TS3 Fully Managed FRI Lease Investment – 11% Net Yield with Guaranteed Rent

A fully renovated and furnished 2-bedroom terraced property in Middlesbrough, delivered ready for a supported housing strategy and let on a secure 7-year FRI lease.

The property is being offered at £101,000, including purchase price, refurbishment, furniture pack, and mobilisation. It is set up to the required standard for the tenant support model, meaning the investor receives a turnkey, income-producing asset without needing to manage refurb, furniture, setup, compliance, or tenant placement.

The property generates £950 per month net income, equal to £11,400 per year, producing a strong 11% net yield.

A key benefit is the FRI lease structure, where the provider takes responsibility for the running and maintenance obligations under the lease. The provider also covers all running costs, apart from landlord insurance, giving the investor a highly passive and predictable income stream.

There are no council tax or utility bills payable by the investor at any point, no middle-management fees, no registration fees, and no setup fees. The rent is guaranteed, helping remove common investment risks such as void periods, arrears, and day-to-day tenant management.

Sits within the TS3 investor market, an area known for affordable entry prices and strong yield potential. Based on the earlier valuation work, the renovated resale ceiling is around £90,000, while this deal is structured primarily for long-term income security and high net cashflow rather than short-term resale uplift.

Investment highlights:

Purchase price including refurb, furniture and mobilisation: £101,000
Net income: £950 per month / £11,400 per year
Net yield: 11%
Lease: 7-year FRI lease
Condition: Fully renovated and furnished to provider/support-housing standard
Bills: No council tax or utilities payable by investor
Management: Fully hands-off
Rent: Guaranteed
Running costs: Covered by provider, except landlord insurance

Summary:
A high-yield, fully managed, guaranteed-rent investment with a 7-year FRI lease — ideal for investors seeking secure long-term passive income without the usual risks of voids, bills, maintenance management, or tenant issues.

Sourced reference: 181939742851469