[Report] Northern UK Property Day with Stephen Beech & Beech Holdings (Manchester)

Yesterday’s viewing trip to Manchester was a real eye-opener. The team at Beech Holdings (Manchester) are preparing to replicate their extraordinary success in converting old office buildings in central Manchester into comfortable eco-friendly apartments.  

Stephen Beech has built a personal property portfolio worth over £23 million using this same approach. He began on a small scale by purchasing terrace housing, keeping the exterior intact, building an interior frame and extending upwards to convert each into 4-6 apartments.

The vast majority of these apartments were fitted with sophisticated energy saving devices such as solar panels (in the early days), energy-efficient windows and warm air heat exchanges. The usual rental model for these types of apartments in Manchester are all-inclusive, so whilst Stephen was making a positive contribution to saving the earth’s resources, he was also able to undercut other landlords on rental charges and still get a better profit margin.

The way to really succeed in property? Simple innovative ideas – put into massive action.

A smart move, since Stephen Beech now has around 450 personal properties bringing in over £1 million a year in rental income, and his business model has scaled up beautifully in Manchester to an almost industrial size. The planning authorities in Manchester are keen to renovate existing empty office buildings and are favouring this over new-build as a matter of policy. 

Beech Holdings (Manchester) is set to dominate Central Manchester

Beech Holdings (Manchester) is very much in the ascendancy. They have ten office conversion projects in various stages of planning, with a further seven identified for the near future. Pictured above is one of these ten developments about to begin, on Waterloo Street in the city centre.

Beech is looking to raise £6 million in crowd sourced funds to finance the purchases, and has already achieved £2.5 million raised from private individuals in just 3 months. We are inviting qualified individuals to take part starting from £20,000 invested for 5 years and in return receive annual interest on10%, paid quarterly. This is a great return on a passive investment and is backed by first charge on the properties, as well as commercial and personal guarantees. This is clearly a property investment with security far greater than “going it alone” in the buy-to-let world.

So why should Beech bother with relatively small investors like us?

You may well ask why Stephen is going to the trouble of raising £6 million of funds this way. Why not go to the banks or sell some of his apartments? Simple reasons:

  1. Banks are still not lending sufficiently to large property developers.
  2. When they DO finally agree to lend it’s too late. In Manchester the secret is to beat off the competition quickly and buy with cash.
  3. The other lending option, Bridging Finance, can cost 20-24% annual interest, so recycling this would be very expensive. Would you prefer to pay private investors 10% or a bank 24%?
  4. Why not sell some of the apartments? Stephen could do this but that would be throwing away tracker mortgages at very low rates, and therefore a considerable chunk of his net income.

So opening up to private investors is the natural and obvious solution. Beech gets relatively low cost loans whilst investors enjoy incomes many times greater than a savings account, and much higher than a traditional net rental yield, with none of the hassle. When it comes to investors in his business, Stephen Beech’s philosophy is one of complete openness. Our due diligence process can testify to this – we’re confident that any reasonable investor question will be answered directly – and to their satisfaction. All enquiries and professional due diligence is very welcome. If you’re looking to invest in property or grow your investment portfolio, this has surely got to be worth investigating.

Find out more about investing with Beech Holdings. Download our brochure today.

Which UK City comes top for property investment this year ?

I am constantly researching the UK property market to identify areas of interest for investment. I thought you might like to take a look at the facts below which firmly position Liverpool as the preferred UK city of  investment, above Manchester and London.

Please take a look at the following:

Private Finance Reports

Private Finance’s latest buy-to-let hotspots analysis has revealed that Liverpool is the UK’s top performing city experiencing average rental yields of 6.2% once mortgage costs are taken into consideration. This is not something which is likely to blow over considering Liverpool have held this position since May 2017 whilst Greater Manchester averaged rental yields of 5.9%.

Reference – https://www.propertyinvestortoday.co.uk/breaking-news/2018/1/liverpool-and-nottingham-revealed-as-the-best-location-for-rental-yields?source=newsticker

Which City is Growing Faster?

Across England, Liverpool grew faster than Manchester and London in 2016. Liverpool’s economy grew faster than London, Manchester and any other major British city in 2015/2016, figures show.

Figures released by the Office for National Statistics (ONS) show that Liverpool enjoyed an economic growth rate of 3.1%, faster than any similar major city region in the country.

Reference – https://www.liverpoolecho.co.uk/news/merseyside-economy-fastest-growing-uk-12328312

Liverpool has become the one to watch in 2018: “Liverpool was a strong contender in 2017 but 2018 will really be the year investors take note. Property prices are still low but creeping up slowly, so now is the time for investors to benefit from the strong capital growth predicted over the next 5 years. With the amount of investment being ploughed into the area, particularly the £5.5 billion Liverpool Waters project and £1.8 billion into the Knowledge Quarter,  Liverpool is without a doubt a hotspot for investment.

If you have any questions or want to find out about the latest apartments we have available, please let me know.

Check out our latest top performing Liverpool project – ideal for the hands-free or remote investor…

The strength of Buy To Let Student Property in the Northern Powerhouse

Appealing to students means appealing to buy to let investors. Investors will in turn enjoy greater rental returns, and being a part of a UK student property market that has demonstrated it can weather the toughest of times.

Consider Manchester

According the 2016-17 QS World University Rankings, Manchester is second only to Edinburgh and London as the UK’s most popular university destination. It ranked the city joint-23rd in the world with Barcelona, and most impressive of all, the University of Manchester 29th worldwide.

Manchester is home to a diverse range of famous attractions, including The Lowry theatre, the National Football Museum and the Manchester Art Gallery. The presence of the BBC, along with the UK’s fastest-growing startup scene at MediaCityUK, provides huge appeal to students looking to get ahead when they graduate. These are just some of the reasons why developers continue to invest in the city, and why the Manchester student buy to let market is one of the most competitive in the country.

… and Liverpool

There is an estimated 54,000 students in Liverpool, making it one of the UK’s most popular places to study. Aside from an outstanding choice of universities, students choose the city for its vibrant social scene, low cost of living and rich cultural heritage.

Student accommodation is in particularly high demand in the Knowledge Quarter of Liverpool. The city’s academic district combines leading names from education, health, science and technology with some of the most famous attractions. It’s here that you’ll find the RIBA award-winning Everyman Theatre, the Liverpool Philharmonic, the historic Philharmonic pub and the city’s two cathedrals. As well as a host of great bars and restaurants.

Then there’s Bold Street, which may as well have been conceived with the city’s student population in mind. Lined with independent bars, restaurants and vintage stores, Bold Street offers a fitting contrast to the modern architecture and high-street brands of Liverpool ONE a few blocks down. In fact, wherever you go in Liverpool, culture and history are waiting to greet you. The Tate Liverpool, the Walker Art Gallery, the Museum of Liverpool and the Beatles Story, all contribute to an environment in which students thrive, and the reason why demand for buy to let student accommodation in Liverpool is out-stripping supply.

A key part of HighGround’s UK Student Property portfolio is Liverpool’s Natex development in the Knowledge Quarter.

Find out more here: