Brochure The Rushes Loughborough
COMMERCIAL FOR SALE
fishergerman.co.uk
11-14a The Rushes & Unit 9 Greenclose Lane, Loughborough, Leicestershire, LE11 5BE Guide Price: £1,050,000 • • • •
Substantial mixed use investment Residential student let, retail & car parking income Total gross income circa £84,000 per annum Development potential (STPP)
•
•
Offers proactive management opportunities
•
Approximate distances: • • • •
Leicester Nottingham Derby Grantham
12 miles 16 miles 22 miles 28 miles
•
Residential accommodation forward let for the next academic year Stepped increase on part of the commercial Income Reflects a net initial yield of 7.38% assuming purchase costs of 5.85%
Viewings and further information: Kevin Benson kevin.benson@ fishergerman.co.uk 01777 719148 07748 634848
Robert Haigh Robert.haigh@ fishergerman.co.uk 01777 719148 07880 737676
11-14a The Rushes & Unit 9 Greenclose Lane, Loughborough, Leicestershire, LE11 5BE Description The properties is essentially a mixed use investment, which comprises a number of income streams derived from both the letting of retail and residential units, supplemented by income derived from the adjacent car park. The building is currently configured to provide two ground floor retail units fronting The Rushes, one of the principal retailing locations within the town, above which is student accommodation. To the rear of this is a further brick built building configured into two self contained flats, again let to students. To the rear of the site is a detached retail unit currently occupied by a carpet retailer. Fronting Greenclose Lane and accessed from the same is a car park, which our clients currently receive income from via a meter and enforced by a car parking operator. There are a number of informal and formal agreements supplementing the income stream from the car park. The adjacent car park, does in our opinion offer further development opportunities (subject to planning). Alternatively the car parking could be proactively managed to increase significantly the income derived from this.
East Midlands. Loughborough serves as a retail catchment in excess of 1 million shoppers,, with an immediate residential population of sum 61,000. The town still holds open air markets on Thursdays and Saturdays in the Market Place and sits within the borough of Charnwood, one of the largest borough within Leicestershire.
Proposal Our clients are seeking offers in the region of £1,050,000 which represents a Net Initial Yield of 7.6%, which assumed purchasers costs of 5.85%. The building offers numerous management opportunities which could include the re-gearing of the lease at number 11 The Rushes, which is considered reversionary, along with pro-active management of the car park to significantly enhance the income stream. Our clients have secured the residential units for the next academic year and details of the tenancy agreements are included below. As can be seen there is a potential significant increase in the rents received from the residential elements.
The property sits on the junction of The Rushes and Greenclose Lane and is opposite The Rushes Shopping Centre. The units form a street scene of similar properties which are utilised as a number of hot food and restaurant uses, which includes Pizza Hut adjacent.
As with a number of university towns and cities, small parcels of land close to the town centre are popular with developers to construct accommodation suitable for student lets. Loughborough is no exception and we are aware of similar infill schemes around the town having been completed. No formal approach has been made to the local planning authority but it is felt that the site does offer some development potential subject to planning.
The Rushes is situated in the heart of Loughborough, a prosperous University and Market Town in Leicestershire,
Accommodation
Location
Floor areas have been taken to be Net Internal Area (NIA) in relation to the commercial portions of the investment with Gross Internal Area (GIA) provided for the residential parts. For analysis, the area In Terms of Zone A (ITZA) is also provided for the retail elements. The property offers the following accommodation; 11 The Rushes - Davies & Co Accountants Max width 5.68m Max depth 20.4m NIA 94.28m² (1,105 ft²) ITZA 55.37m² (596 ft²) Comprises partitioned office accommodation to the front portion of the property with a considerable open plan room to the rear of the premises, off which is a kitchenette, store room and WC facilities.
FOR SALE 12 The Rushes - GCL Hopkins Max width 4.65m Max depth 16.32m NIA 67.45m² (726 ft²) ITZA 30.01m² (323 ft²) Comprises a showroom with full height display window on to The Rushes, with access to the unit afforded via a side access from the adjacent car park. To the rear of the property is an office off which is a kitchenette, store and WC facilities. 9 Greenclose Lane - S J Price Limited Max width 13.48m Max depth 12.99m NIA 175.45m² (1,889 ft²) Accessed off Greenclose Lane via the car park included with the property, this unit comprises an open plan showroom with integral office, kitchenette and WC facilities 11A The Rushes - Student accommodation GIA 42.49m² (457 ft²) Comprises 4 bed HMO accommodation, all of which are en-suite save as for one bedroom, with communal living room, kitchen and bathroom.
Business Rates / Council Tax The buildings have been assessed as follows;
11 The Rushes 12 The Rushes 9 Greenclose Lane 11A 11B 13A 14A
2010 Listing £ £ £ Band A Band B Band A Band A
2017 Listing £ £ £
EPC The property has the following EPC assessments; 11 The Rushes 12 The Rushes 9 Greenclose Lane 11A 11B 13A 14A
E (105) C (57) TBC D (58) C (77) C (70) D (63)
11B The Rushes - Student accommodation GIA 27.66m² (298 ft²) Comprises 3 bed HMO accommodation, all of which are en-suite, with communal living room, kitchen.
Services
13A The Rushes - Ground Floor Flat GIA 13.33m² (143 ft²) Self contained flat comprising open plan living room, kitchen and bedroom with separate bathroom
We understand that all mains services are connected to the site, albeit gas is not available to all buildings. We are advised that all of the commercial premises have their own separately metered services as well as the two cottages. The student accommodation to 11 a & b above the retail units have a single meter, with the rent inclusive of utility usage.
14A The Rushes - First Floor Flat GIA 14.93m² (161 ft²) Self contained flat comprising open plan living room, kitchen and bedroom with separate bathroom Car Park Open plan car park comprising parking for approximately 20 vehicles. There is a third party right of way through the car park.
Legal costs Each party is to be responsible for their own legal fees incurred as a result of any transaction in relation to this property.
VAT We understand the properties are not elected for VAT therefore VAT is not payable in the transaction price.
01777 719148 fishergerman.co.uk
Plan
Tenant Information
* A new 5 year lease has been agreed on the same terms as the existing lease. Initial rent is £15,000 per annum, rising to £15,500 in year 2 and £16,000 in years 3-5. Lease to be completed imminently. As can be seen by the rents achieved on the residential elements for the next academic year, these could produce an additional £8,240 per annum, giving a potential rent roll in excess of £90,240 which would represent 8.12% based on guide and costs. Please note rents received on 11a and 11b The Rushes are gross with the landlord paying for utilities and costs. The car parking income does vary and interested parties are advised to check the current income before proceeding.
Please note: Fisher German LLP and any Joint Agents give notice that: The particulars are produced in good faith are set out as a general guide only and do not constitute or form any part of an offer or any contract. No person within Fisher German has any authority to make or give representation or warranty on any property. Particulars prepared March 2017. Photographs take March 2017.
fishergerman.co.uk
11-14a The Rushes & Unit 9 Greenclose Lane, Loughborough, Leicestershire, LE11 5BE Guide Price: £1,050,000 • • • •
Substantial mixed use investment Residential student let, retail & car parking income Total gross income circa £84,000 per annum Development potential (STPP)
•
•
Offers proactive management opportunities
•
Approximate distances: • • • •
Leicester Nottingham Derby Grantham
12 miles 16 miles 22 miles 28 miles
•
Residential accommodation forward let for the next academic year Stepped increase on part of the commercial Income Reflects a net initial yield of 7.38% assuming purchase costs of 5.85%
Viewings and further information: Kevin Benson kevin.benson@ fishergerman.co.uk 01777 719148 07748 634848
Robert Haigh Robert.haigh@ fishergerman.co.uk 01777 719148 07880 737676
11-14a The Rushes & Unit 9 Greenclose Lane, Loughborough, Leicestershire, LE11 5BE Description The properties is essentially a mixed use investment, which comprises a number of income streams derived from both the letting of retail and residential units, supplemented by income derived from the adjacent car park. The building is currently configured to provide two ground floor retail units fronting The Rushes, one of the principal retailing locations within the town, above which is student accommodation. To the rear of this is a further brick built building configured into two self contained flats, again let to students. To the rear of the site is a detached retail unit currently occupied by a carpet retailer. Fronting Greenclose Lane and accessed from the same is a car park, which our clients currently receive income from via a meter and enforced by a car parking operator. There are a number of informal and formal agreements supplementing the income stream from the car park. The adjacent car park, does in our opinion offer further development opportunities (subject to planning). Alternatively the car parking could be proactively managed to increase significantly the income derived from this.
East Midlands. Loughborough serves as a retail catchment in excess of 1 million shoppers,, with an immediate residential population of sum 61,000. The town still holds open air markets on Thursdays and Saturdays in the Market Place and sits within the borough of Charnwood, one of the largest borough within Leicestershire.
Proposal Our clients are seeking offers in the region of £1,050,000 which represents a Net Initial Yield of 7.6%, which assumed purchasers costs of 5.85%. The building offers numerous management opportunities which could include the re-gearing of the lease at number 11 The Rushes, which is considered reversionary, along with pro-active management of the car park to significantly enhance the income stream. Our clients have secured the residential units for the next academic year and details of the tenancy agreements are included below. As can be seen there is a potential significant increase in the rents received from the residential elements.
The property sits on the junction of The Rushes and Greenclose Lane and is opposite The Rushes Shopping Centre. The units form a street scene of similar properties which are utilised as a number of hot food and restaurant uses, which includes Pizza Hut adjacent.
As with a number of university towns and cities, small parcels of land close to the town centre are popular with developers to construct accommodation suitable for student lets. Loughborough is no exception and we are aware of similar infill schemes around the town having been completed. No formal approach has been made to the local planning authority but it is felt that the site does offer some development potential subject to planning.
The Rushes is situated in the heart of Loughborough, a prosperous University and Market Town in Leicestershire,
Accommodation
Location
Floor areas have been taken to be Net Internal Area (NIA) in relation to the commercial portions of the investment with Gross Internal Area (GIA) provided for the residential parts. For analysis, the area In Terms of Zone A (ITZA) is also provided for the retail elements. The property offers the following accommodation; 11 The Rushes - Davies & Co Accountants Max width 5.68m Max depth 20.4m NIA 94.28m² (1,105 ft²) ITZA 55.37m² (596 ft²) Comprises partitioned office accommodation to the front portion of the property with a considerable open plan room to the rear of the premises, off which is a kitchenette, store room and WC facilities.
FOR SALE 12 The Rushes - GCL Hopkins Max width 4.65m Max depth 16.32m NIA 67.45m² (726 ft²) ITZA 30.01m² (323 ft²) Comprises a showroom with full height display window on to The Rushes, with access to the unit afforded via a side access from the adjacent car park. To the rear of the property is an office off which is a kitchenette, store and WC facilities. 9 Greenclose Lane - S J Price Limited Max width 13.48m Max depth 12.99m NIA 175.45m² (1,889 ft²) Accessed off Greenclose Lane via the car park included with the property, this unit comprises an open plan showroom with integral office, kitchenette and WC facilities 11A The Rushes - Student accommodation GIA 42.49m² (457 ft²) Comprises 4 bed HMO accommodation, all of which are en-suite save as for one bedroom, with communal living room, kitchen and bathroom.
Business Rates / Council Tax The buildings have been assessed as follows;
11 The Rushes 12 The Rushes 9 Greenclose Lane 11A 11B 13A 14A
2010 Listing £ £ £ Band A Band B Band A Band A
2017 Listing £ £ £
EPC The property has the following EPC assessments; 11 The Rushes 12 The Rushes 9 Greenclose Lane 11A 11B 13A 14A
E (105) C (57) TBC D (58) C (77) C (70) D (63)
11B The Rushes - Student accommodation GIA 27.66m² (298 ft²) Comprises 3 bed HMO accommodation, all of which are en-suite, with communal living room, kitchen.
Services
13A The Rushes - Ground Floor Flat GIA 13.33m² (143 ft²) Self contained flat comprising open plan living room, kitchen and bedroom with separate bathroom
We understand that all mains services are connected to the site, albeit gas is not available to all buildings. We are advised that all of the commercial premises have their own separately metered services as well as the two cottages. The student accommodation to 11 a & b above the retail units have a single meter, with the rent inclusive of utility usage.
14A The Rushes - First Floor Flat GIA 14.93m² (161 ft²) Self contained flat comprising open plan living room, kitchen and bedroom with separate bathroom Car Park Open plan car park comprising parking for approximately 20 vehicles. There is a third party right of way through the car park.
Legal costs Each party is to be responsible for their own legal fees incurred as a result of any transaction in relation to this property.
VAT We understand the properties are not elected for VAT therefore VAT is not payable in the transaction price.
01777 719148 fishergerman.co.uk
Plan
Tenant Information
* A new 5 year lease has been agreed on the same terms as the existing lease. Initial rent is £15,000 per annum, rising to £15,500 in year 2 and £16,000 in years 3-5. Lease to be completed imminently. As can be seen by the rents achieved on the residential elements for the next academic year, these could produce an additional £8,240 per annum, giving a potential rent roll in excess of £90,240 which would represent 8.12% based on guide and costs. Please note rents received on 11a and 11b The Rushes are gross with the landlord paying for utilities and costs. The car parking income does vary and interested parties are advised to check the current income before proceeding.
Please note: Fisher German LLP and any Joint Agents give notice that: The particulars are produced in good faith are set out as a general guide only and do not constitute or form any part of an offer or any contract. No person within Fisher German has any authority to make or give representation or warranty on any property. Particulars prepared March 2017. Photographs take March 2017.
