Investment Opportunity - Freehold High Street A2 office investment. Approx 657 sq ft (61.0 sq m) plus basement.
Rental income £15,650 per annum
Net initial yield approx 7.0%
The property, which fronts the High Street, is situated adjacent to the junction with Mustons Lane and close to other well known occupiers such as Ladbrokes, WH Smith, Edinburgh Woollen Mill, Superdrug and Santander Bank as well as other more local retailers. Shaftesbury is an attractive north Dorset rural town situated some 20 miles west of Salisbury (via A30) and approximately 8 miles south of the A303 trunk road which provides access to Exeter/the West Country and the M3/London.
The property which is Grade II Listed occupies a corner position and comprises an A2 office/shop on the ground floor currently let to a firm of estate agents while the upper parts (which comprise three flats) have been sold off on long leases. The shop, which has gas central heating, benefits from a parking space to the rear of the property.
Approximate Net Internal Areas
Shop frontage 5.2 m (171)
Shop depth 5.0 m (av) (165 (av))
Front office/sales area 27.2 sq m (293 sq ft)
Rear office 20.6 sq m (222 sq ft)
Kitchen/store 13.2 sq m (142 sq ft)
Male and female toilets
Basement storage 12.5 sq m (134 sq ft)
Freehold, subject to the following leases:-
The ground floor A2 office/shop is let for a term of 10 years commencing 1 September 2015 (renewal of a 1998 lease) to Chaffers Estate Agents Ltd (subject to Directors guarantees) at a passing rent of £15,500 per annum. The rent is subject to review on 1 September 2018 and thereafter at three yearly intervals in line with the IPD Index published in the EG and set by Savills. The tenant is responsible for internal repairs and decorations including the shop fronts and windows to both the High Street and Mustons Lane. The landlord is responsible for the main structure and all other external repairs and decorations at its own costs. There are no breaks in the lease. The landlord arranges buildings insurances and the tenant pays a quarter share.
The three flats have been sold off on full repairing and insuring leases on terms of 125 years from 1 January 2007 with each paying a ground rent of £50 per annum, subject to predetermined increases (the rent doubling) after each successive 25 years of the term. Eacg if tge tenants contribute a quarter share towards the maintenance and repair/decoration of the main structure and the exterior of the property.
£220,000 (We understand that VAT will not be applicable)
The above reflects a net initial yield of approximately 7% allowing for purchasers costs at 2.4% (Stamp Duty, srveyors and legal fees).
Rateable Value £9,800
We understand that all mains services are connected to the property.
Woolley and Wallis Commercial have not tested the services mentioned in these particulars.
Prospective tenants must satisfy themselves as to the permitted planning uses for the property and also whether VAT is applicable to this transaction.
Energy Performance Certificate
As the property is Listed it does not require an EPC.
Strictly by appointment only through Woolley & Wallis Commercial (01722 330333)