Attractive Investment Property with a 6.11% Yield in Bremen Neustadt – 10 Residential Units and Potential for Expansion

Key facts

Purchase price & costs

About this investment property

For sale is a multi-family house with strong returns and rent increase potential in Bremen, comprising a total of 10 rented residential units, with 662,71 m² of living space and a plot of approx. 242 m². With a current gross rental yield of 6,11 %, the property provides a solid starting point for investors and long-term property owners.

The apartment sizes range from approx. 35 m² to 90 m² and comprise 1.5 to 4 rooms. The varied apartment layout allows for broad rental appeal and caters to different target groups. The property has a total of 30 rooms and 10 bathrooms.

Above-average standard of modernization in individual units:

A significant advantage of the property is the modernization work already completed. Six of the ten apartments were renovated to a high standard between 2008 and 2021. In all of these apartments, the electrical installations and pipe systems were renewed, heating systems and/or condensing boilers modernized or replaced, bathrooms renovated, tiles and parquet flooring installed, doors replaced, and windows and fitted kitchens modernized.

The most recent modernization took place in 2021. The remaining apartments have standard, functional fittings and offer potential for further upgrades in the future.

Development potential through attic conversion:

The existing potential for attic conversion is of particular interest to investors. Subject to the granting of the relevant building permit, it is possible to create an additional residential unit with a planned size of approx. 75 m².

This offers the prospect of increasing the rentable living space and the number of residential units from the current 10 to 11 units. The feasibility and specific scope of the conversion are, of course, subject to the permit yet to be granted and the applicable building regulations.

Rent increase potential and long-term outlook

In addition to the existing rental income, the property offers potential for rent increases. This is due in particular to the varying fittings and modernization status of the individual apartments, as well as the opportunity to further capitalize on their marketability when tenants change and through future modernization work.

For long-term property owners, this offers a combination of ongoing rental income, investments already made, and additional development potential.

The multi-family house combines a attractive ongoing yield with a building inventory that has already been partially modernized and further potential for appreciation and increased returns. In particular, the combination of ten existing residential units, varying apartment sizes, six apartments that have already been comprehensively modernized, and the possibility of creating an additional attic apartment makes the property attractive to investors who are looking not only for ongoing cash flow but also to further develop the existing portfolio.

The property is therefore suitable both for classic buy-and-hold strategies and for investors who wish to gradually realize existing rental and development potential.

Location