Upload
phungthuan
View
215
Download
0
Embed Size (px)
Citation preview
Executive Summary
An opportunity to invest in an exclusive UK student accommodation investment and to benefit from proven and sustainable returns from this profitable sector.
Investors purchase one or more modern en-suite rooms which are leased back to a well-established management company on a rolling agreement so that the building, in its entirety, can be let as student accommodation.
The managed turnkey nature of the investment allows investors a fully managed approach
whilst taking advantage of increasing rate of returns.
Investors benefit from yields much higher than traditional ‘buy-to-let’ investments.
As the asset receives a higher income, it becomes more valuable and saleable every year, providing owners with the security that when they wish to exit the investment, the asset is just as attractive as when they bought it.
Investment Highlights
8% NET rental return per annum assured for 5 years
Sold on a 250-year leasehold
Fully managed income generating asset
Established Developer with proven track record
students
location for rental returns
sought-after universities
2
Aura, Liverpool 57,000
Proven
5
3
An Impressive New-Build Student Development• Prime location for students• Modern en-suite student rooms• Selection of high quality on-site facilities
Prime Student Location• Located in the Knowledge Quarter• The closest new-build student development to the University of Liverpool• Close to Liverpool city centre and main transport hubs
Income Generating Asset• Assured rental returns• Fully managed buy-to-let opportunity• Delivered fully furnished
Introducing Investment Snapshot
A collection of two buildings that will illuminate the skyline of Liverpool’s prestigious Knowledge Quarter. Sleek and sophisticated, Aura will embody originality and will inspire the next generation of students.
“Our range of student property
has been specifically engineered
for investors. It provides an
opportunity to benefit from proven
and sustainable returns from the
profitable student sector.”
3
4
Investment in UK student property continues to soar
£2.7billion
2012
£2.1billion
2013
£2.9billion
2014
£5.7billion
2015
£3.1billion
2016
Following on from 2015, when more than £5 billion was invested in this branch of the property sector, 2016 was always going to struggle to live up to its predecessor. But even though it didn’t quite reach the heights of 2015, the £3.1 billion invested last year still represents incredibly strong 12 months for UK student property.
As investors continue to look towards the UK’s lucrative student sector in 2017, Knight Frank forecast that stock availability will be a key challenge for investors throughout the next 12 months.
Source: CBRE 2012-2014Knight Frank 2015-2016
UK’s best performing asset class
Experience Invest first introduced student accommodation to investors seeking an alternative to the UK’s more traditional property markets several years ago, and during this time the sector has seen phenomenal growth.
Our foresight combined with the rapid emergence of the sector has rewarded investors with strong returns.
Student property has been in the spotlight across the UK for some time now, managing to welcome record investment levels to help itself rise from the position of a niche option for buyers to a popular way to invest money that has allowed itself to thrive thanks to high demand and promises of strong returns.
“Student property is one of the
few sectors in the property world
that has delivered consistent
rental growth every year since the
economic downturn,”
Knight Frank.
invest in UK Student Accommodation?
Why
Sour
ce: S
avill
s Sp
otlig
ht: W
orld
Stu
dent
Hou
sing
201
5-20
16K
nigh
t Fra
nk U
K S
tude
nt H
ousi
ng In
vest
men
t Upd
ate
2017
International appeal of UK student propertyThere has been an increase in the volume
of people looking to capitalise on demand
from students by buying in countries
other than their own. £3.1 billion invested
in 2016
2.3 million students
are in higher
education in the
UK
Overseas investors
contributed
£1.49
billion in UK
transactions in
2016
40%
of global student
transactions have
been carried out
cross-border
Overseas
buyers likely to
dominate the
market in 2017
Student property
became a global
powerhouse in
2015/2016
The UK’s market has
room to grow with
only 24% of students
housed in purpose-built
accommodation
424,000 places were offered on
results day in 2016, up by 3%
on the previous year (UCAS)
Globally mobile
students are
underpinning the
demand for purpose-
built student housing
5
Proposed gym in Aura
Aura will embody originality and will
inspire the next generation of students.
In this report About Experience Invest
Call us today on +44 (0) 207 834 1113
About Experience Invest 8
The Opportunity 10
Location 12-13
Facilities 14
Investment Options 15-16
Market Fundamentals 18
FAQs 20
Next Steps 22
Trading since 2004, Experience Invest is a London-based property specialist.
Experience Invest’s approach is driven by professionalism. This is supported by a team of individuals who pride themselves on building lasting relationships with clients and peers within the industry.
Experience Invest offers opportunities to property investors in the UK and overseas, through providing exclusive investments across a variety of asset classes.
“Offering support and opportunities
to property investors in the UK and
overseas since 2004.”
7
Experience InvestDeveloping the Future
Experience Invest focuses on sourcing and developing real estate opportunities across some of the UK’s top performing asset classes.
The Company works alongside established developers to create market-leading investment products, designed to meet with the requirements of our UK and overseas investors.
Experience Invest’s know-how is the driving force behind its developer partners who utilise the Company’s guidance and expertise across every aspect of the development lifecycle.
To provide peace-of-mind, Experience Invest’s transparent approach to property investment allows investors to make informed and educated investment decisions.
“We examine property markets
across the UK to assess value
for money, return on investment,
capital appreciation potential,
rental performance and general
market stability.”
“Experience Invest is a trusted source of
knowledge and is a specialist provider
of market-leading products to its ever-
expanding database of over 120,000 clients.
Extensive research and careful product
selections help the team to ensure that
opportunities are in tune with today’s
market.”
Our Success
8
Proposed communal lounges
When it comes to luxury student living, Aura will emerge as Liverpool’s
signature address for today’s astute student.
“When it comes to luxury student living,
Aura will emerge as Liverpool’s signature
address for today’s astute student.”
The Opportunity
Aura is a brand new, purpose-built student accommodation development which provides individual investors with an excellent opportunity to enter the lucrative student property market at an accessible level.
The development comprises fully managed, en-suite rooms which will be delivered fully furnished and finished to a high standard.
The en-suite rooms will be arranged in clusters and will have access to a communal living area and kitchen.
With a favourable payment plan spread across the duration of the construction phase, en-suite rooms are available from £64,950 and studios are available from £79,950.
Upon completion, units will deliver 8% annual NET returns, assured for 5 years.
Established management company manages your property
on your behalf
Rooms delivered fully furnished
Fully managed
8% NET per annum
assured for
5 years
Delivers a long-term and robust income
stream
Proven location for student property
investment
Secured income Proven returns
10
Distances approx. Source: Google
With around 57,000 students, Liverpool has emerged as one of the UK’s main university cities.
Aura is strategically positioned in Liverpool’s thriving Knowledge Quarter and is just a few minutes’ walk from the University of Liverpool. The Royal University Hospital, Liverpool John Moores University, Liverpool Hope’s Creative Campus and LIPA are also in close proximity.
The Knowledge Quarter is the city’s hub of education. It is an area which is undergoing a bold, £1 billion transformation aimed at improving education facilities, transportation and the local economy.
Good local transport links supports the Knowledge Quarter however, students can walk to any part of Liverpool’s city centre with the retail, commercial and UNESCO World Heritage Waterfront just a 20-minute walk away.
“The Knowledge Quarter provides an unrivalled concentration of
expertise in science, technology, health, education, music and the
arts - all within a city centre location. Its proximity to a seaport, a
major railway station and two international airports, with our major
investment plans for the Knowledge Quarter to include a new train
station, will make it the best-connected innovation district in the UK,”
Joe Anderson, Mayor of Liverpool.
11
Liverpool Institute of Performing Arts20 MIN WALK
Liverpool is only 2 hours from London by train and it has direct rail links to
major UK cities including Manchester, Birmingham, Leeds, Sheffield and
Nottingham.
Two major airports within 45 min drive connects Liverpool with the
rest of the world.
James StreetLiverpool Central
Moorfields
Liverpool Lime Street
LocationLiverpool’s Knowledge Quarter
KnowledgeQuarter
Royal Liver Building
Echo Arena
Liverpool Waterfront
The Royal Liverpool University Hospital2 MIN WALK
Liverpool Hope University Creative Campus3 MIN WALK
Liverpool Life Sciences Accelerator
Albert Dock
Liverpool John Moores University14 MIN WALK
World Museum
Liverpool ONE
St George’s Hall
Central Library
University of Liverpool4 MIN WALK
Liverpool Science Park
Liverpool School of Tropical Medicine
4 MIN WALK
5 University Campuses
Liverpool: A Global University City
57,000 students
21,900 Current shortfall of managed bed spaces within the Liverpool postal district’s higher education market
Liverpool is a much-loved UK university city. Its unique mix of prestigious
higher education establishments, great entertainment and student nightlife
makes it one of the best places in the country for students to study.
Source: Liverpool Mayoral Student Accommodation Review, September 2015
University of LiverpoolLiverpool is a much-loved UK university city. Its unique mix of prestigious higher education establishments, great entertainment and student nightlife makes it one of the best places in the country for students to study.
With its strong cultural ties, two world-famous football teams and colourful musical heritage, Liverpool is an iconic city which has the global appeal to attract international students.
Liverpool is home to 5 award-winning universities which all offer specialist courses and world-class teaching facilities. Part of the prestigious Russell Group, the University of Liverpool is a ‘Red Brick’
establishment which is home to around 30,000 students, including 7,000 international students.
With 26,000 students, Liverpool’s John Moores University is a well-respected university and it is known for its strong ties to sport science, astronomy, and computer sciences course.
Liverpool Institute of Performing Arts is one of Liverpool’s smaller establishments which focuses on performance arts, theatre management and music production.
Liverpool Hope University has two campuses in Liverpool and has over 7,000 students. It
is widely regarded as a place of teaching excellence and cutting edge research as a result, it climbed from 104th to 79th in the Guardian University Guide 2017.
Liverpool School of Tropical Medicine was the first institution in the world dedicated to research and teaching of tropical medicine and is home to over 600 students.
The Royal Liverpool University Hospital works alongside the University of Liverpool and John Moores University to provide placements for student doctors, nurses, dentists and allied health professionals.
LIPA
12
Faci
litie
s
• Fully furnished en-suite rooms
• High speed internet and free Wi-Fi
• Communal lounge and shared kitchen facilities with smart LCD TVs
• 24-hour CCTV security and controlled building access via reception
• Fully equipped state-of-the-art gym and yoga lounge
• Courtyard with bike storage
• Large meeting area, lounge and study areas
• Games room with pool tables, entertainment facilities and smart LCD TVs
• Restaurant
• On-site laundry facilities
Images are for illustration purposes only13
“Overview images provide a guide of
the average floor plan of an en-suite
and self-contained studio suite.”
Images are for illustration purposes only
Investment Options
Standard en-suite from
£64,950
Please note financials are for indicativepurposes only and may be subject to change.
Rental income is assured at 8% for 5 years,NET of all costs. Forecast sale price based on
8% yield compression.14
Studio apartment
£79,9505-year investment scenario
Purchase Price £79,950
8% Net Assured Rental Income for 5 years £6,396
NET Income over 5 Years £31,980
20% uplift on Purchase Price £16,212
Total Income over 5 Years £48,192
ROI % over 5 years 60.28%
Annualised NET ROI 12.06%
5-year investment scenario
Purchase Price £64,950
8% NET per annum income for 5 years £5,196
NET Income over 5 Years £25,980
20% uplift on Purchase Price £13,048
Total Income over 5 Years £39,028
ROI % over 5 Years 60.09%
Annualised NET ROI 12.02%
Images are for illustration purposes only
Please note financials are for indicative purposes only and may be subject to change. Rental income is assured at 8% for 5 years, NET of all costs.
15
6-bed cluster apartment from
£392,7005-year investment scenario
Purchase Price £392,700
8% NET per annum income for 5 years £31,416
NET Income over 5 Years £157,080
20% uplift on Purchase Price £78,659
Total Income over 5 Years £235,739
ROI % over 5 years 60.03%
Annualised NET ROI 12.01%
Ease of Purchase
123
Payment Plan
Additional Purchase Costs
Pay £5,000 to
reserve a property
Pay 50% less the Reservation
Deposit on Exchange of Contracts
(28 days after Reservation)
50% upon Completion
En-suite rooms within Aura will be sold on a leasehold basis for a period of 250-years.
A team of commercial solicitors, experienced in the UK’s student buy-to-let market, have been appointed to act on the behalf of investors.
Legal Fees
• Legal fees are estimated to be between £860- £1,100 fully inclusive of VAT, searches and disbursement costs.
16
Aura will generate a distinctive atmosphere that
will transcend the concept of modern day student living.
Management Company
Investment in Liverpool’s
Knowledge Quarter has reached
£1bn
£36m Lime Street
regeneration
£70m LJMU Copperas
Hill campus
New £65m University of Liverpool
materials innovation
factory
£429m new Royal
hospital
urbanbubble is a multi-award winning residential sales, lettings and property managing agent based in Liverpool and Manchester which offers an unrivalled service to its customers.
With over ten years’ experience, urbanbubble has been appointed the official management company of Aura. By combining the lettings and building
management, the company will provide a well-communicated holistic service to take care of all aspects on the investment.
The interests of the management company are fully aligned with the investors, with high occupancy and positive rental growth key.
There is a current shortfall of 21,900 managed bed spaces within the Liverpool postal district’s higher education market. Even with a pipeline of 6,892 new beds, there would remain a shortfall of 15,008 rooms in the Liverpool student area*.
Over the last few years, Liverpool’s student population has grown at a steady pace and by 2022, it is thought that the city’s knowledge economy will expand by 15%.
As part of the Knowledge Quarter’s regeneration, it is vital that a range of developments
and facilities are available for its new inhabitants. High-quality accommodation for students, doctors, scientists and even entrepreneurs will need to be established to provide adequate housing for the area’s expansion.
Liverpool is also a key player in the government’s Northern Powerhouse initiative, which will strengthen the city’s place within the global community and enhance its connectivity with key cities in the north. With so much investment pouring into the city, suitable housing is a must to support the UK’s fastest growing economy outside of London.
Market fundamentals
*Source: Liverpool Mayoral Student Accommodation Review, September 2015.
£1bn
Knowledge Quarter
18
The energetic communal spaces
will be finished to the highest specification.
“The experience I had purchasing and selling was
one of the most pleasant. In fact, I have already
recommended Experience Invest to family and
friends on many occasions!”
Kevin Lim, Hong Kong.
“The Company is very professional, the team is
very knowledgeable, and help diligently all the
way through. The chosen properties in Liverpool
and Luton are very attractive locations, with
close proximity to university and hospitals. I shall
consider to make further investments with the
company. Also refer highly to family and friends,”
Abishek Gupta, UK.
“My consultant was both helpful and willing to
explain the process as well as consult if the topic
was beyond their brief,”
John Horn, UK.
“Very satisfied with the knowledge of the consultant
and also the professional approach of Experience
Invest on the after sale service like update on the
progress of the project,”
Mr Teh, UAE.
Testimonials
20
Is there a rental assurance in place?
Yes. 8% NET return per annum is assured for the first 5 years.
Is there a benefit for buying into the
project in the early off plan stages?
Early investors will have the choice of the best units within the project and will be able to purchase a student en-suite room at the best possible pricing.
What is the length of the leasehold?
Each apartment is sold on a 250-year leasehold.
Can I sell my unit/s at any time?
Investors are permitted to sell at any time from Completion.
Is there an exit strategy?
The UK’s student accommodation market is fairly young therefore there have not been many resales on the market. As the investment offers such a high yield, we envisage that most investors will want to hold onto their investment long-term.
The yield is assured for 5 years at 8% NET. We estimate the yield will increase over time, in line with market inflation. You can sell your unit at any time to another investor through a UK or overseasagent.
We recommend purpose-built student property as a long-term income investment, the proven high income from this asset class makes it a desirable purchase. We do offer a resales service providing an exit strategy for investors, as we have seen an increase in demand for completed and fully managed units in our existing developments. Within our substantial database we have clients who are looking for income producing units and want to mitigate any development risk, they are willing to pay a premium for this due to the shortage of supply in the resale market.
Is the sale handled by UK lawyers?
Yes. A team of commercial solicitors, experienced in UK property investment, have been appointed to act on the behalf of investors.
As a non-resident in the UK am I
taxed on this income?
If you are a UK resident then yes, you will be subject to tax. If you are a ‘non-resident’ in the UK, then you are classed as an overseas landlord and may apply to HMRC in the UK for exemption.
Please note we cannot guarantee that an application to receive rent with no tax deductions will be accepted.
When will the development
complete?
The target completion date has been scheduled for September 2019, with a long stop date of September 2020.
Is there furniture included in the
price of the apartment?
For a full, turnkey property investment, each student room is delivered fully furnished upon completion.
When will the development be
occupied and when will I receive my
income?
The student rooms will be let upon Completion and the assured yield will be paid quarterly in arrears from this date.
What happens at the end of the
5-year rental assurance period?
At the end of year 5, investors will have the option to continue managing their unit/s through urbanbubble. The owner will be responsible for the payment of the Management Fee, annual Ground Rent and Service Charge. Investors are able to manage their property by themselves or they can appoint an alternative lettings agent.
Invest in Confidence
Building SuccessExperience Invest is one of the most reputable and well-established companies in the industry.
The Company’s unrivalled knowledge of the UK’s property market and understanding of investors’ needs has allowed the business to expand over the last 11 years.
From high specification buy-to-let apartments to purpose-built student accommodation, Experience Invest has a proven track record in delivering new-build developments across major towns and cities in the UK.
Here is a selection of our most recent projects.
Recent Track Record
“Over the past 18 months, Experience
Invest’s global recognition has
enabled the company to sell more
than 1,200 properties in over 50
countries worldwide across our
portfolio of projects.’’
“Experience Invest has a number of successful property developments in major UK cities which are achieving up to 100% occupancy levels and are satisfying all stakeholders.”
17
24
18 23
19
21
1. London Park House | Luton Completed
2. Artesian | Liverpool Completed
3. Falkland House | Liverpool Completed
4. 90 Princess Street | Manchester Completed
5. Chaucer Court | Canterbury Completed
11. L1 City Living | Liverpool Completed
12. Queensland Place | Liverpool Completed
13. Parliament Place | Liverpool Completed
14. Calderdale House | West Yorkshire Completed
15. Royal Oak Court | Liverpool Completed
6. L1 Student Living | Liverpool Completed
7. Union House | Bournemouth Completed
8. Libertas | Liverpool Completed
9. Chapel Street | Luton Completed
10. Norfolk House | Liverpool Completed
16. Victoria House | Leeds Completed
17. One Wolstenholme Square | Liverpool 90% sold out
18. Opto House | Luton Completed
19. The Residence Manchester 90% sold out and under construction
20 Falkner Place | Liverpool Completed
21. TIMES Aparthotel by Vincent Sold out & under construction
22. Hub Square | Liverpool Completed
23. New Bedford House | Luton Sold out & under construction
24. Aura | Liverpool New launch!
London Eye
Big BenBuckingham Palace
Westminster Abbey
10 Downing Street
St. James’s Park
Birdcage Walk
The Mall
Constitution Hill
Piccadilly
Victoria St
Vauxhall Bridge Rd
A3213
A321
4
Upper Belgrave St
Westminster Bridge
River Thames
Green Park
Victoria
Green Park
Piccadilly Circus
Charing Cross
Embankment
Westminster
Waterloo
Waterloo East
“Our London Office is
conveniently located in the
heart of Central London close
to Victoria Station, allowing
easy access for investors who
wish to meet us in person to discuss
requirements.”
This bespoke investor report provides a valuable insight into purchasing in this exclusive UK Student Property Investment and incorporates additional information on the UK’s no.1 performing asset class.
Please contact your dedicated property consultant to discuss or request any of the following:
• Get your questions answered• Availability• Reserving a unit
CALL US TODAY ON
+44 (0) 207 834 1113
Email: [email protected]: www.experienceinvest.com
Next Steps
Dedicated Property Consultant
Palace St
Bressenden Pl
Buckingham Gate
Birdcage Walk
Wilfred St
Victoria St
A3214
Buckingham Palace
St. James’s Park
Victoria
• Experience Invest is considered one of the most recognised and reputable companies in our industry.
• We offer our clients the highest concentration of experience and talent working from our London Head Office located in Victoria.
• Each client is appointed their own dedicated Property Consultant who will be able to guide them through our selection of available opportunities.
• All of our Consultants have a strong background in the property industry and are happy to go above and beyond their brief to ensure clients are happy with their investment decision.
• As a testament to the service they provide, the majority of our transactions are repeat purchases and clients.
• Experience Invest has a dedicated Purchase Progression and Client Care Team based in our Head Office to ensure customer satisfaction from initial reservation through to Exchange of Contracts and post Completion.
• Experience Invest prides itself on transparency. We provide regular construction updates and information about your property purchase throughout the construction period and, upon completion, we offer a full aftersales service.
• Experience Invest welcomes clients to our office and encourages one-to-one meetings.
Our Commitment to You
22
Disclaimer:
This document is intended to provide general information concerning the proposed development, construction and management of Aura No.1 Erskine Street, Liverpool, L6 1AU. The information provided has been prepared in good faith and to give a fair overall view of the Development. The photographs and electronically generated images, furnishings and accessories featured are for illustrative purposes only. This document and all information provided by us at our web site at www.experienceinvest.com or otherwise is based upon information provided Aura Liverpool Ltd (the Vendor) to ExperienceBG Limited t/a Experience Invest (‘Experience’, ‘we’, ‘us’, ‘our’) and is provided on a confidential basis. This document is for the sole use of potential business partners and/or prospective purchasers. Reasonable care has been taken by us in the preparation of this document but we do not accept any responsibility or liability for the information which has been provided by the Developer. We further do not accept responsibility or liability of views or opinions herein provided or provided by us or on our behalf (whether orally or in writing) unless we have expressly confirmed such information and/or views and/or opinions in writing as being such that it should and can be relied upon. The information provided should not be taken as advice in relation to the Development. We do not warrant the accuracy or completeness of the information and/or measurements and/or financial returns provided in this document. These have been provided by the Vendor and we believe them to be correct. You acknowledge that you should and will make your own enquiries before proceeding to purchase. Nothing in this document is or should be relied upon as a representation, warranty or promise as to the past, present or future performance of Experience, the Vendor or any person directly or indirectly connected with and of them. We recommend that all appropriate commercial, tax and legal enquiries and advice is obtained before entering into a legally binding contract to purchase a property forming a part of the Development. Copyright in and to this document and its contents belong to ExperienceBG Limited.
43 Palace Street, London, SW1E 5HL, UKTel: +44 (0) 207 834 1113 Email: [email protected]