The Grade II Listed building comprises extensive ground floor retail and basement with WCs and kitchen at the rear. The freehold interest also includes x7 residential apartments on the first, second and third floors, sold off on 125 year long leaseholds. Each apartment contributes £200 per annum in Ground rent to the freeholder, totalling £1,400 per annum in additional income.
( Agency Pilot Software ref: 1848 )
Location
The subject property is located on the High Street in the centre of Southampton within a lively dining and leisure area. West Quay Shopping Centre and Above Bar is located approximately half a mile north and within 10 minute walking distance.
Accommodation
Ground Floor 1,225 sqft
Kitchen 34 sqft
Basement 1,229 sqft
Total Internal Area 2,519 sq ft
Terms
VAT We are advised VAT is payable on the commercial element of the purchase. We expect this will proceed as a Transfer of a Going Concern (TOGC), however all parties are advised to make their own enquiries into the matter.
LEASE TERMS The property is let by way of a lease dated 8th November 2023 for a term of 10 years at a rent of £25,000 per annum on years 1-3, increasing to £27,000 per annum for years 4 and 5. The property is then subject to a rent review on 5th anniversary. The lease also contains a break clause on 8th November 2028 subject to 6 months notice. It is understood that there is a service charge cap of £3,500 per annum. The tenant is Elusion Group Limited (09918135). The lease is drawn on full repairing & insuring terms. The x7 residential apartments on the upper parts have been sold off on individual 125 year leases, all of which were granted on 24th March 2014.
Specification
• Current rental income £26,400 per annum
• 10 year lease expiring November 2033
• Freehold
• Ground Floor Retail (uppers sold off)
• Gross Initial Yield 8.8%
• Guide price £300,000
• Grade II Listed Building