In June 2017 I began renting 12 apartments of 25-30m2 each in a building in Calle Mesones, one of the most centrally-located streets in Granada. From November 2017, I will be renting a further apartment, and from January 2018, the penthouse with its 90m2 rooftop terrace. By April 2018 I'll have the final apartment in the building. The total floor space is around 600m2 spread over 5 floors & the penthouse. It's a huge project that I was supposed to start with a business partner, but in the end he didn't want to invest. During the two months of August and September I rented the apartments out for short stays with amazing results, and I'm now carrying out the renovations required to update the apartments to a modern and contemporary style. Managing this all by myself is too much, which is why I'm open to two possibilities:
1) A turn-key operation; selling 100% of the business. You would receive a 10-year rental contract and all of the business's assets, including licences, fittings, fixtures, listings, future reservations, etc.
2) An active partnership, working together onsite, with a share of at least 20% to 40% of the business.
The building has 5 floors & the penthouse, and is divided as follows:
A > Office
B > Studio with 3 Bunk Beds
C > Accessible Apartment (for guests with disabilities - legal requirement)
TOTAL: 10 PAX
2nd - 3rd - 4th - 5th Floor >
A (30sqm) > Studio with 3 Bunk Beds
B (50sqm) > Studio with 1 Double Bed + 1 Bunk Bed
C (40sqm ) > Apartment with 1 Double Bed + 1 Sofa-bed
Currently each floor has a total potential occupancy of 14 beds, but it would be possible to add another bunk bed in the B rooms (in place of the sofa), thus increasing the capacity by 2.
TOTAL NOW: 14 * 4 FLOORS = 56 PAX -> Option of 16 * 4 > 64 PAX
Penthouse: I haven't yet been able to access the penthouse, but it has a floor space of 96m2 , so the idea is to have another 3 apartments, or 2 bigger ones. This would increase the maximum potential occupancy by 12-15 PAX.
Rooftop Terrace: The idea is to have a licence for the bar; the project has already been discussed with the architect. There's a nice view over the cathedral and the surrounding area, and it will definitely be a popular meeting point for both locals and guests.
As a rough estimate, the total occupancy could reach 80-90 people, but in my plans I have focused on having 15 apartments & the bar. As you can see, it's a huge project that I cannot carry out on my own. All of the apartments are fully equipped with kitchen and laundry facilities, bathrooms, TV, air conditioning and so on.
There are no precise figures so far, so please don't ask for them, but I am able to provide fairly accurate estimations based on my years spent working on other hostels and touristic apartments in Granada. I have a very precise idea of the expenses and the potential revenue.
If the business is run properly, the apartments alone will be able to provide a net profit of 5-7k per month. Although I have less experience operating bars, information I have received from others in the city suggests that it could bring in at least the same amount.
The selling price is 200.000€ , with the potential for minor negotiation.. My expectation is to have ROI (accommodation only) in 16-18 months, running it with 80% rating, max. 3 yrs. 75% rating, 12 months with 90%.
Please only PM me if you can afford this investment and if you would be interested in visiting the place. Soon I'll have the full building operating 24/7 and so I'll only have time to talk to those who are truly interested.