Excellent opportunity to enter this lucrative market with instant equity & great returns

Crown Place - Citygate

Crown Place is an exciting new opportunity located within a short walk of the area known as "the learning quarter" home to the main campuses of both Bradford University and Bradford College. It also conveniently located for shops and a supermarket which are also within a short walk. The development is also linked by a regular bus route to the city centre and its transport interchange. Crown Place will offer investors a fully managed "hands off" investment with a minimum return for 30 years.

The properties have been subject to a recent RICS valuation and are offered at  approximately 25% below this valuation. Investors can reserve for as little as £2,000 and take advantage of the 60% non status finance available on this project. For a total cash investment of just £22,000, investors can achieve  yields of over 11% and a return on investment of  almost 28%. The developer will pay the VAT  for this project saving the purchaser almost £10,000 and investors can be reassured that their deposits will be protected by an insurance company. A minimum return deed for 30 years is offered to support this investment, offering the purchaser a minimum return, however if the studios  exceed this and achieves the expected returns then it is the higher level of income, that the investor will receive. We are advised that this project is SIPP positive although approval will be required from the the investors SIPP company.

Bradford's student population is varied and diverse with over 110 countries represented. Over a fifth of the student population is made up of overseas students who have a high expectation of the standard of the accommodation that they will utilise. Crown Place will offer these students a high standard of accommodation offering excellent room specification, in addition to excellent facilities such as the cafe, in a ideal location centrally located for local amenities and attractions.

The development is an apart hotel style accommodation to students and those seeking low cost accommodation. The building will consist of five floors all which have the  same layout. The rooms will all be connected to Wi Fi Internet and will offer the residents a double bed  with fitted wardrobe and en-suite bathroom in addition to a workstation/ study area kitchenette and sitting area with TV.

Why are these properties needed? The domestic intake of students is increasing year on year as a result of the record exam results and a culture shift towards higher education. There is additional demand from emerging economies and EU accession states. Among the universities there is extreme competition to attract students. Accommodation or rather  the provision of modern accommodation of the right caliber in prime locations, within easy access of the universities is an important strategic part of the universities marketing plan.

There is a student population of 2.2 million for the 170 higher education institutions in the UK. There is however currently an insufficient supply of suitable accommodation with only 23% of the current demand being met  by university maintained properties. The accommodation currently provided by the universities tends to be dated and not fit for the demands and needs of the modern day student. The universities funding is currently directed to teaching and research, property refurbishment or acquisition is not a priority for these institutions.

The private sector including schemes such as this are therefore working with the universities to help them provide properties of the right quality with the correct facilities to satisfy the demand that the market created. This accommodation enjoys excellent occupancy rates with a low level of debts as the students are paying the rent in advance. Student housing is reported to be the single largest untapped real estate market in Western Europe.