17 Prince Regent Street, Stockton-on-Tees, Cleveland, TS18 1DB

Description

Comprises a ground-floor end-terrace takeaway restaurant. Let to DP Realty Ltd and Stockton DP Ltd (t/a Domino's) on a lease expiring 2040 with no breaks. Located on a busy main thoroughfare. VAT is applicable.

Accommodation

Total accommodation of approximately 183.4 sq m (1,974 sq ft)

Location

Stockton-on-Tees is a major commercial centre located approximately 30 miles south of Newcastle upon Tyne and 4 miles west of Middlesbrough. The A66 dual carriageway provides access to the A19 to the east and the A1(M) Motorway to the west. Stockton Rail Station provides services to Leeds, with a journey time of 1 hour 35 minutes. The property is situated on the east side of Prince Regent Street, close to its junction with Dovecot Street. Nearby occupiers include Cash Converters, Dixy Chicken, William Hill, Vodaphone, Cooplands, Admiral Casino and British Heart Foundation.

Tenure / Property Information

Investment Analysis

The property is offered at a £350,000–£370,000 guide, while the supplied Land Registry evidence records the same property selling for £290,000 in August 2020. The earlier sale is not sufficient to establish current market value, particularly as no passing rent, investment yield, valuation evidence or current comparable sales are supplied. VAT applies and buyer/admin charges are unspecified, so the effective acquisition cost cannot be calculated reliably.

Investment Snapshot

Strategy Recommendation

Treat as a lease-backed commercial investment only after verifying the executed lease, passing rent, tenant covenant, rent review terms, VAT position and condition. Do not bid on yield or resale assumptions that are not evidenced.

Works Required

No specific repair, refurbishment or compliance works are identified in the supplied evidence. The investment should be assessed primarily on the lease, tenant covenant, rent, review provisions and property condition, none of which are fully evidenced.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR analysis is not supportable because no passing rent, refurbishment budget, commercial valuation or refinance terms are supplied. The long lease without breaks may provide income visibility, but tenant covenant and lease economics require verification.

Buy-to-Let Analysis

This is a commercial takeaway investment rather than a residential BTL. A lease is stated to run to 2040 with no breaks and a rent review in October 2030, but the passing rent is not supplied. Consequently, income, yield, affordability and value cannot be established.

Flip Analysis

A flip appraisal is not supportable. No refurbishment scope or cost, current market value, resale evidence beyond the 2020 same-property sale, selling allowance or VAT treatment on resale is supplied.

Investor Risks & Due Diligence

• Passing rent and current net income are not supplied, preventing yield and valuation analysis.

• Tenant covenant and the financial strength of DP Realty Ltd and Stockton DP Ltd are not evidenced.

• The lease terms, repairing obligations, insurance provisions, assignment rights and rent review mechanics require verification.

• VAT is applicable, while buyer, administration and other acquisition charges are unspecified.

• The only supplied same-property sale is from August 2020 and may not represent current market value.

• No condition, EPC or compliance information is supplied.

• The guide is materially above the recorded 2020 purchase price, but the reason for the difference is not evidenced.

Recommendation

Treat as a lease-backed commercial investment only after verifying the executed lease, passing rent, tenant covenant, rent review terms, VAT position and condition. Do not bid on yield or resale assumptions that are not evidenced.

Strategy Rating

Analysis Confidence

The property identity, tenure, accommodation, tenant description and lease expiry are supplied, but passing rent, valuation evidence, condition, EPC, fees and detailed lease terms are absent.