Case Study | SSAS Funded ~ Chris Carter

This property lies in the historic and affluent town of Shropshire, it is a well configured retail accommodation with self contained office accommodation on the first floor. This property holds a prominent position in the area as it has close proximity to the town centre parking provision and other national retailers. The property is fully let to Iceland on the ground floor and an accountant in the office space above. 

The aim of this project was to purchase the property through Chris’ SSAS pension, which is an extremely tax efficient strategy.

Net Purchase Price: £486,000

Projected Value:   £618,000

Projected Profit:   £132,000

Rental Income:  £50,000


Investment Strategy

This property was on the market for offers over £550,000, Chris then spoke with the vendor and agreed on a price reduction to £535,000. However, Dan believed Chris could get even more money reduced from the purchase price. Dan told Chris to send an email, which Chris was hesitant about at first but decided to listen to Dan and sent the email. The vendor came back to Chris with a further £10,000 reduction, which was what he ended up paying, £525,000. As this property was purchased by Chris’ SSAS the income it produces is completely tax free. 

However, this property does not have many years left on the leases, if Chris was to extend them in the normal manner and without an increase in rent, the properties value is still projected to jump to £618,000 with simple asset management strategies.

Using the SSAS business pension brought Chris a £26,000 refund in April 2020 from HMRC and an additional £13,000 tax defence against business corporation tax going forward due to how we structured this transaction.

Local Regeneration

Taylor Capital not only seeks to generate income for investors, but our strategies focus on the reciprocal effects of regeneration and re-profiling of the town centre on and the positive effects on local communities.

Chris is someone who now also contributed to local regeneration. He is now the landlord of a national brand that brings value to the local area. Not only that, he is also the landlord to a local accountancy business, both of which helps provide jobs within the local community.

Project Financials

The increase in value and high-quality lease arrangements with long term national brands hugely reduces risk and creates a lowly geared investment that will survive and thrive during the next economic correction.

Taylor Capital taylorcapital.co.uk
Case Study SSAS Funded 1- Chris
Address 41 Cheshire Street, Market Drayton, TF9 1PH
Purchase Price £525,000
Projected Profit £132,000
Projected Value £618,000
Annual rent £50,000

Project Deal & Funding

Details Amounts Notes
SSAS Pension £265,750 Contribution to SSAS Pension
SSAS BANK £97,000
Loan to SSAS £80,000 Repaid over 15 years £601/month @4.25%
Total Interest £28,328 Total Interest to Chris Personally
Business Loan £97,500 Funded by Yorkshire bank

Project Gallery

This property lies in the historic and affluent town of Shropshire, it is a well configured retail accommodation with self contained office accommodation on the first floor. This property holds a prominent position in the area as it has close proximity to the town centre parking provision and other national retailers. The property is fully let to Iceland on the ground floor and an accountant in the office space above.