This week we're comparing apartments on the developments of Mill Green and The Westlands estate, ...
This week we’re comparing apartments on the developments of Mill Green and The Westlands estate, the former having a central location and the latter a suburban out-of-town placing.
We currently let apartments on Mill Green and on Hornby Drivewithin The Westlands, West Heath. One particular 2 bedroom apartment on Mill Green is currently renting for £550 with an estimated value of £170.723* and our Hornby Drive 2 bed is achieving £500 with a current estimatedvalue of £143,327*. This would give us a current return of 3.7%and 4.2% respectively.
On the face of it Hornby Drive would seem the better option. If we look at the bigger picture however in terms of location and layout of each apartment, it changes the perspective somewhat. The Mill Green apartment has two double bedrooms with an ensuite and main bathroom, whereas the second bedroom in the Hornby Drive is a large single with just the one bathroom.
From a commuting point of view the Mill Green development is better placed for access to the A34 and A536 roads making getting to Manchester and Macclesfield easier. From Hornby Drive you would have to contend with the traffic that seems to bottleneck around that area to get to the other side of the town.
Now for something worth considering for the shrewd investor. With an ageing population we are seeing an increase in the amount of retired tenants with acertain set of requirements: close to local shops and amenities, a bus stop and easy access to the apartment, i.e. a ground fl oor one or a block of apartments with a reliable lift. Typically these type of tenants want to stay for the long term – quite possibly until the end of their days – who want somewhere comfortable to live within a vibrant community and don’t want the hassle that comes with owning their own property. Mill Green is certainly ticking these boxes.
As an investor looking to maximise rental income, minimise void periods with less tenant turnover and have decent reliable tenants then they may want to consider Mill Green.