Investment Services
Residential property as a distinct asset class
is now widely recognised as an invaluable part of an international
investment portfolio. Over the last nine years the UK residential
property market has enjoyed substantial growth. However, London
has seen considerable consolidation and the regions are showing
signs of overheating. Yields have fallen dramatically as an overbought
market chases fewer tenants. We do not subscribe to the doom merchants
view of collapse but believe a long period of stagnation will offer
few opportunities.
We identify specific redevelopment opportunities for those investors
looking to make short term capital returns. These include sites
for new build and refurbishment of existing properties.
» See
managed projects.
We are actively building long term higher yielding portfolios
comprising apartments, town houses, and fincas in the best locations
let to corporate tenants, including several prestigious holiday
companies on long and short term lets.
In both cases we work closely with recommended architects, planning
consultants, builders and interior designers. Please contact us
for further detailed information.
The Market
Mallorca is truely international and as such the residential property
market is hugely influenced by overseas demand which protects capital
values from the peaks and troughs experienced by individual country
markets. Due to the malaise of the German economy the property market
has eased somewhat due to their withdrawal. However, as the pre-eminent
Mediterranean destination other international investors particularly
from Northern Europe and the United Kingdom are filling this void.
Mallorca being an Island has a finite supply of prime property
which has been compounded by the very strict controls imposed by
its autonomous government. The government has over the last ten
years made determined moves to control future development and improve
areas of past overdevelopment.
Attempting to find and purchase a property efficiently and cost
effectively is not easy. The agency market is fragmented and most
unlike the disciplined and regulated companies that one is used
to. Vendors rarely enter into agency agreements and it is common
place to find the same property being offered for sale with varied
terms and asking prices. Agencies attempt to protect their listings
from each other by producing scant details. There is a frustrating
lack of understanding by agents of purchaser requirements.
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