Cabin/Shepperd's Hut

[petemarkos_]

Hello Everyone,

I am an architect by training, I am running a small Airbnb business. I am are looking for a small plot of rural land, 0.05-0.1 acres around the West Midlands for rental so if anyone has such a small plot and would like to be involved in a profit share please do get in touch. I understand a short-term rental business is an unconventional way to make money from your land, therefore in return, we will compensate you with a higher income than what you could expect from traditional land leasing for such a small plot.

If you are interested please see attached the PDF.

Many thanks,

Pete

 

[Yale]

Err,planning permission?

 

[petemarkos_]

Err,planning permission?

I am an architect so if planning permissions required we will attempt to get it.

 

[Highland Mule]

I am an architect so if planning permissions required we will attempt to get it.

And then have a 20% uplift in the land value going forwards, I see. That seems a bit generous to yourself.

 

[petemarkos_]

And then have a 20% uplift in the land value going forwards, I see. That seems a bit generous to yourself.

It is up for negotiation.

 

[gmgmgm]

We would expect the cabin to rent for, at least, 300 days a year
rented at £130 a night. You should expect a 20% profit share of
at least £7,800 per annum.

Do you think you might have mixed up revenue and profit??? (As well as being rather optimistic on pricing and occupancy).

 

[farenheit]

And then have a 20% uplift in the land value going forwards, I see. That seems a bit generous to yourself.

Yes, rather. Paying uplift on my own land?

 

[tullah]

We would expect the cabin to rent for, at least, 300 days a year
rented at £130 a night. You should expect a 20% profit share of
at least £7,800 per annum.

Do you think you might have mixed up revenue and profit??? (As well as being rather optimistic on pricing and occupancy).

I think he means by that calculation he would give you 20% of the takings. 50% and I'd invite him to have a go.

 

[Chasingmytail]

300 days occupancy thats very optimistic. Taking out, say Jan and feb that means you would have it fully booked every single day of the month March to December? How realistic is that in this country? Whats the average stay in a shepherds hut - 2 - 3 days? Couples? Thats back to back rental. Assuming weekends mainly successful. I think its worth checking out the occupancy rates of shepherds huts in UK.

 

[petemarkos_]

300 days occupancy thats very optimistic. Taking out, say Jan and feb that means you would have it fully booked every single day of the month March to December? How realistic is that in this country? Whats the average stay in a shepherds hut - 2 - 3 days? Couples? Thats back to back rental. Assuming weekends mainly successful. I think its worth checking out the occupancy rates of shepherds huts in UK.

Cheers for the feedback. I would be looking to rent to people who have the option to work out of office opening the scope beyond weekends.

 

[Timbo]

Cheers for the feedback. I would be looking to rent to people who have the option to work out of office opening the scope beyond weekends.

With respect, and from the perspective of someone already operating a successful glamping site, you are dreaming.

 

[petemarkos_]

With respect, and from the perspective of someone already operating a successful glamping site, you are dreaming.

How so?

 

[Timbo]

How so?

Level of Occupancy, at least initially, and for the type of accommodation you're considering, price point /nite, (again initially) and owners %age of cut.

 

[petemarkos_]

Level of Occupancy, at least initially, and for the type of accommodation you're considering, price point /nite, (again initially) and owners %age of cut.

Yea thanks for the feedback, I think you are right about nights, and the initial interest would be lower. I would say I have 'design' on my side and people are willing to pay for that.

 

[Timbo]

Yea thanks for the feedback, I think you are right about nights, and the initial interest would be lower. I would say I have 'design' on my side and people are willing to pay for that.

Nearly "everyone" is doing Shepherds huts - they don't have the draw you perceive

 

[petemarkos_]

Nearly "everyone" is doing Shepherds huts - they don't have the draw you perceive

Shepperd's hut is an example of scale to the build, not the final product.

 

[Agrivator]

''We would expect the cabin to rent for, at least, 300 days a year rented at £130 a night. You should expect a 20% profit share of at least £7,800 per annum.''

Even if a cabin on a small plot of ground, with neighbours in shouting distance, could be let for 300 days at £130, who's going to do a deep clean between occupants.

 

[egbert]

Cheers for the feedback. I would be looking to rent to people who have the option to work out of office opening the scope beyond weekends.

Occupancy will have far more to do with location than your pretty drawings.
and if your clients are working out of office, leccy and broadband are going to be kinda required, and presumably these folk'll want to go poo-poo somewhere.

I see your guff says you'll 'manage it'. coming round to do the changeover are you?
And if it gets a planning benefit, you get 20% of the freehold value?

sorry Pete, it all smells rather dodgy to me.

Any TFFers wanting advice on such projects, I'm happy to oblige, (a bottle of a good malt instead of 20%)

 

[petemarkos_]

Occupancy will have far more to do with location than your pretty drawings.
and if your clients are working out of office, leccy and broadband are going to be kinda required, and presumably these folk'll want to go poo-poo somewhere.

I see your guff says you'll 'manage it'. coming round to do the changeover are you?
And if it gets a planning benefit, you get 20% of the freehold value?

sorry Pete, it all smells rather dodgy to me.

Any TFFers wanting advice on such projects, I'm happy to oblige, (a bottle of a good malt instead of 20%)

Occupancy will have far more to do with location than your pretty drawings.
and if your clients are working out of office, leccy and broadband are going to be kinda required, and presumably these folk'll want to go poo-poo somewhere.

I see your guff says you'll 'manage it'. coming round to do the changeover are you?
And if it gets a planning benefit, you get 20% of the freehold value?

sorry Pete, it all smells rather dodgy to me.

Any TFFers wanting advice on such projects, I'm happy to oblige, (a bottle of a good malt instead of 20%)

Bad day at work?

 

[egbert]

Bad day at work?

much better for a chortle, thanks.
oh, and you do realise that planning for holiday use doesn't allow for folk working from it?