As a property development and investment company, our experience has helped us perfect how to maximise returns by spotting the marginal gains which other property developers often miss. We successfully transform property development opportunities into higher yields and margins on cost faster than many others in the industry. Our proven techniques allow us to achieve the maximum possible risk-adjusted return on all of our property development projects.
Our process starts with the ability to discover opportunity. With our experienced team and intricate knowledge, our network enables us to filter through more than 500 properties every month before selecting up to 10 potential developments for detailed due diligence.
Our financial models are highly detailed which highlight our expected level of return and the potential risk involved – a cap we strictly adhere to.
WHAT WE LOOK FOR:
Once agreed upon a project, we are able to move incredibly quickly which is what provides us with such a competitive edge over most property developers in UK and why we are one of the UK’s fastest growing property development and investment companies.
Browntree Properties purchase properties via dedicated SPV’s (Special Purpose Vehicles). The structure reflects the agreed profit share, with investor funds covering immediate upfront expenses such as the initial loan and building works.
As with most luxury property developers, we tend to refinance our developments at preferential rates through traditional finance once the first few units are built or once detailed planning has been passed and substantial value has been added.
We also joint venture with 3rd party property developers, allowing us to take on larger projects in addition to purchasing outright or provide funding for smaller projects.
HOW WE MINIMISE OUTLAY:
We have a respected track record of our ability to strip properties back at a high speed and re-build them in a uniquely efficient format. Space is created and the price per square foot inevitably increases to boost the resale value of the unit and interim rental yields.
We focus on properties with an existing residential element or that benefit from Permitted Development (PD) rights, simplifying planning permissions whilst applications are made to add more residential units.
We believe we are leaders amongst UK property developers in turning projects around fast and to the very highest standards (small projects within a matter of months and large-scale projects within 3 years owing to the intricacies of local planning requirements).
HOW WE IMPROVE A PROPERTY:
We always structure our investments to be as tax efficient as possible, utilising tax breaks such as entrepreneurs’ relief.
Before we sell a completed development, we rent it to optimise its profitability, using a unique model to achieve greater rental returns with a lower risk of vacancy, default or damage that many property developers in UK experience.
HOW WE ACHIEVE HIGH YIELDS:
Different levels of risk offer varying returns, with margins normally on cost in excess of 25% for refurbishments, 35% for construction and 45% for planning.
Investors fund the deposit, purchase costs such as legal fees and stamp duty, and initial build and debt servicing costs. In return they receive a priority return (paid on a pro-rata basis as required) plus a share of the remaining profits – weighted in our favour if we are paying a higher priority return or if we are required to guarantee the debt package.
In the fixed return model the investor receives returns with the benefit of a second charge on the asset(s) we acquire for them. The fixed return varies depending on the level of risk. Full planning/development risk attracts a higher return than simple investment risk in income producing assets.
Investors with Browntree Properties can expect to receive their initial investment plus final share of the profits within two to three years. We are often able to return a proportion of this much earlier, however, by completing and refinancing/selling of the property development in stages.
No investment of any nature can be guaranteed, but we can transparently state that we have consistently delivered exceptionally high returns and are able to provide personal/corporate guarantees to add security to our investments. Our exceptionally exciting pipeline of projects include both residential and commercial investment opportunities that many property developers in UK would gladly add to their own portfolios.
HOW WE CATEGORISE RISK:
Our process starts with the ability to discover opportunity. With our experienced team and intricate knowledge, our network enables us to filter through more than 500 properties every month before selecting up to 10 potential developments for detailed due diligence.
Our financial models are highly detailed which highlight our expected level of return and the potential risk involved – a cap we strictly adhere to.
WHAT WE LOOK FOR:
Once agreed upon a project, we are able to move incredibly quickly which is what provides us with such a competitive edge over most property developers in UK and why we are one of the UK’s fastest growing property development and investment companies.
Browntree Properties purchase properties via dedicated SPV’s (Special Purpose Vehicles). The structure reflects the agreed profit share, with investor funds covering immediate upfront expenses such as the initial loan and building works.
As with most luxury property developers, we tend to refinance our developments at preferential rates through traditional finance once the first few units are built or once detailed planning has been passed and substantial value has been added.
We also joint venture with 3rd party property developers, allowing us to take on larger projects in addition to purchasing outright or provide funding for smaller projects.
HOW WE MINIMISE OUTLAY:
We have a respected track record of our ability to strip properties back at a high speed and re-build them in a uniquely efficient format. Space is created and the price per square foot inevitably increases to boost the resale value of the unit and interim rental yields.
We focus on properties with an existing residential element or that benefit from Permitted Development (PD) rights, simplifying planning permissions whilst applications are made to add more residential units.
We believe we are leaders amongst UK property developers in turning projects around fast and to the very highest standards (small projects within a matter of months and large-scale projects within 3 years owing to the intricacies of local planning requirements).
HOW WE IMPROVE A PROPERTY:
We always structure our investments to be as tax efficient as possible, utilising tax breaks such as entrepreneurs’ relief.
Before we sell a completed development, we rent it to optimise its profitability, using a unique model to achieve greater rental returns with a lower risk of vacancy, default or damage that many property developers in UK experience.
HOW WE ACHIEVE HIGH YIELDS:
Different levels of risk offer varying returns, with margins normally on cost in excess of 25% for refurbishments, 35% for construction and 45% for planning.
Investors fund the deposit, purchase costs such as legal fees and stamp duty, and initial build and debt servicing costs. In return they receive a priority return (paid on a pro-rata basis as required) plus a share of the remaining profits – weighted in our favour if we are paying a higher priority return or if we are required to guarantee the debt package.
In the fixed return model the investor receives returns with the benefit of a second charge on the asset(s) we acquire for them. The fixed return varies depending on the level of risk. Full planning/development risk attracts a higher return than simple investment risk in income producing assets.
Investors with Browntree Properties can expect to receive their initial investment plus final share of the profits within two to three years. We are often able to return a proportion of this much earlier, however, by completing and refinancing/selling of the property development in stages.
No investment of any nature can be guaranteed, but we can transparently state that we have consistently delivered exceptionally high returns and are able to provide personal/corporate guarantees to add security to our investments. Our exceptionally exciting pipeline of projects include both residential and commercial investment opportunities that many property developers in UK would gladly add to their own portfolios.
HOW WE CATEGORISE RISK:
INTERESTED IN OUR WORK MODEL?
We offer a number of opportunities aimed at both institutional and private investors. Simply complete the form below and a member of the team will get in touch.
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