Package of apartments in a boarding house for the elderly with specialized care and a long-term lease agreement.
Description
The project includes 80 apartments with specialized care for the elderly with an area of 24.06 m² per each. The cost of one apartment is 164,106 €.
It is possible to purchase with a subsidy from a state bank under certain conditions (yield of 5.3% is achieved upon receipt of a subsidy).
Deal Type: Forward Deal.
The absolute annual income is 72,000 €.
The fixed yield is 4.8% (5.3% with subsidy), indexation is provided.
Payment: by stages, bank financing is possible — the required equity is 500,000 €, return on equity is about 7–8%.
A lease agreement with a professional operator managing 2 more properties in Brandenburg is valid for 25 years with the option of renewal for 5 years. The property will be given to the operator at the end of 2020.
The property is located in the federal state of Brandenburg, in a town with a population of more than 8,000 people, 90 km from Berlin and 30 km from Frankfurt. The property is located in a large park area and will consist of several buildings.