Investment Analysis

LCP provides an in-depth financial analysis of each property recommended for purchase. This looks at all stages of the investment from selection through to letting and management.

Acquisition and establishment costs, such as refurbishment, furnishing, professional fees and taxes are projected. These are considered alongside ongoing expenses such as running costs and management fees, to ensure each property is a prime performer.

Gross returns will be in the region of 5-5.5% on capital expenditure (purchase price and refurbishment costs). Net returns (after ongoing property expenses) come in at around 3.5%.

Capital growth in London Central has been around 8.5% per annum on average, meaning the value of a property will double in just over 8 years. Most investors "gear up" as t here are tax efficiencies in doing so. This results in a higher return on equity invested, which can run at 300-400% over a ten year period.