high yield property investment by adavo

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Iconic Buildings.
Character buildings that stand the test of time.

Our model is simple at heart. We look for grand old buildings, ideally Grade II listed, that have the potential to offer a ‘wow’ factor both inside and out. This is the first stage of creating a USP within a competitive market. We want to create workspace, boardrooms and conference facilities that will be a talking point and leave a lasting impression for those who visit. Ornate features, stunning architecture and victorian proportions lend themselves to creating great workspaces.

Truly design-led workspace starts with the building itself. We look for landmark buildings that are part of the local community. Town Halls, court houses and there ilk are often immediately recognisable to locals and carry an emotional attachment that is hard to replicate in new build construction. We are building a portfolio of iconic local landmarks that sit at the very heart of their local towns and communities.

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In Moderate Disrepair.
We aim for buildings that are unloved but not derelict.

Each building we consider must be somewhere close to working order. Ruins are no use to us nor our investors as the capital expenditure is too high and often those projects take too long to deliver with a high degree of risk. We renovate each property to adds value and this works best when there is some existing infrastructure to work with. Adavo has in-house teams that renovate our properties which has the benefit of more control, oversight of work programmes and a cheaper delivery cost. The renovations also reduce maintenance costs going forward because the materials used are high quality and designed to be durable.

High quality renovations mean that the properties will let quickly year on year. The renovation standard lays the foundation for the long term facilities management that will determine whether the project thrives or stagnates.

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Buy at a Good Price.
Then make the asset intrinsically more valuable.

In property the purchase price is one of the most important factors in determining whether or not the deal will work over the long term. Get the purchase price wrong and the project will struggle under the weight of a high debt burden. If you buy a property at a great price it is the best way to secure your profitability. It gives you a 'margin of safety' from the effects of the wider market whilst making it difficult to lose money.

We secure good deals by only buying in cash. Cash on account lets us prove funds quickly and means that there is no mortgage lender to drag the buying process out. With cash in place a property can be identified and acquired quickly which lets us lock in deals that fit our criteria. Adavo has a reputation for buying quickly and following through on our agreements. This helps with sourcing because people bring great deals to us. Our reputation for buying is a key asset.

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Look for Good Parking.
Free & ample parking helps to support conferencing and keeps occupancy rates high.

It remains the case that one of the most important determining factors when choosing a working location is parking. Business centres and conference venues need to have on-site parking and ideally good public overflow when required. Poor parking means people several interested parties will end up choosing somewhere else to work from. This single factor can mean the difference between a 70-80% occupancy rate and 90-100%.

In the city centres the parking is less of an issue, as it is implicitly accepted that parking is likely to be constricted, but in the suburb locations outside the main city centres the benefit of free, ample parking is a must.

Ultimately the aim is to be disciplined and stick to these criteria for each building. Ideally we’re looking for all main criteria to be well evidenced in every building we operate.

high yield property investment by adavo