Investors
We provide full support for investors requiring legal, furniture package, tenant find and management. This turnkey service combines with a readymade income to deliver as a successful portfolio asset
ROI
Overall Portfolio Total Gross Rent estimated to be £205,200 -280,800 per annum; depending on tenancy contract length
Yields circa 5.7% to 7.26%
1 unit circa £10,260 - £13,068 net income pa
6 units circa £61,560 - £78,408 net income pa
18 units circa £184,680 - £235,224 net income pa
Capital Appreciation
Over a five year period you might anticipate future returns on capital:
1 unit 5% circa £52,000 7.5% circa £82,000
6 units 5% circa £314,000 7.5% circa £496,000
18 units 5% circa £944,000 7.5% circa £1,489,000
The ONS (Office for National Statistics) publishes data for historic capital growth
Rental Income
There are 2 tenant rental options and a tenant wait list for both:
Professional tenant - long tenancy in an unfurnished apartment paying own bills
Institution (National Health Service) - short 3 month tenancy, paid quarterly in advance; fully furnished apartments with all bills included
Tenant Demand
Strong demand versus supply fundamentals:
There is a large teaching hospital where overseas doctors come to live and train to transfer their qualifications to UK compliance generating a need for 3-month furnished lets
There is a significant proportion of highly educated professionals requiring long term rentals and a shortage of high specification apartments
Eastbourne features in the top 5 locations in the UK that Londoners relocated to post pandemic (Hamptons International, 2020)
Eastbourne has the 2nd largest shortage of housing in the UK (National Housing Delivery Test) published annually
Future Outlook
Medium term capital appreciation is supported by strong demand versus supply fundamentals. Short term the revenues derived from property in the form of rents tend to rise with inflation and therefore provide protection from rising prices.