15-19 Bakery Street, London

Description

Long Leasehold Healthcare & Dental Surgery Investment. Comprises a healthcare centre and dental surgery, with total accommodation of approximately 219 sq m (2,357 sq ft). Forms part of a large residential development. VAT is applicable. Six Week Completion Available. The property forms part of a larger building, the remainder of which is not included in the sale.

Accommodation

Healthcare centre and dental surgery; total accommodation approximately 219 sq m (2,357 sq ft).

Location

Bermondsey is a vibrant district in southeast London, forming part of the London Borough of Southwark, on the south bank of the River Thames. The property is situated on the east side of Bakery Street, close to its junctions with Arts Lane and Limasol Street. It is in close proximity to Bermondsey Railway Station and Bermondsey Underground Station. Occupiers close by include Sainsburys Local and a number of local traders in a predominantly residential location.

Tenure / Property Information

Investment Analysis

The £630,000–£650,000 guide implies a midpoint analysis purchase price of £640,000. The supplied Land Registry comparables are residential flats/maisonettes and are not reliable evidence for this healthcare and dental surgery investment. No commercial sale comparables, passing rent, lease income, capitalisation yield or formal valuation are supplied. The £2,600 pcm figure is an advertised asking rent and should not be treated as achieved or passing income. VAT is applicable, but its amount is not supplied. On the available evidence, a commercial GDV cannot be established.

Investment Snapshot

Strategy Recommendation

Only consider as a specialist commercial income investment after reviewing the auction legal pack for the lease, occupational arrangements, VAT, service charge and any seller or third-party costs. Do not bid on the basis of the advertised rent alone.

Works Required

No refurbishment works are identified in the supplied description. Allowance should be made for professional, legal, compliance and fit-out investigations only after reviewing the lease and sale documentation; no numeric works budget is supported.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

BRRR analysis is not supportable because no passing rent, commercial valuation, refurbishment budget or refinance valuation is supplied. A 75% GDV refinance calculation cannot be completed. The 250-year lease from completion at a peppercorn ground rent is noted, but the property remains leasehold and forms part of a larger building.

Buy-to-Let Analysis

Using the £2,600 pcm advertised asking rent as a purely indicative figure gives annualised gross rent of £31,200 and an approximate gross yield of 4.80%–4.95% across the guide range, or 4.88% at the £640,000 midpoint. This is not a passing rent, and no tenant, lease income, operating costs, vacancy allowance, VAT treatment or commercial valuation yield is supplied. Net yield and dependable BTL returns cannot therefore be established.

Flip Analysis

A flip surplus cannot be calculated because there is no supported commercial GDV, refurbishment budget, selling-cost allowance or evidence that residential flat comparables are applicable. The supplied comparables should not be used as a resale valuation for this healthcare and dental surgery use.

Investor Risks & Due Diligence

• The £2,600 pcm figure is an advertised asking rent rather than confirmed passing income.

• No tenant, occupational lease, income covenant or lease term is supplied.

• The supplied sold comparables are residential flats/maisonettes and may not reflect commercial healthcare or dental values.

• VAT is applicable, but the amount and recoverability are not supplied.

• Additional seller and third-party charges may apply and are not quantified.

• The property is leasehold within a larger building; service charge, repairing obligations, alterations and management provisions are not supplied.

• No formal commercial valuation yield, GDV or refinance evidence is available.

Recommendation

Only consider as a specialist commercial income investment after reviewing the auction legal pack for the lease, occupational arrangements, VAT, service charge and any seller or third-party costs. Do not bid on the basis of the advertised rent alone.

Strategy Rating

Analysis Confidence

The property description and guide are supplied, but there is no passing rent, commercial comparable evidence, lease occupational detail, EPC, operating-cost information, GDV, refurbishment budget or complete fee schedule. The only rent evidence is an advertised asking rent.