Global Gains #1: Legian property for urgent sale, 40% under market value

👉 Read the full investment thesis here

Deal Highlights

What’s the Opportunity?

Defining Alpha: Returns above the market

A rare parcel in Legian with 3 unique investor plays:

#1 Hold and resell after 3 years

1. Generate $200K/year in rental income using existing house and 2 guest units with no upgrades

2. You rent the villa for 36 months, then re-sell full parcel to a developer

3. Resale with IRR of 17%–29%

   
   ✅ Alpha Verdict: Low effort, solid upside

#2 Renovate for greater rental and resale value

• Implement renovation budget of $100K to upgrade the property status and boost rental income to $300K per year

• This will increase cash flow yield and property’s overall resale value

• This strategy delivers an IRR of 27%–38%
  
  ✅ Alpha Verdict: Modest investment, strong upside potential

#3 Demolish and develop 51 unit complex

• This strategy involves demolishing the existing structures and developing a 50+1 units & pent house.

• With an estimated total development cost of $9.5 million and a projected revenue of $22.7 million, this offers substantial upside.

• The internal rate of return (IRR) is 36.8% unlevered, and can reach up to 64% with leverage.

  
  Alpha verdict → ✅ Compelling returns, needs significant capital and expertise [permits, re-zoning etc]

Market Comparison

Where’s the market headed?

• 📈Bali land prices up 14% YoY. Tourist arrivals surged 180% YoY, driving strong Legian short-term rental yields (12-16%)

Property Amenities

• Land Title: Freehold

• Access: Paved, legal

• Zoning: Yellow

• Structures: Main house & 2 guest units

• Amenities: Swimming Pool

• Build size: 600 SQM

• Land size: 2030 SQM with Option to buy additional 4 Are freehold adjacent plot

• Location: 3 mins to Double Six Beach, easy access to sunset road and walking distance from beaches of Legian and Seminyak

Next steps