115 Stoke Newington Road, Stoke Newington, London, N16 8BX

Description

A Lower Ground and Ground Floor Retail Unit Let Producing £24,000 Per Annum (Reflecting a Gross Initial Yield of 9.6% on the Guide Price). The property comprises a lower ground and ground floor retail unit situated within a mid terrace building arranged over lower ground, ground and two upper floors.

Accommodation

Lower Ground Floor: Basement Area, G.I.A Approximately 37 sq m. Ground Floor: Shop, G.I.A Approximately 30 sq m.

Location

The property is situated on a mixed use road close to local shops and amenities. The open spaces of Hackney Downs Park are within easy reach. Transport links are provided by Dalston Kingsland overground station and Hackney Downs rail station.

Tenure / Property Information

Investment Analysis

The stated £24,000 per annum income and 9.6% gross initial yield imply a value of approximately £250,000, matching the guide price. This is an income-implied indication only, not a formal valuation. The supplied sold comparables are leasehold flats/maisonettes and are not directly comparable with this retail unit. No commercial investment comparables, lease terms, tenant covenant information or operating-cost data are provided.

Investment Snapshot

Strategy Recommendation

Consider only as an income-hold commercial investment, subject to satisfactory review of the occupational lease, tenant covenant, title, costs and legal pack. Do not rely on refurbishment, BRRR or flip upside.

Works Required

No refurbishment works are evidenced. The buyer should inspect the retail and basement areas and review the lease, title, EPC position, services and legal pack before bidding. No works allowance has been included.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the guide price, the income-implied value is approximately £250,000 and 75% of that figure is £187,500. After the guide price and known £1,800 administration charge, the indicative unrecovered amount is £64,300 before finance, tax and any other costs. There is no evidenced refurbishment upside, and the refinance figure is based only on the guide-linked income indication rather than an independent valuation.

Buy-to-Let Analysis

The property is let at the stated £24,000 per annum, equivalent to £2,000 pcm, producing a 9.6% gross yield on the £250,000 guide price. Including the known £1,800 administration charge, the gross yield is approximately 9.53%. Net yield cannot be established because service charges, ground rent, insurance, repairs, management, voids, tax and other costs are not supplied. The tenant covenant and lease terms also require review.

Flip Analysis

A flip case cannot be supported because the property is a let retail investment, no refurbishment scope or cost is evidenced, and no selling costs or resale commercial comparables are provided. The base income-implied value is approximately equal to the guide price before the known administration charge.

Investor Risks & Due Diligence

• The stated rent is an auctioneer/marketing figure and the occupational lease, rent review provisions, break rights and tenant covenant are not supplied.

• Ground rent, service charges, insurance, repairs, management, voids and other ownership costs are unknown, so net yield cannot be calculated.

• Additional legal-pack disbursements may be payable on completion.

• The supplied sold comparables are flats/maisonettes and do not establish a reliable retail valuation.

• No EPC, condition, services or refurbishment information is provided for the retail and basement areas.

• The guide-linked valuation is not a formal independent commercial valuation.

Recommendation

Consider only as an income-hold commercial investment, subject to satisfactory review of the occupational lease, tenant covenant, title, costs and legal pack. Do not rely on refurbishment, BRRR or flip upside.

Strategy Rating

Analysis Confidence

The passing rent, guide price, lease length, tenure and known administration charge are provided, but commercial comparables, lease terms, tenant information, operating costs, condition and legal-pack disbursements are incomplete.