Detail Descripton

Information about the apartment

Finally, we are back with our latest opportunity in Cádiz, one of our favorite cities. After selling 8 of our apartments in June, we´ve been looking constantly in order to find new opportunities with no luck. Prices of real estate in Cadiz have skyrocketed and it´s getting harder and harder to find good opportunities. Fortunately, all our hard work has paid off with this new fantastic opportunity.

Very well located in Barrio de la Viña (the best neighborhood in down town) we have found a small but complete apartment that it is already listed in Airbnb with 4.85 star reviews (out 5.00 stars)

It is located at Pasquin Street 5, Cádiz, on the ground floor. It is a one bedroom, one bathroom apartment with living room and complete kitchen. Location is perfect very close to the “Caleta” beach, the Cathedral and the rest of monuments.

This cozy apartment has everything a tourist is looking for: perfect location and perfect appliances. As we are buying the apartment fully equipped, we will be able to start renting it from day one, getting the first guests in no time. The apartment has its valid tourist license.

This is one of the cheapest opportunities we have ever bought in Cadiz, and therefore we are sure we will be able to sell it soon to a final investor.

Video about the project

This apartment is fully equipped and we will be able to receive our first guests in no time. This property is a great investment due to:

• It´s perfect location. On barrio la Viña, the best area downtown, with all the monuments and point of interest within walking distance:
  • Central Market (Abastos): 4 minutes (350 meters)
  • Paseo del Vendaval: 1 minute (150 meters)
  • Torre Tavira: 5 minutes (400 meters)
  • Caleta Beach: 6 minutes (500 meters)
  • Cádiz University: 7 minutes (550 meters)
  • Cathedral: 7 minutes (600 meters)
  • Candelaria Square: 9 minutes (700 meters)
• One of the cheapest apartment we have ever bought in Cadiz.
• High demand of vacation rental properties and mid-term rentals in Cadiz due to the land scarce
• It´s been listed in Airbnb with excellent results showing it is the perfect property for tourists.
• This apartment is also perfect for mid-term and long-term rentals.

Operation Summary

Revenues forecast

The data shown in this section is a one year forecast after the property purchase

Dividends

Operating return

Financial results

Net profit

Investment information

Occupation

Market study

From our large experience managing vacation rental properties, we already know this is a good investment.

The land is geographically limited in Cádiz (it is a peninsula), and there is a high demand due to the presence of universities, hospitals, and other Government offices (City Council, etc..).

Therefore, we can even rent this apartment as a mid-term rental and get almost our rental goal yield only renting this property to tourist only the months of July and August.

Downtown Cádiz is the main tourist attraction in the city, as it is there where the main tourist attractions are located, the Cathedral, La Torre Tavira, the Gran Teatro Falla. From all the different districts of downtown, Barrio de la Viña is the best one.

We know that we can get the most of it renting this property as a vacation rental property, and this apartment is perfect fot it.

For our analysis, we are going to study the revenues and occupancy rate of all Airbnb listings similar to this one: one bedroom and one bathroom apartment located in Barrio de la Viña in Cádiz downtown.

As we can see, we´ll be working with a large sample:

As we can see in the previous graph, the properties similar to “Pasquín” have yearly average revenues of 15766 euros. The holiday high season starts in February until the end of October, being the rest of the months (November to January) the low season. Yearly revenues have been increasing since 2016 due to the growing importance of the national tourism in Cádiz, a city that is becoming more and more popular between Spaniards.

In this second graph, we can see a growing trend in the evolution of the occupancy rate and revenues. Tourism in Cadiz is growing as being a peninsula the land is scarce, increasing the occupancy rates and average daily rate.