Student Investment Opportunity providing 177 rooms with two excellently located purpose built blocks.
100% let2016/17 Rental Gauruntee AvailableSpecificationMoss Court provides 108 student rooms within 28 2, 3 and 4 bedroom apartments. The specification summarises as follows:
-Electric panel heaters
-Shared fully fitted contemporary kitchens incorporating; electric fan oven, electric ceramic hob, extractor fan, microwave, washing machine and fridge/freezer unit.
-Shared bathroom facilities within each apartment incorporating; a bath/shower, toilet and washbasin.
-Fully furnished bedrooms including; desk, office chair, blend of size and double beds, bedside table, chest of drawers and wardrobe.
-Each apartment has its own electric boiler.
-27 secure surface level car parking spaces.
City Edge provides 69 student rooms in 21 3 and 4 bedroom apartments across three self-contained purpose built residential blocks.The specification summarises as follows:
-Electric panel heaters
-Shared fully fitted contemporary kitchens incorporating; electric fan over, electric ceramic hob, extractor fan, microwave, washing machine and built in fridge freezer unit.
-Shared bathroom facilities within each apartment incorporating; a shower, toilet and washbasin.
-Fully furnished bedrooms including; desk, office chair, blend of size and double beds, bedside table, chest of drawers and wardrobe.
-Video intercom system.
-Each apartment has its own electric boiler.
-20 secure surface level car parking spaces.AvailabilityWe are instructed to sell the Freehold interests of both assets.TermsWe are instructed to seek offers in excess of 10,800,000 (Ten Million Eight Hundred Thousand Pounds). Based on September 2016 rental income a purchase at this level reflects an attractive gross yield of 9.12% and a net yield of 6.70% (based on the existing running costs of 1,500 per bed -26.50%). Based on a 10 year hold we expect an attractive IRR in the region of 10.70%.
We have assumed stamp duty at 1% based on multiple dwelling relief. Any interested parties should satisfy themselves of the SDLT payable.
ViewingsAvailable upon request.Tenancy and OccupationBoth Moss Court and City Edge are both 100% let and have strong historic occupancy levels. The flats are let on an all inclusive basis which includes water, electricity and broadband.
Moss Court currently provides a Gross Income of 506,172 per annum. The units are all let on 48 week contracts with the average rent reflected at 98 per week. City Edge currently provides a Gross Income of 399,252 annum. The units are all let on 48 week contracts running from 1st September to 31st July with the average rent reflected at 110 per week.
Lettings for the 2016/17 academic year have commenced. The rents being achieved have grown with bookings at Moss Court reflected at around 112 per week and at City Edge 120 per week. The anticipated gross rents from September 2016 are therefore 578,160 per annum and 434,520 per annum for Moss Court and City Edge respectively and 1,012,680 per annum combined.
Location
College View, Flat 1, Moss Court, Moss Lane East, Manchester, M14 4PQ, Lancashire,
Moss Court, Moss Lane East, M14 4PQ
-Superb student location within a short walking distance of the University of Manchester Campus and the Royal Manchester Childrens Hospital.
-An abundance of local amenity with Lidl, Superdrug, Morrisons Local, Tesco, Poundland and Subway all within a 5 minute walk.
-Extremely well connected and benefiting from one of Europes busiest bus routes situated along Oxford Road just 200m from the property.
-Bus links to Manchester City Centre take approximately 20 minutes and this is soon to improve following the completion of the planned bus improvement works to Oxford Road.
-Oxford Road Train Station is easily accessible by public transport and links with Manchester Piccadilly Train Station to the east.
City Edge, 30 Ardwick Green East, M13 9XE
-Excellently located approximately 0.5 miles from Oxford Road, The University of Manchesters Campus and The Royal Northern College of Music.
-No shortage of nearby amenity with Starbucks, Costa, Tesco and the Student Union all located along the Oxford Road corridor.
-Manchester City Centre is just 10 minute walk north of the property along the A6, which forms one of the main arterial routes serving the city centre.
-The property is superbly connected with Manchester Piccadilly Train Station to the north and no shortage of bus links via Oxford Road.
-Nearby leisure offerings include the Manchester Aquatics Centre, Sugden Sports Centre and The 02 Apollo which forms one of Manchesters most established music venues