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Office Investment, 7 Commerce Street, Elgin, IV30 1BS

2,902 Sq Ft / Offices / Investment

Sold - Last updated: 02 February 2022

The subjects comprise ground floor and basement accommodation let to Cornerstone. The accommodation has a ramped threshold which provides wheelchair access. There are good levels of natural daylight throughout together with high ceilings. The accommodation is configured with open plan spaces plus 4 private offices, meeting room, 2 toilets (1 disabled) and staff kitchen. The basement provides good storage accommodation. The premises have 3 phase electricity and a gas fired central heating system. There is a secured garden area at the rear of the property which is paved.

Location

Elgin has a population of 23,128 (Census 2011) and is the main administrative and commercial centre for Moray. It is located on the A96 trunk road approximately 36 miles east of Inverness and 64 miles northwest of Aberdeen.
 
The subjects occupy a prominent pitch on the western side of Commerce Street, which connects in between High Street and South Street. There is on street disabled parking and loading bay facilities. Nearby occupiers include Lloyds TSB Bank, CKD Galbraith and Costa Coffee.

Accommodation

The net internal areas are as follows:
 
Ground Floor - 208.37sq m (2,243 sq ft)
Basement - 61.20 sq m (659 sq ft)
Total - 269.57 sq m (2,902 sq ft)

Terms

RATES
Listed in the Valuation Roll as Offices – NAV/RV £23,000. The rate poundage for the 2015/2016 financial year is 48.0 pence.
 
EPC
The buildings energy performance is D rated.
 
TENANCY
Let to Cornerstone Community Care on a full repairing and insuring lease, subject to a schedule of condition and tenant exclusion on repairs to the shared main roof. The passing rent is £20,000 per annum. The lease shall endure until 1st April 2025 and incorporates an upwards only rent review/tenant break option at the end of the fifth year of the lease.
 
COVENANT
Cornerstone Community Care operating as Cornerstone. Charity Number SC004780. Company Registration Number SC070762. Cornerstone is a Scottish charity and social enterprise that provides support and care for adults and children with disabilities and other care needs. Since it was founded in 1980 Cornerstone has grown to become one of Scotland’s largest charities. Their 2013/14 incoming resources increased to £32.6m (2012/13 £31.3m). Accounts can be provided to seriously interested parties upon written request.
 
SALE PRICE
Our client’s heritable interest is For Sale subject to and with the benefit of the existing leasehold agreement at offers over £200,000. A purchase at this level would offer an attractive net initial yield of 9.75%, allowing for LBTT plus normal purchasers costs of 1.8%.
 
VAT
The property is VAT free.

Specification

  • SUPERB TOWN CENTRE INVESTMENT
  • LET TO CORNERSTONE COMMUNITY CARE
  • PASSING RENT £20,000 PER ANNUM
  • NEW 10 YEAR LEASE EXPIRING APRIL 2025
  • TENANT BREAK OPTION APRIL 2020
  • NET INITIAL YIELD 9.75% AFTER COSTS
  • VAT FREE


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