student accommodation investment in Manchester, with 10% net yield guaranteed, profitable exit strategy and fully managed

Riverside House, Manchester

Principal International are delighted to offer investors the chance to invest in student accommodation in a city that is home to one of Europe’s largest student populations.

Located in the vibrant city of Manchester, Riverside House offers investors a superb opportunity to achieve excellent yields of 10% and above. The rental guarantee of 10% is offered for the first year whilst the project is established.

Priced at just £48,600, these modern en-suite student rooms are fully furnished and will be managed by a professional national operator. Should investors wish, they can take up the option of a buy back at year 5 when they will receive a 10% profit on the purchase price.

Work has already commenced on-site on the 1st October 2012 and investors' deposits will be protected for the duration of the build by deposit insurance. Rooms are sold on a 125-year leasehold tenure similar to an apartment.

Location is always important and Riverside House enjoys a central riverside location in the city, ideally located just 1.2 miles from the University of Salford, less than 1 mile from Manchester city centre and just a short journey from the University of Manchester and Manchester Metropolitan University.

Riverside House will offer a range of facilities making it extremely attractive to students, including on-site laundry, riverside restaurant and bar and the developer also has plans for a possible mini cinema, gymnasium/spa in an adjacent building. Students will also have access to high-speed broadband, which is essential for study and also access to satellite television. Riverside House will incorporate a communal kitchen and common room for every cluster of 3-7 rooms in addition to these excellent communal facilities.

The student rentals will be fully managed by a national letting agent who specialises in student property managing the rental, providing investors with a passive hands off investment.

Manchester has the largest student population in Europe with over 100,000 students, representative of 20% of its total population. Manchester is the third most visited city in the UK by foreign visitors, after London and Edinburgh and the most visited in England outside London. The city is renowned for its culture, music scene, scientific and engineering output, media links and sporting connections, which is extremely attractive to students.

The University of Salford has approximately 35,000 students of which 21% are from overseas. The university has limited accommodation and have stated that they have an immediate requirement for 2,000 student bedrooms to meet demand.

The University of Salford is at the centre of a £650m regeneration scheme and close by to MediaCityUK, the new home of the BBC. The university has a presence at MediaCityUK and works closely with the BBC and other digital and creative industries, with the university’s students helping to shape the future of the media sector in the UK, providing a unique opportunity for those studying at Salford.

The University of Manchester has a large student body of approximately 39,732 students, attracting 58,000 applications in 2011, making it the largest single site university in the UK and has an outstanding international reputation, with around 21% of its students originating from overseas. The university is currently undertaking the largest ever investment programme for a UK higher education facility, with over £400 million invested to-date, with plans for a further £250 million to be invested by 2015.

Availability is strictly limited, therefore investors are advised to act promptly to avoid disappointment.