BROCHURE

General Information..........................................................

Loan Note Overview..........................................................

Our Strategy..........................................................................

What Tenants Want...........................................................

Why Stripe Homes..............................................................

Illustration Guide................................................................

Frequently Asked Questions..........................................

Partners .................................................................................

Contents

3 - 4

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6 - 8

9 - 11

12 - 13

14 - 15

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General Information The Stripe Homes loan notes are being offered by Stripe Homes Ltd,

a property developer who special ises in providing quality

accommodation in the PRS (Private Rental Sector) and Purpose-Built

Student Accommodation.

The Stripe Homes loan notes is a special purpose vehicle (SPV) set up

only to acquire/develop land or commercial property into student or

residential accommodation on behalf of Stripe Homes Ltd (the

developer) who wil l project manage the development and exit

strategy.  

Before making any investment, you should carefully study and consider the nature of

the investment and take independent professional advice. This brochure should not be

considered as a recommendation by the Company or its respective directors, off icers,

aff i l iates, employees, advisers or agents to invest in the Company and In l ight of the

risks involved, you should undertake transactions only if you understand the nature of

the contractual relationship into which you are entering and the extent of your

exposure to risk, keeping in mind your f inancial resources.

Passionate about the renovation of commercial properties and development of land for student and residential use, Stripe Homes is an innovative company designed to capture al l aspects required to create a profitable property investment venture. We wil l provide support from acquisit ion to renovations and lettings to f inance – providing investors with an al l- inclusive package. By doing things the way we do at Stripe Homes, we create profitable, eff icient, and long-lasting investments.

About Us - Stripe Homes

Innovative and forward-thinking when it comes to property, Stripe Homes was established to acquire commercial properties and land for development into student and residential accommodation. Started in 2017, by company director, James Forrester, Stripe Homes is well- positioned within the market, attracting new investors to aid its growth. 

We are a new breed of developer. We have a social conscience that cares about the community, the impact of our developments, and who benefits the most. Our motivation comes from working with investors and landowners who share the same ideals as us. By working alongside those who want to make a difference, we ensure that al l the homes we develop are defined by four sets of criteria; they must be affordable, high-quality, ideally located, and sustainable.

Risk 

Raise Amount:

The raise of Stripe Homes…… is £1 ,500.000

Minimum Investment:

The minimum investment is £20,000

Investment Options:

Growth Option - 18% fixed over 18 months

Growth & Interest Option - 25% fixed over 24 months ( interest paid on months 6,12,18,24) .

Loan Note Overview 

Company Description: Stripe Homes is focused on developing land and commercial buildings into purpose-built student and residential accommodation in prime locations in the North of England.

Security: A first charge wil l be placed on the assets that the loan note is being raised for.

Agent: Franklins LLP have been appointed as the agent to represent the loan noteholders interest & security.

Term: 18 months or 24 months depending on the investment option chosen. Capital is paid 10 days after the term of the loan note.

Availabil ity: This invitation is available for direct investment by institutional investors, professional investors, sophisticated and high net worth individuals, companies and restricted investors.

Our Strategy Stripe Homes develops land and commercial properties into residential or purpose-built student accommodation. From the outset, we professionally project manage the entire development with a carefully selected special ised team who also look after the exit strategy and rental of units. Essential ly , we have al l angles covered, removing the hard work from you.

With a pioneering approach, Stripe Homes uses funds raised to acquire suitable commercial properties and land in order to renovate/develop them accordingly. These assets are then strategically managed in order to achieve f ixed returns. Investors who choose to work alongside Stripe Homes are offered a competitive rate of interest on bonds as well as advantageous exposure to the real estate market but without the management commitment of investment in any one property. It ’s a win-win!

When a property has been converted, it becomes a commercial asset with an underlying value that’s l inked but not rel iant on the current variable housing market price index. At Stripe Homes, we uti l ise the current market conditions to our benefit , acquiring assets through the fol lowing methods.  

Funds wil l be used to acquire and develop properties into residential and student accommodation. 

Al l properties wil l be renovated through permitted development rights or the equivalent ful l planning requirements – whatever is required. 

Stripe Homes wil l purchase the commercial properties/land and undertake the necessary development in order to offer quality and affordable student and residential accommodation to the market.  

We wil l l iaise with well- established letting agents and educational bodies to successfully let the properties.  

Every project is unique to the investor. However, for ease and financial benefit , projects can be standardised to provide a clear and effective business plan for each specif ic development. Along the way, progress and updates wil l be strategically tracked through an excel spreadsheet that can be easily accessed by any relevant parties. This means that the project viabil ity can be quickly assessed at any point throughout the development.

With any signif icant development project, it ’s essential to complete a r isk assessment, and at Stripe Homes, we take al l eventualit ies into account. We know that the main factors that can affect a property development project are the purchase price of the property and the cost of renovation.

This purchase price is based on the fact that each room is given an average cost to complete which takes into consideration al l aspects of the renovation, project management, administration, l icensing, and l iaison with any council bodies. These factors wil l establish the purchase price of each room of the property which al lows us to set a purchase price f igure that should not be exceeded.

According to research carried out in 2014 by one of the world's leading property agents, Savil ls , through 2,300 private sector tenants in cit ies across the UK, the housing market isn’t what it once was. The overall outcome of the survey shows that UK based tenants seek better quality homes near public transport as well as valuing f lexibil ity. One of the main reasons recorded for homeownership issues is a r ise in mortgage deposit and fai lure to meet lenders’ mortgage criteria. Let’s take a look at the results more in-depth. 

What Tenants Want

Quality Accommodation The desire for better accommodation for both students and residential tenants came out on top with wealthier tenants, particularly in London, prepared to pay more for amenities such as private balconies, en-suite bathrooms, on-site gyms, off-street parking, and attractive views.  

Location is Key 49% of those who carried out the survey said that proximity to work or university is the most crit ical factor when choosing a rental home. Location is even more important to Londoners, particularly to households on incomes of at least £80,000 a year. This is due to the fact that most residents l ike to be close to transport l inks with 52% of tenants l iving within f ive minutes of their nearest public transport.  

Long-Term Tenancies Tenants over 35 years of age seem to prefer longer tenancies. However, this is not the case for younger tenants who prefer f lexibil ity – particularly those under 24 years of age.

Cost-Effective and Affordable In this day and age, it ’s hard to get bang for your buck. Therefore, many residents across the UK flat-share – to save on rental costs. According to Savil ls , this could change if the quality of rental stock improves.  

Student Property Development Every student, young or old, should be entitled to access

affordable and good-quality housing. At Stripe Homes, we offer a dynamic choice of locations, coupled with cutting-edge design

and exceptional build quality that create developments that wil l last a l i fetime.

Today’s students desire quality, affordabil ity, and connectivity with easy l inks to learning, transportation, and leisure facil it ies

as a prerequisite. We are proud to offer this type of accommodation in prime locations nationwide.

Residential Property Development There is a signif icant demand for affordable property in the UK, but

f igures show that supply is not meeting demand, and the number of properties coming to the market is quickly declining. This news is

particularly exciting if you’re considering residential property development because it means you’l l have a captive audience, and

l itt le competition when it comes to sell ing.

Demand is high for both residential and student accommodation, but property prices sti l l remain appealingly affordable which means

that residential developers are in an advantageous position. We provide a wide range of consultancy and agency support designed

to assist along every step of your development project.  

Why Choose Stripe Homes for Property Development?

Since the mid-2000s, there has been a signif icant shift in house prices compared to household income. These two factors combined mean that the housing market wil l continue to be shaped as by the affordabil ity of a mortgage deposit , as well as monthly repayments. According to Savil ls , these factors wil l have several impacts on the housing market. Firstly , it wil l continue to decrease the number of homeowners and raises the prospects for a signif icant expansion of social housing provision. This means continued growth in the number of households in the private rented sector and a widening of the generational divide in the UK housing market. Therefore, property development for rental is a venture that’s very much worth becoming involved in.

With the costs of mortgages continuing to cl imb, mortgaged owner occupation wil l keep fal l ing, meaning that the bulk of new households wil l be private renters. The number of private sector renters is set to increase by 1 .2m over the next f ive years, and levels of owner occupation wil l fal l by 202,000 households. This would mean that by the end of this year, over 24% of al l homes across the UK are estimated to be in the private rent sector.

We’l l help you to identify plots or buildings with good development potential , as well as being on hand to assist with development viabil ity appraisals , negotiations with development or legal consultants, and marketing strategies.    

Assessing supply and demand in UK based

locations

Conducting market analysis and providing a full report based on

findings

Researching property f inance and business planning options to

best suit you

Forecasting potential ROI, capital values and other monetary values

Providing support and information to assist in

your planning applications

Researching regeneration

opportunities.  

Stripe Homes Summary

Knowledgeable and experienced in student and residential property development, Stripe Homes’ company directors have realigned their personal and business objectives to match that of the current property market.

It ’s no secret that the 2008 financial crisis fundamentally changed the way the UK housing market operates. Combined with recent changes to the regulation of the mortgage market, accessibil ity to the necessary f inancial aspects to get onto the housing ladder has been profoundly altered.

Since 2008, private renting has continued to soar, and homeownership for both the under 35s- and 35-49-year olds fal ls further into decline. With al l of this mind, Stripe Homes is strategically placed within the housing market to be able to bring both renters and students affordable and high-quality accommodation. Our extensive student and residential property development research services include:

Illustration -  Stripe Process

1 . Find Site Location

2. Stripe Secures Site

3. Investment is offered to Investors – ApplicationForms are assessed by Stripe with AML documents

4. Investor lodges investment to company bankaccount

5. First legal charge is placed on site – managedon behalf of the investors by Franklins LLP

6. Planning is submitted or redevelopment workcommences

7. Upon completion the bank refinances at a highervalue or the site is sold to an institutional investor

8. Investors are paid back their investment plusinterest and legal charge is removed from site

Option A –

24-month Growth & Income Option

(Interest Paid in Months, 6,12,18 & 24)

Amount Return (25%)

18-month Growth Option

Amount Return (18%)

Option B – 

0

42,500

85,000

127,500

170,000

0

43,750

87,500

131,250

175,000

Financial Example

£20,000

£60,000

£100,000

£140,000

£23,600

£70,000

£118,000

£165,200

£20,000

£60,000

£100,000

£140,000

£25,000

£75,000

£125,000

£175,000

Frequently Asked Questions

What is a Loan Note?

A Loan Note is a legally binding contract in which the borrower

agrees to pay the noteholder the original loan amount, interest

agreed on the dates and term agreed.

How is the Investment Secured?

Once invested a loan note is issued and a f irst charge is secured on the site purchased and managed by Franklins LLP on behalf of the investors.

Why Are Interest Rates So High?

The interest rates are high as they reflect the high yields generated from our business model al lowing investors to invest early and take advantage in our success

What Is the start date of the investment calculated from?

Interest is calculated the day after the funds are received by the company – Your loan note wil l also be issued on this day

Can I invest as a company and are joint applications acceptable?

Yes a company and joint applications are acceptable subject to the relevant AML documents and checks.

Can I invest in other currencies?

Yes you can invest in GBP, EUR or USD – please ask your agent for the relevant reservation form to the currency you wish to invest in.  

Partners – A Professional Team

Stripe Homes

Stripe Homes wil l provide a full development service from start to f inish and l iaise with its chosen partners.

Napper Architects

Formed in 1946 and achieving an impressive 90 awards for excellence in 30 years, Napper Architects has made outstanding contributions to successful architecture both regionally and nationally . Their team of committed, hard-working and enthusiastic architects have worked closely with Stripe Homes to bring concepts into reality.

Meldrum Construction

Since its establishment in 2001, Meldrum has grown rapidly as a construction company, employing over 180 tradespeople to deliver high quality construction. Their focus is to work eff iciently and effectively on projects that strengthen local communities and enhance the nation’s infrastructure. With this in mind, they are the perfect choice by Stripe Homes for its projects.

Partners – A Professional Team

Novo Quantum Ltd Consultancy

Ian Etchells has been a member of the Royal Institution of chartered surveyors since 1999. Experienced in most sectors including residential , commercial , education, mixed use, retail , industrial , government, leisure, and transport. Experience of both cost and programme management, strong organisational ski l ls coupled with a keen commercial instinct and understanding of the procurement process, particularly in respect of public sector projects.

HCB Accountants

An award-winning accountancy f irm established since 1994 – providing Stripe Homes advise on al l matters in relation to accounting.

HCB Solicitors

Separate to HCB Accountants – HCB Solicitors are Stripe Homes chosen law firm who special ise in al l matter in relation to property. They wil l deal with al l conveyancing matters and ensure sound legal t it le for loan note holders.

Franklins LLP

Frankins LLP an experienced legal f irm with over 30 years of experience – Franklins LLP wil l act as security agent on behalf of the loan note holders with the f irst charge security.

LUXURY PROPERTY GLOBAL With over 50 Years experience in Property and Finance.

Ongoing Projects

Quayside View Studios –  Purpose Built Student Development

Land secured for the build of 126 high quality self-contained studio and 1 bedroom apartments. Nestled on the banks of the River Tyne the development is suitably located for students from year two onwards. Onsite facil it ies include gym, media room, bike storage, laundrette, electric bike rental , 24 hr security and on-site rental management.

The apartments are being sold to individual buyers during the build of the development.

Total Cost of Build including Fees: £9,138.900

Gross Development Value (GDV): £13,148.347.00

Gross Profit : £4,009.447

Luxury City Centre Studios

Option secured for the redevelopment of a former commercial building to residential purposes creating 44 self-contained studios. Location is r ight in the heart of Newcastle-Upon-Tyne city centre and wil l operate as a PRS scheme. Planning is to be submitted.

The re-development of the building wil l be re-financed upon completion at a higher value.

Future Site