Lot 22 Cabernet Street Kialla, VIC

“Kialla Lot 22 Cabernet Street 5-Bed Next Gen with $91k Rent, 10.1% Yield & 5-Year Guarantee”

Property analysis by:

Investment Highlights

• Priced at $904,000 with an appraised $91,000 p.a. gross rent – delivering a powerful 10.1% gross yield.
• 5-Year rental guarantee secures income stability and de-risks early years of ownership.
• Next Gen co-living design: 5-bedroom, 5-bathroom, 6-living zones plus 2-car garage.
• Cashflow-positive from settlement with strong surplus income even under conservative finance assumptions.
• Located in Kialla, VIC – one of Shepparton’s most desirable residential suburbs with new estates, lifestyle amenities, and ultra-low vacancy.
• High tenant demand from healthcare, agriculture, education and trades ensures reliable occupancy.
• Strong capital growth prospects with Kialla benefiting from Shepparton’s broader regional growth hub.

Key Financials

Purchase price: $904,000 (Land $250k + Build $654k)
Configuration: 5 bed | 5 bath | 6 living | 2 car
Land size: 749 m²
Rental appraisal: $1,750 pw total | $91,000 p.a.
Gross yield: 10.1% (as appraised)
Vacancy rate: ≈0.8% (Greater Shepparton)
Rental guarantee: 5 years (included)
Cashflow before tax: Positive, with strong surplus.
10-year value projection: ~$1.64 million @ 6.2% CAGR

Location & Growth Drivers

Kialla is one of Greater Shepparton’s most sought-after residential suburbs, located just 9 km south of Shepparton’s CBD. Known for its established estates, lifestyle blocks, and family-friendly amenities, Kialla combines suburban tranquility with close access to employment and retail hubs.

Kialla is home to the Riverside Plaza shopping centre, schools, medical services, and recreational amenities including Kialla Lakes. It benefits from excellent road connectivity and direct links to Shepparton, the region’s commercial and employment centre.

The wider Shepparton region supports over 70,000 residents and continues to attract strong migration due to its healthcare, agriculture, food production and education industries. With a vacancy rate under 1% and major infrastructure such as the $400M Regional Rail Revival, Kialla properties are poised for both income stability and capital appreciation.

Build Specification (Turnkey Co-Living)

• Full turnkey delivery – fencing, landscaping, blinds, driveways included
• Split-system A/C to all bedrooms and living areas
• Digital coded locks on each suite for independent access
• Private outdoor spaces and internal fencing
• 3.1kW solar system for energy efficiency
• Furnished and styled with full furniture pack for immediate rental use
• Commercial-grade laundry and robust hot water system
  

Why This Deal Stacks Up

1. Double-digit yield – rare in today’s market, delivering 10.1% gross returns.
2. 5-Year rental guarantee provides investor certainty and stability.
3. Cashflow surplus from day one, even under conservative assumptions.
4. Low vacancy risk – Greater Shepparton’s vacancy rate at just 0.8% ensures strong tenant demand.
5. Premium location: Kialla combines lifestyle appeal with access to Shepparton’s employment and infrastructure.
6. High-growth regional hub: positioned for income now and strong capital growth long term.

Risks & Mitigations

• Room turnover risk: mitigated via 5-suite layout – multiple income streams secure stability even at partial occupancy.
• Management complexity: offset with specialist co-living property managers experienced in rooming accommodation.
• Regional market risk: Kialla benefits from being a premium Shepparton suburb with strong lifestyle appeal and ongoing demand.