Investment Summary
Freehold multi-let mixed-use investment.
1x commercial unit trading as an independent public house 249 sq. m (2,680 sq. ft).
8x flats ranging from 31 sq. m (334 sq. ft) to 42 sq. m (452 sq. ft).
Commercial unit let for 5 years from 1 July 2023 at £30,000 per annum.
Flats let at monthly rents ranging between £450 and £550.
Combined rent of £77,340 per annum.
Asset management potential.
We are instructed to invite offers in the order of £895,000. Assuming purchaser's costs at 4.83%, a purchase at this level reflects a net initial yield of 8.24% and an overall rate of £1,642/sq. m (£153/sq. ft).
Location
Stoke on Trent is a major commercial and industrial city and unitary authority in North Staffordshire, approximately 29 miles to the south of Manchester and 40 miles to the north of Birmingham. At the 2021 census, Stoke on Trent had population of approximately 260,000. The property itself is located in Longton, one of the six towns that make up the City of Stoke of Trent. Longton is situated in the southeast of the City and is a popular residential area with a thriving town centre having a wide range of independent traders and household names, bus station, train station and easy access to the major road network.
Description
The property comprises a multi-let mixed-use investment consisting of 1x commercial unit trading as an independent public house (249 sq. m (2,680 sq. ft)) and 8x flats ranging from 31 sq. m (334 sq. ft) to 42 sq. m (452 sq. ft). The building itself of early 20th century origin and was refurbished to provide the existing accommodation in 2005/2006.
The public house occupies the majority of the ground floor and basement. It has a modern interior with bar and seating area to the front and right-hand side, office, stores, male and female toilets and a conservatory at the rear together with a private external seating area. The flats are accessed from the left-hand side of the building via a communal entrance. Inside the communal areas and flats are finished to a modern standard. Each flat has an entrance lobby, living room, kitchen, bedroom and ensuite.
Tenants
Commercial Unit:
Let to an individual for 5 years on internal repairing and insuring terms from 1 July 2023 at £30,000 per annum, payable at the rate of £600/week and subject to a tenant break on the 3rd anniversary subject to provision of 6 months advance notice in writing.
Flats:
All let by way of Assured Shorthold Tenancy Agreement.
Flat 1: £455/month (£5,460 per annum)
Flat 2: £550/month (£6,600 per annum)
Flat 3: £450/month (£5,400 per annum)
Flat 4: £475/month (£5,700 per annum)
Flat 5: £465/month (£5,580 per annum)
Flat 6: £475/month (£5,700 per annum)
Flat 7: £550/month (£6,600 per annum)
Flat 8: £525/month (£6,300 per annum)
Total Rental Income: £77,340 per annum
Energy Performance
Commercial Unit: C
Flat 1: D
Flat 2: D
Flat 3: C
Flat 4: D
Flat 5: D
Flat 6: C
Flat 7: C
Flat 8: C
Rating
Commercial: RV £14,250
Flat 1: Council Tax band A
Flat 2: Council Tax band A
Flat 3: Council Tax band A
Flat 4: Council Tax band A
Flat 5: Council Tax band A
Flat 6: Council Tax band A
Flat 7: Council Tax band A
Flat 8: Council Tax band A
Services
All mains' utilities services are understood to be available.
Planning
The existing use of the property is authorised pursuant to Stoke on Trent planning decision 43073/FUL.
Tenure
Freehold: Title Number SF75384
Price
We are instructed to invite offers in the order of £895,000. Assuming purchaser's costs at 4.83%, a purchase at this level reflects a net initial yield of 8.24% and an overall rate of £1,642/sq. m (£153/sq. ft).
VAT
Not applicable
Costs
Each party is to be responsible for their own costs.
Anti Money Laundering
In accordance with Anti-Money Laundering Regulations identification and confirmation of the source of funding will be required from the successful purchaser.
Contact:
Glenn Hammond MRICS
T: 01782 659 905
M: 07957 994 057
E: glenn@hammondsurveyors.co.uk
Phil Webb
T: 01782 659 905
M: 07821 639 094
E: phil@hammondsurveyors.co.uk
Joint Agent
Belvoir Stoke on Trent
T: 01782 478 444
E: stoke-on-trent@belvoir.co.uk
( Agency Pilot Software ref: 4238 )