Since we began working in the student property investment sector we have seen many developers and agents come and go. Normally those with a shorter-term approach to business, looking to profit quickly from any investor excited by the latest “buzzword” in the industry. This blog is testament to the fact that once again, Fresh Invest have delivered a great investment for one of our valued clients and…. We have more on the horizon!
Our approach to property investment has always been the same and we stand by it, which is why we are still in this market after 10 successful years. We believe in supplying property, which is either genuinely below market values assessed by ourselves, or RICS professionals, and providing strong and consistent yields in good locations. We only sell products that we would invest into ourselves and often do! In fact, we wish we invested in this last one…
We have worked with a developer in Liverpool recently to bring to market a development of 16 studio apartments, which were all sold off-plan to one purchaser. When the developer originally bought this investment to us, he had been advertising with another agent for a short while but was unhappy that they had sold none of the units on the current structure. We restructured the deal to make it both more secure and more appealing. Through our own due diligence, we found an appropriate market rent where we could be confident in 100% occupancy. We then worked this back to a NET yield of 10% which would be attractive in the investor market. We had a sale agreed on the property for all 16 units within 1 day of marketing!
Since agreeing the sale we have remained part of the process, helping with construction updates, chasing various parties when necessary, helping the buyer obtain a mortgage through our trusted broker and liaising with a local letting agent who are actively marketing the units. The local agents are actually marketing the units at prices higher than we originally accounted for and are getting a huge amount of interest. Due for completion in the next couple of weeks, the property, when fully tenanted, will provide our client with a return on his invested cash of over 25% per year!
This is just another example of the service we provide to both investor and developer, working with both parties to make sure everyone is getting the best out of every development.
Fresh Invest look forward to working with all parties again in the near future.
Developer or investor? Give us a call to see how we can help 01243 527327
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