The UK has a rising elderly population and the demand for care is set to increase by 150% over the next 4 years (OFT).
The UK’s care sector can provide higher than average returns when compared to more traditional asset classes.
A specialist advisor will be appointed to manage your unit to ensure that you receive “hands-free” returns.
An excellent opportunity has arisen to invest in a residential care home located in the south west of England. Located in the affluent town of Martock in quintessential English countryside, Hurst Manor is a splendid example of typical grand British architecture faced in fine local ham stone ashlar with Welsh slate hipped roofs. The property has been acquired vacant by the developers, and will now undergo sympathetic refurbishment to offer residents a luxurious environment in which to spend their twilight years.
Hurst Manor boasts purpose-built units furnished to the highest specification and superior care for a premium fee. The care home mainly attracts self-funding users, which has proven to be most profitable.
Due to Hurst Manor’s location in an affluent town and luxurious appeal, it generally attracts a higher proportion of fee-paying residents. According to recent research by Knight Frank, care homes with a higher percentage of fee-paying residents are more profitable which means this is a secure investment.
In the UK, the residential care home industry is currently worth 15.9 billion GBP and is running at full capacity. The National Health Service is struggling to cope with the increasing number of citizens that are requiring their services, and as a result, relies on third party care providers to bridge the gap.
Between 2012 and 2032 the number of over 85s (the main demographic that requires the use of care homes) is expected to soar by 106%, and those who will require care needs will increase by 60%. Since the National Health Service is struggling to cope with the increasing pressure on its services, it relies on private investors to provide fit-for-purpose, modern care facilities. This has now led to care home investments being some of the most lucrative around, as investors are providing a much needed service to the community.
|
Purchase Price |
£98,000 |
|
10 year lease @10% |
£9800 |
|
Monthly Net Income Paid |
£816.67 |
|
125% buyback @ year 10 |
£122500 |
