Loan #645985 Ulverston LA12 8AA United Kingdom - Rusland Pool Hotel

Property location
Rusland Pool Hotel Ulverston LA12 8AA United Kingdom

Executive Summary

While it has been a turbulent time for the hospitality industry over the last 18 months it has now come back to life with a new increased demand for short holiday stays and with the Rusland Pool Hotels location it makes it the perfect place to stay and visit the lakes which was already extremely popular but even more so now the staycation industry has taken off.

While a lot of holiday-oriented hotels go quiet over the winter period The RPH benefits from being extremely popular with business men and contractors working at Sellafield nuclear power plant among many other companies. BAE Systems has now won a 10-year contract to build submarines for the Australian Government meaning an influx of jobs to the area which will be mostly people working away from home and needing lodging Monday – Thursday nights inclusive. Lakes Pharmaceuticals have just been given the go ahead to build their headquarters in the area which will result in a need for accommodation. Some of the hotels main customers include and not limited to the following – BAE Systems, Siemens, GSK, Thor Atkinson, Oxly Developments, Sellafield, Kimberly Clark, Brammer, Play Dale Playgrounds. With the back drop of RPH already running at 89% occupancy over the last few months and over 70% historic average it looks like RPH is in for a bright future.

In order to accelerate the present opportunity in this niche market and to provide further focus I’m now channelling new purchases in to a newly-formed property management company. The first property to be purchased is Rushland Pool Hotel in Ullswater. The Valuation is 1.2m and the loan needed is £960k. Immediate cost savings will be made which will increase the net profits by approx. £65- 75,000 which would give a value of approximately £1.7m under the same valuation principles used. The manager has been employed for 7 years so is very capable of running the day-to-day activities of the hotel which he does now on a fulltime basis with the current owner checking in regularly. The seller has agreed to stay on to advise and check in on things as and when needed to make for a smooth handover for at least a 12-month period.

Investing FAQ
Loan terms summary
  • Interest per annum 10.00%
  • Fully subscribed 1,240,000.00 raised
  • Risk class i
  • Expires Closed
  • Target amount €1,240,000.00
  • Profit share 0.00%
  • Term 18 Months
  • Payment frequency 1 months
  • Loan purpose Buy-to-rent
  • Type Bullet i
  • Mortgage rank First Rank
  • Total Loan Cover (TLC) 147.9%
  • Loan To Value (LTV) 67.6% i
  • Location
    United Kingdom
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