Investors paid 25.60p per share in the New Listing for this property, and it became available on the Resale market May 22nd 2015.
We believe that Thamesmead and this property have a compelling investment case underpinned by three factors:
- The £305m regeneration project and planned transformation of Thamesmead over the next 15 years. This is one of the country’s largest regeneration projects and ought to have a significant impact on long-term prospects.
- The benefit of access to Crossrail stations at Woolwich and Abbey Wood in 2018. The decrease in journey times to central London is expected to have an impact on local GDP, which is a key driver of house prices.
- Our property’s favourable location at the heart of local regeneration plans and proximity to multiple transport links.
Read more on the investment case here.
Property Partner does not provide advice and nothing in this Overview should be construed as investment or tax advice. The information which appears in this Overview is for general information purposes only and does not constitute specific advice.
The house was acquired vacant and requires slight cosmetic works. The Chartered Surveyor’s Report identified only two issues. These were the replacement of waterproofing roof flashings and the likely need to replace the boiler within the next three years. We made a provision of £6,200 for these works and for any furnishings.
The total rent forecast is £14,400 per annum. At this level of rent, Gross Rental Yield is 5.05% and the forecast Dividend Yield 3.44% (fully accounting for purchase costs, furnishings, remedial cosmetic works, forecast maintenance, annual voids, corporate taxation and all fees). From April 2016 UK taxpayers are entitled to a £5,000 annual dividend allowance. See our FAQs here for more information.
Due to over performance against historic provisions, there is surplus cash within the SPV. This is being returned to investors through the dividend over the remainder of the 5 year term. In the "Financials" section below, under "Rental Income Breakdown", we have shown the impact of returning this cash as a negative number in the "Property Insurance" line (presentation within Property Insurance is a temporary measure whilst our platform is updated to add a new descriptor).
For prudence, we haven’t included any growth in rental values in our forecasts. However, it is worth noting that Savills forecast rental growth for London (excluding ‘prime’ central London markets) of 29.5% over the next five years.
This transaction was approved by our RICS qualified Director of Property.
A two-story semi-detached house with a separate living room, kitchen and WC, on the ground floor. The second floor contains the two bedrooms and a family bathroom.
The property includes a rear garden.
- Share Valuation
- House Price Index
- Rental Income Breakdown
- Latest Valuation
- Latest Share Valuation
- Latest Property Value
- Amortised Purchase Costs
- Deferred Tax
- - £5,529
- Latest Valuation
Note: The estimates provided do not constitute valuation advice; it remains your responsibility to determine valuation.
The HPI is an official statistic that captures changes in the value of residential properties across England and Wales. It is published by the Land Registry, which is a UK government organisation.
Note: Past performance is not a reliable indicator of future results.
Residential property investment is a total returns product. This information is the income component only. Increasing capital values have historically driven most of the return.
- Gross Rent per year (E)
- Service Charges
- - £0
- Gross Rental Revenue
- = £14,400
- Gross Rental Yield
- - £4,333
- Letting and Management
- Property Insurance
- Allowance for possible voids
- Maintenance Allowance
- Corporation Tax
- Dividends per year
- = £10,067
- Dividend Yield
Note: UK taxpayers are currently entitled to a £5,000 annual dividend allowance. This means that the total income related tax you pay is no greater than if you were to own the property directly. Gross rent and dividends may be lower than estimated. Tax treatment depends on individual circumstances and may be subject to change in future. See FAQs for more information on taxation. The Dividend Yield assumes an investment at the Latest Valuation.
37, Kentlea Road, Thamesmead, London, SE28 0JX,