Property Information
Address:
7-9 Gallowtree Gate, Leicester
, LE1 5AD
Price: Property no longer available.
Size: 6060 sq ft562 sqm
Primary Category: Investment
All Categories:
Investment, Shop,
Property Ref/Movehut: MH355485
Property Ref/Agent: 7-9 Gallowtree Gate, Leicester, LE1 5AD
*Please use the agent ref when calling the agent directly.
Property description
INVESTMENT HIGHLIGHTS
??Ä?Prominent High Street retail unit situated in a prime position on gallowtree gate.
??Ä?Let to the excellent covenant of H Samuel Ltd, with 5.8 years until expiry.
??Ä?In close proximity to both the Highcross and Haymarket shopping centres
??Ä?H Samuel has been in occupation of this unit for around forty years. The unit recently underwent a comprehensive refurbished by the tenant, which completed in November 2014.
??Ä?Total Current Income: ?200,000 per annum.
??Ä?Freehold.
??Ä?Net initial yield: 7.00% allowing for purchasers costs of 5.80%
??Ä?Price of ?2,700,000 (Two Million, Seven Hundred Thousand Pounds), subject to contract and VAT
LOCATION
Leicester is strategically located 43 miles north-east of Birmingham, 31 miles south of Nottingham and 100 miles north-west of London. The city is the second largest in the East Midlands and is a major commercial retailing destination. Leicester is home to over 40,000 students, attending both the University of Leicester and De Montfort University.
The City benefits from excellent road communications with the A50, A46 and the A563 providing access to the City Centre via junctions 21, 21A and 22, of the M1 motorway. The Citys mainline railway station provides regular high speed train services to London St Pancras with a journey time of approximately1 hour 10 minutes. East Midlands airport lies approximately 20 miles to the northwest of the City and provides frequent domestic and international flights.
DEMOGRAPHICS
Leicesters primary catchment population is 939,000, significantly above the Regional Centre average and ranking the city 9th of the Promis centres being similar to Edinburgh and Bristol.
Leicester, the second largest city in the East Midlands, is a major commercial and retailing destination, with a shopping population of 491,000 people. The city has a high proportion of young adults between 15 and 35, considered to be a high class spend and with good levels of disposable income. This shopping population is estimated to spend ?1.33 billion annually on comparison goods, with the population itself forecast to increase quicker than the UK national average.
SITUATION
The property occupies a prime position on the pedestrianised Gallowtree Gate, in the heart of the city centre. The property is close to Humberstone Gate and both Haymarket and High Cross Shopping Centres. Nearby Gallowtree Gate occupiers include Marks & Spencer, Boots, Clarks, Dorothy Perkins, HSBC, Footlocker, Lush, and Game.
Other major retail anchor tenants such as John Lewis, H&M, House of Fraser, Primark, and Urban Outfitters, are located in Haymarket and High Cross Shopping Centres, situated directly to the north of the subject property.
DESCRIPTION
The property comprises a mid-terrace building over basement, ground, first and second floors. Presently, the ground floor is solely used for sales and the basement, first and second floors provide ancillary staff/storage accommodation. The basement and first floors were historically used for sales. The tenant has been in occupation of this property since the early 1970s. The unit recently underwent a comprehensive refurbished bythe tenant, which completed in November 2014.
ACCOMMODATION
The floor areas have been measured NIA (Net Internal Area) in accordance with the RICS Code of Measuring Practice (6th Edition).
Floor- Ground- Use-Sales 1,552 Sq Ft 144.24 Sq M
Floor- Use-ITZA 1,100 Sq Ft 102.14 Sq M
Floor- Basement-Use- Sales 1,060 Sq Ft 9849 Sq M
Floor- Use-Storage 303 Sq Ft 28.16 Sq M
Floor- First- Use- Sales 1,090 Sq Ft 101.27 Sq M
Floor- Use-Storage 478 Sq Ft 44.44 Sq M
Floor- Second-Use-Office 1,577 Sq Ft 146.48 Sq M
TOTAL 6,060 Sq Ft 563.04 Sq M
Net Frontage 35 feet (10.58 metres)
TENURE
Freehold.
TENANCY
The property is let to H Samuel Limited for a term of 10 years from 13th August 2010 to 12 August 2020 (5.8 years unexpired) at a current rent of ?200,000 per annum (representing ?146.21 per sq ft ITZA). The lease has an upward only rent review to open market value on 13th August 2015.
VAT
The property is elected for VAT and it is proposed that the sale will be treated as a Transfer of Going Concern (TOGC).
PROPOSAL
Offers are sought in excess of ?2,700,000 (Two Million, Seven Hundred Thousand Pounds), subject to contract and exclusive of VAT.
Assuming standard purchasers costs at 5.80%, a purchase at this level would an attractive net initial yield of 7.00%.
EPC
The property has an EPC rating of 133 (band F). Further information available upon request.
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