The former Ocean Hotel in Sandown is to be transformed into a luxury retirement property comprising of 60 studios and apartments, offering the perfect investment opportunity.
The Isle of Wight has the second highest proportion of over-50s (45%), and is set to rise to 51% by 2029 according to research by the BBC. It ranks only behind Dorset in terms of the proportion of over 50s residing in the area.
To accommodate the increase in the number of over-50s living on the Isle of Wight, there is a new opportunity to invest in a luxury retirement property in Sandown. A seaside resort, Sandown is popular with retirees and holidaymakers alike. Sandown Bay is the name of the bay off the English Channel, which both Shanklin and Sandown share.
‘Ocean View Sandown’ is situated on Sandown seafront and offers fine dining experiences, a heated swimming pool, hair and beauty salons, a gym, spa and beautiful landscaped gardens. The 96-bed development will be transformed into 60 studios and apartments and provides a mix of supported breaks, short stays and longer stays for those in later life.
Suites at Ocean View Sandown start from £89,950 with a net return of 10% per annum over a 10-year lease. The attractive returns are complemented with 2 guaranteed buy-back options in years 5 and 10 at 110% and 125% respectively. Units can be reserved for as little as £2,000.
Loneliness is particularly prevalent amongst people over the age of 65, as family members move to other cities and friends pass away. More and more members of the older generation are feeling isolated, with the number of lonely men over 64 to rise by 65% in the next 15 years. Enjoying a long stay in a caring community such as Ocean View in Sandown helps to alleviate the feeling of loneliness. Residents can mingle with each other and reinvigorate their social lives by partaking in various organised and spontaneous activities.
Full occupation of the units is anticipated, due to the Isle of Wight’s aged population and Ocean View Sandown’s superior location and facilities. Luxury retirement homes generally attract wealthier, self-paying residents who want to live in these developments for social or downsizing reasons, rather than out of necessity due to deteriorating health.
Tom Morgan of CBRE comments on the rising popularity of luxury retirement homes, stating that:
“Historically, care homes were seen as a place of last resort but now they are as much about a lifestyle choice”.
Interest in high-end care homes that cater for self-paying residents is high amongst investors. US real estate investment funds have been pouring money into the sector, alongside hedge funds and insurers. They have been drawn in by the stable, long-term income streams and the positive outlook for the future of the investment class due to the demand buoyed by the ageing population. It has been asserted that there are 6.5million over 65s who own their own homes, 72% of which are 3 bedrooms or more, and many want to downsize. 80% of Savills’ vendors in Cobham, Surrey were downsizers selling the family home.
Investing in luxury retirement property is a good idea because it is perfectly placed to accommodate the need for downsizers, as individuals gets their own room with an en-suite bathroom, help with self-care if they require it, and a plethora of social activities to partake in to stimulate their interests.
Enquire today about this luxury retirement home investment on the Isle of Wight – an area with an already substantial (and growing) number of over 65s – by clicking here.