Residential property in your pension

New Hold expertly-chosen residential property in your Self Invested Personal Pension (SIPP)

Apply now, or request an Information Pack:

In partnership with

Allows people to invest their pension in bricks and mortar with zero administration fee

FT Adviser
Questions? Call 0203 1111 432 or email:
Customers: sipp@bricklane.com

94% of property investors and 81% of financial advisers think residential property should be allowed in a pension wrapper1

Our solution

Our residential property funds offer exposure to this valuable asset-class in a pension-eligible REIT investment that actually returns the performance of the properties it owns

This gives you the option to diversify your retirement portfolio without the hassle of owning property directly

£0 SIPP administration fees for investments over £25k terms apply
8.7% total return net of management fee, Sep '16 - Sep '17
Past performance is not a reliable guide to future results. Excludes the impact of any platform fee charged.

Who might be interested?

Existing pension savers and their advisers frustrated by the inability to include residential property in their portfolio directly, but keen to take advantage of pension tax reliefs

Buy-to-let landlords looking to exchange property investments for a more liquid, pension-eligible alternative providing diversified exposure in a more convenient lot size

Potential property investors looking to the long-term but put-off by the hassle of direct ownership, the need to manage rental voids, the raft of tax changes and growing costs

How it works

Apply now, or request an Information Pack to get started

1.
Open a SIPP with one of our partners, or transfer an existing one
2.
Fill out a Bricklane.com REIT investment form (available from our partners) and choose an investment amount
3.
Benefit from rental income and changes in portfolio property values, tax-efficiently

Why consider residential property investment in a pension?

UK residential property has been one of the best performing asset classes in the last twenty years, while correlations and performance volatility have typically been lower than equities.

Investment in residential property can provide a good way to diversify your pension portfolio, and is a hassle-free and tax-efficient alternative to buy-to-let investment. By investing in UK residential property via a REIT you can fine-tune your exposure to suit your goals and risk-profile, without personal and corporation tax on gains or income.

 
Asset class diversification

Residential property can provide a smart way to diversify your pension, offering lower volatility than other asset classes such as equities and bonds, as well as protection from inflation. Structural under-supply in the UK housing market continues to underpin the long-term price outlook for this market, as well as growth in rental income.

REITs offer a more rational unit size

Our geographically targeted REITs can be bought and sold in small amounts meaning there’s no need to take an all-or-nothing decision. Investing in the property market via a REIT fund is highly flexible, meaning pension exposure can be easily fine-tuned as your risk profile evolves or your outlook on the market or a specific geography changes.

An alternative to Buy-to-Let?

For buy-to-let landlords or potential investors, investing via a pension might also be the tax-efficient alternative you’ve been looking for, particularly given the raft of legislative headwinds and recent tax-changes. Pension investment in property is free from capital gains or income tax, and certain inheritance tax provisions also apply. By investing in a REIT your exposure is diversified across a chosen regional market, while also relieving you of the hassle of managing and paying to service the property yourself.

Read more about our approach in our information pack

Tax rates, allowances and rules referred to are subject to future change, and the above does not constitute tax advice. Please note that pension tax reliefs will depend on your individual circumstances. Bricklane Investment Services is not able to provide individual pension or investment advice.

About Bricklane.com’s residential property REITs

Bricklane.com operates a number of funds, and pension investors can currently purchase the “Regional Capitals” fund for their self invested personal pension (SIPP). In its first year (Sep '16 – Sep '17), the fund returned 8.7%,2 through a combination of rental income and capital growth, and allows investors to gain exposure to a portfolio of expertly-chosen properties across Leeds, Manchester and Birmingham.

 

The Bricklane.com Regional Capitals Fund invests in attractive homes across Leeds, Manchester and Birmingham. It targets properties that appeal to a wide range of tenants, and which exhibit strong rental and sales demand. The Regional Capitals Fund has been popular with those looking to own a stake in their city, as well as those looking to diversify by investing further away from home.

Bricklane.com’s management team are all personally invested in each of the funds we operate. This means that our own money goes into each of the properties we buy - ensuring our incentives are aligned with all our customers.

Our REITs invest in expertly selected non-prime residential properties with strong yield characteristics and potential for capital growth. Our approach combines quantitative, proprietary data analytics with in depth market knowledge and insight, all overseen by an advisory team with over 100 years combined experience. Our advisers have managed funds, property acquisitions and portfolios at Board-level for organisations such as Peabody Trust housing association, CBRE Global Investors, ING Real Estate Investment Management and LSL Property Services. We take care of sourcing and managing the best properties so our investors don’t have to.

Read more about our portfolio and the Regional Capitals REIT in our information pack

Past performance is not a reliable indicator of future results.

How do I include Bricklane.com’s REITs in a pension?

Getting residential property exposure into your pension is a straightforward process. Our Regional Capitals fund is currently eligible for inclusion in a Self Invested Personal Pension (SIPP), and we expect our London fund will be shortly.

 

We have partnered with Hartley Pensions Limited to offer customers a range of professionally administered SIPP wrappers to sit alongside or replace your current arrangements.

Our REITs can be held in a cost-effective single-asset SIPP, or in a more comprehensive wrapper which allows investment across multiple asset classes and platforms. Hartley Pensions has provided pension products to clients for over 35 years: more information about Hartley Pensions can be found on their website hartleypensions.com.

To get started, enter your email below and request our information pack. We will send you a PDF brochure containing the necessary links. If you are already a Hartley Pensions customer simply inform them that you would like to make an investment with Bricklane.com, and they will help you set up an account.

If you have a self-invested personal pension with another provider, you can open up another SIPP free of charge with Hartley, or alternatively get in touch with us to discuss including our REITs in your existing scheme. Hartley Pensions are able to facilitate the transfer of all or part of an existing SIPP to their administration, or alternatively we can provide all the necessary details for your plan administrator or adviser. We cannot advise on whether your platform will be willing to support your investment, or timelines involved.

Note: a minimum investment of £10,000 is required for SIPP account customers

1. SIPPclub report, May 2013
2. Total Return net of annual management fee. http://www.tisegroup.com/market/securities/8445

Pricing

SIPP minimum investment: £10,000

1.25% Transaction fee per investment
0.85% Annual management fee  
£0 SIPP Administration fee For investments £25k+. Terms apply.
Bricklane fees

SIPP investments with Bricklane.com are subject to a minimum of £10,000 and incur a one-off transaction fee of 1.25%, in addition to the annual management fee of 0.85%.

SIPP Administration fee

As with all personal pensions, there are annual fees chargeable by the pension administrator which cover the day-to-day administration of your SIPP, including collecting pension contributions, claiming tax relief, providing valuation services, and completing all HMRC and FCA reporting to maintain the tax efficiency of your pension.

For investments with Bricklane.com of £25,000 or over, no pension administration fees are payable for the Hartley “Abacus” SIPP wrapper. (Terms and conditions apply).

For customers investing less than £25,000 with Bricklane.com, Hartley Pensions offers transparent and highly competitive flat-rate fees on its pension wrappers from £175+VAT. Full details are available at the Hartley Pensions website.

Properties

Photo Address Value Net yield Beds/Baths Status
Greek St, Leeds £285,000 4.5% 2 bed, 2 bath Acquired Oct 2016
The Grand, Manchester £220,000 4.0% 2 bed, 1 bath Acquired Nov 2016
Park Place, Leeds £225,000 3.9% 2 bed, 2 bath Acquired Mar 2017
The Riverside (1), Manchester £237,500 4.5% 3 bed, 2 bath Acquired Apr 2017
Brindley House (1), Birmingham £262,500 4.6% 2 bed, 1 bath Acquired Nov 2016
Brindley House (2), Birmingham £257,500 4.9% 2 bed, 1 bath Acquired Jan 2017
Velocity North, Leeds £165,000 4.2% 2 bed, 2 bath Acquired Feb 2017
Brindley House (3), Birmingham £262,500 4.0% 2 bed, 1 bath Acquired Mar 2017
Hill Quays (1), Manchester £240,000 3.4% 2 bed, 2 bath Acquired May 2017
Hill Quays (2), Manchester £230,000 4.5% 3 bed, 2 bath Acquired May 2017
The Mews, Manchester £231,000 3.0% 2 bed, 2 bath Acquired April 2017
The Riverside (2), Manchester £237,500 4.4% 3 bed, 2 bath Acquired Apr 2017
Velocity East, Leeds £165,000 3.8% 2 bed, 2 bath Acquired May 2017
Galbraith House, Birmingham £310,000 3.1% 2 bed, 2 bath Acquired Jul 2017
Sapphire Heights, Birmingham £146,000 3.8% 1 bed, 1 bath Acquired Jun 2017
Sparrow Wharfe, Leeds £118,500 3.9% 1 bed, 1 bath Acquired May 2017
Blue, Leeds £185,000 4.0% 2 bed, 2 bath Acquired Nov 2017
Portland Place, Leeds £204,000 3.5% 2 bed, 2 bath Acquired Oct 2017
Rotunda, Birmingham £239,400 3.8% 2 bed, 2 bath Acquired Sep 2017
Metropolitan House (2), Birmingham £165,000 4.0% 1 bed, 1 bath Acquired Dec 2017
Metropolitan House (1), Birmingham £135,000 3.9% 1 bed, 1 bath DD
The Riverside (3), Manchester £227,500 4.2% 3 bed, 2 bath DD

Our advantage

Using sophisticated data analytics the team at Bricklane.com evaluates all properties coming onto the market in our target areas, every day.

We are able to rapidly filter hundreds of listings to identify what we believe to be the top fraction of eligible properties, before conducting detailed due-diligence to confirm valuation, quality and fit with our broader portfolio. Our ability to identify, assess and offer on attractive properties rapidly is central to producing superior and sustainable returns for our funds.

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All our properties are valued independently every month by Allsop LLP, a leading consultancy to the residential property industry, to give you the reassurance you that the performance of your investment is verified by industry experts.

Our strategy is shaped in conjunction with leading experts from the real estate industry, with over 100 years of experience and tens of billions of pounds worth of transactions under their belts. Learn more

Get started

Apply now, or request an information pack:

Questions? Get in touch

Capital at risk

The value of your investment can go down as well as up. If you want to sell shares, there is no guarantee that you will be able to find a buyer for your shares within a reasonable timeframe at a price that is acceptable to you. The REITs invest in residential property, which are not highly liquid assets. Rental yields and dividends may be lower than estimated.

Tax rules and allowances depend on individual circumstances and may change in the future. If you are unsure about whether investment is right for you, you should seek independent advice before investing, including tax advice.