ABOUT LIN ANDREWS REAL ESTATE

GREETINGS FROM THE FOUNDING DIRECTOR

Lin - Photo

Lin Andrews, Founder and Group Chairman, shares……

“Our Group history goes back to 1969 when my wife (Bunty) and I sat one Saturday night free from socialising. We paused to consider our privileges….

Our questions… “How can our lives make a difference?” That night we resolved to do something very bold!

At the time of these decisions, South Australia was implementing its Development Act 1967 – 1972 and talking a lot about tourism.

We built holiday flats at West Beach and then at Grange. These were followed by an office building, a warehouse and several homes.

During those first years, we invested and established a number of companies in diverse industries but always achieved our greatest satisfaction in the property industry.

We became agents as well as developers!
As agents we had a passion to assist people who were not generally trusting of Real Estate Agents. Our Agency business grew disproportionately to our other activities… possibly because we really liked helping people.

Most people lacked confidence in their ability to invest in the future.
People were disillusioned with the repetitious collapse of other investment schemes which rose to prominence from time to time.

We resolved to assist people to own their own real estate.
Investment seminars and excellent property management services made this possible.

These residential investments became a store of wealth to investor clients and provided accommodation for those who needed a home to rent.
At a later date we added commercial property to our skill base.

Commercial property meets the needs of entrepeneurs who grow businesses and create employment.

It may also offer a higher rate of cash flow to investors who are dependant upon their rental income.

Today we facilitate employment and accommodation across an increasing number of communities, throught the provision of property management, sales and leasing services for a diverse range of residential and commercial property.

We also design and develop commercial property according to community needs.
I am increasingly convinced that principle centred economic activity is the way to meet the sustainable needs of every community. We are proud to be a part of this great economic solution.”

MEET OUR TEAM

Directors

Commercial Sales & Leasing

Commercial Property Management

Residential Sales

Residential Property Management

OUR STORY

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Lin Andrews, Founder and Group Chairman, shares……

“Our Group history goes back to 1969 when my wife (Bunty) and I sat one Saturday night free from socialising. We paused to consider our privileges….

Our questions… “How can our lives make a difference?” That night we resolved to do something very bold!

At the time of these decisions, South Australia was implementing its Development Act 1967 – 1972 and talking a lot about tourism.

We built holiday flats at West Beach and then at Grange. These were followed by an office building, a warehouse and several homes.

During those first years, we invested and established a number of companies in diverse industries but always achieved  our greatest satisfaction in the property industry.

We became agents as well as developers!

As agents we had a passion to assist people who were not generally trusting of Real Estate Agents. Our Agency business grew disproportionately to our other activities… possibly because we really liked helping people.

Most people lacked confidence in their ability to invest in the future.

People were disillusioned with the repetitious collapse of other investment schemes which rose to prominence from time to time.

We resolved to assist people to own their own real estate.

Investment seminars and excellent property management services made this possible.

These residential investments became a store of wealth to investor clients and provided accommodation for those who needed a home to rent.

At a later date we added commercial property to our skill base.

Commercial property meets the needs of entrepeneurs who grow businesses and create employment.

It may also offer a higher rate of cash flow to investors who are dependant upon their rental income.

Today we facilitate employment and accommodation across an increasing number of communities, throught the provision of property management, sales and leasing services for a diverse range of residential and commercial property.

We also design and develop commercial property according to community needs.

I am increasingly convinced that principle centred economic activity is the way to meet the sustainable needs of every community. We are proud to be a part of this great economic solution.”

PUBLICATIONS

Early November and less than eight weeks to Christmas.

Many ask, “Where has the year gone?”

The wonderful truth is that we still have almost one sixth of the year still to run… and some would say this is the very best two months of the year… if there really IS a best part of our wonderful and exciting annual seasons.

You be the judge!

My wife and I have just returned from a Cruise out of Singapore through Asia and disembarking at Fremantle – Australia.

This provided a great time for relaxation and interaction with others from across Australia and beyond. Many were retired!

Cruise ships bring a lot of people together in an environment which encourages casual friendships and a sharing of one’s life walk and experiences.

Financial provision for older age becomes apparent. I am amazed at how the cruise ship industry attracts people from all walks of life for recreation and relaxation, using many levels of fare structure.

There is something for everyone!

Surplus funds are very important in retirement years. It has been an important part of the Vision of this company, to assist and encourage people to invest in property as a store of wealth and a source of income for older age.

That Vision is unchanged as I observe the benefits which cash makes available.

This Newsletter will again attempt to encourage investment in property.

It will make reference to both Residential and Commercial Property as we manage large portfolios of both of these quite different profiles of investment.

Business owners and managers must also be encouraged as they create employment and income for those who choose a career within their organisations.

No matter your career or level of income, you may invest in property and enjoy Capital gains, as well as regular income.

As the mortgage is diminished, these benefits increase.

RESIDENTIAL PROPERTIES

The Real Estate Institute of South Australia regularly publishes data for its members. The following statistics were of interest to me, taken from a staple core of reporting members.

New lease agreements entered into during the past three months were outlined as below:

July – 3,013 Lease Agreements
August – 2,977 Lease Agreements
September – 2,608 Lease Agreements

This is in line with our internal report to our readers last month.

Simply, we had leased almost all of the properties we had available and were suffering a downturn in the number of properties to let. Scarce supply!

This is unchanged… We need more residential properties to manage… This information is important to people planning their next property investment in South Australia.         

South Australia is the safest and most economic place to invest in residential housing… a State where massive variations in demand are least likely to occur, but where we anticipate ongoing growth irrespective of falling prices in Melbourne and Sydney.

The distribution of new leases based on a pro-rata factor according to population was:

Adelaide Central and Hills – 24.0%
Adelaide North – 19.2%
Adelaide South – 17.9%
Adelaide West – 13.8%

Circa 25% to country and regional areas with an emphasis on Whyalla, Port Augusta, Roxby Downs etc.

Median Rents are still at $330 per week but of course some properties are much higher and investors need to study the returns per suburb.

Note: Our comments as to the need of property exclude any reference to high-rise developments. These should be considered after special consultation and with reference to the merit of the proposal.

 

COMMERCIAL LEASING – SALE & LEASE BACK

Businesses are growing and we are experiencing enquiries from firms who are outgrowing their existing facilities.

Growth always creates problems and we find ourselves counselling with business owners who want to sell their premises with a long term lease-back agreement.

Sale and lease-back provides cash to seek a new site on which to design and build the new facility. Pressure is taken off working capital and the new facility may be designed and built without stress.

A lease over the existing premises permits a relocation of the business, part at a time, so as not to stress manufacture or servicing capabilities.

When the business has been totally relocated the new lease entered into may be transferred to another lessee at a time which best suits the business. It sometimes occurs that the transfer-out may take place with a residual usage of the existing premises. This simply means that in re-letting, the existing building is subleased in parts to suit you.

What amazing flexibility to grow without stress and keeping future options open.

This is the South Australia which is evolving all around us!

POLITICS AND PROPERTY INVESTMENT

Port Adelaide is a suburb where we have been represented for several decades.

Prior to the State election earlier this year the Labour Government undertook to build a six storey building on the corner of Nile and Robe Streets.

This building was to house a Government Department of 500 people. It appears that 260 Treasury Staff have been nominated to move into the building and I guess the balance will come from other departments.

Although the new Government is complaining of vacancies being created as these staff transfer from the City, yet we are very glad to see this activity in the Port Adelaide area.

The North Western Suburbs are a great place to attract future property investment… and we applaud these transitions of people.

PROPERTY PRICES

In Australia when the mining boom was rampant, the big mining states dominated the news headlines with discussion as to taxation and wages.

When the big lift in Real Estate prices occurred during the past three years, the emphasis was on Melbourne and Sydney.

Now as prices come-off for these two markets the discussion is about if the whole of Australia suffering from real estate price reductions.

South Australia is a small part of the whole and plods along creating employment about mid-range for the National average. It does not have rapid growth in real estate values and it seldom has a decline.

This State is growing and is the 5th most desirable city in the whole world in which to live.

We have more affordable housing than any other State or Territory.

Our growth in wine exports, battery technology, fresh fruit, grains & cereals, oils seeds, medical technology and almost any field that is worth mentioning, is noteworthy.

We encourage investment in real estate in this great State as prices rise to meet demand.

POLITICS – NEGATIVE GEARING
Real Estate Institute of Australia

REIA president Malcolm Gunning said that he believes Labour is without doubt going to go to next year’s general election with its policy to halt negative gearing.

“I met with the prime minister-in-waiting about two weeks ago and he said ‘we’re taking this to the next election’. So, from REI’s point of view, we’re saying be wary because look at what happened under the Keating government.

“We have an economy that is starting to tighten, the construction industry is one of the biggest employers. It helped us transition out of the mining boom and while the economy is going pretty well now, construction is a big employer and that pipeline of work will pull back.”

Mr Gunning said that there is no question that rents will increase if negative gearing is eliminated.

“Rent is about supply and demand,” the REIA president said.

“So, if our unemployment stays the way it is, our economy continues the way that it is, our immigration stays the way it is at 130,000 a year and we don’t have this supply of property, of course, it is going to drive rents up.

“And then, you have never heard a group of lobbyists squeal louder than the tenant union. They will be baying, saying bring in rent control because people can’t afford the rent.”

 

 

 

If you would like to get in contact with us, you can email us at linandrews@linandrews.com.au alternatively you can phone our office on

(08) 8234 1212

CONTACT US TO ENQUIRE ABOUT OUR PROPERTY MANAGEMENT PROCESS TODAY