Secure VAT Free Retail Investment at a Rebased Rent
105-106 High Street | Gosport | Hants | PO12 1DS
subject to contract
VAT Free investment
Let to Edinburgh Woollen Mill Ltd – Net Assets £161m
Tenant in occupation since 2006
Prime retailing pitch
Situated approximately 300m from Gosport Ferry Terminal
£355,000, subject to contract
6.25% net initial yield
Gosport forms part of the Solent conurbation on the south coast of England, and on the western side of Portsmouth Harbour. The town is one of the most densely populated areas in the South East region with the number of households projected to increase by almost 10% over the next 10 years, (Gosport Borough Council).
Over the last 10 years the Ministry of Defence has sold land holdings in Gosport which has led to mixed-use and employment schemes being developed, such as at Royal Clarence Yard. There are plans for the MOD to release further land set to generate further development and business creation.
The town is across the harbour from Portsmouth, a 52 minute hovercraft ride from Isle of White, approximately 20 miles (32 km) south east of Southampton and 7 miles (11.25 km) south of the M27 Motorway (Junction 10).
Southampton Airport is approximately 18 miles (29 km) north east of Gosport and Heathrow airport is approximately 73 miles (117 km) to the north east.
Gosport has become a touristic destination with attractions including the Museum of the Royal Navy, the Submarine Museum and Gosport Driving Museum.
The property is situated in a prime position on the pedestrianised part of the High Street just 300 meters from the busy Gosport Ferry terminal, with 25% of passengers using the ferry for shopping, (www.gosportferry.co.uk). As a result the property benefits from a high level of footfall.
Nearby national operators include, Vision Express (adjacent), Specsavers, Greggs, McDonalds, Boots, Holland & Barratt, Superdrug and Costa Coffee.
There is a large Morrisons Supermarket, Halfords, Iceland and Lidl close by.
Every Tuesday and Saturday the High Street benefits from a busy street market, attracting residents and visitors alike.
The property comprises a retail unit arranged over ground, first and second floors. Internally, the sales areas is at ground floor level with ancillary accommodation on the upper floors.
The property has been fitted out by Edinburgh Woollen Mill in their usual corporate style. The property benefits from roller shutter loading doors to the rear of the property.
The property has been measured by BKR Floor Plans and provides the following Net Internal floor areas:
|Net Frontage||6.88 m||22.7 ft|
|Gross Frontage||7.69 m||25.3 ft|
|Zone A||39.95 sq m||430 sq ft|
|Zone B||39.02 sq m||420 sq ft|
|Zone C||48.87 sq m||526 sq ft|
|Remainder||25.73 sq m||277 sq ft|
|Ground Floor Total||153.56 sq m||1,653 sq ft|
|First Floor||43.38 sq m||467 sq ft|
|Second Floor||52.49 sq m||565 sq ft|
|Total NIA||249.44 sq m||2,685 sq ft|
The total Gross Internal floor area is 3,028 sq ft / 281.30 sq m.
The measured survey report is available to download and will be assigned to a purchaser at a cost of £395 + VAT.
The property is not listed and sits within the High Street Gosport Conservation Area.
It is suggested that there is potential to increase the massing of the upper parts, subject to planning permission.
The property is let to Edinburgh Woollen Mill Ltd on a full repairing and insuring basis for a term of 5 years from 17th May 2018, expiring 16th May 2023.
The tenant has been in occupation since 2006.
The current passing rent is £23,000 per annum equating to an ITZA rate of £25 per square foot.
At the lease renewal in May 2018, the rent was rebased from £37,000 per annum to £23,000 per annum.
Edinburgh Woollen Mill Ltd (Company No. SC024081) has reported the following figures.
|25th February 2017||27th February 2016||28th February 2015|
|Net Current Assets||£160,673,000||£142,854,000||£124,300,000|
Edinburgh Woollen Mill operate from over 260 stores, 88 speciality tourist shops and 27 destination shops within the UK. Founded in 1946 the company evolved from a yarn dying company into a leading retailing group by 1970. Over the years the company has acquired Ponden Mill, Proquip, Jane Norman and Rosebys and is controlled by billionaire businessman Phillip Day.
The property has not been registered for VAT and therefore VAT is not applicable.
We are instructed to seek £355,000 (Three Hundred and Fifty Five Thousand Pounds), subject to contract, reflecting a net initial yield of 6.25%, assuming purchasers’ costs of 3.84%.
Please note that a purchaser will be re-charged the costs of searches and surveys which are provided in the data room.
The investment provides highly secure income – Edinburgh Woollen Mill Ltd;
Tenants have been in occupation for over 13 years;
VAT free investment;
Located close to Gosport Ferry Terminal;
There is potential to increase the massing of the upper parts, STPP;
Attractive lot size to an investor;
Rent has been rebased from £37,000 pa to £23,000 pa.
Data Room and clicktopurchase®
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|Solomon Taylor & Shaw|
|Maurice Esterkin||Maurice@solts.co.uk||+44 (0) 207 431 1912|