139 St. Andrews Road South, Lytham St Annes, Lancashire

Description

A semi-detached building comprising 5 x one bedroom flats. The property is in need of modernisation and externally benefits from a rear yard. Well located for the local and recreational amenities of Lytham St Annes. Investment let at £15,780 per annum.

Accommodation

5 x one bedroom flats

Location

Located on St. Andrews Road South close to the turning for St Thomas Road. Local amenities can be found on Back St Anne's Road West, St Anne's Road West and Wood Street. Recreational amenities of Lytham St Annes Beach, Ashton Gardens and Royal Lytham and St Annes Golf Club are all easily accessible. Transport: St Annes-On-The-Sea - National Rail.

Tenure / Property Information

Investment Analysis

The property comprises five one-bedroom flats and is stated to be investment let at £15,780 per annum, equivalent to £1,315 pcm in total. The supplied sold comparables are recorded as individual flat/maisonette transactions ranging from £87,000 to £210,000, but do not establish whether they represent comparable five-flat buildings, so a defensible GDV cannot be calculated. The £165,000 guide equates to a gross yield of approximately 9.56% on the stated rent before works, finance, tax and acquisition costs.

Investment Snapshot

Strategy Recommendation

Investigate as an income-led BTL opportunity rather than underwriting a flip. Proceed only after verifying the five tenancies, rent collection, lease and title, lawful use and compliance position, condition, refurbishment costs and all auction and seller charges.

Works Required

Modernisation of the five flats and review of the externally described rear yard. The evidence does not specify individual defects, services, compliance works or the required refurbishment standard, so no works cost is estimated.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed because no refurbishment budget, reliable GDV, finance terms or acquisition charges are supplied. The stated long lease is supportive in duration, but the leasehold structure, modernisation requirement and unknown seller or auction charges require due diligence before bidding.

Buy-to-Let Analysis

At the £165,000 guide and stated rent of £15,780 per annum, the gross yield is approximately 9.56% before refurbishment, finance, tax, voids, management, maintenance and acquisition costs. The rent is stated for the investment but occupancy, tenancy terms and whether it is passing rent are not supplied. BTL viability therefore requires verification of the rent roll, tenancy documentation and property condition.

Flip Analysis

A flip appraisal is not supported by the evidence. The comparables are flat/maisonette sales with insufficient detail to value this five-flat building, and no refurbishment or selling-cost allowance is available. Resale surplus cannot therefore be calculated.

Investor Risks & Due Diligence

• The building is stated to need modernisation, but the scope and cost of works are unknown.

• Occupancy, tenancy terms and rent-payment evidence are not supplied despite the stated investment rent.

• The sold comparables are flat/maisonette transactions and may not be directly comparable to the entire five-flat building.

• Buyer fees, VAT and potential seller charges are unknown under the auction special conditions.

• Leasehold title and the detailed terms of the 999-year lease require legal review.

• No EPC, council tax, heating, parking or compliance information is supplied.

Recommendation

Investigate as an income-led BTL opportunity rather than underwriting a flip. Proceed only after verifying the five tenancies, rent collection, lease and title, lawful use and compliance position, condition, refurbishment costs and all auction and seller charges.

Strategy Rating

Analysis Confidence

The guide price and stated annual rent are available, but there is no condition budget, EPC or compliance information, no occupancy detail, no buyer/admin fee schedule, and the sold comparables are not sufficiently specified to support a block GDV.