A Whole Tower Block For Sale In Coventry.

[TheCountOfNowhere]

Well, I think it's the whole block.

http://www.rightmove.co.uk/property-for-sale/property-54778763.html?premiumA=true

A BTlers dream.

Studio flat for sale Caradoc Hall, Caradoc Close, Coventry, West Midlands

Guide Price £4,200,000

52 x Studio
50 x 1-bed Flats

Aprox 41K per unit.

Bargain.

Now, dont all rush.

This single listing for me says....TIME TO GET OUT.

[Snugglybear]

Been digging.

This from an older listing on Rightmove - "The block was built in 1965 by Coventry City Council. In 1985 the block was sold to Coventry University and used as housing for students until it was privately purchased in 2007."

This from the Coventry Telegraph in 2010 http://www.coventrytelegraph.net/news/coventry-news/estate-agent-bought-rundown-coventry-3066842 (sorry, can't get rid of the embedded word "Advertising" and accompanying space)

ADVERTISING

""A FORMER estate agent who was shocked by the state of a Coventry block of flats ended up buying them himself – for a whopping £2 million.

David Frew was looking to invest in rental properties, but never dreamt he’d end up buying so many flats.

But when he saw the extent of the problems at rundown Caradoc Hall, in Caradoc Place, Wyken, he knew he could improve conditions at the mostly empty block, which had been a magnet for vandals and antisocial behaviour.

He bought 88 of the flats with bank loans and support from his friend and business partner Rebecca Green at a London auction in December 2008.

He then brought in workers to carry out a mammoth year-long cleaning and refurbishment operation, gutting the flats and replacing carpets, kitchen units, gas cookers, showers and heating systems. Walls in some of the flats were also knocked down to create bigger rooms.

The 38-year-old, of Brownsover, Rugby, said some flats were full of litter, drug paraphernalia and pigeon droppings.

He said: “In some of the flats that had no heating kids had thrown parties. To keep warm they would rip the curtains off and set them on fire.

“There were floors of flats that no-one could possibly live in because there was no heating, toilets and sinks had been smashed up, doors had been kicked in.

“And then we had a major problem with the pigeons. Windows were open in empty flats and pigeons were just flying into the rooms.”

He has installed CCTV cameras and issued key fobs to tenants to prevent trespassers entering the building.

He added: “I wanted to make the flats a safe place to live. I’ve discussed with other flat owners about the problems of security and they all agree that the key fobs are a good idea. We also meet regularly and discuss any changes that are made.

"We’re also working with police to help keep the area free from antisocial behaviour.

"There were only 20 people living in this massive block of flats and now all of our flats are occupied.

“I studied at Coventry University and I know the area very well.

“I knew of the problems of anti-social behaviour in the area and wanted to make a change.

"After buying them we knew we had our work cut out for us but it’s been incredible thanks to the help of our plumber and the other teams we’ve used.”

David, who is now concentrating on the project as a full-time business, has already made plans to buy an extra 14 flats and wants to set up a community room for tenants. The remaining flats are privately owned."

Problems don't seem to have stopped completely, though. This from the BBC in January 2012

"A man has been arrested in connection with flooding at a block of flats in Coventry.

Almost 200 people were evacuated from Caradoc Hall, in Henley Green, on Friday after part of a copper water mains pipe was stolen.

Residents returned to the flats on Tuesday night after being accommodated in local hotels.

Police said a 47-year-old man, arrested on suspicion of criminal damage, had been bailed pending further enquiries.

Flooding started on the 12th floor of the 16-storey flats at about 16:00 GMT on Friday.

It caused damage throughout the block and started a small electrical fire on the ground floor.

An emergency rest centre was set up at Henley Green Community Centre on Friday night and about 80 people were later accommodated in local hotels.

Coventry City Council said all the agencies involved "really stepped up" in response to the incident, despite the flats being owned by a private landlord."

And this from the Coventry Telegraph in October 2014

"A huge police presence descended on a block of flats in Coventry after a resident reported seeing a man with a gun.

Police were called to Caradoc Hall, in Caradoc Close Henley Green, at 7.15pm on Wednesday to reports that a gang were creating a disturbance.

When police arrived the gang had left.

An investigation has since been launched to find out who was in the area at the time.

Police carried out patrols to reassure residents yesterday."

[spyguy]

http://www.coventrytelegraph.net/news/coventry-news/coventry-landlord-david-frew-calls-3031788

Oh dear. I would guess he's a slum lord.

And experiences all the fun that come with that.

[TheCountOfNowhere]

Been digging.

This from an older listing on Rightmove - "The block was built in 1965 by Coventry City Council. In 1985 the block was sold to Coventry University and used as housing for students until it was privately purchased in 2007."

This from the Coventry Telegraph in 2010 http://www.coventrytelegraph.net/news/coventry-news/estate-agent-bought-rundown-coventry-3066842 (sorry, can't get rid of the embedded word "Advertising" and accompanying space)

ADVERTISING

""A FORMER estate agent who was shocked by the state of a Coventry block of flats ended up buying them himself – for a whopping £2 million.

David Frew was looking to invest in rental properties, but never dreamt he’d end up buying so many flats.

But when he saw the extent of the problems at rundown Caradoc Hall, in Caradoc Place, Wyken, he knew he could improve conditions at the mostly empty block, which had been a magnet for vandals and antisocial behaviour.

He bought 88 of the flats with bank loans and support from his friend and business partner Rebecca Green at a London auction in December 2008.

He then brought in workers to carry out a mammoth year-long cleaning and refurbishment operation, gutting the flats and replacing carpets, kitchen units, gas cookers, showers and heating systems. Walls in some of the flats were also knocked down to create bigger rooms.

The 38-year-old, of Brownsover, Rugby, said some flats were full of litter, drug paraphernalia and pigeon droppings.

He said: “In some of the flats that had no heating kids had thrown parties. To keep warm they would rip the curtains off and set them on fire.

“There were floors of flats that no-one could possibly live in because there was no heating, toilets and sinks had been smashed up, doors had been kicked in.

“And then we had a major problem with the pigeons. Windows were open in empty flats and pigeons were just flying into the rooms.”

He has installed CCTV cameras and issued key fobs to tenants to prevent trespassers entering the building.

He added: “I wanted to make the flats a safe place to live. I’ve discussed with other flat owners about the problems of security and they all agree that the key fobs are a good idea. We also meet regularly and discuss any changes that are made.

"We’re also working with police to help keep the area free from antisocial behaviour.

"There were only 20 people living in this massive block of flats and now all of our flats are occupied.

“I studied at Coventry University and I know the area very well.

“I knew of the problems of anti-social behaviour in the area and wanted to make a change.

"After buying them we knew we had our work cut out for us but it’s been incredible thanks to the help of our plumber and the other teams we’ve used.”

David, who is now concentrating on the project as a full-time business, has already made plans to buy an extra 14 flats and wants to set up a community room for tenants. The remaining flats are privately owned."

Problems don't seem to have stopped completely, though. This from the BBC in January 2012

"A man has been arrested in connection with flooding at a block of flats in Coventry.

Almost 200 people were evacuated from Caradoc Hall, in Henley Green, on Friday after part of a copper water mains pipe was stolen.

Residents returned to the flats on Tuesday night after being accommodated in local hotels.

Police said a 47-year-old man, arrested on suspicion of criminal damage, had been bailed pending further enquiries.

Flooding started on the 12th floor of the 16-storey flats at about 16:00 GMT on Friday.

It caused damage throughout the block and started a small electrical fire on the ground floor.

An emergency rest centre was set up at Henley Green Community Centre on Friday night and about 80 people were later accommodated in local hotels.

Coventry City Council said all the agencies involved "really stepped up" in response to the incident, despite the flats being owned by a private landlord."

And this from the Coventry Telegraph in October 2014

"A huge police presence descended on a block of flats in Coventry after a resident reported seeing a man with a gun.

Police were called to Caradoc Hall, in Caradoc Close Henley Green, at 7.15pm on Wednesday to reports that a gang were creating a disturbance.

When police arrived the gang had left.

An investigation has since been launched to find out who was in the area at the time.

Police carried out patrols to reassure residents yesterday."

So he bought in 2007 at the peak of the bubble £2M ( in coventy ) and is now trying to flog for £4.2 Millions.

Wouldn't £1M be closer to the mark.

PEAK MADNESS. The GREATER FOOLS ARE TRYING TO FIND THE GREATEST FOOLS.

Here's a greatest of the greater fools detector:

Edited September 22, 2015 by TheCountOfNowhere

[pipllman]

It sounds as if his intentions were good, refurbing the derelict ones and getting it back to full occupancy

He is into it for well over the purchase price by the sound of it

Maybe now he wants to cash out and sit in the sun with the profit

Or maybe the continuous battle against it all is too much for him and he is throwing the towel in

[Agentimmo]

Don't worry. He'll get his asking price from the local council , who will buy it back using their local's taxes.

Bet he has a few "contacts" there who'll be only too happy to help out a friend.

I hope to be proved wrong...but have seen this happen so many times.

[Snugglybear]

Unite, the student digs company, have been buying lately.

http://www.yorkshirepost.co.uk/business/business-news/unite-students-snaps-up-271m-property-portfolio-1-7310836

There's a quote from Richard Simpson, Unite's managing director of property, in the story above

"Unite is currently looking to acquire new development sites and is targeting 8,000 additional beds in the next three to four years, he said.

The firm, which saw recurring profits up 44 per cent to £33.3m in 2014, said may also look to further acquisitions.

“We are certainly keen to grow, based on the fundamentals of the sector and the demand, and we do have further capital available for further purchases of investment stock,” he added."

Not sure whether they'd be interested in Coventry, mind.

And pretty sure they wouldn't be paying £4.2 million.

[TheCountOfNowhere]

It sounds as if his intentions were good,

[pipllman]

I detect that you don't believe his intentions were good.

I think they were.

That is wholly separate from his expectation / plan to make money from the endeavour, but I do believe that he genuinely wanted to bring derelict housing stock back into use and was prepared to take a risk - with a lot of his own money and debt in his name - to do that.

Given that he bought 102 flats, of which 82 were empty and mostly unfit for habitation and got them to the point where they were all occupied, I think he did a genuinely good thing.

If he makes a mill or two from doing that, I am pleased for him, very pleased. He has certainly got more 'right' to the profit than a BTL who leverages up and outbids FTBs on new builds and then rents to the very people that she outbid.

[dgul]

Well, I think it's the whole block.

Apparently 129 units in the block - so you don't even get the whole block for your $$$.

[This time]

The last flat to sell in that block went for £22k in 2012.

[Snugglybear]

Apparently 129 units in the block - so you don't even get the whole block for your $$$.

I wonder who owns the freehold.

Neither Unite nor any of the other student digs companies will be interested if they can't buy the whole block and preferably the freehold.

[Caveat Mortgagor]

When i came to Cov as a student Caradoc Hall was to be avoided. Henley Green is a rough area. Locals used to beat students up because, well because they were students.

I am sure if you could get unemployment stats for this area alone (instead of diluting them with the rest of Cov) the rate would be as high as anywhere else in the country.

I reckon if you sent Syrians to be housed in Caradoc Hall, they would gladly go back to a war zone.

Anyway, some dodgy fecking chancer who spvnked £2mill on these flats at peak, now thinks he can double his money. Someone should tell him people only buy in places like Henley Green out of desperation when the market is at a peak.

Edited September 22, 2015 by Caveat Mortgagor

[bomberbrown]

I remember breakdancing with my 'crew' (B Boys) at the bottom of those flats circa 83'/84'. That area was rough then and I'm sure it's as rough still now. I grew up in Coventry in the early 70's & 80's and its gone from a pioneering/gentrified city in the 60's/70's to a complete sh1thole I see it become every time I visit family in Coventry.

It's a shame really. I remember running through the fountains underneath the centre ring road in the city centre in the early 70's on my way to the cinema on a Saturday. Fountains of water all round the under pass of the ring roads. They all got turned off around the 80's.

</nostalgia>

[bomberbrown]

I should point out I was only 6 or 7 years old when I was running through the fountains on the way to the cinema on a Saturday morning. That was the 70's.

[Venger]

It sounds as if his intentions were good, refurbing the derelict ones and getting it back to full occupancy

He is into it for well over the purchase price by the sound of it

Maybe now he wants to cash out and sit in the sun with the profit

Or maybe the continuous battle against it all is too much for him and he is throwing the towel in

So buy it then, honourable intentions, at double peak price + with cutbacks and taxes.

Honourable intentions. £

You thinking of buying it too Count, weighing it in at £1 million?

Good research reading Snugglybear + spyguy.

Edit: + Caveat Mortgagor & bomberbrown

Edited September 22, 2015 by Venger

[Agentimmo]

I should point out I was only 6 or 7 years old when I was running through the fountains on the way to the cinema on a Saturday morning. That was the 70's.

We believe you.................NOT !!!

[MattW]

Given the area it's in it would kinda only make sense only if a Housing Association buys it - after negotiating a discount.

Do away with the studio flats - Knock 2 of these into 1 to make a 1/2 br flat.

I should be a property developer!

[Habeas Domus]

I detect that you don't believe his intentions were good.

I think they were.

That is wholly separate from his expectation / plan to make money from the endeavour, but I do believe that he genuinely wanted to bring derelict housing stock back into use and was prepared to take a risk - with a lot of his own money and debt in his name - to do that.

Given that he bought 102 flats, of which 82 were empty and mostly unfit for habitation and got them to the point where they were all occupied, I think he did a genuinely good thing.

If he makes a mill or two from doing that, I am pleased for him, very pleased. He has certainly got more 'right' to the profit than a BTL who leverages up and outbids FTBs on new builds and then rents to the very people that she outbid.

Exactly, imagine if a few more people were bringing 100+ properties back into use.

If he has spent 5K doing up each flat thats 500K, so at least 2.5 million spent

if he manages to sell for 3.5 M theres maybe 1M profit for 8 years of work, but I bet there is a load of other expenses to account for

also any cheap renovation done in 2008 will be needing refreshed very soon.

[spyguy]

Given the area it's in it would kinda only make sense only if a Housing Association buys it - after negotiating a discount.

Do away with the studio flats - Knock 2 of these into 1 to make a 1/2 br flat.

I should be a property developer!

Why? Probably cheaper to build from new.

A lot fo the high rises are not worth the little money that was spent building them.

[Habeas Domus]

His intentions were good, but I do think the guy is a bit of an idiot for not realising that kind of property is very likely to be a money pit.

I wouldn't touch it with a barge pole but I still applaud him for having a go.

[TheCountOfNowhere]

I detect that you don't believe his intentions were good

purchase price, 2m

asking price, 4m

occupation, ex 2nd hand house salesman.

really, trollman, sort yourself out. your starting to make a $$$$ not only of yourself but of your mother too, do you think she is proud of a child living off the poor and infirm's back?

seriously, do some soul searching, then, #### off and don't come back.

[TheCountOfNowhere]

His intentions were good, but I do think the guy is a bit of an idiot

bought,2007 at the top of an insane bank destroying debt bubble , just before the market collapsed.

now trying to get out at a profit, I expect.

DOESN'T THIS TELL YOU ANYTHING?

really, for #### ####.

make up. it's bubble collapse time.

there is no greater fool.

Edited September 23, 2015 by TheCountOfNowhere

[Venger]

I will wait for a deal; for the market to come to me.

Got a file of clippings mostly mid 90s. Think this is 97. Don't know how this scheme fared.

[pipllman]

purchase price, 2m

asking price, 4m

occupation, ex 2nd hand house salesman.

really, trollman, sort yourself out. your starting to make a $$$$ not only of yourself but of your mother too, do you think she is proud of a child living off the poor and infirm's back?

seriously, do some soul searching, then, #### off and don't come back.

How much do you think he spent on refurbing 82 derelict apartments? Maybe you know someone who refurbs flats for free - you know, supplies kitchens, bathrooms, carpets, paint etc. for nothing and then, out of the goodness of his heart, also installs them and provides the appropriate certification for electricals, gas etc. for free too.

How much of his own time do you think he has spent on the project? How much do you think he should earn for his own time? Again, nothing?

How much time and effort do you think it takes to manage 102 tenants? Is that the sort of work that should also be done for free?

£4m is only the asking price, it isn't the sale price. Unless and until it is sold, it is still his. All the work, all the bills, all the income from it - all his.

I do hope, that as a result of all his efforts, time and expense to renovate and bring back into use a building that its previous owners had let fall into disrepair are rewarded handsomely. If he makes a big £ profit from the work he has done in the 8 years he has owned it, I will be very pleased for him.

How nice of you to bring my mother into it. I suspect mine has cause to be at least as proud of me as yours is of you.

My soul is clear and calm.

I will watch with interest your ongoing response to the property market's gyrations, particularly whether you will indeed be away on your toes when further QE or NIRP is announced. I have my own views about how you will fare and am increasingly curious to see if I am right or not.