Ático Mercado Central
Closed for investment
Information about the apartment
We were looking forward to coming back to one of our favorite cities, (Alicante) and we are delighted to do it with a fantastic penthouse that our guests will fall in love with.
The real estate market is booming and it is getting very hard to find good opportunities at this price.
We are getting this opportunity at a fantastic price as we are not buying just the penthouse but the whole building. Both apartments will be listed in Brickstarter and buying the whole building will let us get both apartments at a cheaper price in terms of price per square meter. We will also be able to get the vacation rental license as you can only get the license if you own the whole building in this part of the city. Once again, we have scanned the whole market to bring you the best investment opportunity!
Furthermore, having these two apartments in the same building will make it easier to increase our occupancy rate, as we will be able to rent both of them to larger groups that pay a higher rate per person.
This first listing, the penthouse, has some of the most demanded characteristics for both short-term, mid-term, and even long-term rentals. It is a 3 bedroom and 3 bathroom apartment with a large kitchen and a huge terrace. It is a large apartment, with a perfect location, close to downtown, Santa Barbara Castle, the Postiguet beach, Central Market, and the bullring.
It has an astonishing terrace where our guests will enjoy the fantastic Spanish weather, with a glass of wine and even a nice barbecue.
Why invest in this apartment?
- Acquisition price: With a 23% discount compared to current market prices
- Vacational license: By owning the whole building we will get the licenses!
- Polivalent: For short-term, mid-term and long-term rentals.
- Huge potential: Adding value with license, acquisition price and future revenues.
- High IRR: Close to 9%
The main reasons we think it is an excellent investment are:
- Price: 977 euros per square meter is 23% cheaper than the current market price. The average price per square meter is 1259 euros for apartments that need to be renovated.
- Tourist License: Despite being outside the historic center, we can obtain our vacation rental license since we will control the entire building. This will add even more value to the property as you can only get a license downtown, where the price per square meter is 2529 euros.
- Condition: The property is almost new since it was built in 2015.
- Versatility: This property is perfect not only for short-term rentals but also for mid-term and for long-term rentals, as it is a three-bedroom and three-bathroom property with a huge terrace and a nice living room.
- We are buying the whole building, being the other apartment a large studio with also a nice private patio that will be also very demanded. Buying the whole building will let us sell both properties to institutional investors who are usually only interested in buildings. The whole building can be split into three individual apartments, and we can even build an extra floor according to the local law (we are not doing that but it definitely adds value)
- Location: the location of the property is excellent, very close to the historic center, and the main points of interest in Alicante. It is just 8 minutes walk from the historic center according to google maps. The main walking distances are:
- Central Market: 5-minute walk
- Historical Center: 8-minute walk
- San Juan neighborhood: 10-minute walk
- Town Hall Square 15-minute walk
- Postiguet Beach: 19-minute walk
- Purchase price of the property (including renovation) 137.500,00 €
- Mortgage 0,00 €
- Cost of initial works 20.000,00 €
- Taxes, paperwork and other initial legal costs 0,00 €
- Company Constitution and Registration 0,00 €
- Other property acquisition costs 1.512,50 €
- Other expenses 0,00 €
- Minimum cash 600,00 €
- Brickstarter Fees (Only purchase) 9.620,26 €
- Total 169.232,76€
- Yearly rent income 16.568,15 €
- Amount to be received for the sale 194.617,67 €
- Gross Margin (Sale Price - Purchase Price) 15 %