Post by artisans on Jan 14, 2015 15:22:55 GMT 2
Having had time to consider Vassilis’s disclosure about Crusoe’s, I feel it actually make a lot of sense. There are people outside of the village trying in vain to sell empty homes or apartments for upwards of €300,000, which makes a popular bar in a key location look good by comparison. I understand that the old Poseidon Chinese restaurant is on offer at €600,000 and it is in a far less favourable position, and it is closed.
Vassilis is very serious about the sale and if we look at his proposal, then any prospective purchaser would be getting a busy bar, in a key location, with a good income, complete with accommodation for the owners plus at least one, and possibly three, rental apartments, depending on what they need for themselves. Vassilis has indicated that the price will start at around €550,000 (about £430k), but is very negotiable in terms of both price and structure. It is a unique opportunity for someone to purchase a village-centre property, and they don’t come along that often. In the final assessment, it should provide a yield of over 5%, or a maximum 20-year payback … not bad considering many ex-pats live here for long and then end up selling their properties at less than they paid for them … a negative yield!
Bear in mind that considerable goodwill exists which, whilst it should be quickly written off the books, will have an impact on the selling price. Added to that, Alex may well continue as a tenant or open another bar in the village and hence we all gain. I agree with Kath that the value of anything is what someone will pay for it, but Vassilis is determined to sell and negotiation is the name of the game.
Steve
Vassilis is very serious about the sale and if we look at his proposal, then any prospective purchaser would be getting a busy bar, in a key location, with a good income, complete with accommodation for the owners plus at least one, and possibly three, rental apartments, depending on what they need for themselves. Vassilis has indicated that the price will start at around €550,000 (about £430k), but is very negotiable in terms of both price and structure. It is a unique opportunity for someone to purchase a village-centre property, and they don’t come along that often. In the final assessment, it should provide a yield of over 5%, or a maximum 20-year payback … not bad considering many ex-pats live here for long and then end up selling their properties at less than they paid for them … a negative yield!
Bear in mind that considerable goodwill exists which, whilst it should be quickly written off the books, will have an impact on the selling price. Added to that, Alex may well continue as a tenant or open another bar in the village and hence we all gain. I agree with Kath that the value of anything is what someone will pay for it, but Vassilis is determined to sell and negotiation is the name of the game.
Steve