Room36 Aparthotel Bradford, England

Size: px

Start display at page:

Download "Room36 Aparthotel Bradford, England"

Agnes Page
6 years ago
Views:

Hotel Rooms Select Portfolio Investment Overview:

1 10% NET Yield for 10 Years Purpose-built aparthotel in the centre of Bradford Purchase now for 35,000 Hotel Rooms Select Portfolio Investment Overview: Room36 Aparthotel Bradford, England

2 Introduction. Introducing Room36, a purpose-built aparthotel in the centre of the city of Bradford. Built as part of an ongoing 20-year development, this purpose-built property signifies an alternative buy-to-let opportunity in the heart of Bradford s Learning Quarter, which encompasses the University and College campuses. Comprising just 7 executive suites and 28 studio apartments, the aparthotel will service visiting lecturers, student families and wider tourism due to its city centre proximity. A fantastic investment purchase, Room36 offers two purchase options offering generous space, en suite facilities, modern furnishings and kitchen fixtures - resulting in the luxury of a hotel with the comfort of a private apartment. With rooms available to purchase from only 35,000 cash input, this development is likely to sell out rapidly, therefore anyone interested is urged to contact us today to discuss this opportunity in further detail. Talk to one of our advisors on +44(0) or enquiries@select-portfolio.co.uk to discuss Room36 in more detail. Page 2

with a number of purchase benefits for savvy individuals.

and ongoing costs of your property, providing you with an affordable, passive, income generating

Studio & one bedroom apartments in a purpose-built aparthotel Fully managed properties Purchase from

3 Purchase Highlights. Room36 Aparthotel is now available for investment purchase, exclusively from Select Portfolio - and with a number of purchase benefits for savvy individuals. The unique leaseback sale opportunity ensures the developer is responsible for the day-to-day running and ongoing costs of your property, providing you with an affordable, passive, income generating asset. Talk to us today about reserving your desired unit. Studio & one bedroom apartments in a purpose-built aparthotel Fully managed properties Purchase from only 35,000 cash input Excellent location in the heart of Bradford City Centre 10% NET returns for 10 years 125% buy back option in year 10 Thriving market from nearby universities No ongoing maintenance fees or charges Generate up to % ROI Reserve for only 1,000 Page 3

The Opportunity: Room36, Bradford 35 studio & one bedroom apartments En-suite bedrooms with kitchenettes Modern furnishings & kitchen fixtures 125 year lease Fully managed Excellent city centre

opportunity in the heart of Bradford s Learning Quarter encompassing the university and college campuses.

4 The Opportunity: Room36, Bradford 35 studio & one bedroom apartments En-suite bedrooms with kitchenettes Modern furnishings & kitchen fixtures 125 year lease Fully managed Excellent city centre location close to universities & shopping Set in the historic city of Bradford, famous for its industrial landscape of texture mills and cobbled streets, Room36 offers an alternative buy-to-let opportunity in the heart of Bradford s Learning Quarter encompassing the university and college campuses. As part of an ongoing 20 year development programme, Room36 signifies the next and final phase, being complimented by an adjacent 247 unit student residence and retail court. The purpose-built aparthotel comprises 7 executive suites and 28 studio apartments servicing visiting lecturers, student families and wider tourism due to its city centre proximity. Room36 s combination of design, facilities and location meets a requested need in the Learning Quarter s development. Page 4

5 The Location: Bradford. As the world s first city to obtain UNESCO* City of Film Status, Bradford hosts numerous art, literature and beer festivals at Bradford s City Park, which features the UK s largest urban water feature The Mirror Pool and is just a short walk from Room36. Bradford is a major powerhouse in the economic advancement of Yorkshire Bradford is a major powerhouse in the economic advancement of Yorkshire, being the third largest contributor in the county, after Leeds and Sheffield, with a forecast of 9bn by This status has seen a major investment and development in the city, including a prestigious 260 million Westfield Shopping Centre, due for completion in The district itself is both culturally rich and commercially diverse, offering a wealth of listed architecture, galleries, restaurants, independent outlets and UNESCO heritage sites, including the award-winning National Media Museum, Salts Mill, Alhambra Theatre and Bronte Parsonage. Page 5

The Location: Bradford. The Learning Quarter is at the heart of The University of Bradford and Bradford College s academic hub.

The entire quarter s regeneration is a collaborative agreement between Bradford City Council, the university, the college and private developers, where in excess of 150mn has already been invested.

number of UK and overseas students. Both academic campuses have a pressing need throughout their term periods to accommodate visitors within self-contained suites and apartments.

6 The Location: Bradford. The Learning Quarter is at the heart of The University of Bradford and Bradford College s academic hub. Room36 is ideally situated opposite the 40mn, awardwinning academic village The Green which interestingly holds the highest BREEAM rating of any building of its kind in the world. The entire quarter s regeneration is a collaborative agreement between Bradford City Council, the university, the college and private developers, where in excess of 150mn has already been invested. Further development has been earmarked for a variety of purposes including retail units, a state-of-the-art medical training centre and a 247-unit student accommodation complex to support the growing number of UK and overseas students. Both academic campuses have a pressing need throughout their term periods to accommodate visitors within self-contained suites and apartments. Room36 is being purposely built to meet the demand of travelling professors, researchers conference delegates, and academics on short-term work placements, to both The University of Bradford and Bradford College. Uniquely positioned, Room36 is the only purpose built aparthotel serving the campus, accessible to public transport routes and retail outlets, thereby ensuring the operational sustainability and long-term capital appreciation of the building. The developer has also successfully built and currently operates a purpose-built student complex within the quarter, fully subscribed with 95% occupancy. With a high percentage of overseas student occupation holding year-long tenancies, Room36 will meet a further demand of visiting families of students within The Green and other on-site student accommodation complexes. Page 6

7 Investment Summary: Studio Apartment. By purchasing a Studio Apartment at Room36 with the developer deferred funding option, you are able to offset your total capital outlay from 55,000 to 35,000 by deferring 20,000 against your fixed annual rental income. In years 1-3, you receive 10% of the cash input value ( 35,000) per annum, giving you a fixed rental of 3,500; this is then drawn down to service the deferred amount. In years 4-10 you receive 10% of the full purchase price ( 55,000) per annum, giving you a fixed rental of 5,500; 1,357 of this is then drawn down per annum to service the deferred amount and the balance of 4,143 is paid to you annually in arrears. ROI = (buy-back (125%) 68,750 + cash returns 29,000 - (minus) initial cash input 35,000) / (divided by) initial cash input 35,000 = % Purchase Price 55,000 Client Cash Input 35,000 Reservation Fee 1,000 Balance of cash input 34,000 Assured tenancy period 10 years Income 10% No. years cash input 3 No. years full purchase price 7 Year Returns (10%)* Developer Deferred Payment Year End Balance Developer Deferred facility balance 20, ,500 3, , ,500 3, , ,500 3, , ,500 1,357 4,143 8, ,500 1,357 4,143 6, ,500 1,357 4,143 5, ,500 1,357 4,143 4, ,500 1,357 4,143 2, ,500 1,357 4,143 1, ,500 1,358 4, ,000 20,000 29,000 Buy 68,750 Total purchaser returns 97,750 Less cash input 35,000 Cash received over and above initial cash input 62,750 ROI % After year 10, the apartment is completely unencumbered and investors can continue to benefit from returns based on the aparthotel s operation or alternatively can be sold on the open market. Page 7

8 Investment Summary: One Bedroom Apartment. By purchasing a One Bedroom Apartment at Room36 with the developer deferred funding option, you are able to offset your total capital outlay from 65,000 to 40,000 by deferring 25,000 against your fixed annual rental income. In years 1-3, you receive 10% of the cash input value ( 40,000) per annum, giving you a fixed rental of 4,000; this is then drawn down to service the deferred amount. In years 4-10 you receive 10% of the full purchase price ( 65,000) per annum, giving you a fixed rental of 6,500; 1,857 of this is then drawn down per annum to service the deferred amount and the balance of 4,643 is paid to you annually in arrears. ROI = (buy-back (125%) 81,250 + cash returns 32,500 - (minus) initial cash input 40,000) / (divided by) initial cash input 40,000 = % Purchase Price 65,000 Client Cash Input 40,000 Reservation Fee 1,000 Balance of cash input 39,000 Assured tenancy period 10 years Income 10% No. years cash input 3 No. years full purchase price 7 Year Returns (10%)* Developer Deferred Payment Year End Balance Developer Deferred facility balance 25, ,000 4, , ,000 4, , ,000 4, , ,500 1,857 4,643 11, ,500 1,857 4,643 9, ,500 1,857 4,643 7, ,500 1,857 4,643 5, ,500 1,857 4,643 3, ,500 1,857 4,643 1, ,500 1,858 4, ,500 25,000 32,500 One Bedroom Apartments have now sold out. Buy 81,250 Total purchaser returns 113,750 Less cash input 40,000 Cash received over and above initial cash input 73,750 ROI % After year 10, the apartment is completely unencumbered and investors can continue to benefit from returns based on the aparthotel s operation or alternatively can be sold on the open market. Page 8

The Leaseback & Exit Strategies. A leaseback arrangement is a financial transaction whereby a seller of an asset leases back the same asset from the purchaser.

9 The Leaseback & Exit Strategies. A leaseback arrangement is a financial transaction whereby a seller of an asset leases back the same asset from the purchaser. The operator assumes all responsibilities for the day-to-day running of your unit and all costs. As with any purchase, you should be aware of any exit strategies. Through this unique structure, there are a number of exit strategies available to you At the end of the 10-year term, an assured buy back will be initiated whereby we will purchase the unit back from you at 125% of the full purchase price. You have the option to sell your unit on the open market at any given point providing all outstanding developer-deferred payment is cleared at the point of sale. Should the developer initiate the freehold sale of the facility to an external operator at any point from your exchange process, you will receive your full buyback 125% fixed agreement. Unlike a traditional buy-to-let, you are not responsible for: monthly property management fees, property maintenance, refurbishment or any tenant related issues, including vacant periods that may result in a loss of earnings. This opportunity provides a hands-off, hassle-free, income generating asset. Page 9

now sold out. Floor plans are approximate only and not to scale.

10 Floor Plans. Studio Apartment One Bedroom Apartment One bedroom apartments have now sold out. Floor plans are approximate only and not to scale. Exact layouts and sizes of the units may vary. Please speak to an advisor today to discuss actual unit sizes and availability. Page 10

11 The Purchase Process. We will assist you throughout the purchase process: We believe that by taking our time to listen to your needs, establishing a full client profile for you, we can then confidently confirm whether Room36 is the right opportunity for you. It is also assuring to note that should this not completely suit your needs, we will not push you into making a decision that you are not comfortable with, purely to close a sale. A purchase has to be 100% right for you, or we will not proceed. 1. After a full consultation process with your sales consultant, a unit will be recommended to you. They will then prepare and send the reservation form for you to complete and return. You will also be asked for a 1,000 reservation fee to secure your unit. 2. Upon receipt of your reservation fee, your contracts will be prepared and issued for your approval and signature. These will then need to be returned along with the required personal identification documents. 3. Once all documents are in order, you will make your cash input payment to complete the exchange process. 4. Upon receipt of your cash input, documents will be issued for the Land Registry to undertake the title exchange process upon completion of the development. Page 11

12 To find out more about this opportunity please do not hesitate to contact one of our friendly and professional team members. We d love to discuss our developments with you today. T: F: enquiries@select-portfolio.co.uk 1st Floor, 1 Old Generator House, Bourne Valley Road, Poole, Dorset, BH12 1DZ Select Portfolio, their clients and any joint agents give notice that: 1. They are not authorised to make or give any representations or warranties in relation to the property either here or elsewhere, either on their own behalf or on behalf of their client or otherwise. Select Portfolio is not responsible for guaranteeing income or projections provided by the developer. It should not be assumed that the property has all necessary planning, building regulation or other consents and Select Portfolio has not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise.

The Xchange Bradford, England

Buy to Let 8% yield assured for 2 years Buy-to-let apartments in Bradford City Centre Prices starting at 54,950 Select Portfolio Investment Overview: The Xchange Bradford, England www.select-portfolio.co.uk