Retail premises for sale

Middlesbrough is a sub-regional centre and the principal administrative centre of the Teesside conurbation, combining Stockton, Thornaby and Redcar. Middlesbrough is the third biggest retail shopping centre in the North East with over 1.7m Sq ft of retail floor space, it is the retail heart of the Tees Valley.

Investment summary

• Retail Investment on Linthorpe Road Middlesbrough
• Let to Recovery Connections
• Total net income £30,000 pax
• We are instructed to seek offers of £225,000 (Two Hundred and Twenty-Five Thousand Pounds exclusive), subject to contact and exclusive of VAT.
A purchase at this level reflects an attractive Net Initial Yield of 13.07% assuming standard Purchaser’s costs of 2.03%.

The subject property is located in Linthorpe Road to the south of the town centre retail pitch. The property is located in a predominantly restaurant area of the town and close to the revived Captain Cook Square project a vibrant and exciting entertainment, dining and leisure quarter in the heart of Middlesbrough including Level X, a bowling alley and go-karting venue and The Wired Lobby, esports and gaming arena.

The property comprises a mid-terraced 3 storey of brick construction and flat roof. The property has been configured to allow for multiple 4 individual shops provide ground floor sales with first floor stores /office WCs. The self-contained first and second floors are accessed separately from Linthorpe Road and have been sold off on a long leasehold interest. The property benefits from rear access by way of a loading alleyway within the ownership.

Lease detail

Let to Recovery Connections (Co no. 06545431) on assignment from two named Trustees of ceo Sleepout charity (Co no 1154963) ) in October 2019. The original 10-year lease is from 26 April 2016 expiring 25 April 2026 at a rent of £30,000 pax payable quarterly in advance. The 2021 rent review has not been triggered. Tenants Full repairing Insuring lease without schedule of condition. The current owner agreed a rent waiver (Nil rent demand) with Recovery Connections which will automatically be rescinded on change of ownership.

Price

We are instructed to seek offers of £225,000 (Two Hundred and Twenty-Five Thousand Pounds exclusive), subject to contact and exclusive of VAT. A purchase at this level reflects an attractive Net Initial Yield of 13.07% assuming standard Purchaser’s costs of 2.03%.

Accommodation:
Restaurant & bar: 2,457.00 sqft
Shop: 592.00 sqft
Ground floor lobby: 174.00 sqft
First floor: 3,016.00 sqft
Second floor: 3,574.00 sqft
Total: 9,813.00 sqft