The possibilities of making money from property are endless….
Where there is a desire and a need for said property, there will be an opportunity to generate income for the investor and today, we are introducing you to the world of Care Home investments, specifically, a developer we have recently partnered with called The Carlauren Group.
Before we get into the details on The Carlauren Group and the rationale for investing in care homes we want to first provide you with the background of the market and where this particular segment is heading in the next couple of years.
FJP Investment was established is 2013 and over the years we have for ourselves seen a lot of care home investments come up, along with a big portion of our clients make investments in the sector. All of the research indicates that we are heading to a crisis point within the care home sector with the UK expected to hit an “acute shortage” stage by year 2020 (just 2 years away). When we reach the stage of having an acute shortage we all can clearly understand that with supply being restricted and demand being high, there is our opportunity as property investors to capitalise.
We believe “now” is the right time to dip our toe into this market and with that being said, we are pleased to introduce our investors to The Carlauren Group – a leading developer of care home investments based in Yeovil, Somerset.
The Carlauren Group is an award winning developer of UK based care homes and in all of our dealings with the developer we have found them to be an excellent partner in which we work with. They have a quality team in place which ensures they are able to identify high yielding care home investments on behalf of our investors.
About The Carlauren Group
The company was founded in 2015 and has successfully raised capital for the fulfilment of 13 various care homes throughout the United Kingdom.
From our discussions with the developers we have ascertained that they have a big network of investors buying in from Asia, this is no surprise, as we often find the investment offerings we are introducing to our investors create a demand from Asia based investors. Another big market of investors is the UK, this is an area in which FJP Investment specialises in and we will be on-hand to assist all of our new investors and existing clients from start to finish with their care home investments.
According to The Carlauren Group:
Technology: we’re introducing new, interactive and accessible technologies and applications for the benefit of our residents, their families, our care and management teams, and investors
Innovation: we will constantly challenge the norm, and seek new ideas to improve the way we operate and fund caring communities
People: we’ll bring the right people into our business, and make sure they always have the skills and resources to deliver the highest and most ethical standards of service to our residents, at all times
Property: we acquire and redevelop luxurious, traditional accommodation, and breathe new life into the sector by attracting new private investors through our unique investment models
The Carlauren Group are in the business of acquiring / renovating and then operating luxury care home accommodation within affluent areas of the United Kingdom. The focus in on providing 5-star levels of care and service to people staying at the nursing homes who are typically aged 65 years and above.
We all know the UK population is ageing and for this reason there is an increase in pressure for care resources and this is where we have identified an ideal opportunity to invest.
If the situation was not bad enough as it is, there are a large number of care homes that are closing due to lack of investment.
Full details about our opportunity can be found here by registering your interest: The Carlauren Group.
How does a care home investment work?
With so many properties vacant or in need of investment, it is still very much a case of having the pick of the bunch. The Carlauren Group will conduct extensive surveys and feasibility studies to ensure each development is of solid overall construction and of course suitable for the formula of redevelopment and remodelling, the typical care facility will be of at least 20 beds of above average sizes.
Market research is essential to ensure the properties are in areas that consist of a high proportion of retired and retirees.
Each care home is then renovated to 5-star luxury standard over a period typically a six months before opening to the public under the CQC* registered company called Caring Communities. *(Care Quality Commission the regulator of health and social services in England)
You purchase the care studio on a 125-year leasehold with the care home at below market value. You then receive an income on a buy-to-let basis.
As an investor you will receive a full and legal title deed which means the property is registered in your name at the Land Registry.
The funds that you are investing are used to purchase and refurbish the property as well as maintaining the premium standard of care to deliver a premium service to residents.
The income is paid monthly and is fixed at 10% net yield per annum.
Care Home Investment Review
There has never been a better time to invest within the care home sector and as long as you are investing with a reputable company such as The Care Home Group, you will stand to profit over the short, medium and long term.
More information is available on request: care home investment.