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Oakesway

A UK care room opportunity for your buy-to-let portfolio


Located on the Hartlepool Headland, Oakesway is charmingly set near the historic natural bay and rich maritime tradition of the north sea coastline.
Originally operating as a general care home, the property is to be transformed into a 70-bed care community through a schedule of refurbishment and expansion, providing services to both the local authority and private individuals.
Opening as a dementia specific nursing facility with end-of-life provision, Oakesway’s rooms and communal areas are to be enlarged to exceed the UK Government sizing guidelines and will also include additional assistive and wellbeing technology.
To further enhance and improve the environment, the surrounding gardens are to be specifically designed and landscaped with the dementia resident in mind.
This care facility offers an exceptional buy-to-let purchase opportunity, delivering an annual rental income of circa 10% over 10 years. Choose from a £75,000 full cash input option or the developerdeferred payment facility which reduces your cash input to £50,000, both options include an assured developer buy-back to deliver exceptional ROI.

  • Circa 10% rental return
  • £25,000 developer-deferred facility
  • Buy back with assured short-medium or medium-long term exit strategy
  • Totally hands-off income generating asset

Oakesway is located within Hartlepool, Durham in the North East of England.
The number of older people (aged 65 and over) in the borough is estimated at 15,100 and is expected to rise to 22,100 by 2030. The sharpest rise will be in older people aged over 85 years where the numbers are expected to nearly double from 1,700 in 2011 to 3,200 in 2030 1. It is this age group that has traditionally been the heaviest users of care and support services.
The majority of people living in residential or nursing homes are permanent; a sizeable number of older people already living in care homes may live for another 10 to 15 years. With an increase in elderly people in the population and those already elderly living longer, this is expected to put an added pressure on local services and generate additional demand for new care facilities

Key Indicators

  • It is predicted that there are 976 people in Hartlepool with dementia
  • The number of people with dementia in Harlepool is set to increase by 60% to about 1,600 in 2030 1
  • Dementia specific care is a key priority for commissioning services and support
  • Care for the older population is already generating an income of £14.5 Billion for the UK economy every year and demand is expected to continue to grow

£75,000 - Full cash input
By purchasing with a full-cash input option, you benefit from an annual rental income being paid from year 1 onwards. The first year’s return is paid within 28 days of completion. Years 2-10 are paid annually in arrears.
How the return is calculated and paid Cash input £75,000 x 10% = £7,500 x 10 years = £75,000
Year 6 exit
Buy-back option at year 6 = £86,250 (115%) ROI = (Buy back £86,250 + Cash rental income £45,000 - Initial cash input £75,000) ÷ Initial cash input £75,000= 75%
Year 10 exit
Buy-back option at year 10 = £93,750 (125%) ROI = (Buy back £93,750 + Cash rental income £75,000 - Initial cash input £75,000) ÷ Initial cash input £75,000= 125% ROI: Return on investment.

Year Rental income(circa 10%)
1 £7,500
2 £7,500
3 £7,500
4 £7,500
5 £7,500
Total £45,000
Year 6 exit
Buy back @ 115% £131,250
Less cash input £75,000
Cash received over and above initial cash input £56,250
ROI: 75%
Year Rental income(circa 10%)
7 £7,500
8 £7,500
9 £7,500
10 £7,500
Total £75,000
Year 10 exitt
Buy back @ 125% £93,750
Total purchaser returns £168,750
Less cash input £75,000
Cash received over and above initial cash input
ROI: 125%

Based on a 10-year period this purchase opportunity gives you the additional benefit of an assured short-medium or a medium-long term exit strategy for greater flexibility

£50,000 - Developer-deferred facility
By purchasing with the developer-deferred option, you are able to offset your total capital outlay from £75,000 to £50,000 by deferring £25,000 against your annual rental income

Year 6 exit
In Years 1-3, you receive 10% of the cash input value (£50,000), giving you a fixed return of £5,000. We then draw down £5,000 each year for the deferred amount. In years 4-6, you receive 10% of the purcahse price (£75,000), giving you a fixed return of £7,500. We then draw down £1,429 each year for the deferred amount.
Fixed rental returns £37,500 – deferred balance £19,287 = £18,213
Year 10 exit
In Years 1-3, you receive 10% of the cash input value (£50,000), giving you a fixed return of £5,000. We then draw down £5,000 each year for the deferred amount. In years 4-10, you receive 10% of the purcahse price (£75,000), giving you a fixed return of £7,500. We then draw down £1,429 each year for the deferred amount. Fixed rental returns £67,500 – deferred balance £25,000 = £42,500
Buy back at year 6 = £86,250 (115%)
ROI = (Buy back £86,250 – Outstanding deferred facility balance £5,713 = £80,537 + Cash returns £18,213 – Initial cash input £50,000) ÷ Initial cash input £50,000 = 97.50% ROI: Return on investment.
Buy back at year 10 = £93,750 (125%)
ROI = (Buy back £93,750 + Cash returns £42,500 – Initial cash input £50,000) ÷ Initial cash input £50,000 = 172.50% ROI: Return on investment

Purchase price £75,000
Client cash input £50,000
Reservation fee £500
Assured tenancy period 10 years
Balance of cash deposit £49,500
Income circa 10%
No. years cash deposit 3
No. years full purchase price 7
Year Rental income (circa 10%) Developerdeferred facility repayments Balance of client rental income Developerdeferred facility balance
1 £5,000 £5,000 £0 £20,000
2 £5,000 £5,000 £0 £15,000
3 £50,000 £5,000 £0 £10,000
4 £7,500 £1,429 £6,071 £8,571
5 £7,500 £1,429 £6,071 £7,142
6 £7,500 £1,429 £6,071 £5,713
Total £37,500 £19,287 £18,213
Year 6 exit
Buy back @ 115% £86,250 -£5,713
Total purchaser returns 6 yrs £104,463
Less cash input £50,000
Cash received over and above £48,750 £ROI: 97.50%
initial cash input
7 £7,500 £1,429 £6,071 £4,284
8 £7,500 £1,429 £6,071 £2,855
9 £7,500 £1,429 £6,071 £1,426
10 £7,500 £1,426 £6,074 £0
Total £67,500 £25,000 £42,500
Year 10 exit
Buy back @ 125% £93,750
Total purchaser returns 10 yrs £136,250
Less cash input £50,000
Cash received over and above £86,250 ROI: 172.50%
iinitial cash input

We believe that by taking our time to listen to your needs, we are able to establish a full client profile for you. We can then confidently confirm whether Oakesway is the right opportunity for you.
It is also assuring to note that should this opportunity not completely suit your needs, we will not push you into making a decision that you are not comfortable with, purely to close a sale.
A purchase has to be 100% right for you or we will not proceed.
1. Your sales consultant answers your questions while guiding you through every aspect of this buy-to-let opportunity and recommends a unit for consideration. On acceptance, you receive a reservation form and are asked to make a £500 payment to reserve the unit. Within 7 days, you are required to send us your certified identification documents along with source/ proof of funds for the unit to be secured and assigned to you.
2. The contracts are issued to your lawyer for review. You and your signatory witness then sign the contract and return it to your lawyer using a secure, signed-for delivery service. At the same time, you pay the outstanding balance of purchase monies into your lawyer’s client account.
3. Upon receipt of your documents and balance of purchase monies, exchange and completion can take place. Your lawyer will then attend to all registration formalities with the Land Registry. Omitting delays, the purchase process is scheduled to take no longer than 28 days from the point of reservation.

About the leaseback
Exit strategy options A leaseback arrangement is a financial transaction whereby a seller of an asset (the developer) leases back the same asset from the purchaser (you).
The operator, MBi Social Care in this case, assumes all responsibilities for the day-to-day running of your unit and for all costs.
Unlike a traditional buy-to-let, you are not responsible for: monthly property management fees, property maintenance, refurbishment, or any tenantrelated issues, including vacant periods that may result in a loss of earnings. This opportunity provides a hands-off, hassle-free, income-generating asset.
Exit strategy options
As with any purchase, you should be made aware of any exit strategies. Through our unique structure, we are able to offer you multiple exit strategies:
In the short-medium or medium-long term, an assured buy back can be initiated whereby we will purchase the unit back from you at the relevant value increase percentage of the full purchase price.
You have the option to sell your unit on the open market at any given point providing all outstanding developer-deferred payment is cleared at the point of sale.
Should the developer initiate the freehold sale of the facility to an external operator at any point from your exchange process, you will receive your full term buy back 125% fixed agreement.

Located on the Hartlepool Headland, Oakesway is charmingly set near the historic natural bay and rich maritime tradition of the north sea coastline.
Originally operating as a general care home, the property is to be transformed into a 70-bed care community through a schedule of refurbishment and expansion, providing services to both the local authority and private individuals.
Opening as a dementia specific nursing facility with end-of-life provision, Oakesway’s rooms and communal areas are to be enlarged to exceed the UK Government sizing guidelines and will also include additional assistive and wellbeing technology.
To further enhance and improve the environment, the surrounding gardens are to be specifically designed and landscaped with the dementia resident in mind.
This care facility offers an exceptional buy-to-let purchase opportunity, delivering an annual rental income of circa 10% over 10 years. Choose from a £75,000 full cash input option or the developerdeferred payment facility which reduces your cash input to £50,000, both options include an assured developer buy-back to deliver exceptional ROI.

  • Circa 10% rental return
  • £25,000 developer-deferred facility
  • Buy back with assured short-medium or medium-long term exit strategy
  • Totally hands-off income generating asset

Oakesway is located within Hartlepool, Durham in the North East of England.
The number of older people (aged 65 and over) in the borough is estimated at 15,100 and is expected to rise to 22,100 by 2030. The sharpest rise will be in older people aged over 85 years where the numbers are expected to nearly double from 1,700 in 2011 to 3,200 in 2030 1. It is this age group that has traditionally been the heaviest users of care and support services.
The majority of people living in residential or nursing homes are permanent; a sizeable number of older people already living in care homes may live for another 10 to 15 years. With an increase in elderly people in the population and those already elderly living longer, this is expected to put an added pressure on local services and generate additional demand for new care facilities.

Key Indicators

  • It is predicted that there are 976 people in Hartlepool with dementia
  • The number of people with dementia in Harlepool is set to increase by 60% to about 1,600 in 2030 1
  • Dementia specific care is a key priority for commissioning services and support
  • Care for the older population is already generating an income of £14.5 Billion for the UK economy every year and demand is expected to continue to grow

£75,000 - Full cash input
By purchasing with a full-cash input option, you benefit from an annual rental income being paid from year 1 onwards. The first year’s return is paid within 28 days of completion. Years 2-10 are paid annually in arrears.
How the return is calculated and paid Cash input £75,000 x 10% = £7,500 x 10 years = £75,000
Year 6 exit
Buy-back option at year 6 = £86,250 (115%) ROI = (Buy back £86,250 + Cash rental income £45,000 - Initial cash input £75,000) ÷ Initial cash input £75,000= 75%
Year 10 exit
Buy-back option at year 10 = £93,750 (125%) ROI = (Buy back £93,750 + Cash rental income £75,000 - Initial cash input £75,000) ÷ Initial cash input £75,000= 125% ROI: Return on investment.

Year Rental income(circa 10%)
1 £7,500
2 £7,500
3 £7,500
4 £7,500
5 £7,500
Total £45,000
Year 6 exit
Buy back @ 115% £131,250
Less cash input £75,000
Cash received over and above initial cash input £56,250
ROI: 75%
Year Rental income(circa 10%)
7 £7,500
8 £7,500
9 £7,500
10 £7,500
Total £75,000
Year 10 exitt
Buy back @ 125% £93,750
Total purchaser returns £168,750
Less cash input £75,000
Cash received over and above initial cash input
ROI: 125%

Based on a 10-year period this purchase opportunity gives you the additional benefit of an assured short-medium or a medium-long term exit strategy for greater flexibility

£50,000 - Developer-deferred facility
By purchasing with the developer-deferred option, you are able to offset your total capital outlay from £75,000 to £50,000 by deferring £25,000 against your annual rental income

Year 6 exit
In Years 1-3, you receive 10% of the cash input value (£50,000), giving you a fixed return of £5,000. We then draw down £5,000 each year for the deferred amount. In years 4-6, you receive 10% of the purcahse price (£75,000), giving you a fixed return of £7,500. We then draw down £1,429 each year for the deferred amount.
Fixed rental returns £37,500 – deferred balance £19,287 = £18,213
Year 10 exit
In Years 1-3, you receive 10% of the cash input value (£50,000), giving you a fixed return of £5,000. We then draw down £5,000 each year for the deferred amount. In years 4-10, you receive 10% of the purcahse price (£75,000), giving you a fixed return of £7,500. We then draw down £1,429 each year for the deferred amount. Fixed rental returns £67,500 – deferred balance £25,000 = £42,500
Buy back at year 6 = £86,250 (115%)
ROI = (Buy back £86,250 – Outstanding deferred facility balance £5,713 = £80,537 + Cash returns £18,213 – Initial cash input £50,000) ÷ Initial cash input £50,000 = 97.50% ROI: Return on investment.
Buy back at year 10 = £93,750 (125%)
ROI = (Buy back £93,750 + Cash returns £42,500 – Initial cash input £50,000) ÷ Initial cash input £50,000 = 172.50% ROI: Return on investment .

Purchase price £75,000
Client cash input £50,000
Reservation fee £500
Assured tenancy period 10 years
Balance of cash deposit £49,500
Income circa 10%
No. years cash deposit 3
No. years full purchase price 7
Year Rental income (circa 10%) Developerdeferred facility repayments Balance of client rental income Developerdeferred facility balance
1 £5,000 £5,000 £0 £20,000
2 £5,000 £5,000 £0 £15,000
3 £50,000 £5,000 £0 £10,000
4 £7,500 £1,429 £6,071 £8,571
5 £7,500 £1,429 £6,071 £7,142
6 £7,500 £1,429 £6,071 £5,713
Total £37,500 £19,287 £18,213
Year 6 exit
Buy back @ 115% £86,250 -£5,713
Total purchaser returns 6 yrs £104,463
Less cash input £50,000
Cash received over and above £48,750 £ROI: 97.50%
initial cash input
7 £7,500 £1,429 £6,071 £4,284
8 £7,500 £1,429 £6,071 £2,855
9 £7,500 £1,429 £6,071 £1,426
10 £7,500 £1,426 £6,074 £0
Total £67,500 £25,000 £42,500
Year 10 exit
Buy back @ 125% £93,750
Total purchaser returns 10 yrs £136,250
Less cash input £50,000
Cash received over and above £86,250 ROI: 172.50%
iinitial cash input

We believe that by taking our time to listen to your needs, we are able to establish a full client profile for you. We can then confidently confirm whether Oakesway is the right opportunity for you.
It is also assuring to note that should this opportunity not completely suit your needs, we will not push you into making a decision that you are not comfortable with, purely to close a sale.
A purchase has to be 100% right for you or we will not proceed.
1. Your sales consultant answers your questions while guiding you through every aspect of this buy-to-let opportunity and recommends a unit for consideration. On acceptance, you receive a reservation form and are asked to make a £500 payment to reserve the unit. Within 7 days, you are required to send us your certified identification documents along with source/ proof of funds for the unit to be secured and assigned to you.
2. The contracts are issued to your lawyer for review. You and your signatory witness then sign the contract and return it to your lawyer using a secure, signed-for delivery service. At the same time, you pay the outstanding balance of purchase monies into your lawyer’s client account.
3. Upon receipt of your documents and balance of purchase monies, exchange and completion can take place. Your lawyer will then attend to all registration formalities with the Land Registry. Omitting delays, the purchase process is scheduled to take no longer than 28 days from the point of reservation.

About the leaseback
Exit strategy options A leaseback arrangement is a financial transaction whereby a seller of an asset (the developer) leases back the same asset from the purchaser (you).
The operator, MBi Social Care in this case, assumes all responsibilities for the day-to-day running of your unit and for all costs.
Unlike a traditional buy-to-let, you are not responsible for: monthly property management fees, property maintenance, refurbishment, or any tenantrelated issues, including vacant periods that may result in a loss of earnings. This opportunity provides a hands-off, hassle-free, income-generating asset.
Exit strategy options
As with any purchase, you should be made aware of any exit strategies. Through our unique structure, we are able to offer you multiple exit strategies:
In the short-medium or medium-long term, an assured buy back can be initiated whereby we will purchase the unit back from you at the relevant value increase percentage of the full purchase price.
You have the option to sell your unit on the open market at any given point providing all outstanding developer-deferred payment is cleared at the point of sale.
Should the developer initiate the freehold sale of the facility to an external operator at any point from your exchange process, you will receive your full term buy back 125% fixed agreement.