EvoEstate Risk rating is of an informative nature only & can not be considered investment advice.
Loan To value
Bluetouch Homes Ltd brings an exciting opportunity to the platform's investors. They are looking to raise funds against a large, detached property in Gatley, Cheadle, Greater Manchester for conversion into a 9 bedroom HMO.
The Manchester property market is booming and this property is ideally located within Greater Manchester, nestled in between some of South Manchester and Cheshires premium locations of Didsbury, Heaton Moor, Altrichcham, Hale, Wilmslow and Bramhall, only 200 yards from a main line train station with a direct line to Manchester and is less than a mile from the motorway network connecting Gatley to Manchester City Centre, Liverpool and Birmingham.
The project developer will carry out a complete refurbishment to create a 2900 square foot, high-end, 9-bedroom HMO.
The project benefits from an onward sale pre-agreed to one of their corporate clients. The developer source and acquire properties before completing any necessary works and handing them over. The sale has been agreed for £1,015,000 on completion of works, providing excellent security on exit.
The agreed sale price of £1,015,000 will provide a healthy net profit of close to €170,000 and represents good value for an investor to secure a healthy, low risk return on a project with a pre-agreed sale. Bluetouch expects to complete the program of works within 8 months, allowing 4 weeks flexibility on the proposed schedule.
141 Gatley Road Cheadle Greater Manchester SK8 4PD United Kingdom
Interest per annum
Loan To Value (LTV)
Total Loan Cover (TLC)
Agreed Sale Price
The loan will be paid out to the solicitor’s bank account to purchase the property and establish the legal charge, after which the remainder will be made available to fundraiser.
The currency exchange risk is borne by the fundraiser.
A first rank mortgage valued at € 891,600 will be established on behalf of investors to secure the loan. This value is calculated from the lowest from (A) loan amount, a minimum of 2 years interest and 10% coverage for execution cost (€ 910,000) and (B) relative portion of the agreed sales price (€ 891,600) to leave room for € 250,000 to be raised additionally to cover for refurbishments. This results in a loan to value (LTV) of 78.5% and a Total Loan Coverage (TLC) of 127.4%.
Bluetouch Homes Ltdhas a C rating from Creditsafe, indicating a moderate risk. The identified risks are estimated as limited. The project owner is confirmed to be very experienced in real estate investing. This loan has been assigned a score of C on the basis of the risk analysis.
Below mortgage will be established on behalf of investors to secure this loan.
TYPE OF PROPERTY
No result found.
Renovation not completed on time / within budget.
The project developer controls all stages in-house, including renovations. Risk considered to be low and sufficient slack in timeline and budget to cover for any setbacks if they may occur.
Economic downturn could affect property market/values
The developer has already pre-sold the property
The loan is in Euro and as the property is located in the UK, everything is in GBP. The currency exchange risk is borne by the fundraiser.
Unit 7 Crown Industrial Estate Poland Street M4 6AZ Manchester United Kingdom
Bluetouch Homes Ltd
Message from fundraiser
Brought to you by the director of Bluetouch Ventures Ltd, who have now successfully raised on 3 previous developments with MaxCrowdfunding.Bluetouch Homes has been setup to streamline operations focussing on the refurbishment of existing homes into HMO and buy-to-let properties.
Bluetouch Homes are able to rely on an established team of consultants, witnin the company group structure, including a vastly experienced architect, planning consultant, CAD technician, M&E consultant, structural engineers and numerous other outside experts on ecology, health and safety and sustainability. Our project manager has been with us from the outset and our strong network of contractors allow us to carry out a wide range of residential development projects from a small refurbishment to multi-unit new build sites.
We are now looking to raise funds for the latest development which is the conversion of a large, detached property in Gatley, Greater Manchester into an 9 bedroom HMO. We have funded the purchase up to exchange of contracts, with contractors lined up ready to commence work immediately on completion of purchase.