Property Frontiers named Best Large Agent for the third year running at prestigious AIPP Awards

United Kingdom

Last Friday leading international property agency  Property Frontiers was awarded for the third year running the Best Large Agent Multi Country accolade at the esteemed 2012 AIPP Awards held at A Place in the Sun Live, Earls Court, London.

Attended by the best in the industry, the independent awards focus on customer service, reward excellence and professionalism and set new benchmarks for the international property market.

The prestigious award was presented by AIPP Chief Executive Professor Mark Sharp and A Place in the Sun TV presenter, Jonnie Irwin who relayed the judges’ comments on Property Frontiers award entry saying: 

“A very honest entry. Lots of strong detail with a disciplined analysis process should give clients a strong sense of quality and reassurance.  A good aftersales service and an impressive group of business partners.”

Ray Withers, Chief Executive of Property Frontiers remarks,

“I was particularly pleased to see Property Frontiers’ knowledge, professionalism and service recognised once again. Breaking boundaries and embracing new frontiers is at our very core at Property Frontiers and that extends not only to our investment products but the way we do business – acting as responsibly in a largely unregulated market. I feel that this award is a true reflection of this achievement and our dedication to customers service and bringing the best thought through property investments to market. I would like to thank all our staff, partners and of course clients for helping us achieve this great accolade once again.”

Property Frontiers over the past 18 months has launched a number of successful products to market at home and abroad with one of their most successful being the best performing asset class around -student accommodation.

Already on their ninth project, The Paper Mill in Liverpool is set in a superb location between Chinatown and Liverpool One, just minutes from bars, restaurants and the shopping centre. The 19th century former papermill is imposing in its design and will accommodate 104 en-suite student rooms. Impressive for students and investors alike this project affords a 10% NET yield, assured in year 1 with a purchase price of just £48,000.

On the other side of the pond, Property Frontiers welcome to the stage a structured US property bond which allows investors to enjoy fixed returns of up to 17% by investing $50,000 as well as a completely hassle free investment as experts on the ground continuously assess the best properties to invest in across all 50 states. These properties are then acquired, refurbished and subsequently tenanted allowing investors to sit back and enjoy double digit rental yields. This US Property Bond sold out in record time but due to client demand another is due to launch shortly.

I you are thinking of investing in property either in the UK or Overseas why not contact the award winning team at Property Frontiers on +44 (0) 1865 202700 or visit www.propertyfrontiers.com
 

Asian tiger hones in on student accommodation in Liverpool

United Kingdom

As mentioned in Chancellor George Osborne’s speech last week, Chinese investment is currently pouring into Liverpool. Earlier in the year, Osborne explained that the Government is committed to vigorously encouraging the Chinese to invest in the Liverpool city area, where there are "exciting opportunities" for the "Asian tiger" to invest and as the best asset class around, what better than student accommodation?

Ray Withers, Chief Executive of leading property investment agency, Property Frontiers which has successfully marketed nine student accommodation projects in the North West city of Liverpool, comments,

“While Chinese investor interest is currently growing in major regeneration projects in the North West of England such as the Liverpool and Wirral Waters projects, the Liverpool student accommodation sector is attracting particular interest due to its affordable price point and double digit returns.

“At present, Chinese students make up the largest overseas student group in the UK, contributing around £2 billion to the economy. Indeed, British universities are aiming to bring student numbers up to around 900,000 over the next 15 years; a quarter coming from China´s growing middle classes with the hope of generating £11 billion a year in revenue. And, with education being of high importance in Chinese culture and with Britain hosting some of the world’s best universities, Chinese investors are starting to make their mark.”

To further highlight the value the Chinese place on a British education, a Hong Kong businessman made a £20 million donation to King´s College London last week, in the latest wave of contributions by Chinese philanthropists to UK universities.

Withers further explains,

“It is clear that the Chinese place great value on our education system. With the government actively promoting the Liverpool region to China it is only a matter of time before the Chinese make the lucrative link between Liverpool and the student accommodation sector. Liverpool is home to three top universities and with the constant revamp in the city with planned improvements at St John’s shopping centre as well as the recent launch of the £30 million ‘Chrysalis Fund’ to encourage investment in regeneration projects and commercial property across Merseyside, Chinese investors will be flocking in. We have already had interest in our student developments from the Chinese and will be showing a group of investors from Singapore around our Liverpool student projects next month.”

Indeed, Liverpool presents the optimum buy-to-let environment for any investor, reaping significant returns from strong demand. In fact, the Knight Frank Student Property report 2012 identifies that average rents for apartments and en-suite rooms in regions such as Liverpool rose by 4% with total returns of around 10.5% last year.

For global investors looking for the perfect opportunity, new high quality private student housing developments such as The Paper Mill, Liverpool could provide the answer.

As the latest student accommodation development, The Paper Mill offers en-suite student rooms set within a well located refurbished building in central Liverpool from just £48,000.

Comprising 104 en-suite student rooms, The Paper Mill sits within a superior location; situated in the heart of Liverpool, adjacent to Liverpool One shopping centre and offers investors a 10% NET yield assured in year 1.

For more information contact Property Frontiers on +44 (0) 1865 202700 or visit www.propertyfrontiers.com.
 

Derelict to Desirable. Student accommodation drives regeneration of Liverpool’s housing stock

United Kingdom

Over the last decade, Liverpool has gone through an incredible transformation seeing a number of major schemes and projects take place in a bid to improve the local environment and economy. But a new trend of restoring derelict properties into purpose built student accommodation is driving the regeneration of the city’s housing stock further. 

Ray Withers, Chief Executive of leading property investment agency active in Liverpool, Property Frontiers comments,

“Liverpool has undoubtedly suffered from a housing regeneration crisis in recent year. While hundreds of residential properties have sat empty across the city, old derelict commercial buildings too have sat in the shadows waiting to be rejuvenated. Over the last 2 years, our experienced developer partner has capitalized on this opportunity to regenerate a number of derelict iconic buildings in Liverpool, transforming them in purpose built student accommodation which is in high demand.”

Withers continues,

“Indeed, we have been able to secure some amazing properties such as Gradwell Street which was a derelict warehouse and Hatton Garden which was originally a fire station and bring them back to life for the next generation. This has been a gratifying experience in the name of regenerating Liverpool.”

Property Frontiers has successfully marketed numerous student accommodation projects in the city of Liverpool, transforming deserted buildings into modern, comfortable student homes. These include:

Streatlam Towers, Princes Road, Liverpool

Streatlam Towers is a beautiful 19th century listed building located near Liverpool city centre. Previously used as a Christian shelter which then became derelict, Property Frontiers’ developer partner transformed the building’s interior incorporating the latest fixtures and fittings as well as retaining some original features such as the high ceilings, staircases and stained glass windows. 

St Andrew’s, Rodney Street, Liverpool

Situated on Rodney Street backing onto a campus of John Moore’s University, St Andrew’s was previously used as a church that had been derelict for decades. The iconic 19th Century listed building which is now also a heritage site, is being developed into a prestigious student accommodation development thriving with life in the heart of Liverpool.

The Paper Mill, Henry Street, Liverpool

Property Frontiers newest project, The Paper Mill, is a 19th century former paper mill. The building is imposing in its design and affords an enormous entrance door and vaulted atrium. Large enough to accommodate 104 en-suite student rooms, The Paper Mill is set within a prime central Liverpool location costing £48,000 with a 10% NET yield, assured in year 1.

For more information on the regeneration of Liverpool through student accommodation please contact the experts Property Frontiers on +44 (0) 1865 202700 or visit www.propertyfrontiers.com.

 

At the Frontier: New way to invest in the USA, voted top destination for real estate investors

United States

The United States remains the best option for real estate investments this year according to the 2012 annual survey of the members of the Association of Foreign Investors in Real Estate (AFIRE).

The survey, carried out in Q4 2011 discovered that around 60% of respondents, which together hold around $338 billion of real estate in the USA alone, plan to increase their investment in US real estate in 2012, highlighting that investors still regard the ‘land of the free’  as one of the most stable and secure global markets.

Ray Withers, Chief Executive of leading property investment agency, Property Frontiers comments,

“We are firm believers in the current value that can be achieved by investing in the US property market, we at Property Frontiers carried out our own annual Investor Survey and we were not surprised to discover that there still exists an appetite for investment in the USA with investors choosing it as the location they wanted to invest in after the UK.

“In real terms, property prices in the USA today are back to where they were around the turn of the millennium, with prices in some states up to 70% below their 2006 peak and around 50% of current rebuild cost.

“Indeed, property prices have crashed and because of the credit freeze, the rental market is booming. Properties even in good areas can be acquired at huge discounts if you have the right contacts but this window of opportunity will not remain open forever. Increasing investor activity within the foreclosure market is already starting to stabilise prices and in some instances, even rise.”

Based on this high level of interest Property Frontiers have been working hard to find a pioneering new way for investors to enter the lucrative US market.

Withers continues,

“While we remain firm believers in the value that exists in certain states in the USA, the problem for investors up until now has been how they can capitalise and act quickly enough to take advantage of opportunities in the very fast moving US property market however we are very excited to announce that we have found a new solution.

“Using the trustees that administer our hugely successful bamboo bond, our structured US property bond allows people to benefit from the excellent yields in the US property market without the risk or hassle of managing individual buy-to-let properties.”

The US property bond will allow investors to enjoy fixed returns as well as a completely hassle free investment as experts on the ground continuously assess the best properties to invest in across all 50 states. These properties are then acquired, refurbished and subsequently tenanted allowing investors to sit back and enjoy double digit rental yields.

Find out how to enjoy fixed returns of up to 17% by investing $50,000 in Property Frontiers’ US property bond call +44 (0) 1865 202 700 or visit www.propertyfrontiers.com.

Farmland – The new Green Gold of 2012

United Kingdom

As any savvy investor will know, land is the most valuable asset we have. Of the 30% of the Earth’s surface which is land, just over half is used for agriculture however with the global population rising fast, passing the 7 billion marker only last year, and large areas of farmland previously used for food production being transformed into fields of bio fuel crops, the pressure on our food supply is becoming concerning.

Even today’s most prolific philanthropist Bill Gates has turned his attentions to the issue of global food shortages, redistributing funds from his own Gates Foundation to the research, development and protection of agricultural lands and techniques.

Both at macro and micro level, as we all have experienced in our local supermarkets and as stated in the Knight Frank Wealth Report 2011, food and soft commodity prices have hit record highs with UK wheat prices reaching £200 per tonne in 2010. There is simply not enough food being produced to meet demand and with the OECD estimating the production must increase by 70% before 2050 to satisfy global population growth and changing consumption trends, will farmland be new the green gold of 2012?

As a tangible asset, farmland is highly appealing to investors, especially those cautious of volatile stocks, shares and bonds. Not correlated with mainstream asset classes, investment in agricultural land is based simply on supply and demand and similarly to gold, has remained one of the most robust asset classes in recent times.

For years cash-rich and land-poor nations have been purchasing agricultural land in overseas shores such as the US, Australia, Russia and South American nations in order to protect themselves from food scarcity as well as enjoy the lucrative returns. And now this trend has sparked a desire for individual investors to own their slice of farmland be it in the Yorkshire Dales or the Uruguayan interior.

Ray Withers, CEO of international investment agency Property Frontiers, which specialises in alternative asset classes, comments,

“As an investor myself I always consider the fundamental elements of supply and demand behind any investment. Today the pressure we place upon our land is vast and global food shortages are cleanly apparent which suggests to me that investing in high performance agricultural land, in the right location and via the right investment structure would be a wise and ethical choice in 2012.”

For many including Withers, the vast farmlands of South America are the preferred choice for investors due to the productive climate and soils. Politically calm and economically stable nations such as Uruguay have established and productive agricultural lands with foreigners owning up to 25% of food production land.

Opportunities are now abounding in these nations for investors to capitalise on low land prices and the ever growing global demand for food. For more information about investing in farmland, the new green gold, contact the experts at Property Frontiers about their exclusive new investment opportunity on +44 1865 202 700 or visit www.propertyfrontiers.com.
 

UK Student Accommodation leads the returns race outperforming all commercial property classes

United Kingdom

Performing exceptionally well as an asset class compared to traditional investments over the last year, student accommodation in the UK has outperformed every other commercial property class, supplying regular returns throughout the economic crisis according to the latest Knight Frank Student Property Report 2012.

The report highlights that student property returns averaged 11.5% in September 2011 and although slowing from 13.5% in the previous year, still continues to lead the returns race in the market among commercial asset classes thanks to a structural shortage of purpose-built student accommodation in the UK combined with increasing global interest in the UK’s high ranking educational institutions.

With this in mind, the just released Knight Frank report identifies further rental growth in the student accommodation sector this year with James Pullan, head of student property at Knight Frank explaining that while London returns almost doubled to 15.1% in September 2011, taking average total returns to 11.5%, student accommodation in the regions outside of London is also robust with investment in towns which have more than one university along with a high density of students such as Liverpool, being the most lucrative.

In addition Knight Frank highlight that the UK is well placed to take advantage of the growing influx of overseas students into the UK, predicted to double by 2025 thanks to having 5 universities which are ranked in the world´s top 20 universities as well as reduced study costs for international students, derived from the weakness of the pound.

Ray Withers, Chief Executive of leading property investment agency, Property Frontiers which has successfully marketed numerous student accommodation projects in the North West city of Liverpool, comments,

“Home to three leading universities – The University of Liverpool, Liverpool John Moores University and Liverpool Hope University which have seen significant increases in applications over the years along with highly regarded English language schools such as LILA in the heart of Liverpool city centre and cheaper prices than London, Liverpool is one such city that perfectly accommodates the needs of higher education students.

“Liverpool presents the optimum buy-to-let environment for investors who will be able to reap significant returns from strong demand. In fact the Knight Frank Student Property report 2012 identifies that average rents for apartments and en-suite rooms in the regions such as Liverpool rose by 4% with total returns of around 10.5% last year so the benefits speak for themselves.”

With demand continuing to outstrip supply as increasing numbers of students from both home and abroad seek to attend universities in Liverpool, increasing pressure is being placed on the housing supply with the emphasis now on building new high quality private student housing developments such as Gradwell Street, central Liverpool.

As a student accommodation development offering en-suite rooms from only £48,000 with only 8 en-suite units remaining, Gradwell Street, adjacent to Liverpool One Shopping Centre and only minutes from Liverpool Lime Street station offers investors a 10% NET yield – assured in year 1.

At just £2,500 to reserve with only £30,500 to pay in April 2012, Gradwell Street is superior to other projects, combine great value (under £50,000) with larger en-suite luxury facilities right in the heart of the city.

For more information contact Property Frontiers on +44 (0) 1865 202700 or visit www.propertyfrontiers.com.

London hotel market outperforms the rest of the UK according to new study

United Kingdom

According to a new study by STR Global and Whitebridge Hospitality, London hotel profitability over the last 11 years has outperformed the rest of the UK seeing the profit gap between London and regional hotels across Britain widen since 2000.

London hotels between this time and 2010 have experienced a real gross operating profit. Having managed to keep up with inflation according to the study, London hotels have performed better than the rest of the UK which has seen profit margins in regional hotels decline by 11.6% since 2000 with a 6.7% drop in the compound annual growth rate for real gross operating profit over the same period.

While Elizabeth Randell, STR Global managing director suggests that the findings ‘highlight the tougher market conditions for regional UK hotels’, the findings display positive news for the capital where occupancy levels at London hotels have risen from about 82% in 2000 to nearly 85% in 2010.

Meanwhile, the average daily rate (ADR) at London’s hotels increased from £140 back in 2000 to around £145 last year, while by comparison, regional hotels in the UK have experienced a  decline in ADR, from £85 in 2000 to just £70 in 2010.

Ray Withers, Director of property investment experts, Property Frontiers, comments,

“The findings from the study show that London is the best performing player. It is no secret that there is an air of uncertainty surrounding the capital but the overall trend for London has been positive, showing itself as a resilient hotel market while the rest of the UK has found it difficult to manage inflation causing performance losses. With this in mind, the hotel market in London this year has been forecasted at near double digit growth while 2012 is expected to be a record breaking year for the capital with over 5,000 new rooms opened or re-opened in response to growing demand for accommodation thanks to the 2012 Olympic Games and the Queen’s Diamond Jubilee celebrations for example.”

Indeed as demand in London sky rockets next year numerous hotel brands including Holiday Inn Express have been popping up around the city, particularly in east London, fuelled not only by the new Olympic Park but also but the creation of new Special Enterprise Zones including the Royal Albert Dock, launch of Westfield shopping centre in Stratford and expansion of ExCel exhibition centre and London City Airport.

With tourists spending in excess of £9.3 billion a year in the city and a predicted increase in visitor numbers, new hotels in the east of London are a welcome addition with a very rare opportunity having emerged for investors.

Withers explains,

“Affording an enhanced hotel experience, we at Property Frontiers are allowing investors from all over the world a rare opportunity to purchase an asset class seldom accessible to individuals. Holiday Inn Express, London Excel, located at the Royal Albert Dock will allow investors the opportunity to gain affordable entry into the highly sought after, lucrative London market. Indeed, many investors have been previously put off investing in Hotel rooms due to the lack of a viable exit strategy but with this particular development there is a buyback plan at the end of the investment term.”

Priced at 22% below independent RICS valuations and with VAT paid by the developer, saving investors a considerable £25,000, Holiday Inn Express, London Excel welcomes buyers from all over the world with 50% non-status finance upon completion available.

Set over four floors and consisting of two buildings with 204 en suite rooms, investors can purchase a hotel room on a 199 year leasehold for £125,000 and along with an established Holiday Inn Express brand, investors can enjoy a projected 10.5% net income by year 5 as well as a defined exit strategy.

For more information on investing in London hotel market please contact the experts Property Frontiers today on +44 (0) 1865 202 700 or visit www.propertyfrontiers.com.
 

NEW VIDEO: Global Property Predictions – Where to invest in 2012?

United Kingdom

In a world of economic uncertainty and fluctuating markets, investor decisions have become increasingly fragile particularly in the property sector and for this reason, it is important to look upon current trends and utilise market knowledge to assess the future of the global property market in 2012.

In this exclusive video, co-founders of Property Frontiers David Cox and Ray Withers speak of this year’s success stories whilst discussing their property market predictions for 2012 and where they believe the best opportunities for investment will be.

Looking towards 2012, Property Frontiers highlight opportunities within the South East of the UK, focussing on the London market. Here they discuss that while there is an air of uncertainty surrounding the UK property market, investors should focus their attention in high yielding properties where excellent incomes can be generated from the areas of student accommodation, care homes and hotel room investments.

With this in mind, certain parts of the EU are also pinpointed as markets that could well provide opportunities despite the debt crisis and economic turmoil set to continue next year within the eurozone, suggesting that on a property level, opportunities could be born for those who want to invest in second homes in southern Europe, becoming cheaper in sterling terms if the Euro falls. Here they predict that investors should focus more on value rather than growth and propose counties such as Poland as ones to watch in 2012.

While Cox and Withers explain the potential in the USA, one of their favourites from a value perspective thanks to low prices and good yields, they also forecast growth in some emerging markets next year. They explain that wealth will continue to move east with many Eastern European nations affording young working populations and stressed the Istanbul property market as a sector that will propose good investment potential next year as it still has strong fundamentals and strong growth.

Finally, given the success of the alternative investment sector in 2011, generating around 50% of Property Frontiers sales from Bamboo sales alone this year, the video explains that Alternatives with strong fundamentals and a good track record will continue to be an innovative and accessible opportunity for investors in 2012.

For more information on where to invest next year why not contact the experts Property Frontiers today on +44 (0) 1865 202 700 or visit www.propertyfrontiers.com.

Brits account for 1 in 6 Turkish properties sold to foreign buyers

United Kingdom

Recent findings have shown that around 1 in 6 Turkish properties sold to foreign buyers were bought by Brits in the last two months.

The Land Registry Directorate General’s most recent statics highlight that 113,687 properties across Turkey are now owned by foreigners, an increase of 2,487 property sales made on September’s 111,200 figures.

Further data shows that Brits are still the biggest foreign buyers of Turkish property, with 25,177 properties now owned by British citizens, an increase of 329 since September 2011.

Meanwhile, the value of homes in Turkey increased by an average of 0.81% last month compared to September according to the REIDIN.com monthly property index with economic powerhouse Istanbul topping the average figure, increasing by 0.88%.

Indeed, those who have invested in Turkish property for rental purposes will be happy to hear that rental values have also increase between September and October this year rising by 1.07% with rents in Istanbul pushing up by 1.26%

Ray Withers, Director of Turkish property investment experts, Property Frontiers, comments,

“Turkey has become an exceptionally popular property choice. At present it is an anchor of stability with a booming economy that is hoped to reach around $2 trillion by 2023, and with the predicted 2.9 million housing units required over the next four years to accommodate the ever growing population, we at Property Frontiers have recognised the flourishing potential of Turkey as a lucrative property investment hub.

“Indeed, Istanbul, the pulse of the nation has experienced an increase in rental values therefore creating one of the best areas for rental opportunities. The western suburbs located around Ataturk International airport such as Beylikduzu, one of the fastest growing areas, presents not only a great opportunity for investment but cheaper property price tags than the rest of Europe, making the city even more attractive to potential buy to let investors wanting to take advantage of the increase in rental prices highlighted by the data.”

The spacious 1 and 2 bedroom luxurious modern apartments of Kensington Residence, affording immediate and guaranteed rental income at 7% for 2 years, will present tremendously good value for money with an investment of only £17,325 required for a 1 bedroom and £30,450 for a 2 bedroom apartment based on the investor utilising 70% LTV finance.

For more information on investing in Kensington Residence please contact the experts Property Frontiers today on +44 (0) 1865 202 700 or visit www.propertyfrontiers.com.

Landlords look to the North West to secure double-digit rental returns

United Kingdom

The UK buy to let sector is continuing to present itself as one of the best areas of investment according to latest industry data.

Recent findings collected from the Halifax have indentified that UK house prices increased by 1.2% in October 2011 with the average home in the UK standing at around £163,311. While the increase shows that the UK housing market has “proved resilient” in recent months, those entering the property market, particularly first time buyers will be less likely to afford homes in the UK, forcing many to rent instead.

Almost 4 million properties (2010) are in the Private Rented Sector providing homes for 1 in 6 households and, as demand for rented property continues to grow with the agency network Countrywide highlighting that rental properties now take an average of just 12.7 days to be let, with an average of 5 prospective tenants competing for each property, rental rates are rapidly increasing reaching record highs of £718 a month (LSL Property Services, Sept 2011).

Ray Withers, Director of Buy-to-Let experts Property Frontiers comments,

“With demand outstripping supply in the Buy-to-Let market, those with enough capital to invest in the growing Buy-to-Let arena are benefitting from some of the highest monthly returns on record. Big rental returns from UK property have alerted overseas investors to the UK, attracted not only to a solid market from which to reap weighty returns, but also a safe and reliable place to invest.”

In terms of location, the North West of England has been pinpointed as offering some of the best opportunities for investment within the UK seeing a 20% rise in rental rates this year alone due to the unprecedented demand for rental accommodation.

In the city of Liverpool, demand is fast outstripping supply due to the reduction in home ownership and the number of new homes being built (well below the Government target of 250,000 pa). This has led to an increase in landlords purchasing apartments in Liverpool at below market values in order to capitalise on the growing Buy-to-Let market.

Meanwhile, demand for accommodation in and around the city centre also continues to rise as more students and young professionals enter the city with one residential lettings agency reporting that rental levels are now 10% higher than last year.

For investors looking to snap up a lucrative deal in a flourishing market, Crete Tower, the second tower within the prestigious development comprised of 64 high quality 3 bedroom apartments within a private gated community located north of Liverpool City centre could provide the answer.

The development will include an on-site gymnasium, management office, on-site security, CCTV and 128 parking spaces while all units shall be beautifully decorated and delivered ready to let with carpet, blinds, light fixtures, and internet connection.

All apartments in Crete Tower’s sister building sold out within a matter of weeks and so with units costing just £69,000 for a 3 bedroom apartment – 21% below market valuation with a 10% net rental guarantee for 3 years this is an opportunity too good to miss.

For more information contact Property Frontiers on +44 (0) 1865 202700 or visit www.propertyfrontiers.com.