Investment Opportunity: Tenanted Terrace House in Osaka's Abeno Ward

This property presents a unique investment opportunity as a currently tenanted terrace house undergoing an owner change. Located in Osaka's Abeno Ward, this two-story wooden structure was built in April 1957 and offers a 3LDK layout with a total floor area of 90.54 sqm (approximately 27.38 tsubo). The land area is 61.48 sqm (approximately 18.59 tsubo), with an additional private road area of 6.75 sqm. The property is situated in an Urbanization Area designated as a Category II Medium-to-High-Rise Exclusive Residential Zone, with a building-to-land ratio of 60% and a floor area ratio of 160%.

Key details from the agent's notes include: The monthly rent is 130,000 yen, and the property is currently leased to a corporation under a 5-year renewable contract. There is an unregistered extension, which means the building exceeds the legal building coverage and floor area ratios. For any future reconstruction, a setback (setback area approximately 21.56 sqm) and consent from the neighboring landowner will be required. The transaction will be conducted "as-is," meaning the seller will not clarify the property boundaries. The seller is also exempt from liability for non-conformities in the contract. The annual projected rental income is 1,560,000 yen, yielding an estimated annual return of 9.01%.

The Abeno area is a vibrant commercial and residential district in southern Osaka, known for its excellent transportation links and the towering Abeno Harukas, Japan's tallest building. A major landmark nearby is the Shitennō-ji Temple, one of Japan's oldest officially administered temples, founded in 593 by Prince Shōtoku. The property offers convenient access to several stations, including Matsumushi Station on the Hankai Uemachi Line (a 6-minute walk), Abeno Station on the Osaka Metro Tanimachi Line (8-minute walk), and Higashi-Tengachaya Station on the Hankai Uemachi Line (12-minute walk).