Type of constructionBrick-built / Completely renovated building
Distances
Airport72 km to
Food shop3 km
Bus stop500 m
Closest town - 8 km
Rental income features
Rental demand in the areaHigh,Short-term rental
Who will rentLocal people,Tourists
Unit finishing in order to rentFully-furnished
Rental managementIn-house management company
Rental management fee0%
Annual rental income8% guaranted for 5 years
Exit strategy
Easy exitHigh demand - very easy
Resale management/consultant Local estate agent
Who will buy Foreign buyers, Local people
*Please note that exit or resale of property depends on market conditions.
Unit/apartment features
FurnishingFully furnished
Facilities in the complex/building
CommunalGarden, Lobby, Reception desk
CommercialBar, Restaurant
Additional purchasing costs
These additional costs include the following, among others:
Lawyer fees£1,100
Capital appreciation (p.a.)
Expected price increase of the property* 8% net return p/a of the purchase price
*Quote is based on historic facts, market analysis and monitoring of local trends on the market. *Resale price is fully depending on market conditions. Resale price is not guaranteed.
Buy-back options
Buy-back options Developer buy-back guranteed in year 5 at 115% of initial price
Hotel with history set on a bank of a river in a tranquil countryside
Fantastic wedding venue and facilities
Acclaimed riverside restaurant with high quality food
Trusted UK developer & Europe’s leading hotel management company
8% assured return per annum & 115% buy-back at the end of year 5
Rental income paid monthly from Day 1
Hands-off investment. Zero ownership fees
Successful business with established customer base
Dynamic UK hotel market with huge growth potential
We present you a rare opportunity to generate a secure 5 year fixed return via the purchase of a hotel room asset in a boutique 18th century traditional coaching inn.
Leasehold owners of the hotel rooms shall benefit from a fixed income stream equal to 8% net p.a. of their purchase price. Income will be paid monthly in arrears as a net figure, no additional costs or fees shall be placed on the leaseholders.
Location
This traditional coaching inn is set in the tranquil roman village of Piercebridge in Darlington, on the border of Yorkshire and Durham, in one of the UK's most attractive countryside with historic castles and gardens. The property lies on the bank of the River Tees.
County Durham and Darlington lies at the heart of a region whose history has helped shape the British nation. It is a region of great natural beauty, historic battlefields, castles and cathedrals. Darlington and Bishop Auckland are historic market towns and Durham's Norman Cathedral, included on the World Heritage list, provides a magnificent backdrop for a city of winding streets, picturesque walks and stunning views.
Nearby towns:
Darlington Town – 5 Miles/ 8 km (12 mins)
Bishop Auckland – 10 miles/ 16 km – (20 mins)
Durham – 20 Miles/ 32 km – (30 mins)
Middleborough – 22 Miles/ 34 km (35 mins)
Places to visit:
Roman Bridge – 0.1 Miles/ 160 m (1 min)
River Tees – 7 Miles/ 11 km – (13 mins)
Raby Castle - 8 Miles/ 12 km (14 mins)
About the hotel
This boutique traditional coaching inn features 32 bedrooms, bar, restaurant and function rooms including a wonderful ballroom. Several of the bedrooms and function rooms have views of the river Tees.
There are open fireplaces in the bar inside the centuries-old building and all-day menu in the riverside restaurant. There are locally-sourced, fresh ingredients on the menu. During the spring and summer months’ food is served alfresco on the riverside terrace.
5 out of 5 stars "We went to this hotel for a New Year's Eve meal and it was excellent. The service was efficient and the staff pleasant but it was the quality of the meal which made the night. We have been here a few times in the last month and the quality of the food has been consistently high", January 2016
4 out of 5 stars “Party of six for lunch. Hot sandwiches, game pie and crab linguine all served hot and with great service. A lot of history in this traditional inn. The landlord was more than happy to show the old ball room which is being refurbished. Time Team finds are on display and the place is roomy and comfortable. The onion rings are amazing. Great food”, April, 2016
Wedding facilities
The hotel holds a civil ceremonies license so couples can take their vows overlooking the stunning gardens and the River Tees. The Grand Ballroom with sweeping staircase has its own bar facility and can accommodate up to 200 guests for a civil ceremony and wedding breakfast and up to 250 for evening celebrations. The stylish Pavilion Room with its light and airy surroundings is perfect for more intimate weddings, accommodating 70 guests for a civil ceremony and up to 100 guests in the evening. The professional, friendly and experienced team aims to delight in looking after guests. There is a choice of function rooms to cater for different sizes and styles of wedding.
Huge market with growth potential
Today’s UK hotel market is worth £40 billion and is set to grow in 2016 with independent analysis forecasting continued growth of branded hotels at the expense of independents. This is a situation that inevitably favours larger organizations with established infrastructure and the ability to enjoy the benefits of economies of scale. Visit Britain predicts that there will be a 2.5% growth in international tourist arrivals to 35.1m in 2016. Expenditure is also forecast to grow by 4.5%, or £1bn in cash terms, to £22bn. This will be a new record for the tourism industry.
Location (exact)
This is the exact location of the property development.
Gallery
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The ownership model is simple yet effective. Its hands-off format enables you to enjoy regular
payments directly to your bank account every month. At the end of year 5 your capital shall be
repaid in full, equating to a 55% net return on investment.
5 YEAR PROJECTION
Initial Investment - £65,000
Annual Rental Income - £5,200
Monthly Income - £433
Total 5 Year Income - £26,000
Buyback Uplift - £9,750
TOTAL RETURN - £35,750
Legal information
On legal completion of the purchase the documents to be signed are:
The Main Lease (125 years)
Sub Lease (5 years)
Call Option
Put Option
Pre-emption Agreement
The Main Lease is for 125 years and details the investor’s legal ownership of their unit(s) which is registered at The UK Land Registry.
The Sub Lease is for a period of 5 years and provides the investor with an 8% net return per annum on the purchase price in the form of rental income.
The Put Option provides that at the end of year 5 the investor can serve notice on the developer to buy the unit(s) back for an amount equal to the original purchase price plus a 15% capital uplift (115%).
The Call Option provides that the developer can serve notice on the investor to buy the unit(s) back from them at any time during the first 5 years for an amount equal to the original purchase price plus a 15% capital uplift (115%).
Note: The Put Option relates to the investor and the Call Option relates to the Developer.
The parties enter into a Pre-emption Agreement which means that the developer has the first option (first refusal) over any sale of the unit(s) within the development.
25% of the purchase price is payable on exchange of contracts. These monies are held as stakeholder by the seller’s solicitor to protect the deposit and will only be released on completion of the purchase of the unit(s).
FAQ
Is the hotel open?
Yes, the hotel is trading and operational.
Am I buying a freehold or leasehold?
You are buying a 125 year leasehold, with the room being registered in your name at the UK Land Registry.
Is the sale handled by a solicitor?
Yes, an experienced nominated solicitor will advise and act for you throughout your purchase.
Can I re-sell my hotel room?
Yes, you can sell at any given time.
Can I rent my hotel room out myself?
No, your room is leased back to the hotel management company who control the day to day activities.
What are the ongoing costs?
There are no ongoing costs after completion.
What are my annual returns?
All units receive the same level of return which is equal to 8% p.a. of the purchase price.
How do I reserve a Unit?
All units are subject to availability, if you would like to reserve a unit we require a reservation deposit of £2,500 along with a signed reservation agreement which we will forward to you.
Are there floor plans available?
Yes.
Is VAT applicable on the purchase of my unit?
VAT is payable in the first instance, but it is possible to make your purchase through a structure that
enables you to claim VAT back post purchase. Further information available on request.
Why invest in hotel room?
Hotel room investments are one of the newest and hottest products on the global property market. Part commercial property investment, part residential property investment, hotel room investment is one of the fastest growing forms of investment, here's why.
Hands-Free Investment
Hotel rooms are the perfect investment, you invest in a room (or rooms) and sit back and collect the income. Normally when you read things like that it is too good to be true, but not in this. The room becomes part of the hotel stock, it is serviced and managed as part of the hotel. Depending on the term of the investment there are usually incremental refurbishments, again, this is simply because the room is taken care of with the rest of the hotel.
Ease, Accessibility
Investing in hotel rooms makes hotel investment accessible to the masses. The hotel industry is one of the biggest and fastest growing industries in the world; all the smart global funds and large investment companies are increasing their exposure to hotels - there are even hotel investment funds. Many private investors don't like investing in funds, they like to keep control of their own investments, but short of buying a hotel they are stumped. Now, they can invest in a hotel room.
Guaranteed Rental Yield
All hotel investments deals of the Developer come with a guaranteed rental yield. This takes another layer of risk away from the investment, and makes calculating return on investment easier for the investor.
Low Risk
Investing in a hotel room tends to be one of the lowest risk investments out there. When you are investing into a globally recognised brand, further, into an established hotel under an established brand, you can see why it would be a low risk investment.
Guaranteed Buy Back
All hotel investments of the Developer come with a guaranteed buyback offer.
Contacts
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The marker on the map is indicating the exact location of the development.