An Opportunity to Invest in Commercial and Residential Development

An opportunity exists for anyone who has dreamed of owning and developing their own business venture. Following completion of a six year ambitious programme, which has involved the conversion of the 18th century winery of a local château into 27 apartments including a swimming pool and commercial facilities, the development is fully populated.

This unique package includes both furnished residential accommodation as well as a quality commercial enterprise that offers considerable potential for growth.

The venture consists of ownership of the following:

1. A Cave Function Room with bars and a restaurant (410 sq m) originally developed as a private Jazz Club. The complex consists of one bar in the Cave, a function room for approximately 100 people with toilets, a stage with an artists/private room behind the stage, a lift for the disabled, one bar/lounge with outside seating, a restaurant for 30 people linked to an outside seating area and the Cave, a kitchen to cater for both larger functions and the restaurant, and an extensive audio video system to cater for concerts and karaoke. Conversion work on the kitchen and Cave was completed in May 2005. This valuation (new window, PDF, 7,698KB) was completed in April 2005, amounting to €1.190 million based on a total area of 529 sq m and a monthly rental income of approximately €4,000. (Freehold interest owned by the Development Company, Promobatisse SARL, with designated private parking.)
2. The Cave freehold interest is at present owned by the Development Company, Promobatisse SARL, including ownership of designated private parking and store rooms. There is scope for an investor either purchasing 100% of the shares of this Development Company with a cumulative taxation allowance of approximately €950,000 to September 2005 or an option for the development company to be liquidated with the freehold interest in the walls transfered to a new owner/company/SCI. Accounts for Promobatisse are available if required. (Freehold interest owned by an SCI.)
3. Three shops/offices on the corner of the development (85 sq m) with an entrance from both the main road in La Redorte and the garden/private parking area. There is a central skylight with a small kitchen and bathroom. This is classified for both commercial and residential use and if justified could be converted into a private ground floor apartment with a small garden. Previously two of the offices have been used by a firm of Estate Agents with the third office used by the Gerant for Promobatisse and Cavadan. The premises are owned by SCI Gillak with an outstanding mortgage of approximately €100,000. This valuation (new window, PDF, 2,515KB) was completed in April 2005 amounting to €189,000 based on a total area of 119 sq m and a monthly rental income of approximately €1,500.
4. Ownership of a two bedroom fully furnished luxury apartment (122 sq m) with a large private patio area (58 sq m), a private satellite dish with outside storage and barbeque, a private cave (4 sq m) and a parking place on the south east side of the La Bâtisse complex. This valuation (new window, PDF, 4,654KB) was completed in April 2005 amounting to €282,000. All furniture, fittings and equipment are available within this price. The apartment has retained original beams with an impressive open kitchen, fireplace, six velux style sky-lights, a window and door opening onto the large patio area surrounded by railings and plants. There could be scope for purchasing an area immediately below the apartment with direct access from the patio area including a large volume linking with the end of the Cave amounting to approximately 250sq m. This would be subject to further negotiations with the owner of the original development and could be used as an extension to the Cave for large exhibitions and functions with scope for further accomodation.
5. A commercial business operating the Cave/Restaurant. SARL Cavadan, trading under the name of Crossroads, is owned and managed as an independent venture by Dany Gillain. Under the new business arrangements the monthly rental payable to Promobatisse has been negotiated at a notional €1,000 per month increasing to a commercial rent of €4,000 from April 2006 with further increases in subsequent years. SARL Cavadan owns the licence for operating the bar/restaurant/club facility together with the furniture in the Cave/Restaurant and the trading stock.
6. Crossroads commenced activities in August 2004 operating as a jazz bar and private club. The restaurant was completed in May 2005 and although open on a restricted basis, a suitable qualified chef has yet to be found. There is considerable scope for developing the Cave function rooms and restaurant as a quality profitable destination venue under qualified management. Options exist for either taking over the existing business with cumulative tax losses during this period or leaving the commercial business under separate management. This valuation (new window, PDF, 2,013KB) in April 2005 confirmed an initial estimate between €150,000 and €200,000 pending development of the commercial businisess (Valeur Venale - €759,000)

Overall investment in the region of €900,000 to €1.9 million depending on the above options selected. The commercial investment is suitable as an approved UK pension fund investment under both the existing and the new regulations from April 2006. Valuations in April 2005 include further details with specifications, drawings and photographs. The apartment is available for sale as part of the commercial package although the existing owners would be prepared to rent out the above apartment. Other quality apartments are also for sale at La Bâtisse.

Layouts of Apartment Sauvignon and La Bâtisse Download (new window, PDF, 141KB)

Layouts of the Cave and office volumes Download (new window, PDF, 714KB)