12 Abington Street, Northampton, NN1 2AJ

Description

The property comprises a high yielding retail investment occupying a prime pitch on a high footfall pedestrianised street. Arranged across ground and first floors, the property is fully let to Telefonica UK Limited t/a O2 on a recently renewed five year lease expiring 30.06.2031 and paying £45,000 per annum.

Accommodation

Ground and first floor retail unit; 2,682 sq ft (249.2 sq m)

Location

The property occupies a prominent pitch fronting Abington Street, the prime pedestrianised pitch within Northampton. The street is characterised by national occupiers including Tesco, Specsavers, Clarks, and Waterstones.

Tenure / Property Information

Investment Analysis

The £325,000 guide equates to a 13.85% gross yield on the stated passing rent of £45,000 per annum. The supplied Land Registry comparables are sparse, historic, inconsistent in price and recorded only as leasehold/other transactions, so they do not support a reliable market value or capitalisation rate. No formal valuation, buyer premium, administration charge, ground rent, service charge or other acquisition costs are supplied. A GDV range and maximum bid cannot therefore be established reliably.

Investment Snapshot

Strategy Recommendation

Consider as a commercial income hold at or below the guide, subject to legal review of the new 999-year lease, occupational lease, tenant covenant, rent review provisions and all leasehold costs. Do not rely on a resale or BRRR exit without an independent valuation.

Works Required

No refurbishment or alteration works are identified in the supplied evidence. The property is fully let and the analysis assumes no works allowance, subject to review of the lease, title and legal pack.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR strategy cannot be underwritten from the supplied evidence because no GDV, valuation yield, refinance terms or refurbishment requirement is provided. The existing lease and passing income may support an income-hold strategy, but refinance proceeds and cash left in cannot be calculated reliably.

Buy-to-Let Analysis

The passing rent is £45,000 per annum from the fully let retail unit, producing a 13.85% gross yield against the £325,000 guide. This is an income-led commercial investment rather than a residential BTL. The calculation excludes any unavailable buyer, administration, leasehold, finance, tax, maintenance and management costs. The lease expires on 30 June 2031, creating renewal and re-letting risk.

Flip Analysis

A flip surplus cannot be calculated because no supported GDV, resale valuation, selling costs or project costs are supplied. The property is presented as a tenanted retail investment with no evidenced refurbishment opportunity.

Investor Risks & Due Diligence

• The occupational lease expires on 30 June 2031, creating future renewal, re-letting and potential void risk.

• The investment is fully dependent on a single occupational tenant and the continuing payment of the stated rent.

• Buyer premium, administration charge and other acquisition costs are not supplied and are excluded from the yield calculation.

• Ground rent, service charge, repair obligations and other leasehold outgoings are not supplied.

• The available comparable evidence is limited, historic and inconsistent, so it does not validate the guide price or a resale value.

Recommendation

Consider as a commercial income hold at or below the guide, subject to legal review of the new 999-year lease, occupational lease, tenant covenant, rent review provisions and all leasehold costs. Do not rely on a resale or BRRR exit without an independent valuation.

Strategy Rating

Analysis Confidence

The passing rent, guide price, lease term, tenant, accommodation and occupancy are supplied, allowing a headline gross yield calculation. However, valuation evidence, acquisition costs, leasehold outgoings, EPC and legal/technical information are incomplete, preventing reliable GDV, maximum bid and refinance analysis.