11:57 AM, 19th July 2018, About 3 years ago 1
We have just sold several buy to lets we have had for a long time. We are looking at re-investing with minimum hassle running of the investment
There are plenty of schemes around which get you to buy a student pod or a room in a hotel, or even a parking place. Some of them “guarantee” a fixed rate of return. Almost none give a means of cash in other than sale in the market place
Assuming they can deliver the returns, there is the question: will there be a market for these now or in the future? if so what will their value be?
I suggest they will be short term gain long term pain.
Remember time share anyone?
So have I got a potential solution? Yes. Basically, buy shares in a company which owns or acquires the whole property which will run the development and have a shareholder agreement to sell after, say, ten years. In the meantime, the shareholders get dividends.
I would like to invest in student property on this basis.
Quite a lot of student property does not allow borrowing (probably because of lenders not being willing to lend or the mortgages reducing the freeholders value)
Here the company could borrow with a mortgage on the whole property if required.
What views do investors have?
Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.
Advice and implementation provided by a practising Barrister-At-Law with £10,000,000 of Professional Indemnity InsuranceBook Now
|“Account”||means an account required to access and/or use certain areas and features of Our Site;|
|“Cookie”||means a small text file placed on your computer or device by Our Site when you visit certain parts of Our Site and/or when you use certain features of Our Site. Details of the Cookies used by Our Site are set out in section 13, below;|
|“Cookie Law”||means the relevant parts of the Privacy and Electronic Communications (EC Directive) Regulations 2003;|
|“personal data”||means any and all data that relates to an identifiable person who can be directly or indirectly identified from that data. In this case, it means personal data that you give to Us via Our Site. This definition shall, where applicable, incorporate the definitions provided in the EU Regulation 2016/679 – the General Data Protection Regulation (“GDPR”); and|
|“We/Us/Our”||Means Property118 Ltd , a limited company registered in England under company number 10295964, whose registered address is 1st Floor, Woburn House, 84 St Benedicts Street, Norwich, NR2 4AB.|
|Name of Cookie||Purpose||Strictly Necessary|
|JSESSIONID||Used only to collect performance data, with any identifiable data obfuscated||No|
|__cfduid||This cookie is strictly necessary for Cloudflare's security features and cannot be turned off.||Yes|
|Name of Cookie||First / Third Party||Provider||Purpose|
|__utma, __utmb, __utmc, __utmt, __utmz||First||Helps to understand how their visitors engage with our website|
|_fbp||First||Helps to understand how their visitors engage with our website|