Newcastle under Lyme: student flats with 9% net rental return

orme house

Newcastle under Lyme – Orme house

 

orme house

Orme house: a renovated classical building for Students

Object Student Ensuites and studio’s
Location Newcastle under Lyme
Investment from UK£ 70.000
Rental Yield Minimum 9% net yield
(Assured for 5 years)
5% interest during renovation
Completion September 2018
Exit Open market

 

Halfway between Manchester and Birmingham, you will find the quiet town of Newcastle under Lyme. With 75.000 people (of which 25.000 students), it is a student-run city. Two major universities dominate public life in : Keele University en Strafforshire University. Orme House is a renovation project, converting an old housing complex into 102 student flats.

The most pleasant aspects of this project is of course the high expected rental return, but also the short completion term: the first students (and rental returns to go with it) are expected in September 2018.

Student flats

Studenten flats take a position in between residential and commercial real estate: rental yields (9%) are comparable to commercial real estate, while the sales conditions appear like residential real estate. The will increase with market increases and they don’t carry stamp duties. On the other hand, there is no buy-back options en flats need to be resold to other investors.

This is also the case in this project: rental yields will grow with the market, while the developer guarantees a minimum 9% yield in the first 5 years. Fortunately, Newcastle has such a huge shortage, there is a lot of upward pressure expected on these prices.

9% (5 years guaranteed)

Abode is one of the most reputed developers of the area with more then 35 years of experience in – mostly small scale – residential and student projects. Market leader student flat management company Urban Student Life, will take care of your flat and find and charge students. As the English law calls this “commercial” real estate, there is no stamp duties or other costs to be paid. Payment is done in 2 installments: 50% at signature, 50%  at completion (September 2018).

Interested? Call us today!

orme house

orme house

 

 

 

 

 

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Manchester Bridgewater Wharf: Luxury between old and new Manchester is hot with investors. Bridgwater Wharf is located in the middle between the historic centre and Media City, in the middel of the regeneration zone along the water. Ideal for capital gains investment.
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