13-17 Palace Avenue, Paignton, Torbay, TQ3 3EF

Description

A Mid Terrace Building Arranged to Provide Six Vacant Lower Ground and Ground Floor Retail Units and 32 Flats Arranged Over the First, Second and Third Floors (All Sold Off on Long Leases)

Accommodation

Lower Ground Floor: Basement Area G.I.A. Approx 430 sq m. Ground Floor: Retail Area G.I.A. Approx 695 sq m. First, Second and Third Floors: Thirty Two Flats (Not Inspected).

Location

The property is situated on a mixed use road close to local shops and amenities. Nearby multiples include Barclays, Greggs and Tesco Express. The open spaces of Paignton Beach are within easy reach. Transport links are provided by Paignton rail station.

Tenure / Property Information

Investment Analysis

The evidence does not support a reliable GDV. The £300,000 sale of 1A Palace Avenue is a local freehold comparable, but the evidence does not establish that it is comparable in size, configuration, condition, income or lease structure. Other Palace Avenue sales range from £60,000 to £95,000, but are also insufficiently described for direct comparison. This property comprises six vacant retail units plus 32 flats already sold on long leases, so the value of the retained freehold interest cannot be reliably derived from the supplied evidence. The £200,000 guide should not be treated as a valuation.

Investment Snapshot

Strategy Recommendation

Do not bid on the supplied evidence alone. Proceed only after reviewing the legal pack, confirming the exact freehold rights and ground-rent/service-charge position for all 32 leases, inspecting the vacant retail units and obtaining independent valuation and letting advice.

Works Required

The supplied evidence confirms six vacant lower-ground and ground-floor retail units, but does not describe their condition or required works. Obtain a full inspection and legal-pack review before budgeting for refurbishment, subdivision, services, compliance or letting works.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed reliably because no supported GDV, refurbishment budget, retained-income evidence or refinance valuation is available. The 32 flats are sold on 125-year leases from 2018 or 2019, subject to legal-pack details, so the purchaser appears to be acquiring the retained freehold interest alongside the vacant retail accommodation rather than vacant flats for refurbishment.

Buy-to-Let Analysis

The £7,500 pcm figure is an advertised asking rent for commercial property in Paignton, not an achieved or passing rent, and its applicability to all six units is not confirmed. On the supplied guide alone, this would equal £90,000 per annum and a notional 45.0% gross yield, but a reliable investment yield cannot be established without confirmation of the subject property's achievable rent, costs, condition and retained freehold value. The 32 flats are sold on long leases and therefore should not be assumed to provide rental income to the purchaser.

Flip Analysis

A flip appraisal is unsupported. Condition, works, selling costs and a reliable resale value for the retained freehold interest are not provided. The local £300,000 comparable is not sufficiently described to establish a supported resale GDV, and the flats' long leases materially affect the asset structure.

Investor Risks & Due Diligence

• All six retail units are vacant, creating letting and void risk.

• The 32 flats are sold on 125-year leases, with full legal-pack terms and the purchaser's retained rights not supplied.

• The commercial rent is an advertised asking rent rather than achieved or passing rent, and its relevance to this property is not confirmed.

• The building and flats were not inspected, so condition and required works are unknown.

• Buyer disbursements, seller-cost reimbursements, search fees, legal fees and transfer fees may be payable but are not quantified.

• EPC, council tax, parking and heating information is not supplied.

• The supplied sold comparables are insufficiently described to support a reliable valuation of this mixed-use freehold interest.

Recommendation

Do not bid on the supplied evidence alone. Proceed only after reviewing the legal pack, confirming the exact freehold rights and ground-rent/service-charge position for all 32 leases, inspecting the vacant retail units and obtaining independent valuation and letting advice.

Strategy Rating

Analysis Confidence

The evidence confirms the broad building arrangement, guide price and one commercial asking-rent figure, but omits condition, EPC, operating costs, lease terms, ground rents, disbursements, achievable rents and a directly comparable valuation.