Purpose Built Student Accommodation // Prime City Centre Location // 46 beds // Fully Let for 2019/20 Academic Year // £306,210 Gross Income
Situation
St James View is centrally located in the city being adjacent to St James Park, home of Newcastle United Football Club. The property is less than a 5 minute walk from Newcastle University s state of the art Business School on Barrack Road as well the Newcastle Helix development off St James Boulevard, which is being led by a partnership between Newcastle City Council , Newcastle University and Legal and General. Newcastle Helix is the City s flagship development and is the only city centre quarter of its kind in the UK. When fully developed, hundreds of researchers, businesses and progressive homeowners will live and work side by side, close to food, drink and entertainment venues and areas of public realm.The main Newcastle University and Northumbria University campuses are a 5 minute and 10 minute walk respectively. St James Park metro station is a one minute walk from the property, with Haymarket Bus Station less than a 5 minute walk. The property is located in a popular student rental area with other PBSA providers such as Vita and Student Roost nearby and offers a more affordable alternative whilst remaining a premium offering.
Description
The property was fully developed in 2017 and consists of an end-terraced steel portal frame building with heritage designed cavity brickwork elevations incorporating aluminium framed double glazed windows. The front elevation is curved which adds interest to the design.Access is via a set of Biometric security controlled pedestrian doors off St James Street. To the ground floor is a restaurant unit which has separate access off Strawberry Place. To the rear of the property there is a shared private road which provides access to a covered bin storage area.The residential accommodation contains 46 beds in total and is arranged over 7 floors, comprising: 2 x 4 bed apartments to floors 1, 2, 3 & 4 2 x 5 bed apartment to floors 5 and 6 2 x studio apartments to floors 5 and 6. Each bedroom benefits from a premium en-suite shower room whilst each apartment comprises a lounge and fully integrated kitchen. The studio apartments contain a galley kitchen area.Specification includes: High quality kitchen fittings includingsoft closers to doors/drawers, halogen hobs, composite sink units and brushed steel switch plates. Shower rooms comprising wet wall systems to the shower cubicles with premier mixer shower units Heating via electric wall hung panel radiators with upgraded heaters to the lounge/kitchen. Building wide air circulation/air extraction unit. Superfast 250mb broadband via 5G data cabling USB charging points to each room. Security via CCTV as well as Biometric entry system. Upgraded acoustic flooring installed between the ground floor retail unit
Premier Warranty
The property benefits from a 10 year Premier Guarantee on the structure for a period of 10 years from 9th November 2017.
Rental Schedule
The property is fully let for the 2019/20 academic year. Rooms are offered fully furnished with each bedroom comprising bespoke fitted furniture. Passing rents are lower than nearby schemes such as Vita Student Newcastle with the vendor having not pushed the rents too hard since completing the development in 2017. As such here is considered to be further growth.
Management Costs
Full details available on request.
Energy Performance Certificates (EPCs)
Available on request.
Tenure
The residential accommodation is freehold. The commercial element on the ground floor is held freehold but subject to a long lease at a peppercorn.
VAT
The owner has opted to tax the whole building however this only applies to the commercial element on the ground floor.We have been advised that the property is held within a Special Purpose Vehicle (SPV) and there may be tax advantages if purchasing the SPV. Prospective purchasers are advised to seek their own specialised advice on the advantages/disadvantages of purchasing an SPV.
Proposal
Offers sought in excess of £3.5million (three million and five hundred thousand pounds) reflecting a gross yield of 8.75%. This equates to a low £76,087 per bed when considered against the quality of finish and location of the property.
Anti-Money Laundering Regulations
In accordance with these regulations, two forms of identification and proof of the source of capital will be required from the successful purchaser.
Purpose Built Student Accommodation // Prime City Centre Location // 46 beds // Fully Let for 2019/20 Academic Year // £306,210 Gross Income
Situation
St James View is centrally located in the city being adjacent to St James Park, home of Newcastle United Football Club. The property is less than a 5 minute walk from Newcastle University s state of the art Business School on Barrack Road as well the Newcastle Helix development off St James Boulevard, which is being led by a partnership between Newcastle City Council , Newcastle University and Legal and General. Newcastle Helix is the City s flagship development and is the only city centre quarter of its kind in the UK. When fully developed, hundreds of researchers, businesses and progressive homeowners will live and work side by side, close to food, drink and entertainment venues and areas of public realm.The main Newcastle University and Northumbria University campuses are a 5 minute and 10 minute walk respectively. St James Park metro station is a one minute walk from the property, with Haymarket Bus Station less than a 5 minute walk. The property is located in a popular student rental area with other PBSA providers such as Vita and Student Roost nearby and offers a more affordable alternative whilst remaining a premium offering.
Description
The property was fully developed in 2017 and consists of an end-terraced steel portal frame building with heritage designed cavity brickwork elevations incorporating aluminium framed double glazed windows. The front elevation is curved which adds interest to the design.Access is via a set of Biometric security controlled pedestrian doors off St James Street. To the ground floor is a restaurant unit which has separate access off Strawberry Place. To the rear of the property there is a shared private road which provides access to a covered bin storage area.The residential accommodation contains 46 beds in total and is arranged over 7 floors, comprising: 2 x 4 bed apartments to floors 1, 2, 3 & 4 2 x 5 bed apartment to floors 5 and 6 2 x studio apartments to floors 5 and 6. Each bedroom benefits from a premium en-suite shower room whilst each apartment comprises a lounge and fully integrated kitchen. The studio apartments contain a galley kitchen area.Specification includes: High quality kitchen fittings includingsoft closers to doors/drawers, halogen hobs, composite sink units and brushed steel switch plates. Shower rooms comprising wet wall systems to the shower cubicles with premier mixer shower units Heating via electric wall hung panel radiators with upgraded heaters to the lounge/kitchen. Building wide air circulation/air extraction unit. Superfast 250mb broadband via 5G data cabling USB charging points to each room. Security via CCTV as well as Biometric entry system. Upgraded acoustic flooring installed between the ground floor retail unit
Premier Warranty
The property benefits from a 10 year Premier Guarantee on the structure for a period of 10 years from 9th November 2017.
Rental Schedule
The property is fully let for the 2019/20 academic year. Rooms are offered fully furnished with each bedroom comprising bespoke fitted furniture. Passing rents are lower than nearby schemes such as Vita Student Newcastle with the vendor having not pushed the rents too hard since completing the development in 2017. As such here is considered to be further growth.
Management Costs
Full details available on request.
Energy Performance Certificates (EPCs)
Available on request.
Tenure
The residential accommodation is freehold. The commercial element on the ground floor is held freehold but subject to a long lease at a peppercorn.
VAT
The owner has opted to tax the whole building however this only applies to the commercial element on the ground floor.We have been advised that the property is held within a Special Purpose Vehicle (SPV) and there may be tax advantages if purchasing the SPV. Prospective purchasers are advised to seek their own specialised advice on the advantages/disadvantages of purchasing an SPV.
Proposal
Offers sought in excess of £3.5million (three million and five hundred thousand pounds) reflecting a gross yield of 8.75%. This equates to a low £76,087 per bed when considered against the quality of finish and location of the property.
Anti-Money Laundering Regulations
In accordance with these regulations, two forms of identification and proof of the source of capital will be required from the successful purchaser.
