Student Accommodation Investment Opportunity The ... AWS
Student Accommodation Investment Opportunity The Fallowfield Portfolio
9 HMOs in Fallowfield and Chorlton, Manchester For Sale Freehold
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8 Houses in Multiple Occupation (HMOs) in prime Fallowfield and 1 in Chorlton, Manchester
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Potential income of £155,295 p.a. for the forthcoming 2017/18 academic year
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39 bedrooms across the Portfolio
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Passing rent of £130,642 p.a. for the 2016/17 academic year
Gross Initial Yield on passing rent of approximately 6% and on potential 2017/18 income of 7%
Savills Nottingham Enfield Chambers 18 Low Pavement Nottingham NG1 7DG
+44 (0)115 934 8055 savills.co.uk
Location Located within the prime student accommodation area of Manchester approximately four miles to the south of the Manchester City Centre. The University of Manchester has a campus at Fallowfield. In consequence, the eight properties within the Portfolio located in Fallowfield are let to the student sector of the market. There is one property located within Chorlton, also located to the south of the Manchester City Centre, approximately 2½ miles from Fallowfield. Chorlton is a popular, affluent suburb of Manchester and, in consequence, the Property is let to the professional sector of the market.
University of Manchester and Manchester Metropolitan University The University of Manchester is ranked 32 in The Times Good University Guide 2017. The University is mid way through a £1 billion ten year plan which it hopes will help to secure a place among the top 25 research universities in the world. It is in the top 20 UK universities for research, entry standards and graduate prospects. There are 34,565 full time students at the University across both undergraduates and post graduates, with 8,030 university owned or managed bedrooms. The applications to places ratio is 7.9 to 1. There are 25% non-EU overseas students and 5.5% EU students. Manchester Metropolitan University is located between Fallowfield and Manchester City Centre approximately 3 miles to the north of Fallowfield. Manchester Metropolitan University has a rank of 72 in The Times Good University Guide 2017. Entry standards are still higher than most post1992 universities and it has more than 1,000 courses offered in over 70 subjects, more of them professionally accredited than at any other university, many involving work placements. It has the second largest number of undergraduates in The Times University Table and added nearly 800 students to its intake in 2015. It has 26,175 full time students including both undergraduates and post graduates.
There are 5,237 places in university owned or managed accommodation. The applications per place ratio is 6.7 to 1. Other non-EU overseas students account for 5.8% of the population and EU students account for 2.7%.
The Portfolio The Portfolio comprises nine properties, eight being within Fallowfield and one being within Chorlton. All properties are of a Victorian vernacular, being a mix of two and three storey mid and end terraced dwelling houses which have been converted to provide between four and five bedroom Houses in Multiple Occupation (HMOs). Each of the properties has shared bathroom/shower rooms and living / kitchens. Each of the properties has double glazed UPVC windows and gas fired central heating. A programme of reconfiguration and redecoration is most likely to have the result of increasing the income generated. We provide a Schedule of Accommodation and Income on the following page.
Furniture Pack Each of the properties includes soft furnishings to the living room and a fully fitted kitchen. Each of the bedrooms has principally double beds, a desk and ancillary bedroom furniture.
Services Mains gas, electricity, water, drainage, and telecommunications are all connected. Each of the properties has a gas fired combination boiler providing domestic hot water and central heating to water fed radiators. None of the services has been tested.
Address
Postcode
Tenant
Rent Pcm
Start Date
End Date
Notes
24 Braemar Road 24 Braemar Road 24 Braemar Road 24 Braemar Road 61 Braemar Road 61 Braemar Road 61 Braemar Road 61 Braemar Road 63 Braemar Road 63 Braemar Road 63 Braemar Road 63 Braemar Road 57 Furness Road 57 Furness Road 57 Furness Road 57 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 98 Platt Lane 98 Platt Lane 98 Platt Lane 98 Platt Lane 21 Warwick Road 21 Warwick Road 21 Warwick Road 21 Warwick Road Totals
M14 6PS M14 6PS M14 6PS M14 6PS M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 5NE M14 5NE M14 5NE M14 5NE M21 0AX M21 0AX M21 0AX M21 0AX
1 1 1 1 1 1 1 Vacant Room 1 1 1 Vacant Room 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 1 1 1 Vacant Room 39
£303.33 £303.33 £303.33 £303.33 £312.00 £312.00 £312.00 ££312.00 £312.00 £312.00 ££325.00 £325.00 £325.00 ££320.00 £320.00 £320.00 £320.00 ££346.66 £346.66 £346.66 £346.66 ££411.66 £411.66 £411.66 £411.66 ££325.00 £294.66 £346.66 £333.66 £404.43 £404.43 £404.43 ££10,886.87
01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017
Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills
Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills
Potential Income PCM £303.33 £303.33 £303.33 £303.33 £312.00 £312.00 £312.00 £275.00 £312.00 £312.00 £312.00 £275.00 £325.00 £325.00 £325.00 £275.00 £320.00 £320.00 £320.00 £320.00 £275.00 £346.66 £346.66 £346.66 £346.66 £275.00 £411.66 £411.66 £411.66 £411.66 £275.00 £325.00 £294.66 £346.66 £333.66 £404.43 £404.43 £404.43 £404.43 £12,941.30
Actual Income PA £14,559.84
Potential Income PA £14,559.84
£11,232.00
£14,532.00
E49
£11,232.00
£14,532.00
D64
£11,700.00
£15,000.00
E50
£15,360.00
£18,660.00
E52
£16,639.68
£19,939.68
E52
£19,759.68
£23,059.68
F36
£15,599.76
£15,599.76
F29
£14,559.48
£19,412.64
E53
£130,642.44
£155,295.60
EPC
Management
Licensing
The properties are direct let with a local letting and managing agent. There is the potential to continue this agreement or otherwise.
None of the properties is required to have a Mandatory HMO License as none is deemed to be a ‘Large HMO’ i.e. rented to five or more people over at least three stories.
Tenure Freehold, subject to tenancies.
The Local Authority has not issued an Article 4 Direction in respect of Additional Licensing.
Energy Performance Certificates
Investment Summary
The Energy Performance Rating of each property is detailed within the Schedule of Accommodation above and each of the certificates is available upon request.
Tenancy Summary Each of the properties is let on Assured Shorthold Tenancy (AST) terms. Each is let for a full 12 month/52 week basis from 1 July 2016 to 30 June 2017. All tenancies have guarantors. Seven of the 39 rooms are currently vacant. These are generally the smaller rooms within each of the properties and are denoted by being shaded grey on the Schedule of Accommodation above. There is the potential to reconfigure the accommodation to increase the size of these rooms or to offer them at reduced rents to achieve full occupancy. The total current rent passing for the 2016/17 academic year is £130,642 and there is potential income, assuming the accommodation is fully let but at the reduced rates for the smaller rooms, of £155,295 for the forthcoming 2017/18 academic year.
Planning All properties have established use as HMOs with a documented Multiple Occupancy letting history.
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Freehold subject to tenancies
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Very good historical occupancy record
g
Passing income of £130,642 p.a.
g
otential to increase the passing rent through letting the smaller rooms at P a reduced rent and also reconfiguration and redecoration
g
otential income for the forthcoming 2017/18 academic year of P approximately £155,295 p.a. with full occupation
g
elatively low passing rents of between £75 - £93 per person per week R with a mean average of £78.50 per person per week
g
Tenancies are based on full 52 week terms
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rime location in Fallowfield where the University of Manchester P Fallowfield campus is based and in close proximity to Manchester Metropolitan University, being only three miles to the north
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ross Initial Yield on passing rent of approximately 6% and Gross Initial G Yield on potential 2017/18 income of approximately 7%
Price Guide of £2,200,000. We are informed that VAT is not applicable.
Manchester Metropolitan University of Manchester
8
Fallowfield Campus
4 5 6 7
9
1 2 3
1. 2. 3.
24 Braemar Road 61 Braemar Road 63 Braemar Road
4. 5. 6.
57 Furness Road 58 Furness Road 59 Furness Road
7. 8. 9.
68 Furness Road 98 Platt Lane 21 Warwick Road
NOTE:- Reproduced from the Ordnance Survey Map with the permission of the Controller of H.M. Stationery Office. © Crown copyright licence number 100022432 Savills (UK) Ltd. NOTE:- Published for the purposes of identification only and although believed to be correct accuracy is not guaranteed.
Further Information and Viewing
Contacts
Further Information is available upon request to include the following:
For further information please contact:
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Sample tenancy
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Tenancy schedule
g
EPCs
g
Additional photographs
Viewing is strictly by appointment with the sole agents Savills.
Michael Donaghy +44 (0) 115 934 8030 [email protected] Berit Rose +44 (0) 161 244 7791 [email protected]
Important Notice Savills, 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. They assume no responsibility for any statement that may be made in these particulars. These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. 2. Any areas, measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. It should not be assumed that the property has all necessary planning, building regulation or other consents and Savills have not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise. Designed and Produced by Savills Marketing: 020 7499 8644 | February 2017
Phil Docherty +44 (0) 115 934 8056 [email protected]
9 HMOs in Fallowfield and Chorlton, Manchester For Sale Freehold
g
8 Houses in Multiple Occupation (HMOs) in prime Fallowfield and 1 in Chorlton, Manchester
g
Potential income of £155,295 p.a. for the forthcoming 2017/18 academic year
g
39 bedrooms across the Portfolio
g
g
Passing rent of £130,642 p.a. for the 2016/17 academic year
Gross Initial Yield on passing rent of approximately 6% and on potential 2017/18 income of 7%
Savills Nottingham Enfield Chambers 18 Low Pavement Nottingham NG1 7DG
+44 (0)115 934 8055 savills.co.uk
Location Located within the prime student accommodation area of Manchester approximately four miles to the south of the Manchester City Centre. The University of Manchester has a campus at Fallowfield. In consequence, the eight properties within the Portfolio located in Fallowfield are let to the student sector of the market. There is one property located within Chorlton, also located to the south of the Manchester City Centre, approximately 2½ miles from Fallowfield. Chorlton is a popular, affluent suburb of Manchester and, in consequence, the Property is let to the professional sector of the market.
University of Manchester and Manchester Metropolitan University The University of Manchester is ranked 32 in The Times Good University Guide 2017. The University is mid way through a £1 billion ten year plan which it hopes will help to secure a place among the top 25 research universities in the world. It is in the top 20 UK universities for research, entry standards and graduate prospects. There are 34,565 full time students at the University across both undergraduates and post graduates, with 8,030 university owned or managed bedrooms. The applications to places ratio is 7.9 to 1. There are 25% non-EU overseas students and 5.5% EU students. Manchester Metropolitan University is located between Fallowfield and Manchester City Centre approximately 3 miles to the north of Fallowfield. Manchester Metropolitan University has a rank of 72 in The Times Good University Guide 2017. Entry standards are still higher than most post1992 universities and it has more than 1,000 courses offered in over 70 subjects, more of them professionally accredited than at any other university, many involving work placements. It has the second largest number of undergraduates in The Times University Table and added nearly 800 students to its intake in 2015. It has 26,175 full time students including both undergraduates and post graduates.
There are 5,237 places in university owned or managed accommodation. The applications per place ratio is 6.7 to 1. Other non-EU overseas students account for 5.8% of the population and EU students account for 2.7%.
The Portfolio The Portfolio comprises nine properties, eight being within Fallowfield and one being within Chorlton. All properties are of a Victorian vernacular, being a mix of two and three storey mid and end terraced dwelling houses which have been converted to provide between four and five bedroom Houses in Multiple Occupation (HMOs). Each of the properties has shared bathroom/shower rooms and living / kitchens. Each of the properties has double glazed UPVC windows and gas fired central heating. A programme of reconfiguration and redecoration is most likely to have the result of increasing the income generated. We provide a Schedule of Accommodation and Income on the following page.
Furniture Pack Each of the properties includes soft furnishings to the living room and a fully fitted kitchen. Each of the bedrooms has principally double beds, a desk and ancillary bedroom furniture.
Services Mains gas, electricity, water, drainage, and telecommunications are all connected. Each of the properties has a gas fired combination boiler providing domestic hot water and central heating to water fed radiators. None of the services has been tested.
Address
Postcode
Tenant
Rent Pcm
Start Date
End Date
Notes
24 Braemar Road 24 Braemar Road 24 Braemar Road 24 Braemar Road 61 Braemar Road 61 Braemar Road 61 Braemar Road 61 Braemar Road 63 Braemar Road 63 Braemar Road 63 Braemar Road 63 Braemar Road 57 Furness Road 57 Furness Road 57 Furness Road 57 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 58 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 59 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 68 Furness Road 98 Platt Lane 98 Platt Lane 98 Platt Lane 98 Platt Lane 21 Warwick Road 21 Warwick Road 21 Warwick Road 21 Warwick Road Totals
M14 6PS M14 6PS M14 6PS M14 6PS M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6PR M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 6LX M14 5NE M14 5NE M14 5NE M14 5NE M21 0AX M21 0AX M21 0AX M21 0AX
1 1 1 1 1 1 1 Vacant Room 1 1 1 Vacant Room 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 Vacant Room 1 1 1 1 1 1 1 Vacant Room 39
£303.33 £303.33 £303.33 £303.33 £312.00 £312.00 £312.00 ££312.00 £312.00 £312.00 ££325.00 £325.00 £325.00 ££320.00 £320.00 £320.00 £320.00 ££346.66 £346.66 £346.66 £346.66 ££411.66 £411.66 £411.66 £411.66 ££325.00 £294.66 £346.66 £333.66 £404.43 £404.43 £404.43 ££10,886.87
01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017
01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016 01/07/2016
30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017 30/06/2017
Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills
Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills Rent Inclusive Of Bills
Potential Income PCM £303.33 £303.33 £303.33 £303.33 £312.00 £312.00 £312.00 £275.00 £312.00 £312.00 £312.00 £275.00 £325.00 £325.00 £325.00 £275.00 £320.00 £320.00 £320.00 £320.00 £275.00 £346.66 £346.66 £346.66 £346.66 £275.00 £411.66 £411.66 £411.66 £411.66 £275.00 £325.00 £294.66 £346.66 £333.66 £404.43 £404.43 £404.43 £404.43 £12,941.30
Actual Income PA £14,559.84
Potential Income PA £14,559.84
£11,232.00
£14,532.00
E49
£11,232.00
£14,532.00
D64
£11,700.00
£15,000.00
E50
£15,360.00
£18,660.00
E52
£16,639.68
£19,939.68
E52
£19,759.68
£23,059.68
F36
£15,599.76
£15,599.76
F29
£14,559.48
£19,412.64
E53
£130,642.44
£155,295.60
EPC
Management
Licensing
The properties are direct let with a local letting and managing agent. There is the potential to continue this agreement or otherwise.
None of the properties is required to have a Mandatory HMO License as none is deemed to be a ‘Large HMO’ i.e. rented to five or more people over at least three stories.
Tenure Freehold, subject to tenancies.
The Local Authority has not issued an Article 4 Direction in respect of Additional Licensing.
Energy Performance Certificates
Investment Summary
The Energy Performance Rating of each property is detailed within the Schedule of Accommodation above and each of the certificates is available upon request.
Tenancy Summary Each of the properties is let on Assured Shorthold Tenancy (AST) terms. Each is let for a full 12 month/52 week basis from 1 July 2016 to 30 June 2017. All tenancies have guarantors. Seven of the 39 rooms are currently vacant. These are generally the smaller rooms within each of the properties and are denoted by being shaded grey on the Schedule of Accommodation above. There is the potential to reconfigure the accommodation to increase the size of these rooms or to offer them at reduced rents to achieve full occupancy. The total current rent passing for the 2016/17 academic year is £130,642 and there is potential income, assuming the accommodation is fully let but at the reduced rates for the smaller rooms, of £155,295 for the forthcoming 2017/18 academic year.
Planning All properties have established use as HMOs with a documented Multiple Occupancy letting history.
g
Freehold subject to tenancies
g
Very good historical occupancy record
g
Passing income of £130,642 p.a.
g
otential to increase the passing rent through letting the smaller rooms at P a reduced rent and also reconfiguration and redecoration
g
otential income for the forthcoming 2017/18 academic year of P approximately £155,295 p.a. with full occupation
g
elatively low passing rents of between £75 - £93 per person per week R with a mean average of £78.50 per person per week
g
Tenancies are based on full 52 week terms
g
rime location in Fallowfield where the University of Manchester P Fallowfield campus is based and in close proximity to Manchester Metropolitan University, being only three miles to the north
g
ross Initial Yield on passing rent of approximately 6% and Gross Initial G Yield on potential 2017/18 income of approximately 7%
Price Guide of £2,200,000. We are informed that VAT is not applicable.
Manchester Metropolitan University of Manchester
8
Fallowfield Campus
4 5 6 7
9
1 2 3
1. 2. 3.
24 Braemar Road 61 Braemar Road 63 Braemar Road
4. 5. 6.
57 Furness Road 58 Furness Road 59 Furness Road
7. 8. 9.
68 Furness Road 98 Platt Lane 21 Warwick Road
NOTE:- Reproduced from the Ordnance Survey Map with the permission of the Controller of H.M. Stationery Office. © Crown copyright licence number 100022432 Savills (UK) Ltd. NOTE:- Published for the purposes of identification only and although believed to be correct accuracy is not guaranteed.
Further Information and Viewing
Contacts
Further Information is available upon request to include the following:
For further information please contact:
g
Sample tenancy
g
Tenancy schedule
g
EPCs
g
Additional photographs
Viewing is strictly by appointment with the sole agents Savills.
Michael Donaghy +44 (0) 115 934 8030 [email protected] Berit Rose +44 (0) 161 244 7791 [email protected]
Important Notice Savills, 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. They assume no responsibility for any statement that may be made in these particulars. These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. 2. Any areas, measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. It should not be assumed that the property has all necessary planning, building regulation or other consents and Savills have not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise. Designed and Produced by Savills Marketing: 020 7499 8644 | February 2017
Phil Docherty +44 (0) 115 934 8056 [email protected]
