The Hamilton Grand
... a new concept in rental real estate
The Building
The Hamilton Grand operates in the style of a boutique hotel.
Building features (24 hours) include concierge, full security, lobby bar, café, housekeeping, room service, dry cleaning, rooftop gym and open-air hot-tub, business centre, local shuttle bus, onsite market, pharmacy, and underground parking.
The top 2 levels (owned by the manager) provide short-term (daily) hotel accommodation. The remaining levels comprise individually-owned condos, which may be owner-occupied or leased for terms of 30 days and more.
All suites in the building are efficiently-planned studio and junior one bedroom apartments, each with a kitchen and laundry.
An optional furnishing package includes a built-in ‘Murphy Bed’, chairs, dining table, sofa, work-station, entertainment centre, linens, china, kitchen items, and décor.
The Target Market?
The Hamilton Grand is a ‘singles’ building, providing an effortless, no-maintenance, full service, hotel lifestyle in a central downtown location at a competitive price in a modern facility (with a classic façade). Frankly, there is nothing even close to equivalent in Hamilton.
In 21st century Hamilton, the primary (and growing) employment sectors are education, medicine, research and entertainment/culture (not steel mills), for which the demographic is usually younger, single, transient and disinterested in maintaining a house or lengthy commutes. These are ‘downtown people’…. not families or the Martha Stewart crowd.
The ‘Product’
For $1,295 per month, the Hamilton Grand Rental Package includes;
- Fully-equipped studio with kitchen and laundry
- Utilities (heat, hydro, water, high speed internet, phone and cable TV)
- Weekly housekeeping
- Daily continental breakfast (coffee, juice, bagel, yogurt, fruit….)
- Roof-top spa/gym, with outdoor Hot Tub
- 24 hour café and room service
- front desk concierge and round-the-clock security
Investor Bonus
Suite owners who participate in the rental program also share in the additional revenues derived from other building services such as the café, bar & lobby retail (open to the public)
Rental revenue (based on annual lease) |
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$ 1,295 |
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- 75% Mortgage (*includes furnishing @$10,000) 4.5% |
415 |
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- Condo fees and utilities (estimated $50 utilities) |
250 |
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- property taxes ($1,200/yr. residential rate) |
100 |
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- management fee 10% (including rental and marketing) |
130 |
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- hotel services (housekeeping, food, cable, phone, etc.) |
200 |
(1,095) |
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net |
200/mo |
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Estimated share of extra guest service revenues |
+ |
100/mo |
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Total monthly cash flow to suite owner |
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$300/mo |
Annual net cash flow |
$3,600 |
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Original 25% cash equity |
$25,000 |
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Annual rate of return on equity |
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15% |
How much is your savings account paying?
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