The proposition is for an investor to purchase an individual long stay airport parking space that is leased back and managed on your behalf by a well established airport parking company with over 20 years experience.
Traditionally, airport car parking provides higher yields than other traditional ‘buy-to-let’ investments. The scale of popularity and the rise of interest in car park investments are exemplified by the global market size, which is estimated by Colliers to be worth $12.6 billion.
Entry Point
From £20,000 per space
Location
Purpose built long stay secure airport parking, close to Glasgow International Airport
Strong management team
Park First and their management team have over 20 years experience in operating purpose built car parks within major northern city centres and around international airports. Park First has a unique USP in being the first to release affordable investment into airport car parking within the United Kingdom
25% immediate growth
As a Park First investor you will receive a 25% rise in capital growth from day one on the asset value. Current RIC’s (Royal Institute of Chartered Surveyors) valuations are available to download from our investor website: parkfirst.com, these current valuations show a realisable 25% increase in value over and above the investor purchase price paid.
Cutting edge technology
Park First has introduced Automatic Number Plate Recognition (ANPR) systems, online booking facilities, on-site vehicle valeting along with meet and greet services to name but a few state of the art car parking services. Borrowing from our experiences in business centres (Businessfirst.co.uk) and self-storage developments (Storefirst.co.uk), Park First offers perks and benefits which one would never normally expect within the car parking industry.
Purchase multiple spaces
Although our parking spaces can be purchased from only £20,000 per space, many clients will typically purchase multiple parking spaces. Our average client’s investment is now around the £60,000 mark. Multiple parking spaces can be purchased using one land registry title deed, this saves on completion costs on larger property portfolios.
6 Year Lease
A 6-year leaseback of the car parking space(s) will be in place upon completion. This guarantees rental income for the first two years at 8% net per annum. Projected returns rise to 10% in years 3&4 and then to over 12% in years 5&6. By agreement, the investor and Park First can call for the lease to be ended on the second and fourth anniversaries should they wish to do so, eg. For re-sale purposes.
Developer Buy Back option
The investor may ask Park First Ltd to buy back the parking space after five years (subject to conditions). Park First Ltd will pay the investor the same price as the investor paid initially. This is a safety mechanism designed for extenuating circumstances for example; death, incapacity, financial difficulty etc.
SIPP Approved Commercial Property Investment
Her Majesty’s Revenue & Customs in the UK states certain types of investment are suitable for inclusion in Self-Invested Personal Pensions (SIPPs). Immovable commercial property containing no residential element is suitable for SIPP investment. The parking spaces are an immovable commercial property containing no element of residence. It’s estimated that over £10 million worth of UK parking spaces have already been acquired by SIPP’s within 2013, administrated by several different SIPP providers.
Resale Strategy with 25% projected profit
At the investor’s request, Park First will re-sell their parking space at anytime (subject to a 5% resale fee). Park First will market the parking space at a minimum 25% above the initial purchase price to potential owner-occupiers, business users and other investors
No VAT
Park First’s investors are not obliged to charge VAT to their tenants (under current UK law) unless their income from the rentals exceeds the threshold (currently £79,000 p.a.), whereas the large national car parking companies must charge VAT. This way the investor is always able to offer tenants a lower and more attractive rental deal. Park First parking spaces do not attract VAT on the purchase price, saving our investors 20% tax (at the current VAT rate) off the initial investment
Fast Growing Asset Class
Glasgow Airport is expanding rapidly and will require over 17,000 parking spaces by 2020 (only 2700 spaces existed in 2011 *BAA). Park First is proud and excited to be in the unique position to release the first genuine, gilt edged, low entry level airport parking investment available anywhere in the world. For a limited period only.
For more information or to request a brochure, please contact us