a4 exeter_Layout 1 04/10/2013 11:01 Page 1 Portland House Exeter The UK’s number 1 student property brand a4 exeter_Layout 1 04/10/2013 11:01 Page 4 The best student property in the UK Why Vita Student ? Vita Student is the first to oﬀer individuals the chance to purchase student property of a level of quality not seen before at a competitive price. With the demand for high-end student accommodation considerably outweighing supply, this makes for an exciting property investment opportunity. Vita Student is a premium brand; the first of its kind dedicated to designing, developing and delivering the best student property in the UK. For the student, Vita Student represents accommodation of the highest quality with state- of-the-art facilities and services, and a city centre living experience like no other. For the investor, Vita Student oﬀers a hasslefree, fully managed property investment with assured returns in the UK’s best student accommodation projects. Recognising a shift in the higher education market, Vita Student developments are designed to cater for the growing number of international students in the UK demanding higher standards in living accommodation. The UK is the world’s second largest host country to overseas students. Attracted by the combination of comparatively aﬀordable tuition fees and a world-leading standard of education, the UK already educates close to half a million international students and is set to be a major benefactor to the predicted 57% growth in the number of students studying outside their home country over the next few years. With higher budgets for housing and the requirement to feel safe and comfortable in a foreign country, international students have created significant demand for high-quality, fully self-contained, purpose-built student accommodation in city centre locations close to their institution of study. In spite of this, most projects provide a more standard level of specification, leaving a gap in the market for true high-end student property. Vita Student is the first student accommodation brand to cater especially for this rapidly growing, higher-end of the market and, in turn, create a compelling opportunity for investors. Luxury 1 bedroom studios with 7% net minimum rental return assured for 5 years From £80,289 01 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 02 a4 exeter_Layout 1 04/10/2013 11:02 Page 6 Vita Student UK locations What sets Vita Student apart All Vita Student properties are completed to an unrivalled level of specification, equal to that of a four-star hotel. In order to select the best locations for its projects, Vita Student pinpoints university cities where there is an identified demand for high-end student property to ensure high occupancy rates and maximised investor returns. Following sell-out success in Liverpool, Manchester and Bristol, Vita Student is proud to reveal its latest £17million development in the heart of Exeter city centre. Vita Student developments can currently be found in the cities of Liverpool, Manchester, Bristol and Exeter - locations for projects in the near future include Southampton and Sheﬀield. In addition, compared to standard student accommodation with shared living areas and cooking facilities, Vita Student properties are larger and completely self-contained, fitted with high-quality kitchens and en-suite shower rooms. Designed especially with international students in mind, Vita Student developments are located in close proximity to places of study, and are home to large communal areas and unprecedented support services and facilities. University of Birmingham University of Bristol Russell Group university locations University of Cambridge Cardiﬀ University Durham University Vita Student’s current locations Vita Student’s locations 2014 -2015 University of Edinburgh University of Exeter University of Glasgow Imperial College London King's College London University of Leeds University of Liverpool London School of Economics & Political Science University of Manchester Newcastle University University of Nottingham University of Oxford Queen Mary, University of London Queen's University Belfast University of Sheﬀield University of Southampton University College London University of Warwick University of York 03 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 04 a4 exeter_Layout 1 04/10/2013 11:02 Page 12 Following sell-out success in Liverpool, Manchester and Bristol, Vita Student is proud to reveal its latest £17million development in the heart of Exeter city centre. Realising the brand’s vision in another of the UK’s top university cities, Vita Student at Portland House is destined to become the number one address in Exeter for student living. Vita Student at Portland House represents an attractive proposition for the investor; the highest quality student development in a prime central location in one of the UK’s fastest growing and most highly acclaimed university cities. Vita Student at Portland House occupies a highly visible and prominent position in Exeter city centre. Formerly a 1960s oﬀice building, Portland House will be transformed to create magnificent student residences tailor made to meet the high demands of its tenants. 05 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 06 a4 exeter_Layout 1 04/10/2013 11:02 Page 14 Portland House Finishing touches including lacquered cabinetry and furniture, solid surface worktops and porcelain tiling set the Portland House studios a world apart from standard student rooms. Each studio is fitted with a space-saving folding bed system with integrated sofa to maximise the use of the space. Luxury 1 bedroom studios with 7% net minimum rental return assured for 5 years From £80,289 07 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 08 a4 exeter_Layout 1 04/10/2013 11:02 Page 16 Vita Living at Portland House Vita Living at Portland House Typical studio floorplan The studios at Portland House have been comprehensively space-planned to maximise the utility and eﬀiciency of the living areas within: Kitchen/Dining Study Area Standard Specification Each self-contained studio is fully furnished and completed to the highest specification, comprising: • Kitchen featuring lacquered cabinetry, solid surface worktop with sink and fully integrated appliances including fridge, combination microwave oven, electric hob and extractor hood. • En-suite shower room with boutique styling including porcelain tiles and designer fittings. • Space-maximising folding bed system with integrated sofa. • High-quality durable furniture including workstation with adjustable task chair, wardrobe units, bookcase, dining table and chairs. • Floor-to-ceiling black out curtains. • Free high speed 100MB broadband. • Wall-hung flat screen SMARTTV. • Secure entrance door with swipe card access. Bedroom Designed with the student always in mind, while maintaining the style and finish of a luxury hotel, Vita Student at Portland House is home to six floors of individual studios each oﬀering the highest standard of student living. Generous in size, each studio is completely selfcontained, with its own quality fitted kitchen and designer en-suite shower room oﬀering residents much sought-after privacy and their own sanctuary within a city centre development. With no compromise on the quality of materials used, contemporary and stylish interiors combine with meticulous attention to detail and sophisticated finishing touches to oﬀer all the luxury and comfort expected of a premier development. En-suite Shower Entrance 09 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 10 a4 exeter_Layout 1 04/10/2013 11:02 Page 18 Vita Community at Portland House Expanding over the lower ground level is the Vita Student Hub – a state-of-the-art communal area set to become a thriving hub of Vita Student residents and the heartbeat of the building. Oﬀering complete security, upon entry to the building residents and visitors are welcomed in to a modern reception with 24-hour supervision. Beyond reception and down to the lower ground level a collection of communal zones come together to create a contemporary and exciting environment designed to play host to the vibrant Vita Student community. As well as providing a focal point for residents outside their studios to meet and relax in its welcoming lounge area, the communal zone includes entertainment spaces housing pool tables and gaming stations alongside the building’s very own gym featuring state of the art equipment. The space also oﬀers an alternative place for study from quieter areas to group study spaces to encourage collaborative learning. 11 Vita Student at Portland House, Exeter. Communal facilities in summary Vita Student residents will have access to a full suite of cutting-edge facilities and services including: • • • • • • • • • • • • 24-hour security Hotel style lobby with 24-hour reception Internet stations Spacious lounge area with LCD TVs Quiet and group study spaces Fully equipped state-of-the-art gymnasium Pool table area Gaming stations Laundry room Vending bar Communal recycling area Bicycle storage SPACES TO INSPIRE AND ENGAGE Vita Student at Portland House, Exeter. 12 a4 exeter_Layout 1 04/10/2013 11:02 Page 20 A first class location Why Exeter Home to The Sunday Times University of the Year, an expanding student population and a dramatic undersupply of quality accommodation, it’s easy to see why Vita Student has selected the vibrant city of Exeter as the location for its latest development. With a rich history stretching 2000 years, today the picturesque south-west city of Exeter is an exciting mix of heritage, culture and the contemporary. Consistently rated as one of the best places to live in the UK, with a high quality of life and a low crime rate, Exeter is one of the most popular student cities in the UK. Situated in the heart of Exeter, close to everything the city centre has to oﬀer and within walking distance of the university campuses, Portland House is the ideal location for student living Vita Student at Portland House boasts an excellent central position, just oﬀ the main retail High Street dominating one of Exeter’s main crossroads. rto nR d w N G Rd Longb rook S t Ex e Iro n C Br N Rd J A rth No A377 id ge We ste rn Wa y D d yR ve r w B3212 B31 St I ut So Magdale Rd hS The University of Exeter (St Luke’s Campus) t Okeha mpto n Rd Ho llo wa yS t Vita Student Portland House Vita Student at Portland House, Exeter. A377 13 St ck wi Co 83 B EXETER A. Princesshay Shopping Centre B. Exeter Cathedral C. Tesco supermarket D. Exeter Castle E. Exeter Central Station F. The University of Exeter (Streatham Campus) G. St James Park Station H. Exeter Airport I. The University of Exeter (St Luke’s Campus) J. Sainsbury’s supermarket H Arch ibal d Rd a nh Bo Ri Ne B3183 E The main higher education (HE) establishment in Exeter is The University of Exeter. The university has two campuses in the city, St Lukes and the larger Streatham Campus - readily acknowledged as one of the most beautiful in the UK. Old Tre ve F Ne Rive r Exe What’s more, Portland House is just a stone’s throw from Exeter’s main retail area, with John Lewis on its doorstep and Princesshay Exeter’s latest shopping, bar and restaurant district - just a two-minute walk away. The University of Exeter (Streatham Campus) Exwick Rd Conveniently situated almost equidistant from each of its two campuses, Portland House is within walking distance of the university as well as Exeter College. The location also provides easy access to Exeter’s excellent transport links, including its regular bus services and is only a short walk from both of the city’s two train stations. Home to The Sunday Times University of the Year To ps ha m Rd A member of the prestigious ‘Russell Group’, The University of Exeter is a highly acclaimed academic institution, consistently ranking in the top ten of the national league tables and was named The Sunday Times University of the Year 2012-2013. The university currently has 17,442 full time students - an increase of an impressive 40% over the last five years - and aims to attract 20,000 full-time students every year by 2015. Extremely popular among students, UCAS figures from January 2013 show The University of Exeter has seen a huge 24.6% increase in applications versus the same time in 2012. This equates to six students applying for every place. Also in Exeter city centre is the well-regarded Exeter College, oﬀering over 30 university level courses to 660 students. The college does not have its own accommodation meaning the majority of its students rent rooms in privately operated properties. The University of Exeter is ranked in the top one per cent of universities in the world, according to the Times Higher Education international rankings. This undersupply is compounded by an ‘Article 4 Direction’ implemented by Exeter City As a result of its global reputation for academic Council. This direction restricts landlords’ excellence, The University of Exeter is 'Permitted Development' rights to use their increasingly popular with international property as HMOs, further limiting the amount students, whose numbers have grown by more of accommodation available to students. than 300% over the last ten years. Today, overseas students from more than 140 In addition, The University of Exeter Estate countries make up over 25% of the university’s Strategy 2006-16 projects that 2,880 extra entire full-time student body, considerably student rooms will be required in the city by above the national average. 2016 to meet the forecasted demand of the Streatham Campus alone. Despite this, there is currently no high-quality accommodation in Exeter built specifically with Furthermore, analysis of the type of student their needs in mind. This is set to change with accommodation available in Exeter reveals a the arrival of Vita Student at Portland House, gap in the city’s student market for a true highwhose high specification properties, worldend product. The profile of the vast majority of class facilities, excellent central location and private accommodation on oﬀer is of a basic security are designed to appeal to the city’s level of specification, with shared living areas large and growing number of international and cooking facilities; a stark contrast to the students. hotel style studios of Vita Student. International students in Exeter Supply vs demand There exists a severe undersupply of student beds in Exeter, with the majority of its student population unable to access university or private sector operated accommodation. According to Jones Lang LaSalle, only 6% of full -time students in Exeter are able to find accommodation in the direct let commercially operated private sector. University halls and flats cater for 29%, leaving 65% to reside in houses in multiple occupation (HMOs), the family home or outside of the area. With no other accommodation in Exeter oﬀering the same level of quality and prestige, in addition to the undersupply of student property in the city in general, investors in Vita Student at Portland House can expect extremely high demand and maximum occupancy levels. Only 6% of full time students in Exeter are able to find accommodation in the direct let commercially operated private sector. (Jones Lang LaSalle) Vita Student at Portland House, Exeter. 14 a4 exeter_Layout 1 04/10/2013 11:02 Page 22 The Investment The Investment Portland House, Exeter Portland House, Exeter With prices starting at £80,289, Vita Student at Portland House oﬀers buyers a fully managed investment with a minimum rental return of 7% net for the first five years. How the scheme works for you Vita Student at Portland House Payment Plan Vita Student at Portland House is a fullymanaged seven-year investment allowing owners to enjoy all the benefits of a secure UK property investment with none of the hassle associated with managing the property or finding tenants. £5,000 25% 25% Balance Deposit Exchange of contracts March 2014 Completion How your yield is calculated Vita Student Management will take care of the complete running of Portland House - from marketing the properties to secure student tenants right through to dealing with service providers and general building maintenance. When it comes to the running costs of the building, Vita Student Management operates an open-book policy to show property owners how their net rental yield is arrived at. Owners are assured a minimum rental return of 7% net for the first five years that will be paid in quarterly instalments, starting in January 2015. Additional net rental income achieved during these first five years will be paid to owners at the end of the five-year assured rental period. Estimate based on an example property price of £89,000 Management costs* (shared) including service charge:** £2,698 Ground rent: £350 Total Expenses: £3,048 Weekly rent (example): Number of Weeks: Gross Annual Income: £190 51 £9,690 Net Annual Income: Net Yield: £6,642 7.6%*** *General costs include all staﬀ, maintenance and operational running costs, as well as the management company's fee, deducted from pooled rental income. **Service charge is the individual contribution towards managing the estate and keeping the building structure and common amenities in a good state of repair, paid annually by all owners towards under their lease. ***Any net rental income above the 7% assured yield in the first five years will be attributed and paid at the end of the five year assured rental period. An illustration of the projected return on investment (ROI) over 7 years based on an example property price of £89,000 Assuming capital growth of 4% and the assured rental return of 7% Scenario 1 Year 1 (7% assured rental) 2 (7% assured rental) 3 (7% assured rental) 4 (7% assured rental) 5 (7% assured rental) 6 7 4% capital growth £89,000 £92,560 £96,262 £100,113 £104,117 £108,282 £112,613 7% net rental return £6,230 £6,230 £6,230 £6,230 £6,230 £6,230 £6,230 Total Returns Cumulative ROI £23,613 £43,610 76% Investment timeline Now Reservation completed and £5,000 deposit paid. Solicitors instructed and contracts issued. First instalment of 25% due. Exchange of contracts. September 2013 Construction of Vita Student at Portland House commences. November 2013 Vita Student Management commences active marketing campaign to secure tenants for academic year 2014/15. March 2014 Second instalment of 25% due. Scenario 2 Year 1 (7% assured rental) 2 (7% assured rental) 3 (7% assured rental) 4 (7% assured rental) 5 (7% assured rental) 6 7 4% capital growth £89,000 £92,560 £96,262 £100,113 £104,117 £108,282 £112,613 7.6% net rental return £6,230 £6,230 £6,230 £6,230 £8,900 £6,764 £6,764 Total Returns Cumulative ROI £23,613 £47,348 August 2014 Completion of Vita Student at Portland House Lease granted. seven-year leaseback commences. September 2014 Academic year begins and tenants move in. January 2015 First instalment of assured rental return is paid. 80% *Scenario 2 demonstrates the net rental income above the 7% assured yield achieved in the first five years being attributed and paid at the end of the five year assured rental period, and annually thereafter. 15 Vita Student at Portland House, Exeter. Vita Student at Portland House, Exeter. 16 a4 exeter_Layout 1 04/10/2013 11:02 Page 27 Please note that the information that we distribute is produced with great care and believed to be correct at the time of printing to the best of our knowledge. Pictures, layouts and other details in this brochure are given as a general guide and may change from time to time in accordance with the final designs of the development and appropriate planning permissions. We endeavour to ensure that any market forecasts we provide are accurate and well researched at all times, however we cannot ultimately warrant the accuracy of that information and cannot be held liable for any reliance you may make of or put on it except as specifically agreed with us in any further agreement we may make with you in writing. The UK’s number 1 student property brand www.vitastudent.com