Oakland Care Home, Kenyon Lane, Moston, Manchester, M40

Overview

A freehold block of 24 self-contained apartments, 45 bedrooms in total, in North Manchester. Formerly operated as a care home and now let in full on a signed full-repairing-and-insuring (FRI) lease. The lease produces £650,000 per annum net on a social-housing basis, with the tenant responsible for repairs, insurance and voids, so day-to-day management sits with the tenant rather than the landlord.

Investment highlights

• Freehold block of 24 self-contained apartments, 45 bedrooms
• Signed FRI lease on a social-housing / supported-living basis
• £650,000 p.a. net contracted income, approximately 10.32%
• Tenant covers repairs, insurance and voids
• Long, contracted cashflow with repairs, insurance and voids on the tenant
• North Manchester regeneration area

Location & demand

Moston sits in the M40 postcode area of North Manchester, between Rochdale Road and Oldham Road. Newton Heath & Moston Metrolink stop is nearby on the Rochdale line, and the district sits within Manchester’s northern regeneration area, where sustained public and private investment is lifting demand for housing across every tenure.

North Manchester’s need for self-contained supported accommodation is strong and structural. Registered providers and supported-living operators compete for blocks of self-contained units close to transport and services, and 24 apartments totalling 45 bedrooms under a single freehold is a rare lot in this market. The FRI lease on a social-housing basis puts repairs, insurance and voids with the tenant, so the contracted £650,000 a year arrives without day-to-day management.

The numbers

Asking price	£6,300,000
Passing rent	£650,000 per annum net, contracted
Net yield	Approximately 10.32%
Tenure	Freehold
Units	24 self-contained apartments, 45 bedrooms
Lease	Signed FRI, social-housing / supported-living basis. Term to be confirmed