Independent property consultants M-S Estates have today completed the sale of a £5 million student accommodation portfolio based in Lenton, Nottinghamshire. This will be the largest residential property sale by far to be achieved in Nottinghamshire this year.
The 99 bedroom portfolio sale which has taken seven months to complete will see the properties being maintained to the same high standards as before but with a new managing agent, London based student property specialists SweetSpot.
The portfolio includes a total of 16 properties (13 x 6 beds and 3 x 7 beds) that brought an annual rent of £401,000 in 2012-13 and a high eight per cent yield. All the properties also meet the current safety regulations including HMO licenses.
Lenton based M-S Estates were approached earlier this year by SweetSpot’s Managing Director, Nick Webb, as they had successfully purchased several Nottingham properties previously on behalf of clients knowing they could rely on the professionalism and expert knowledge offered by husband and wife team Michael and Satty Sahota.
This time though, they were looking for a substantial student portfolio opportunity in Nottingham for their investor. So M-S Estates approached N7 Properties Director and long-term client Eric Plane who owned just the right size and quality of portfolio to be of interest to their client and in the following months they successfully negotiated the deal.
Michael Sahota said: “The completion of this substantial sale proves that we have the necessary expertise required for major negotiations yet we are also one of the few agents locally able to bring a personal touch to each individual sale which we believe has really contributed to our business success these last 11 years.”
Nick Webb, Managing Director, SweetSpot comments on the purchase: “We are delighted to complete the acquisition of this portfolio on behalf of our client. Our goal at SweetSpot is to provide the best student living in the country.
“Nottingham is a logical place to try and achieve this, with two top class universities its students expect to enjoy a great lifestyle while they study. We are therefore excited by the prospect of broadening our impact in the city and significantly improving the quality of what the market can offer.
“We’re making it standard for example, that our student homes feature ultra fast broadband, double bedrooms and a local team able to manage any issue within 24 hours – all included in the rent. This portfolio of properties is not only in a fantastic location, but together with our planned refurbishment next summer will make these new SweetSpot homes a must for any student.”
Eric Plane, Director, N7 Properties comments: “Lenton has provided an excellent investment opportunity for us these last six years, with our 99 bedroom portfolio we have never had a single arrear, or any issues with anti-social behaviour at any time. We believe this is a reflection of both the care and professionalism with which we have managed these properties and met tenants’ expectations during this time.
Giles Inman, Spokesperson, East Midlands Property Owners (EMPO) association comments: “M-S Estates have shown true professionalism to have negotiated such a major portfolio sale. At EMPO we believe in encouraging both sound management and acceptable accommodation standards in the private rental sector. This sale is set to raise the bar for the student market in Lenton and is yet further proof of the popularity of this area for both property investors and students.”
Michael Sahota, M-S Estates continues: “Since Nottingham City Council recently passed the Article 4 direction limiting the number of student properties coming onto the market together with strong rental demand and high occupancy rates we believe will together make this purchase a very sound investment for the future.”
M-S Estates is an independent property consultancy offering a traditional tailored personal service and provides expertise in all aspects of the local property market. Established in 2002, it is constantly developing new products and services as the company evolves. Its consultants are familiar with the local neighbourhood in which they work ensuring the advice given is always very well informed. In addition to its core estate agency business, it delivers a range of services to include lettings, management, buy-to-let advice, creative refurbishment and acquisition.