150 - 151 Bartholomew Street, Newbury, Berkshire, RG14 5HB

Description

The property comprises a high yielding retail investment occupying a high footfall pedestrianised pitch. Arranged as a double fronted retail unit across ground floor and basement, the property is let to a private individual t/a Rocket Propelled Games on a five year lease expiring 17.07.2030 and paying £20,000 per annum. The property occupies a prominent pitch fronting the pedestrianised Bartholomew Street, with a return frontage to the Arcade. The street forms part of the principal retail amenity in Newbury with nearby tenants including a number of boutique occupiers and national retailers including Zizzi, Lloyds Bank and Gails. The former Kennet Shopping Centre is to the south and is currently undergoing redevelopment to provide 317 new homes.

Accommodation

Double fronted retail unit across ground floor and basement; 993 sq ft (92.25 sq m)

Location

High footfall pedestrianised pitch fronting Bartholomew Street, with a return frontage to the Arcade. Bartholomew Street forms part of the principal retail amenity in Newbury. Nearby tenants include boutique occupiers and national retailers including Zizzi, Lloyds Bank and Gails. The former Kennet Shopping Centre is to the south and is undergoing redevelopment to provide 317 new homes.

Tenure / Property Information

Investment Analysis

The £150,000 guide equates to a 13.33% gross yield on the stated £20,000 per annum passing rent, before unknown buyer fees and any applicable charges. The supplied Land Registry comparables are flats/maisonettes and are not suitable evidence for valuing this retail unit. No commercial valuation, capitalisation yield, condition report or rental comparables are supplied, so a defensible GDV range cannot be established. The property is let to a private individual trading as Rocket Propelled Games until 17 July 2030, with a new 999-year lease at peppercorn rent stated for the property. The auction description states it is a VAT-Free Investment, although VAT may apply to the sale under the special conditions; this requires legal confirmation.

Investment Snapshot

Strategy Recommendation

Consider as an income-led commercial hold only after confirming the occupational lease, tenant covenant, title, repairing obligations, all auction costs and VAT treatment. Do not underwrite a flip or refinance strategy without an independent commercial valuation.

Works Required

No refurbishment works are evidenced. Allow for inspection, lease/title review and confirmation of the occupational lease, rent, repairing obligations and any service-charge or estate liabilities. A £0 works allowance is used in the illustrative guide-price calculations solely because no physical works are identified.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR refinance cannot be reliably modelled because no commercial GDV, valuation yield, lending terms or refurbishment budget is supplied. At the guide price and with no evidenced works, the acquisition cost is £150,000 before unknown transaction costs; refinancing proceeds and cash left in are therefore unsupported.

Buy-to-Let Analysis

At the £150,000 guide, the stated £20,000 annual passing rent produces an illustrative gross yield of 13.33%. This is a strong headline yield, but it excludes the unknown buyer fee, any applicable VAT or seller charges, finance, management, insurance, maintenance and other property costs. The rent is passing rent rather than an independent market-rent assessment, and the tenant is a private individual trading under a business name.

Flip Analysis

A flip is not supported by the evidence. The supplied comparables are residential flats/maisonettes rather than comparable retail investments, and no resale GDV, selling costs or value-add works are evidenced. Estimated flip surplus is therefore unavailable.

Investor Risks & Due Diligence

• The occupational lease expires on 17 July 2030, so income continuity beyond that date is not evidenced.

• The occupier is a private individual trading as Rocket Propelled Games; tenant covenant and financial strength are not supplied.

• Buyer fees are unknown and VAT or other seller charges may apply despite the description stating VAT-Free Investment.

• No EPC, condition, repair, insurance, service-charge or maintenance information is supplied.

• The new 999-year peppercorn lease and the five-year occupational lease should be reconciled and checked legally before bidding.

• The stated £20,000 rent is not supported by independent commercial rental evidence or a formal valuation.

Recommendation

Consider as an income-led commercial hold only after confirming the occupational lease, tenant covenant, title, repairing obligations, all auction costs and VAT treatment. Do not underwrite a flip or refinance strategy without an independent commercial valuation.

Strategy Rating

Analysis Confidence

The passing rent, guide price, tenure, lease term, accommodation and occupancy are supplied, but there is no comparable retail valuation evidence, independent market rent, condition information, buyer fee, VAT certainty or finance data.