Investment Consideration:
Gross Initial Yield: 7.52%
Rental Income: £44,340 p.a.
VAT is NOT applicable to this property
Comprising a double fronted shop and 3 self-contained flats
Shop tenant in occupation since 1986
Occupiers nearby include Co-op Food supermarket, Subway, Domino's Pizza, Farmfoods, Lloyds Pharmacy, Greggs and William Hill amongst many others.
Property Description:
The property is arranged on ground and two upper floors to provide a double fronted ground floor shop with three self-contained flats above, access to which is via a communal rear staircase.
The property provides the following accommodation and dimensions:
Retail Shop: 127.7 sq m (1,374 sq ft)
No. 188A: Four Bedrooms, Kitchen, Bathroom
No. 190A (Flat 1): Two Rooms, Kitchen, Bathroom
No. 190A (Flat 2): Two Rooms, Kitchen, Bathroom
Tenancy:
The Ground Floor Shop is at present let to L. Horwood t/a Kennedy’s Mica Hardware for a term of 5 years from 28th September 2021 at a rent of £22,500 per annum and the lease contains full repairing and insuring covenants. Tenant has right to determine at the third year with 6 months notice. New lease starting in Sept 2021 on same basis as existing lease. Flat No. 188A (first/second floor) is at present let to Elite Support & Housing Ltd for a term of 3 years from 17th June 2020 at a current rent of £12,000 per annum. The tenant has option to determine giving two months notice. No. 190A (Flat 1) is at present let on an AST to an individual for a term of 6 months from 23rd April 2020 at a current rent of £5,100 per annum and rent deposit is held of £425. No. 190A (Flat 2) is at present let on an AST to an individual for a term of 6 months from 16th November 2020 (Holding Over) at a current rent of £4,740 per annum and rent deposit is held of £200.
Location:
Rubery is a southern suburb of Birmingham situated on the A38 some 8.5 miles south-west of Birmingham city centre. There are good road communications, with Junction 4 of the M5 Motorway being some 2 miles to the south-west. The property is well located on the south side of New Road and forms part of a larger and established parade of shops. Occupiers close by include Co-op Food supermarket, Subway, Domino's Pizza, Farmfoods, Lloyds Pharmacy, Greggs and William Hill amongst many others.
