Description
This Edgbaston care home development represents a rare opportunity to invest in an 80-bed, premium later life care facility designed for both general and specialist dementia support. Nestled alongside the tranquil 70-acre Edgbaston Reservoir, the site spans approximately one acre on Reservoir Road, offering residents serene views and easy access to recreational amenities.
Moreover the listing presents an 80-bed general and dementia care home development opportunity on Reservoir Road, Edgbaston. It offers investors a robust financial profile—with a target 6% exit yield, strong projected revenues, and flexible exit options—set within a prestigious, amenity-rich neighbourhood.
The proposed care home will feature single-occupancy en-suite rooms, thoughtfully designed communal areas for dining and wellness, and landscaped outdoor spaces to promote privacy and relaxation. Built to meet Care Quality Commission (CQC) standards, the development combines top-tier care with modern architecture and high-quality finishes.
Financially, the project is underpinned by robust assumptions: construction costs total £11.38 million (including contingency) and land acquisition is £5 million, bringing the total to £16.38 million. At a conservative 6% investment yield, the sale value is projected at £20.8 million, unlocking an exit profit of £4.42 million. Revenue forecasts assume weekly fees starting at £1,500—growing 5% per annum—with occupancy ramping from 75% in Year 1 to 90% by Year 3.
Key Takeaway: This development combines high-margin, secure cash flows with multiple exit routes in a buoyant care home market, making it a compelling proposition for institutional and private investors alike.
Financial & Revenue Forecast
| Year | Revenue (£) | Occupancy (%) | Net Revenue (£) |
|---|---|---|---|
| 2027 | £4,680,000 | 75% | £1,080,000 |
| 2028 | £5,380,000 | 80% | – |
| 2029 | £6,075,000 | 90% | – |
Key Findings:
- Firstly, Prime 80-bed care home development in Edgbaston, Birmingham
- Secondly, Total project cost: £16,380,000; potential exit profit: £4,420,000
- Additionally, Weekly fees from £1,500, growing at 5% p.a.
- Finally, Multiple exit strategies: sale, lease, or joint venture
Income
- Firstly, Year 1 (2027): Revenue £4,680,000; 75% occupancy; net revenue £1,080,000
- Secondly, Year 2 (2028): Revenue £5,380,000; 80% occupancy
- Thirdly, Year 3 (2029): Revenue £6,075,000; 90% occupancy
- In conclusion Weekly fees from £1,500 (+5% p.a.)
Location
Situated on Reservoir Road, Edgbaston, this site benefits from:
- Direct access to Edgbaston Reservoir’s 2.8 km walking/jogging path
- Proximity to Midland Sailing, Birmingham Rowing & Canoe Clubs
- Excellent bus routes (11A, 11C, 80, 87, 829) and Five Ways railway station
- Nearby schools, shops, cultural venues and Birmingham city centre
Internal & External Links
- Edgbaston Area Guide : worldofauctions.co.uk/area-guides/edgbaston
- Auction Calendar : auction-calendar
- Auction Process : auction-process
- Birmingham City Council : https://www.birmingham.gov.uk
- Network West Midlands Transport : networkwestmidlands.com
Last Updated: Saturday, 30 August 2025 | 01:50 GMT
