Sample deal page · not a real property
City-centre apartment block, Manchester
A sample showing how a fractional build-to-rent deal in Manchester is presented. The property and all figures are invented to show the format.
The deal in numbers
The amount raised from investors covers the purchase price, purchase costs and a cash reserve for repairs. It is divided into shares of £100.
| Sample figures | Amount |
|---|---|
| Purchase price | £4.2m |
| Purchase costs (stamp duty, legal, survey), estimate | £252,000 |
| Repair and void reserve | £84,000 |
| Total raised from investors | £4,536,000 |
| Price per share | £100 |
| Number of shares | 45,360.0 |
What owning shares means
The building would be owned by its own limited company, and investors would own that company. If you bought 453.0 shares you would hold 1% of the company: 1% of distributed net rent and 1% of the net proceeds when the building is sold. The grid below shows a 3% holding.
What the full property pack includes
- Title and tenure, checked by solicitors
- An independent valuation by a RICS Registered Valuer
- Tenancy or lease schedule and rent history
- A full breakdown of running costs and fees
- Any borrowing and its terms
- The investment term and exit plan
Key risks for a property like this
- The value of the building could fall.
- Tenants could leave or stop paying, reducing income.
- You may not be able to sell your shares before the end of the term.
- Repairs or new regulations could cost more than expected.
Read more about build-to-rent investment and property investment in Manchester.