Service Apartments - A good real estate investment? Business Articles | October 29 Cheap Fabio Borini Jersey , 2015
Service Apartments are fast becoming an alternative stay option for travellers in India. There is no debating the benefits to the end user - more space, less cost, higher flexibility & the feeling of staying at home. Developers have spotted the trend and there are many service apartment projects available to investors - so are they worth all the fuss? Some inside tips on how much returns one can expect from investment in apartments.
There has been a lot of focus of late on the hotel accommodation sector – emergence of new age options are squeezing the traditionally high end hotel sector. Consider the following statistics
Airbnb is now valued at more than any global hotel chain at close to USD 50 Bn 70% of international hotel travellers (according to OTA surveys) are open to service apartments, guest houses Cheap Davide Calabria Jersey , B&B and even home stays 85% of hotel travellers consider lack of space and higher sundry charges a put off for them – an average service apartment costs 40% less than a comparable hotel New projects in India
All this has hardly gone unnoticed by the real estate companies who are actively looking for higher yield options for their constructions. A sample of the projects under construction
Ascot has announced a USD 500 MM serviced residences project in Delhi NCR (Due 2017) Assotech announces pan India project for 500 apartments (Due 2018) DLF and other local players like Central Park are also launching studio apartments in the range of USD 100,000 (Due 2016) Ireo is launching 150 apartments in the year 2017 in Delhi NCR Perch Service Apartment has set up a professional asset management firm in Delhi NCR The cost of buying a serviced apartment in India
An average cost in a metro would be (Delhi NCR, Mumbai, and Bangalore)
Land cost – 60% Cheap Cristian Zapata Jersey , construction cost – 40%. Average price of 1 BHK = USD 150,000 – USD 200,000
Average cost in a non-metro would be
Land cost – 30%, construction cost – 70%. Average price of 1 BHK = USD 75 Cheap Carlos Bacca Jersey ,000 – USD 150,000 Running costs of a commercial chain Scale – There are benefits to having multiple apartments in one complex as well as having multiple locations. The operational costs reduce dramatically with scale – employee cost mainly. Branding – Branding offers apartments to charge premiums as well as the “network effect” of having a larger inventory on their books. Location – Serviced Apartments, not surprisingly, do well close to commercial and holiday destinations. They are better suited to locations where there many companies like in an SEZ or a commercial park Cheap Antonio Donnarumma Jersey , medical centre etc. Type – The type varies dramatically with the end user requirement. The choice between 1 BHK and 2 BHK is made looking at the end user profile – tourist, family, long stay? What are the return on investment?
The revenue model for an average apartment depends highly on the above factors. But the revenue from a USD 100,000 apartment can be in the range of USD 10 Cheap Andrea Poli Jersey ,000-USD 15,000. That is a “gross” return of 12-15% per annum. Keep in mind that better service apartment can make returns of upto 20% gross per annum.
Now the important part – getting to the net return. The major operating costs are employee and utility cost (electricity, property taxes, maintenance). These can safely be assumed to be 5-7% (being conservative). Hence the net returns will not exceed 8% per annum after costs. But given that current rental yields are only 2% after cost Cheap Andrea Conti Jersey , that’s a healthy 6%!
The big variable in whether you earn 10% gross or 20% plus is the marketing & sales, which can be a fairly tricky affair. Marketing costs are going up every year and the only way that one ensure a healthy rental yield is by having an effective marketing team – which is why going with centralized providers makes a lot of sense. There are a few professional asset management firms that can help maximize the returns from your investment. It substantially reduces the overheads of managing other complex aspects of the business like guest relations & facility management.?
Toyota Hilux Autos Articles | October 26, 2013 The Toyota Hilux is one of the veterans of the brand and is like the Land Cruiser is not negligible at the image of the durability of Toyota models involved.
He emphasized not least in a TV appearance on the iconic British motoring show "Top Gear". The editors tried unsuccessfully a veteran Hilux, to prevent a fire Cheap Andrea Bertolacci Jersey , blasting, Marine Park and several accidents on driving. The battered pickup jumped again and again and hobbled last on its own axis to the TV studio after he had also survived the demolition of a skyscraper on its roof.
Toyota Hilux vans for coarser than
We wanted to come down quite so hard the Hilux not - it also wanted to ask anyone to blow up his high-rise available. Therefore, we used the automotive workhorse as it is actually meant: as a vehicle for coarser in all ways. This is precisely what the Hilux is predestined in the Single Cab version. vile daily trips to the supermarket the other hand, are not his thing. The cabin houses two seats Cheap Andre Silva Jersey , there's room for purchases solely on the truck bed. Because although they fit right on prima 30 bags bark mulch, but two baskets of food slide around in the rain would only baseless and they cannot even place it there. Toyota offers for this kind of problem but quite beside other cars as well as the Hilux Double Cab or Extra with four doors and five seats.
Hilfe Engel - Forum
Thema drucken
04.01.2020 04:26
Antworten
