11 & 11A Fulham Broadway, London

Description

Commercial ground floor unit with 7 studio flats on the upper floors; well located for the amenities of Fulham; approximate GIA 2,469 sq ft (229.3 sq m); current rent producing £145,488 per annum with one studio vacant; by order of the Fixed Charge Receivers; gross initial yield 8.81% on guide.

Accommodation

As per the tenancy schedule. The property comprises a ground floor commercial unit and 7 studio flats on the upper floors. Approximate GIA 2,469 sq ft (229.3 sq m).

Location

Situated on a prominent high street plot in the heart of Fulham. The immediate area offers supermarkets, cafés, restaurants, bars, health and beauty services and retail shops within the Fulham Broadway shopping centre. Leisure amenities include a Vue cinema and David Lloyd gym. Fulham Broadway Underground station is directly nearby, providing access to the District line and wider London transport network.

Tenure / Property Information

Investment Analysis

The £1,650,000 guide is consistent with the stated £145,488 annual rent and 8.81% gross initial yield. This is an income-based guide benchmark, not a formal valuation. The £800,000 sale of 11A and £2,000,000 sale of 8 Fulham Broadway are limited evidence because they are historic, described only as “Other”, and do not establish a reliable value range for the complete mixed-use property. No supported low/high GDV range can be established.

Investment Snapshot

Strategy Recommendation

Prioritise income-hold analysis rather than a flip. Proceed only after verifying the tenancy schedule, rent collection, commercial lease terms, vacant studio condition, title, special conditions, VAT and all auction charges.

Works Required

No specific refurbishment works are evidenced. Allow for inspection, statutory and lease-compliance due diligence, and any works identified during survey; no works budget is supported by the supplied evidence.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A 75% refinance against the guide-proxy GDV of £1,650,000 equates to £1,237,500. Cash left in cannot be calculated because refurbishment costs, buyer charges, seller charges, VAT treatment and finance costs are not supplied. Refinanceability would also depend on lender treatment of the mixed-use property, commercial lease and upper-floor tenancy documentation.

Buy-to-Let Analysis

The property produces stated annual rent of £145,488, equivalent to £12,124 per month, with one studio vacant. At the £1,650,000 guide, the stated gross initial yield is 8.81%. The ground-floor commercial unit is let on a 15-year lease from 05/10/2018 at £57,500 per annum, while the upper flats are let on Assured Periodic Tenancies. Net yield cannot be established because operating costs, management, insurance, maintenance, voids, finance, tax and auction charges are not supplied.

Flip Analysis

No supported resale GDV, refurbishment budget, selling costs or project timeline is available. The supplied evidence therefore does not support a reliable flip surplus calculation. The historic individual-property sales are insufficient to establish a complete-property resale value.

Investor Risks & Due Diligence

• One studio is vacant, creating potential void and reletting risk.

• The property combines a commercial unit with seven upper-floor studios, creating mixed-use management and lender-treatment considerations.

• The commercial unit is subject to a 15-year lease from 05/10/2018; lease terms, repairing obligations, rent review provisions and tenant status require verification.

• Upper floors are let on Assured Periodic Tenancies; tenancy documentation, rent schedule and compliance require verification.

• Buyer fees, seller charges and VAT treatment are not supplied and may materially increase total acquisition cost.

• No refurbishment or condition evidence is supplied.

• No operating-cost, net-income or finance-cost information is supplied, so net yield and cash flow cannot be established.

Recommendation

Prioritise income-hold analysis rather than a flip. Proceed only after verifying the tenancy schedule, rent collection, commercial lease terms, vacant studio condition, title, special conditions, VAT and all auction charges.

Strategy Rating

Analysis Confidence

The guide, stated income, tenure, occupancy and commercial lease information are available, but there are no condition, expense, fee, VAT, EPC, detailed tenancy schedule or sufficiently specific rental comparables, and the sold evidence is limited.