Retail premises for sale

Description

This double fronted retail unit (7.5 m gross frontage) comprises a large open plan office area behind a small, intriguing retail showroom/display area which fronts onto Hoxton Street. There is also an office/ meeting room, kitchen, toilet and separate disabled toilet. The property also benefits from having an access point to the rear. The retail investment includes the ground floor only as the upper parts are solely owned by the freeholder. The planning falls under Class E

The tenant

The subject property has been underlet to Ministry of Stories, a Registered Company limited by guarantee (07317370) and also a Registered Charity (1138553). The Tenant, Ministry of Stories are a creative writing and mentoring centre for young people in East London and have been around since August 2010.

Under lease

Current full repairing and insuring under lease contracted outside the Landlord and Tenant 1954 Act (as amended) which commenced in August 2023 for a term of 8 years with an open market rent review at the end of the 5th year. The passing rent is £36,000.00 per annum exclusive. There is a mutual break at the end of the 4th year with prior written notice and a rpi Rent Review increase at year 5,6, and 7

Long leasehold

The property is currently held on an original 125-year lease, dated from 1st September 2001 for a term of 125 years and expiring 30th August 2126 (103 years unexpired). The lease is subject to a rent of £1 per annum if demanded.

Asking price

We are seeking offers above £375,000 (VAT is not payable) for the long leasehold interest subject to the underlease to Ministry of Stories. The investment reflects a gross yield of 9.6% and applying a purchasers costs of 5.25% would reflect a net yield of 9.12%