BH Properties

BH Property Investments is a UK-based firm focused on creating value for investors through strategic property acquisition and conversion. The company specializes in identifying residential and vacant commercial properties that are below market value. These properties undergo renovation and conversion into residential units, primarily offering Houses of Multiple Occupancy (HMOs) and blocks of flats. The firm ensures that all its properties are completed to high standards, aiming to deliver stable and secure rental income for its investors.

The company's investment strategy is designed to generate high-yielding returns for its clients. By carefully sourcing below-market properties and refurbishing them to a high standard, BH Property Investments aims to provide net returns that can exceed 7%, with some properties achieving net yields between 8% and 9%. A core aspect of the firm's offering is the provision of properties with no void periods, minimal repairs, and no direct management responsibilities for the investor. " BH Property Investments leverages the combined experience of its partnership, which includes a local Manchester property landlord with a portfolio of numerous properties and investment experience dating back to 1998.

The partnership also benefits from the expertise of a US investor with experience in building single-family homes, renovating apartment complexes, investing in land, and owning a licensed bridging company from the US. The firm possesses extensive experience within the Manchester investment property marketplace, a region it highlights due to its significant housing shortage and a population of three million people. The company notes that property prices in Manchester are recovering from 2008 levels and anticipates potential major appreciation due to infrastructure developments like the High Speed 2 (HS2) train line to London, which is projected to reduce travel times and potentially establish Manchester as a commuter community. A significant area of focus for BH Property Investments is the transformation of older properties in the North of England into social housing.

The company is actively involved in social housing HMO programs that are backed by the UK Government through appointed agencies, such as Serco Social Housing. These programs are structured to provide guaranteed rental income to property owners, paid via BACS regardless of whether the property is tenanted. The firm emphasizes that these properties undergo scheduled inspections, and maintenance costs are typically covered, excluding structural issues. The UK Government and local authorities are willing to support renovation costs and enter into long-term agreements, often spanning three to five years, which guarantee rent, eliminate voids, and cover management and maintenance.

This sector is identified by the company as one of the most profitable within UK real estate, driven by a "recession-proof" need for social housing. The company's approach to HMOs further enhances profitability by enabling properties to be rented by the room. These properties are delivered fully renovated and furnished, and their management is handled by UK Government-appointed agencies. The contracts for these social housing HMOs typically run for five years with no voids, and they include a maintenance allowance, boiler cover, and annual gas and electricity certificates.

Properties are regularly inspected and supervised, with a commitment to return them to investors in the same condition, allowing for normal wear and tear. This comprehensive service aims to provide a secure and hands-off investment opportunity within the UK's social housing niche.