Why invest in our car parks
• Car parks are an ideal form of investment for someone who is looking for a good annual return, with the security of an asset-backed investment. A regular income is offered at an attractive rate. This is typically between 7.5% and 9.5%.
• Returns offered on other investments are currently very low. Banks are currently offering around 1.5%.
• Land based investments are more secure as you always know where your investment is. You can visit it at any time.
• No involvement is required, as an experienced management team is in place to run the car parking business on behalf of all of the investors. Sit back and simply receive the profits.
• This is a low risk investment. Car parks are needed and will continue to be needed in the long term. The population is always growing, and urban areas are being developed meaning more cars and less space.
• There are 31.7 million cars on the road in the UK today. This number has always grown, year after year. It is reasonable to expect that this number will continue to increase for the foreseeable future.
• Land is becoming more scarce. Britain is an island, there is no more land being created. As the population continues to increase and more development takes place, space in urban areas is reducing and values are at a premium.
What does a car park investment look like?
There is a standard and recognised format for a car park investment. Investments such as this have been successfully operating for a number of years, giving an established history for this type of alternative investment.
A typical example is given here for illustration purposes.
1. We identify and purchase a three acre site for sale within two miles of a popular airport. It must have good access roads, the possibility of conversion to an open car park and the potential of being a fully secured site.
2. One acre can typically hold 150 car parking spaces on a single level car park. We submit designs and apply for planning for a car park with 450 spaces as the site consists of three acres.
3. Planning is granted and we start developing the car park.
4. We offer 450 spaces for sale to investors.
5. The car park opens for use. The management team runs the business, and ongoing marketing is put in place to build the business.
6. At the end of each business year, the profit is redistributed to the investors. 1/450th of the profit will be allocated to each parking space as there are 450 parking spaces generating income. For example, someone with 90 spaces will receive 20% of all of the profits. This typically gives a return of 7.5% to 9.5% per annum.
7. The investor owns car park spaces which have a value. The investor receives a regular annual income.