|Object||Hotel rooms Comfort Inn – Manchester North|
|Location||Middleton, Manchester M24 4RF|
|Return||8% annual yield – 5 years|
|Completion||Yield runs immediately after contract exchange.|
|Exit||Buyback option after 5 years @ 110% of purchase price|
Shepherd Cox Hotel group
The Shepherd Cox group is a remarkable hotel Group: they spot profitable, but underperforming hotels, buy them, renovate them and make them perform. The group now owns 17 hotels in middle England and is expanding at a steady rate. In every hotel, they find the ways to bring it to performance: enter professional management, add and/or renovate rooms: upgrade the wedding facilities,…
The group typically needs 3-4 years to turn a hotel around and finances new acquisitions by room sales. After 5 years, they typically manage to get cheap(er) bank finance and they buy back the rooms from the original investors.
The Comfort Inn in Middleton (just North of Manchester) is the newest Shepherd Cox project. The hotel is a typically 3* short stay hotel for people on the move or on a job in Manchester. A good bed and a great shower and guests are ready to go for work, visit or party in Manchester. A good bed for a good price. Straight and simple. The hotel itself can be run at minimal costs and hence produces a healthy EBITDAR to pay for the room owners.
Rooms at 8%
The Group is now selling the 43 bedrooms of the hotel with an 8% annual yield. paid monthly on your account (wherever in the world). Straight and simple as the hotel itself. In 5 years time, they repurchase the room at 110% of the purchase price (or 2% annual value increase).