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VIEWPOINT Investment Overview Location - Salford & Manchester Projected Returns - 25% Deposit Projected Returns - 50% Deposit 4-5 6-7 8-11 12-15 Property Specification 16-19 Salford 20-23 Purchase Process 24-25 Disclaimer 26-27 2 VIEWPOINT 3
INVESTMENT OVERVIEW Studio Apartments for 83,995 1 Bedroom Apartments from 105,000 2 Bedroom Apartments from 134,995 3 Bedroom Duplexes for 196,000 7% NET Rental Return 2 Year Rental Assurance Mortgages Available on Apartments Luxury High Specification Finish Fully Managed by Local Operator Completion Scheduled for Q2 2017 150 Year Leasehold Apartments from 83,995 7% NET Rental Return 2 Year Rental Assurance 4 VIEWPOINT 5
& MANCHESTER 1 2 3 4 Salford Crescent Station 0.57 miles University of Salford 0.58 miles MediaCityUK 1.4 miles Salford Central Station 1.42 miles VIEWPOINT Ford Lane Salford M6 6PE 1 2 5 6 5 MEN Arena 1.73 miles 4 7 6 Manchester Victoria 1.8 miles 9 7 8 The Arndale Centre 1.9 miles Old Trafford 2.03 miles 3 10 9 Manchester Piccadilly 2.47 miles 10 Manchester Metropolitan University 2.38 miles 8 6 VIEWPOINT 7
PROJECTED RETURNS 25% DEPOSIT Studio Apartments Based on Apartment 107 Unit Price 83,995 25% Deposit 20,998.75 Interest on Deposit (10%) 3,515.12 Gross Rent (Per Month) 560 Gross Rent (Per Annum) 6,720.00 Projected Service Charge 516.81 Lettings Fees 537.60 NET Rent (Per Annum) 5,365.59 Mortgage @ 5% Interest* 3,149.81 2,215.78 ROCI with Mortgage** 10.55% One Bedroom Apartments Based on Apartment 108 Unit Price 104,738 25% Deposit 26,184.50 Interest on Deposit (10%) 4,397.54 Gross Rent (Per Month) 695 Gross Rent (Per Annum) 8,340 Projected Service Charge 715.80 Lettings Fee 667.20 NET Rent (Per Annum) 6,657.00 Mortgage @ 5%* 3,927.68 2,729.32 ROCI with Mortgage** 10.42% * Based upon a 5% initial rate interest only mortgage ** Return on Cash Invested (ROCI) is based upon a 25% deposit and 75% loan-to-value mortgage. Finance is not guaranteed and is subject to status and valuation CONSUMER PROTECTION FROM UNFAIR TRADING REGULATIONS 2008 (CPR) These regulations prohibit unfair practices. To satisfy our obligations under the CPRs, our sales particulars have been prepared by PrinvestUK Limited upon the instruction of the vendor and in accordance with these regulations. The property details are produced in good faith and are not intended to form part of a contract. Please Note - this example is for illustration purposes only; the projections for the income, occupancy levels, room rates and management charges are not guaranteed and are subject to change. We accept no responsibility for any changes or inaccuracy with these figures; they are provided in good faith as a general guide and based on what we believe to be correct but do not form part of any offer or solicitaton. Stamp Duty Land Tax To find out if your purchase will incur Stamp Duty, please visit the Stamp Duty overview and calculator at: https://www.gov.uk/stamp-duty-land-tax/overview http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm The purchaser will be liable for Stamp Duty, Council Tax and Property Related Taxes in connection with property purchases and ownership in addition to any ongoing personal or corporate taxation which may apply. 8 VIEWPOINT 9
PROJECTED RETURNS 25% DEPOSIT Two Bedroom Apartments Based on Apartment 104 Unit Price 139,645 25% Deposit 33,661.25 Interest on Deposit (10%) 5,653.76 Gross Rent (Per Month) 920 Gross Rent (Per Annum) 11,040.00 Projected Service Charge 901.91 Lettings Fee 883.20 NET Rent (Per Annum) 8,954.89 Mortgage @ 5%* 5,049.19 3,905.70 ROCI with Mortgage** 11.60% Three Bedroom Duplexes Based on Apartment 001 Unit Price 195,510 25% Deposit 48,877.50 Interest on Deposit (10%) 8,208.74 Gross Rent (Per Month) 1,280 Gross Rent (Per Annum) 15,360.00 Projected Service Charge 1,317.07 Lettings Fee 1,228.80 NET Rent (Per Annum) 12,514.13 Mortgage @ 5%* 7,331.63 5,182.50 ROCI with Mortgage** 10.60% * Based upon a 5% initial rate interest only mortgage ** Return on Cash Invested (ROCI) is based upon a 25% deposit and 75% loan-to-value mortgage. Finance is not guaranteed and is subject to status and valuation CONSUMER PROTECTION FROM UNFAIR TRADING REGULATIONS 2008 (CPR) These regulations prohibit unfair practices. To satisfy our obligations under the CPRs, our sales particulars have been prepared by PrinvestUK Limited upon the instruction of the vendor and in accordance with these regulations. The property details are produced in good faith and are not intended to form part of a contract. Please Note - this example is for illustration purposes only; the projections for the income, occupancy levels, room rates and management charges are not guaranteed and are subject to change. PrinvestUK Limited accept no responsibility for any changes or inaccuracy with these figures; they are provided in good faith as a general guide and based on what we believe to be correct but do not form part of any offer or solicitaton. Stamp Duty Land Tax To find out if your purchase will incur Stamp Duty, please visit the Stamp Duty overview and calculator at: https://www.gov.uk/stamp-duty-land-tax/overview http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm The purchaser will be liable for Stamp Duty, Council Tax and Property Related Taxes in connection with property purchases and ownership in addition to any ongoing personal or corporate taxation which may apply. 10 VIEWPOINT 11
PROJECTED RETURNS 50% DEPOSIT Studio Apartments Based on Apartment 107 Unit Price 83,995 50% Deposit 41,997.50 Interest on Deposit (10%) 7,030.25 Gross Rent (Per Month) 560 Gross Rent (Per Annum) 6,720.00 Projected Service Charge 516.81 Lettings Fees 537.60 NET Rent (Per Annum) 5,365.59 Mortgage @ 5%* 2,099.88 3,265.71 ROCI with Mortgage** 7.78% One Bedroom Apartments Based on Apartment 108 Unit Price 104,738 50% Deposit 52,368.75 Interest on Deposit (10%) 8,794.08 Gross Rent (Per Month) 695 Gross Rent (Per Annum) 8,340 Projected Service Charge 715.80 Lettings Fee 667.20 NET Rent (Per Annum) 6,657.00 Mortgage @ 5%* 2,618.44 4,038.56 ROCI with Mortgage** 7.71% * Based upon a 5% initial rate interest only mortgage ** Return on Cash Invested (ROCI) is based upon a 50% deposit and 50% loan-to-value mortgage. Finance is not guaranteed and is subject to status and valuation CONSUMER PROTECTION FROM UNFAIR TRADING REGULATIONS 2008 (CPR) These regulations prohibit unfair practices. To satisfy our obligations under the CPRs, our sales particulars have been prepared by PrinvestUK Limited upon the instruction of the vendor and in accordance with these regulations. The property details are produced in good faith and are not intended to form part of a contract. Please Note - this example is for illustration purposes only; the projections for the income, occupancy levels, room rates and management charges are not guaranteed and are subject to change. We accept no responsibility for any changes or inaccuracy with these figures; they are provided in good faith as a general guide and based on what we believe to be correct but do not form part of any offer or solicitaton. Stamp Duty Land Tax To find out if your purchase will incur Stamp Duty, please visit the Stamp Duty overview and calculator at: https://www.gov.uk/stamp-duty-land-tax/overview http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm The purchaser will be liable for Stamp Duty, Council Tax and Property Related Taxes in connection with property purchases and ownership in addition to any ongoing personal or corporate taxation which may apply. 12 VIEWPOINT PrinvestUK 13
PROJECTED RETURNS 50% DEPOSIT Two Bedroom Apartments Based on Apartment 104 Unit Price 139,645 50% Deposit 69,822.50 Interest on Deposit (10%) 11.688.07 Gross Rent (Per Month) 920 Gross Rent (Per Annum) 11,040.00 Projected Service Charge 901.91 Lettings Fee 883.20 NET Rent (Per Annum) 8,954.89 Mortgage @ 5%* 3,491.13 5,463.76 ROCI with Mortgage** 7.83% Three Bedroom Duplexes Based on Apartment 001 Unit Price 195,510 50% Deposit 97,755.00 Interest on Deposit (10%) 16,417.48 Gross Rent (Per Month) 1,280 Gross Rent (Per Annum) 15,360.00 Projected Service Charge 1,317.07 Lettings Fee 1,228.80 NET Rent (Per Annum) 12,514.13 Mortgage @ 5%* 4,887.75 7,626.38 ROCI with Mortgage** 7.80% * Based upon a 5% initial rate interest only mortgage ** Return on Cash Invested (ROCI) is based upon a 50% deposit and 50% loan-to-value mortgage. Finance is not guaranteed and is subject to status and valuation CONSUMER PROTECTION FROM UNFAIR TRADING REGULATIONS 2008 (CPR) These regulations prohibit unfair practices. To satisfy our obligations under the CPRs, our sales particulars have been prepared by PrinvestUK Limited upon the instruction of the vendor and in accordance with these regulations. The property details are produced in good faith and are not intended to form part of a contract. Please Note - this example is for illustration purposes only; the projections for the income, occupancy levels, room rates and management charges are not guaranteed and are subject to change. We accept no responsibility for any changes or inaccuracy with these figures; they are provided in good faith as a general guide and based on what we believe to be correct but do not form part of any offer or solicitaton. Stamp Duty Land Tax To find out if your purchase will incur Stamp Duty, please visit the Stamp Duty overview and calculator at: https://www.gov.uk/stamp-duty-land-tax/overview http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm The purchaser may be liable for property related taxes in connection with property purchases and ownership in addition to any ongoing personal or corporate taxation which may apply. 14 VIEWPOINT PrinvestUK 15
PROPERTY SPECIFICATION Studio, One, Two and Three-bedroom Apartments Contemporary Furnishings Work Desk, Chair & Bookcase Dining Table & Chairs Wall-mounted Flat Screen Smart TV Free High Speed Broadband High Spec Fridge Freezer, Oven, Hob & Extractor En-suite Shower Room Stainless Steel Fittings & Porcelain Tiles Juliet Balcony Secure Entrance Door with Fob Access Communal Bicycle Storage Underground & Ground Level Car Parking Hotel Style Lobby with 24-hour Reception 24-hour Security 16 VIEWPOINT 17
PROPERTY SPECIFICATION 18 VIEWPOINT 19
QUAYS From urban buzz to greenbelt tranquillity, Salford is home to a mixture of waterfront, urban and countryside locations, creating a city where over 220,000 people want to live, work, study and visit. Well known as a channel for academic and business talent, students and young professionals get a great start here with an awardwinning University that boasts a new digital campus at the world famous MediaCityUK. INVEST IN Salford is integral to the Greater Manchester economy (the economic powerhouse of the north west of England), with an economy that has grown by more than 12% since 2004. Key components of the local economy include a large public sector, a strong financial and professional services market and an expanding creative and digital new media sector. SNAPSHOT Salford is made up of 60% green space with over 30 miles of rivers and canals, 2 Country Parks and 30 miles of sculpture trail Home to MediaCityUK, a new waterfront destination with digital creativity at its core and more than 200 business HQ s including BBC, ITV & SIS Over 7,900 businesses including big name firms such as Cussons, Avis Car Hire and BUPA are based here World famous football, rugby and cricket are reachable in fewer than 10 minutes, at Manchester United Football Club and Lancashire Cricket Club A tourist spend of more than 251 million at Salford Quays alone, in 2012 Highly qualified graduate population from the University of Salford, Manchester Metropolitan University and University of Manchester 20 VIEWPOINT 21
QUAYS A THRIVING UNIVERSITY CITY The University of Salford is widely regarded as one of the UK s leading enterprise universities and is home to over 20,000 students. Famous for its links with industry, commerce and the arts, you can see why this green riverside campus has attracted over 3,500 overseas students from more than 130 countries around the world. Great links with employers mean that 74% of full-time undergraduate courses offer work placements generating an excellent graduate employment record. Salford graduates are not only prominent in business, industry, the public sector and nongovernmental organisations in the UK, but are successful worldwide. The university offers one of the biggest scholarship schemes in the UK, with a total value of over 2.5 million and awards worth up to 5,000, allowing students to concentrate on their career goals - not their bank balance. RESIDENTIAL PROPERTY MARKET Salford s residential market has gone from strength to strength following the construction and subsequent occupation by the BBC, among others, of MediaCityUK. Once a relatively unremarkable suburb of Manchester, Salford now boasts one of the most desirable housing markets in the UK with annual price rises outstripping everywhere except London. House prices on average have risen by 10.4% in Salford, according to figures released by the Land Registry, outstripping the national average of 7%. STUDENT PROPERTY MARKET Population of 233,900 650m Invested in Regeneration of the Area Regeneration of Salford Central in 2018 In terms of housing, the University admits that it has little on-campus student accommodation with much of it no longer attractive to prospective students who are becoming more discerning in their choice of accommodation. Rooms largely serve first year undergraduates alone, meaning that the remaining students must find accommodation within the private sector. Private sector developments are limited, causing large numbers of residents to reside in the wider Manchester catchment area. This has stemmed a fairly competitive residential marketplace targeted at professionals in the area, largely consisting of luxury 1 & 2-bed apartments across Salford Quays. This means that there is an unrivalled opportunity to take advantage of under-supply in Salford, and bring a completely new product to the market that is the best of both worlds; where student facilities meet residential living. 22 VIEWPOINT 23
PURCHASE PROCESS RESERVATION Reservation form completed & 2,500 non-refundable reservation fee paid and deducted from the exchange of contract monies SOLICITORS INSTRUCTED Solicitors instructed, legal pack sent out and anti-money laundering process completed EXCHANGE OF CONTRACTS 25% or 50% of purchase price paid to solicitors & contracts exchanged within 28 days of reservation LEGAL COMPLETION The balance of the purchase price is paid, the purchase is completed & title deeds registered with the UK Land Registry 24 VIEWPOINT 25
DISCLAIMER 1. This information is made available to the addressee subject to our terms and conditions. A copy of this information is made available to you for your personal use and must not be given, shared or communicated with any other person except for your own professional advisors for the sole purpose of obtaining their advice. 2. We endeavour to provide accurate, up to date and complete information but makes no warranties or representations as to the accuracy, reliability or completeness or otherwise of the information contained herein. We assume no responsibility or liability for any omissions or errors contained in the information. 3. We act as an agent for the developer and as such accepts no liability to the Purchaser. Further and in any event, if notwithstanding this provision liability is established against us, then it is agreed that the total maximum amount of such liability is limited to and shall not under any circumstances exceed the amount of the above reservation fee. 4. Purchasers are required to conduct their own due diligence and make their own judgement on the property being offered. Purchasers must verify the information and any speculative information offered by us. Purchasers are strongly recommended to perform their own financial and legal assessment of any opportunity prior to making any commitment to participate. 5. We do not provide or offer an opinion as to whether a particular property is appropriate for a particular individual and owes no duty of care to the Purchaser. 6. We only offer an opinion on the opportunity in general terms and in relation to the market as a whole. We are not able to comment or give opinions on the strength or validity of any bond or insurance policy and Purchasers are strongly recommended to perform their own diligence and seek legal opinion. 7. We do not accept any responsibility for amendments to or changes in rates of taxation, introduction of new taxes, changes to existing legislation or the introduction of new legislation or any matters relating to the final contractual arrangements for any purchase. 8. Where rental assurances or guarantees are offered as part of the purchase, the developer will contract directly with the purchaser to assure the rental income at the specified rate and for the specified duration, but this is not supported by an insurance policy, bond or bank, unless specified, nor is this warranted by us. 9. Descriptions of Property, Homes, Buildings, Locations or Development Particulars, Specifications and Pictures and Artists Impressions of any property, home, building, location or development are given in good faith and believed to be correct, but they do not form part of any offer or solicitation and are intended only as a general guide. We do not control the building or development of any project. 10. You acknowledge that developers reserve the right to alter plans, designs and specifications at any time without prior notice. We therefore will not be responsible for such changes. 11. All descriptions are intended only as a general guide and are not to be relied upon by you or any other interested parties as a statement or representation of fact and you should satisfy yourself by inspection or otherwise. 12. We have endeavoured to provide the highest quality information, backed up by substantial experience and proven evidence from the marketplace. However, individual interpretation of information may vary, and individual circumstances, skills, abilities, knowledge and attitude play an important part in achieving a particular outcome. In addition, the future behaviour of the property market may not follow past experience, either, internationally, nationally or locally. For this reason Principal International does not warrant, guarantee or promise that you will make a profit from any property transaction entered into, whether as a result of acting on information contained within this document or otherwise. As with any purchase, this may make a loss. The purchaser will be liable for Stamp Duty, Council Tax and Property Related Taxes in connection with property purchases and ownership in addition to any ongoing personal or corporate taxation which may apply. 26 VIEWPOINT 27