delphselectbuilding better returns

Metalworks ApartmentsThe Jewellery Quarter, Birmingham

Welcome to Delph Select

Dear InvestorI am delighted to introduce Delph Select to Birmingham, a revolutionary service that takes the hassle out of property investment for the investor.

Delph Select offers investors annual income and long term capital growth, backed by guarantees and hassle free service. You simply leave the day to day management to us and sit back and receive your monthly income.

Delph Select is part of Delph Property Group, one of the UK’s largest private landlords with a portfolio of over 1000 investment properties. We have been specialising in the property market for

over 65 years. The most important lesson we have learned is that there are no get rich quick schemes.

However with a mid to long term outlook and an expert partner at your side we know that there is no better investment than property to provide better returns for you and your family.

Best regards

Howard Crocker Managing DirectorDelph Select

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Delph Select

Uncovering good investments can take months of careful research and analysis. We are in constant contact with Developers, Builders, Estate Agents and Banks throughout the UK ensuring that we are fully aware of all the latest investment opportunities.

Each investment property that we purchase goes through a rigorous and thorough due diligence process, ensuring a better return for us and our investors.

Financial security

Yield

Growth

The diligent way to invest in property

Unless we are equally confident of in all three of our criteria being met we will not proceed with the investment.

Our purchasing criteria are

Delph Select embraces the operational ethics of conservatism, caution and care which continue to support our success and the success of Delph Property Group.

Please note: The value of your investments can go down as well as up. In addition, your home may be at risk if you do not keep up repayments on your mortgage or any other debt secured on it.

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Our commitment to youAt Delph Select we have a continuous commitment to our investors. Our service is designed to make the process of buying and letting property easy and hassle-free so you can spend your time enjoying the return on your investment.

Due diligenceDelph Select uses the same rigorous vetting and due diligence procedure when buying for our investors as we do when buying for ourselves, ensuring security, yield and growth of the investment.

Deposit protectionYour 10% deposit, paid on exchange, is protected under an NHBC Buildmark Warranty (or similar scheme) ensuring your money is returned in the event the developer goes into administration.

Structural warrantyAll Delph Select properties have an NHBC (or similar scheme) 10 year structural warranty, which includes cover for latent defects within the first two years from completion.

Interest Earning Deposit SchemeOn selected apartments, Delph Select will allow deposits of up to 40% to be paid between exchange and completion. Delph Select will then guarantee a return at an agreed interest rate until completion. These deposit monies are held by solicitors as stakeholders and are not released to us until completion.*

Rental guaranteeDelph Select will guarantee your rent from ‘THE DAY OF COMPLETION’ for the first year. *

Stamp dutyWe will pay your stamp duty on properties priced up to £250,000. *

Solicitors feesDelph Select will contribute £400 towards your solicitor’s conveyancing fees when you purchase an investment from our portfolio. *

Hassle freeDelph Select works closely with Letting and Management specialists Complete RPI to ensure a hassle free service at competitive rates for our investors.

*Subject to terms and conditions, please ask for further details

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The financial returnsWhen investing in property, your return can be worked out in three different ways: the gross yield, the net yield and the cash yield (the return you get from your cash invested). The following illustrations show how much you could receive as a return on your initial investment if you purchase a new Metalworks apartments.

The return on your investment

Capital invested

Your cash investment £42,500 (25%) £68,000 (40%) £102,000 (60%) £170,000 (100%)

Mortgage required £127,500 (75%) £102,000 (60%) £68,000 (40%) £0 (0%)

Income received

1st year guaranteed rental income* £10,200 £10,200 £10,200 £10,200

* For Delph Select customers only

Costs

Mortgage payment 2.59%1 £3,302 £2,641 £1,761 £0

Letting & management fee 12% P/A £1,224 £1,224 £1,224 £1,224

Service charge P/A £854 £854 £854 £854

Ground rent P/A £300 £300 £300 £300

Return

Total income £10,200 £10,200 £10,200 £10,200

Total costs £5,680 £5,009 £4,139 £2,378

Annual profit £4,520 £5,181 £6,061 £7,822

Yield on your cash investment 10.6% 7.6% 5.9% 4.6%

Gross yield 6% 6% 6% 6%

Comparison

Cash ISA2 2.85%

Savings account3 2.85% Investment limit or lock-in period of up to 4 years

Annuity4 2% to 8% Fluctuates in line with long-term interest rates

Gilt5 2.97% Fluctuates in line with long-term interest rates

Based on buying a two bedroom, one bathroom apartment at Metalworks for £170,000 and let at £850 per calendar month.

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The capital growth of your investment

Capital invested

Your cash investment £42,500 (25%) £68,000 (40%) £102,000 (60%) £170,000 (100%)

Mortgage amount £127,500 (75%) £102,000 (60%) £68,000 (40%) £0 (0%)

Total £170,000 £170,000 £170,000 £170,000

After 5 years

Property value £197,077 £197,077 £197,077 £197,077

Increase in property value £27,077 £27,077 £27,077 £27,077

Gross return on cash investment 64% 40% 27% 16%

After 10 years

Property value £228,466 £228,466 £228,466 £228,466

Increase in property value £58,466 £58,466 £58,466 £58,466

Gross return on cash investment 138% 56% 57% 34%

After 20 years

Property value £307,039 £307,039 £307,039 £307,039

Increase in property value £137,039 £137,039 £137,039 £137,039

Gross return on cash investment 322% 202% 134% 81%

Please note: The value of your investments can go down as well as up. In addition, your home may be at risk if you do not keep up repayments on your mortgage or any other debt secured on it.

Based on 3% annual growth.

Sources as at 1st September 20141. virginmoney.co.uk - Virgin Tracker Interest Only Mortgage, available at time of print2. money.co.uk - Yorkshire Building Society 5 year fixed ISA3. money.co.uk - Investec 5 year Step Up bond4. FT.com - Annuity Rates table, based on £100,000 and across age ranges5. Bloomberg - 30yr UK Gilt yield

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Modern two bedroom apartments with secure parking available.

Located in Birmingham’s popular Jewellery Quarter.

Currently under construction.

Buy at today’s prices.

Strong rental demand.

Close to shops and transport facilities.

About the development

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The Jewellery Quarter is a designated conservation area and proposed World Heritage Site and is already a prestigious and highly desired part of Birmingham. It is experiencing further development as some of the old factories are converted into apartments, restaurants and shops. And it is only a short distance to all that Birmingham City Centre has to offer.

Metalworks is located in the heart of this historic district. It is currently the only new development of its kind in the area and will therefore encourage strong demand, capital growth and strong rental yields.

The jewel in the crown

GREAT HAMPTON ST

LIVERY ST

CAROLINE S T

NORTHWOOD ST

BROOK ST

COX ST

HALL

ST

KEN

YON

ST

KENYON ST

MARY ST

BRANSTON ST

SPENCER ST

TS E

SYV

HOCKLEY ST

AUGUSTA ST

MOTT ST

MOTT STHOWAR

D ST

WARSTONE LANE

WARSTONE LANE

ALBION ST

CLEMENT ST

EDWARD ST

POWEL

L ST

ARTHUR PL

POPE ST

CAMDEN ST

CAMDEN ST

SUMMER HILL TERRACE

VITTORIA ST

VITTORIA ST

FREDERICK ST

NEW

HALL H

ILL

NEWHALL ST

GEORGE ST

CHARLOTTE ST

FLEET ST

SUMMER ROW

PARADE A457

SAND PITS

LIONEL S

T

LIONEL S

T

GREAT CHARLES S

T Q’W

AY

WATE

R ST

REGENT ST

GRAHAM ST

HARFORD ST

BUCKINGHAM ST

CONSTITUTION HILL A 41

GRE

AT H

AMPT

ON

RO

W

LEGGE LANE

CAMDEN DR

ST PAUL’S SQUARE

GOLDEN SQUARE

ARGENT CENTRE

St Paul’s Church

St Paul’s

UniversityCollegeBirminghamCampus

BIADSchool ofJewellery

Pen Museum

The BlueOrange Theatre

JewelleryQuarter

The Universityof Law

UniversityCollegeBirmingham

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Shopping1. Artfull expression2. Braderie Vintage and New3. El dorado4. Geosia Weber Handmade5. GM Glass Design

Bars6. Actress & Bishop7. Après8. Stirlings9. The Jewellers Arms10. The Red Lion11. The Vaults12. Vertu Bar

Restaurants13. Andersons Bar & Grill14. Big Nanny’s15. Blue Nile16. Fleet Street Kitchen17. Itihaas18. Lasan19. The Drop Forge

Cafes20. 24 Carat Bistrot21. Deli Heaven22. Hylton Cafe23. Stan’s Cafe24. Urban Coffee25. Vee’s Deli

Essential services26. Dental Practice27. Medical Practice28. Post Office29. Tesco Express30. Barclays31. HSBC32. Lloyds Bank33. Police Station

Leisure34. Platinum Personal Training35. Fighting Fit City Gym36. Jam House37. Museum of the Jewellery Quarter38. RBSA Gallery39. St Paul’s Gallery40. Harris & Gibbs Hair

Jewellery Quarter amenities

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About BirminghamBirmingham is the largest city economy in the UK outside of London and has a growing reputation as an international business location.

Birmingham is in the heart of the West Midlands region and is the regional centre of government, business, education, retail and leisure. The city is home to numerous major employers, including Jaguar Land Rover, JCB, Kraft, Amey, Deloitte, Cadbury, Droplet and ASOS, which in turn initiates a continued demand for high quality accommodation for the corporate sector.

Birmingham’s population is projected to grow by 8% between 2011 and 2021, increasing the number of people living in the city centre by 53,000 to 1.14 million. The number of households is set to grow by 9% over the same period 4. Perhaps not surprisingly, Birmingham is the youngest city in Europe, with under 25’s accounting for nearly 40% of its population. 5

RegenerationBirmingham’s Big City Plan sets out how the city centre will be improved over the next 20 years. The plan identifies five key areas of development potentially worth £10 billion. The aim is to increase the size of the city core by 25%, improving transport connectivity throughout the seven ‘quarters’ that make up the city centre. It identifies how the city centre population will grow providing more than 5000 new homes and 50,000 new jobs and includes:

• 1.3 million sq m of new floor space, of which 700,000 sq m is for business, financial services, digital media, ICT and creative industries. It should create 40,000 new private sector jobs.

• Contributing £2.8 billion to the economy in GVA once the above growth is delivered. 2

• HS2, the £17 billion High Speed Rail link will reduce train journey times to London to from 70 to 40 minutes by 2026.

• £600 million redevelopment of Birmingham New Street Station Gateway is underway. Annual passenger capacity is set to increase to 52 million a year on completion.

• Birmingham is also served by a light rail system which will see a £129 million extension through the city centre by 2015. Over 96,000 people already use the Metro every week.

• The new £189 million Library of Birmingham opened in 2013, becoming the largest library in Western Europe.

• Work is in place for the £200 million expansion of Birmingham Airport.

RecreationBirmingham is the most visited English city outside London for European visitors1 and the eclectic mix of shops, from Selfridges to IKEA, helps Birmingham attract the second highest retail spend in England – totalling £1.6 billion in 2012. 1

The National Exhibition Centre (NEC) and International Convention Centre (ICC) host over 200,000 conferences and 320 exhibitions every year. 5

With over 8,000 acres of parks and open space, Birmingham is one of the greenest cities in the UK. 5

Balti cuisine is synonymous with Birmingham - over 100 balti houses, many of which can be found in the city’s famous Balti Triangle, attract over 20,000 visitors each week. 5

Birmingham has more Michelin-starred restaurants than any other English city outside London, with local stars Glynn Purnell, Luke Tipping and Richard Turner flying the flag for the city’s fine dining, which has been lauded by many national and international publications. 5

For over 250 years the city’s Jewellery Quarter has been a national epicentre for jewellery design – producing an estimated 40% of the UK’s jewellery. 5

Sources:(1) Birmingham toolkit(2) Businessbirmingham.com(3) Hs2.org(4) Knight Frank(5) Visitbirmingham.com(6) Estates Gazette

The property marketThe forecast for house price growth in the West Midlands is 7% nominal growth, but it’s likely that the central Birmingham market will outperform. 4

Housing need in Birmingham is massively outstripping supply, according to new projections from planning specialist Barton Willmore. It believes the city needs 153,000 new homes over the 2011-2031 period. With capacity of just 51,000 homes currently, Birmingham is facing a 101,900 shortfall.6

Birmingham’s population is set to grow by 8% between 2011 and 2021, boosting the number of people living in the city area by 53,000 to 1.14 million. The number of households is set to grow by 9% over the same period, however this will not come close to balancing the decline in new supply experienced over the last 7 years, which saw Birmingham’s delivery of new homes slow down by 74%: almost twice the national average of 42%. 4

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ASTONTRIANGLE

JEWELLERYQUARTER

ST GEORGE

COLMOREBUSINESSDISTRICT

ST CHAD

GUNSMITHSQUARTER

DIGBETH

JEWELLEJEWELLERRYYQQUUAARRTERTER

This circle represents approximately a 3 minute walk

CHARLOTTE ST

CHARLOTTE ST

BROOK ST

COLMORE ROW

UPPER DEAN ST

TEM

PLE

ST

DNE ELAD

CORPO

RATIO

N ST

NAVIGATION ST

THE PRIORY QUEENSWAY

CORP

ORA

TIO

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T

STEELHOUSE LN

MO

OR

ST Q

UEE

NSW

AY

HOLLOWAY HEAD

COMMERCIAL ST

SEVERN RD

PARK

ST

NEW

CA

NA

L ST

TS NEIDIREM

NEW ST

HILL ST

HIG

H S

T

SUFFOLK QUEENSWAY

HURST ST

TS E

ROHS

REP

HILL ST

GREAT CHARLES S

T QUEENW

AY

CORNWALL S

T

CAMBRIDGE ST

CLEMENT ST

ST VINCENT ST

LIONEL S

T

GEORGE ST

EDMUND ST

BARWICK ST

NEWHALL ST

PARADE

LIVERY ST

FREDERIC

K ST

NEW

HA

LL ST

ICKN

IELD

ST

GRAHAM ST

BULL ST

LLIH NOITUTITSNOC

SHADWELL ST

PRINCIP ST

ASTON ST

JENNENS RD

LUDGATE HILL

GAS STBERKLEY ST

SHEEPCO

TE ST

GROSVENOR ST W

EST

GRANVILLE ST

JAMES W

ATT QUEENSWAY

CORPORATION ST

ST CHAD’S QUEENSWAY

SAND PITS

KING EDWARD RD

SMALLBROOK QUEENSWAY

WARSTONE LANE

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New StreetInterchange

Chinatown

TheBullring

Arcadian

MarketsBirminghamCoach Station

Paradise CircusInterchange

Brindley Place

The Cube

The Mailbox

Broad Street

Paradise Circus

Selfridges

Moor StreetInterchange

Snow HillInterchange

JewelleryQuarter

St Paul’s

Bull StreetInterchange

Shopping1. The Bullring featuring Selfridges2. The Mailbox featuring Harvey Nichols3. Pavilions High Street4. The Great Western Arcade5. Piccadilly Arcade6. Burlington Arcade7. New Street High Street

Restaurants8. Opus9. Brindley Place10. Annexe11. The Karczma12. Warehouse Café13. Purnell’s14. Adams

Parks15. St Pauls Square16. Golden Square

Bars17. The Wellington18. The Old Joint Stock19. Post Office Vaults20. Brewdog21. Yardbird Jazz Club

Cinemas22. Cineworld23. Odeon24. Giant Screen Cinema, Millenium Point

Art Galleries & Museums25. RBSA Gallery, Brook Street26. St Paul’s Gallery, Northwood Street27. Turner Fine Art, Warstone Lane28. Museum of the Jewellery Quarter29. Birmingham Science Museum

Universities30. Aston University31. University College, Birmingham32. The University of Law33. Birmingham Metropolitan College

City amenities

EducationBirmingham has five universities - Aston University, Birmingham City University, University of Birmingham, University College Birmingham and Newman University College. 2

Birmingham has 78,000 students and produces 25,000 graduates each year. 2

In addition there are two major colleges of further education and 385 schools. 2

There are 15 universities within an hour of Birmingham with over 300,000 students and 100,000 graduates. 2

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Call us today 0800 0880 6080

www.delphselect.co.uk

delphselectbuilding better returns