ADDRESSTower House, Tower Street, Newcastle upon Tyne, NE1
TYPEOther, Other Property Types & Opportunities
TENUREInvestment Opportunity
POSTED ON11th November 2024
Description
CITY CENTRE FREEHOLD MULTI-LET RESIDENTIAL INVESTMENT OPPORTUNITY - INVESTMENT OVERVIEW • Freehold • Prime City Centre Location • Excellent transport connectivity • Close proximity to both Newcastle and Northumbria Universities • Popular with student and young professionals • 42 Apartments let on individual ASTs • Rare City Centre accommodation with Private Parking for 19 cars • Current Gross Income of £376,680 pa; - This equates to average rent of £743 per apartment per calendar month; - and an average £133 per bedroom per week • Three year average management costs of £62,831 pa and a current net income of £313,849 pa • Low passing rent with potential to significantly increase value. A conservative ERV of £431,340 pa; - based on an average rent of £838 per apartment per calendar month; - and an average £150 per bedroom per week
The property comprises an early 1900’s four storey building constructed in brick under a pitched and slated roof with valley gutters. There are areas of render to the lower floors. The windows throughout the property are predominantly uPVC double glazed with some timber framed single glazed units. Doors are timber. Rainwater goods are formed in uPVC.
The building comprises a central courtyard and benefits from 2No. under croft parking areas to the ground floor, accessed via electric controlled gates to the side of the building and providing a total number of 19 spaces. The parking spaces operate on a permit basis with permits being allocated on a first come first served basis. The building benefits from a secure entry phone system. The apartments are accessed via common landings and hallways which comprise painted walls, suspended ceilings, and commercial grade carpets to the floors. Arranged over four stories, Tower House has 42 apartments comprising: • 25 One Bedroom Apartments • 9 Two Bedroom Apartments • 1 Two Bedroom Duplex Apartment • 1 Three Bedroom Apartment • 3 Studio Apartments • 3 Studio with Bed Deck Apartments (Mews)
13 units are currently on periodic rolling tenancies. The remaining 29 units are let on individual standard AST’s, giving the option to rapidly increase income.
