Social Housing in partnership with Citygate
Empowering Lives, Building Futures: INVESTING IN HOPE FOR EVERY HOME
1
Facing The Housing Crisis
The United Kingdom is facing a profound housing crisis, characterised by a significant shortage of affordable and social housing. This crisis is multifaceted, impacting a wide range of individuals and families, particularly the most vulnerable in society. The root causes are complex and interlinked, involving economic, policy, and demographic factors.
2
Causes of Crisis
Supply and Demand Imbalance: The most fundamental issue is the imbalance between housing supply and demand. The UK has not been building enough homes to keep up with population growth and changing demographics. This shortfall has been accumulating over decades, leading to a significant gap.
Affordability: Even when housing is available, affordability remains a critical barrier. House prices and rents have been rising at a pace that far outstrips average income growth, making it increasingly difficult for many to afford suitable housing.
Reduction in Social Housing Stock: The stock of social housing has been in decline for years, exacerbated by policies such as the Right to Buy scheme, which has seen a significant number of social housing units sold off without adequate replacement.
3
Size of the Problem
Housing Shortage: It is estimated that the UK needs to build 300,000 new homes each year to meet current demand and address the backlog. However, current building rates are falling short of this target.
Homelessness and Temporary Accommodation: The number of people experiencing homelessness or living in temporary accommodation is a stark indicator of the crisis. Tens of thousands of households, including families with children, are living in temporary or unsuitable housing.
Waiting Lists: Over 1.2 million households are on waiting lists for social housing in England alone, highlighting the gap between the need for affordable housing and its availability.
Affordability Gap: The gap between average incomes and the cost of housing continues to widen, with many areas of the country experiencing house price-to-income ratios that make homeownership an unattainable dream for the average worker.
4
Conclusion
The UK’s housing crisis is a pressing issue that requires immediate and sustained action. The shortage of affordable and social housing and supported living is not just a matter of housing policy but a significant social challenge that affects the health, well-being, and economic prospects of millions of people across the country. Addressing this crisis is essential for building a more equitable, stable, and prosperous society.
City Gates Model
Step 1:
Property Acquisition
and Conversion
Investment Utilisation
Our Partners at Citygate strategically channels investor funds to identify and acquire large commercial & residential properties. This initial step involves a meticulous selection process, focusing on properties in locations conducive to living environments and with structures amenable to conversion.
Post-acquisition, these commercial spaces undergo a transformation process, where they are redesigned and refurbished into smaller, modern residential units. This conversion prioritises not only the optimisation of space and utility but also the creation of aesthetically pleasing and comfortable living environments. The design process considers factors such as natural light, privacy, communal areas, and energy efficiency, ensuring that the new residential units meet the high standards of contemporary urban living.
Maximising Potential
Step 2:
Government Collaboration
Partnerships
Social Impact
The residential units created through the conversions are specifically allocated to house vulnerable populations, including individuals and families experiencing homelessness or those in need of social housing and supported living. This direct approach not only alleviates the immediate housing crisis but also contributes to the long-term well-being and stability of these populations, fostering a sense of community and belonging.
A cornerstone of the model is the establishment of strong partnerships with government-backed agencies that specialise in social housing. These collaborations are built on mutual goals of addressing housing shortages and providing support for vulnerable populations. By working closely with these agencies, our partners at Citygate ensure a consistent and stable demand for the newly converted residential units, facilitating a seamless transition from commercial vacancy to vibrant living spaces.
Step 3: Sustainable Financial Returns
Revenue Generation
The partnerships with government agencies are structured to include budget allocations for housing, ensuring that Citygate receives a steady and reliable income stream from the occupancy of the converted units. This revenue model is designed to be sustainable over the long term, reflecting a commitment to both social impact and financial viability.
Investor Returns
The financial structure of the Citygate model is meticulously crafted to ensure that all expenses, including payments to property landlords, operational costs of the company, and maintenance of the residential units, are covered, while also providing attractive returns to investors. The model promises a 12.5-22.05% annual return on investment, for 3-5 years for partners. Offering a compelling proposition that combines financial growth with social contribution. This balanced approach to financial returns ensures that investors not only benefit economically but also have the satisfaction of contributing to a meaningful and impactful cause. We are also dealing with a vast proportion of retail clients and encouraging the community to build streams of income through property investment by educating them and guiding them through the process from start to finish.
Social Housing
Investment Opportunity
1 Unit Investment
Minimum investment per unit:
£13,500
Total Return:
£21,600
Payment Per Calendar Month:
£600
Per Anum ROI:
20%
Total Net ROI:
60%
Total Term (Months):
36
Grace Period (Days):
90
5 Unit Investment
Minimum investment per unit:
£65,000
Total Return:
£106,000
Payment (Quartly every 3 Months):
£9000
Per Anum ROI:
22.05%
Total Net ROI:
66.15%
Total Term (Months):
36
Grace Period (Days):
90
Social Housing Current Deals
We are excited to present a fantastic Rent To Social Housing opportunity in 13 unit block in Coventry, CV3.
This block of 13 units will be for vulnerable tenants in need of temporary accommodation.
By investing, not only are you able to support vulnerable individuals in need but also able to receive amazing returns.
