Lakelandlodges BLOG

The Kirkstone development started in November 06 with SLP investing heavily in the infrastrcuture to support the new phase - concrete bases, tank gas supply etc

In the Spring came the installation of around 10 new lodges ( £1m outlay?) of some very impressive modern lodges.SLP followed up this investment with some very innovative marketing and well organised 'open day' events to attract the next wave of lodge owners on to the market.

In late summer comes the news that existing owners are being offered a special deal on the referral fee scheme - up to £2000!

So what's really happening and as existing Owners can we expect to see lodge prices appreciating soon and the facilities on the Park being further enhanced

How many lodges have actually been sold .....3 ? The lodge next to the sports field is very impressive. I assume the sports field is not being developed for lodges!

The photo's of the other lodges seem to indicate that work has stopped for now awaiting the sale of the existing lodges ?

The slow down in the general housing market with higher mortgage rates is obviously not helping this year.

Any other views ?

Please click on the link to view the full article

http://www.thisismoney.co.uk/mortgages/article.html?in_article_id=421985&in_page_id=8&ito=1565

The Lodgers are continuing to campaign for the re-sale market for lodges to be more 'open' . If an Owner sells a lodge on Limefitt Park the owners are demanding a 7.5% sell on commmission. Over the past few years Owners have been selling lodges back to SLP. The lodgers are unaware of any private sales.

Opening up the market in our opinion would lead to significant increase in market activity allowing property sales to hopefully drive up lodge prices on the park.

If the Kirkstone phase goes slowly ( my perception following a visit a few weeks ago) then SLP must surely start to ask few questions

The current Kirkstone development will be pivotal in determining what happens to lodge sales over the next twelve months

Some questions

1. Having spent well over £1m on setting up Kirkstone ( demonstrates SLP committemnet to the Park ) when are they going to make a profit ( by selling 10 or more) ?
2. Why are existing owners not trading up ?
3. Why are existing owners not recommending or referring business ..is the scheme still in place ?
4. Why are SLP selling lodges in Carnforth and not in Limefitt ?
5. Is the sell on commission a sales prevention tool ...an SLP own goal?
6. The lack of a second hand market reduces the number of potential buyers .....who may one day trade up ?

Lodgers please check you email to pick up the full review document detailing how the charges are being calculated. Information has been provided by SLP and South Lakeland Council

If you are intending to buy a lodge as a property investment then please read on! The lodges on parks like Limefitt Park are sold by the responsible companies like Southlakeland Parks as a pure ‘leisure investment’. In other words don’t expect the value of the lodge to mirror brick and mortar types of properties.

Looking back over the past three years since the Applethwaite phase was completed the Owners appear to have made a good investment.

1. Right location? Owners purchased a property in a splendid lakeland park. The location is perfect in ever respect if you are intent upon enjoying a Lakeland lifestyle
2. Modern lodges or Cabins? The modern lodges are spacious and full of quality fixtures and fittings. Its home from home!
3. What are the running costs like? The lodges are relatively easy to maintain and with modern gas heating systems also relatively inexpensive to heat.
4. Which type of lodge should I buy? If you can afford a three bedroom lodge then spend the extra cash as the additional room space will be appreciated and also if you decide to rent you can charge significantly more money. The modern two bedroom lodges are spacious but be aware than that some two bedroom lodges are half sized. It’s worth noting that all lodges irrespective of size and number of rooms are charged exactly the same annual maintenance on the Park ( £3500) and general rates ( £451)
5. Renting is an option? If you decide to rent your property then you need to be clear up front about your objectives. Many owners realise from the outset that they cannot visit the park on a regular basis and therefore decide to rent their property in most cases to recover some of the £4000 annual running costs
6. How much can you make from renting? Most owners appear to be renting the key school holiday weeks during the year and ensuring they also reserve a couple of key weeks for themselves. On this basis you can expect to generate via an agent around £10,000 p.a.
7. Will I make money out of renting? Yes but you need to be realistic about the net revenues you will receive and the tax implications. Don’t forget you need to service and personally take time to look after the property.
8. Can you make a profit? If you generate £10k of bookings you can expect to pay a third to your agent to cover commission and cleaning costs. If you deduct you park costs of £4000 and on-going running costs (electricity, repairs etc) then you have about £2k to fund your mortgage costs or take a clear profit!
9. Paying the right price for the lodge? the rental market is growing in the area but there is limit as to what price band people will pay ..it’s around £600 to £750 per week in school holidays for a three bed modern lodge. Therefore, the lodge purchase price needs to be around £150k to £180k if you want to make a half decent return on your investment. My advice is don’t purchase a lodge as a pure buy to let.
10. Have lodge prices increased? Yes! If you look at the price of new lodges on the Kirkstone phase - £160k plus for a two bedroom modern lodge (full sized). The second hand Applethwaite lodges are selling for about 15% higher than the 2004 prices but be careful as comparisons are extremely difficult given the park is still in a development period.

How many sold so far ? my guess is 3 ! A Buyers market ?

Craig Foulds General Services ( husband of Sharon who provides the best cleaning service in the lakes!)

gardening/handyman
window cleaning service .............the service that SLP promised to organise but never delivered !
decking cleaning

Mobile: 07813066671
Tel: 01539 741026

Or email
sharon.foulds@tiscali.co.uk

information provided by Ann Stupple

Great news! My request for a new bin location outside the toilet block has been delivered by the Park Management.

We needed to replace the two bins that were previously in the corner area next to Windermere Lodge. Owners are now able to drive pass the toilet block and easily deposit their rubbish into the two bins.

Hopefully, this will reduce the number of cars stopping outside my lodge !!!!

I will be writing to Mark and Trish to thank them for their support in this matter