We often hear about traditional asset classes such as office, industrial and retail buildings, but the commercial property universe extends well beyond these familiar categories. Assets once considered alternative, such as service stations, medical facilities and childcare centres, are now firmly mainstream, attracting strong institutional and private investor competition and yields to match. For those willing to move further up the risk curve, however, there is a genuinely eclectic world of assets that transact across the country, each with their own investment logic, quirks and potential.
Brothels
Brothels occupy an unusual corner of the commercial property market. They are not an asset class in the traditional sense but rather a permitted use within certain commercial or mixed-use zones, and they transact with more regularity than many investors might expect. From a pure income perspective, these properties can generate strong returns, and many investors approach them as they would any other commercial tenancy. The complications arise elsewhere: insurance can be difficult and expensive to obtain, lender appetite is limited, and the pool of buyers at resale is narrower than for conventional assets. That said, the repositioning story is often compelling, with many brothel properties subsequently redeveloped or converted to other commercial uses, broadening their appeal to a wider buyer base. Investment in this sector is almost exclusively the domain of private buyers.
Churches
Few assets carry as much character or architectural interest as a redundant church, and the commercial property market has long recognised their potential. Prime locations within established residential suburbs, distinctive heritage architecture, and large floor plates make churches attractive candidates for residential conversion, boutique office use, or community and cultural facilities. The story attached to these buildings is often a genuine selling point, with converted churches commanding premium prices and rents. Investors should be aware of heritage overlays and zoning considerations that can complicate and extend any redevelopment process, but for those with patience, the outcomes can be exceptional. The supply of these assets is finite and unlikely to grow.
Boarding houses
Perhaps the most quietly compelling asset on this list, boarding houses have undergone something of a reinvention. Once associated with transient, low-income accommodation and the stigma that came with it, these properties now sit at the more affordable end of what the market increasingly calls co-living, and in the current housing environment they are performing accordingly. With residential vacancy rates historically tight across most major cities and rents elevated, boarding houses offer investors multiple income streams from a single property, strong occupancy, and growing long-term tenancy as renters find themselves priced out of traditional alternatives. Yields currently range from five to seven per cent depending on size, location and the quality of the facility. Modern purpose-built stock has done much to lift the sector's profile and incoming supply is limited, making well-located boarding houses one of the more interesting value propositions in the current market for a growing range of investors from offshore buyers through to mum and dads.
Silos
Grain silos occupy an interesting position at the intersection of rural infrastructure and adaptive reuse. As agricultural logistics evolve and some older facilities fall out of active use, these structures have attracted attention from investors and developers drawn to their scale, distinctive character, and often generous land holdings. The conversion of silo complexes into residential or mixed-use developments has produced some compelling outcomes, with the industrial aesthetic lending itself well to boutique apartment projects or hospitality uses. In active rural and regional markets, operating silos remain essential infrastructure tied to agricultural supply chains, offering income security grounded in the fundamentals of food production. The investment case varies considerably depending on whether the asset is operational or surplus, but the scarcity of genuinely unique sites with strong visual identity and development optionality keeps this category on the radar for creative investors.
Marine lands
Marine-zoned waterfront property represents one of the more genuinely scarce asset types in Australian commercial real estate, ranging from a single marina berth through to full deep-water working harbour facilities. The barriers to entry are significant regardless of scale: zoning protections mean new supply is essentially impossible, waterfront access is a finite resource, and the infrastructure required to service larger sites, cold storage, wharf facilities, refrigeration and specialised logistics, is costly to establish and difficult to replicate. For smaller investors, a marina berth can offer an accessible entry point with solid returns driven by the chronic undersupply of berthing along Australia's coastline. At the larger end, commercial marine facilities tied to food logistics or fisheries operations can offer strong covenant tenants and long-dated income underpinned by their operational irreplaceability. As coastal development pressures intensify and marine-capable land continues to tighten, investor appetite for this type of infrastructure-linked asset is growing across all scales.
