Transcription
So I'm in Ler. I've just arrived at the hotel, The Poon Hotel. Says it's luxury accommodation, so I want to be judging the hotel, finding out how much money the owners are making, and doing my little review as a hotel owner myself.
Interestingly, I have to let myself in. Okay, I'm apparently on the first floor. No reception or anything. I actually quite like not having to meet anybody. You just book on, turn on, and then you've got codes. Let yourself in. Codes change. It's like the future service accommodation.
So this is [Music]. Me. Okay, how smooth is this? See, this is nice. This is nice. My good goodness. Woo! This is decent. You know, I'm going to find out how many units there are, how many bedrooms there are. Are they all like this? Are they all as nice as this? And also, I've actually got a meeting with the hotel owner first thing in the morning, and I'm going to be finding out how much they're making on this place. I'm going to have a nice warm bath, and I'll see you in the morning. [Music]
Okay, so I've just woke up. Incredible night's sleep. Love this hotel. Love this room. Now, what I'm going to do, go look around the outside in the daytime, meet the owner, find out how much money she's making. You filming me? 'Cause I'm filming you. We're going to switch up the camera speed now, 'cause now, uh, last night it was late. Let's go.
Hello, Samuel. How are you? I'm good. How is it going? Awesome. Wow. I'm not. This is the first time I've seen this place in the light. I got here last night at like midnight, and it was dark, so this is awesome. So this is a Grade II listed building, built in 1883. And it started off as a magistrates' court. Still got the old prison cells in the basement. Really? Yeah. Yeah. Where does it start and where does it end? How big is this building? This is one building owned by the same person. I own the hotel, but I don't own the building. Like me, like you, like Premier Inn? Absolutely. Most hotels, like most hotels. So the hotel is the business. The building is a separate thing. So why do you choose to do that? Why would you not just buy the building? I wanted to have something like this, but do it without paying all that [Music] money.
How many rooms is even here, actually? It has 16 bedrooms, but it's made up of 10 apartments. So each apartment has got a name, something iconic to do with Leicester. So I paid for that room last night, £170. I'm just wondering if you don't mind me asking, like, what the occupancy rate is, and I'm trying to calculate the maths. So the occupancy rate is like, today it's 90%. Yesterday it was 90%. Okay. Midweek it's between 70 and 100. So like, it can be 100 sometimes, right? So it's pretty full then? Yeah. [Music]
I've stayed in a lot of serviced accommodation properties before. Yeah. Normally serviced accommodation properties are like small, up there, like it's one apartment or something. Yeah. But this is literally, it's like an apart-hotel, right? It is. It's serviced accommodation hotel. So how many are on the ground floor? So there's four flats on the ground floor. One, two, and then we've got three and four down the bottom there. So five to ten up here. It's a three-story building. [Music]
Here's a question. Do you have people that can't follow simple instructions all the time? We have a property manager who actually deals with all the calls. Any issues that we've got, it's all automated. So as soon as you put your ID into the system, it literally just pings out a message. And then if I, if I need help, I call, and then that goes through to the property manager. All the rooms like this, or is this particularly? All, all the rooms are like this. This is one of the premium rooms anyway, 'cause it's got the bath in the bedroom. The bath in the bedroom. But yeah, they're all, they're all apartments. We've all got, um, a lounge, kitchen, diner, a separate bedroom, and a separate bathroom. So if it's two bed, it's two bath. If it's one bed, it's one bath. Fully self-contained apartments. Good. But who stays here then? Is it? So we get a variety of people. Um, corporates during the week. Contractors love it because it is actually home from home. So they don't want to eat out every night. They can cook. They can put food in the fridge. We have quite a lot of longer-term guests, so people that are say, from abroad, they're here for a month. It's so flexible, isn't it? Yeah. It's beautiful. It's fully furnished. And I think in 2024, everything's about convenience and ease. [Music]
How long are your leases? Yeah, so it's a commercial lease. It's a 5-year lease. The owner actually wanted us to take it for 20 years. Really? Yeah. Because we've done your training, um, we heard about things like break clauses when you're in a long lease to protect ourselves. We asked the landlord to put a break clause in it. It worked out quite well. He was developing when we found this, so we were involved, involved in things that we wanted. He actually paid for the furniture, but we paid for all the soft furnishings. So it's almost like a joint venture then? Like, how much do you pay him? £10,800 a month. It's not bad. So you're basically paying about £1,000 per apartment? Yes. What are you making profit from this roughly a month, if you don't mind me asking? Between 10 and 15,000, I'd say, in profit. Yeah, that's solid. Well, thank you so much for showing me around. You're very welcome. Well, I wanted to give you a little gift, and I'd love it if you would open it. Of course. That's very, very, very kind. It's for you and Amanda. It says, "Samuel, Leicester is my dad." That's really kind. Well, she's due, um, next week. So with these events that you've got, like this one, making quite a lot of profit, what are you, where are you putting that money? We started developing now. What did you buy? A four-bed, rundown, derelict house. We converted that into a six-bed, six-bath, big HMO. How much did you rent that property out for? £4,000 a month. Is it passive? It's totally passive. Pure profit is about £2,700. That's solid. Yeah. That's financial freedom from one deal. Yes. Well, pretty. I'm really proud of you. Thanks so much for showing us around. Come spend a day with me at the crash course. The crash course is sick, isn't it? It's amazing. It's, it's a pound. Okay, so come spend a day. Stay with me. I'll leave a link in the description, and we'll see you next time.