recent year's $36,291 net income represents a net investment yield of approximately 5.15% after all costs.
Furthermore, these historical results include periods when the owner used the apartment for complimentary personal stays, during which the property was unavailable to paying guests.
POTENTIAL FOR FURTHER GROWTH
The current financial year has commenced with strong bookings, supported by the apartment's established reputation and popularity with guests.
Based on current performance, there is a reasonable expectation that the property's net return could move towards 6% at a $705,000 purchase price during the current financial year. A 6% net yield would represent approximately $42,300 per annum after costs.
As with any investment, future income cannot be guaranteed and prospective purchasers should make their own assessment of anticipated returns.
ESTABLISHED PROFESSIONAL MANAGEMENT
The apartment has been operated as short-term accommodation for a number of years under a long-term management agreement with Holiday Rentals Australia.
This management arrangement is transferable to the purchaser, enabling the new owner to continue operating the property as an established short-term rental investment without having to establish a new management operation from scratch.
The property is being sold specifically as a fully functioning short-term rental investment, with the existing operation intended to continue following settlement. Sale for use as a private home may be considered with an exceptional offer. Currently, there are bookings through to early January 2027 which cannot be cancelled.
MORE THAN 100 POSITIVE AIRBNB REVIEWS
The apartment has developed an outstanding reputation amongst guests.
It has accumulated more than 100 positive Airbnb reviews and is recognised by Airbnb as a highly ranked Guest Favourite.
This established guest history, together with professional management and the apartment's excellent location and facilities, provides the purchaser with an established short-stay product rather than an untested property entering the market for the first time.
COMPLETELY FURNISHED - EVERYTHING INCLUDED
The apartment is being sold with its entire contents included in the sale.
Furniture, beds, appliances, kitchen equipment and the other contents used to operate the apartment as short-term accommodation are included, allowing the property to continue functioning as an income-producing investment without the substantial expense and work involved in furnishing and equipping a new short-term rental.
THE APARTMENT
Situated high above South Yarra on Level 20 of the Vogue Building, the apartment enjoys impressive panoramic views across Melbourne and surrounding suburbs including Richmond and Toorak.
The spacious accommodation includes two bedrooms, both furnished with queen beds, an open-plan living and dining area, contemporary kitchen and bathroom with twin-head rainfall shower.
A standout feature is the large partly enclosed balcony, providing expansive skyline views and an additional entertaining area complete with lighting and an outdoor heater.
Unusually for this building, the apartment benefits from air conditioning in both bedrooms and the living room. Ducted dual control reverse-cycle air conditioning serves the living room and second bedroom, with the master bedroom using a split reverse-cycle air conditioning system with a wall-mounted unit.
The fully equipped kitchen includes a large fridge/freezer, electric oven, gas/electric cooktop, drawer-style dishwasher, microwave and Nespresso-compatible coffee machine. A separate laundry area contains both a washing machine and dryer.
RESORT-STYLE FACILITIES
Residents and guests have access to the Vogue Building's extensive communal facilities, including an indoor swimming pool, spa, sauna, steam room, fully equipped gym, tennis court and landscaped communal gardens with bbq facilities.
All this is combined with an outstanding South Yarra location, just off Chapel Street, providing convenient access to the area's restaurants, cafés, shopping, entertainment and transport. The Vogue shopping complex incorporates major anchor retailers such as Woolworths and Big W as well as a pharmacy, hair salon and more. This location provides exceptional everyday c
