Self-invested pension plans such as a Self Invested Personal Pensions (SIPP), Group SIPPs or a Small Self-Administered Scheme (SSAS) may invest some or all of the scheme’s assets into land or ‘bricks and mortar’ commercial property such as nursing homes, public houses, agricultural land and property, industrial, commercial or retail units. In addition, the schemes may also borrow within certain parameters to meet the costs of the purchase.
This way of holding property can have advantages of growth outwith the capital gains tax regime as well as providing a way to genuinely diversify retirement investments while attracting capital growth of the subject assets and tax efficient income payments from the rental they attract (which may also be a deductable expense for business owners).
We have heard all sorts of wonderful tales of the property that some investors would like to hold in their portfolios. Run your situation past us and we will let you know where we can help.