207 Belsize Road, Camden, London, NW6 4AA

Description

A Ground and Lower Ground Floor Retail/Offices Unit Fully Let Producing £30,000 Per Annum. (Reflecting a Gross Initial Yield of 12%). Potential to Convert into Residential Use (Subject to Obtaining all Relevant Consents). The property comprises a ground floor retail unit and a lower ground floor office situated within a mid terrace building arranged over lower ground, ground and two upper floors.

Accommodation

Lower Ground Floor: Offices, Kitchen, Storage Space, WC; G.I.A Approximately 550 sq ft. Ground Floor: Retail Unit; G.I.A Approximately 650 sq ft.

Location

The property is situated on a mixed use parade close to local shops and amenities. The open spaces of Kilburn Grange Park are within easy reach. Transport links are provided by Kilburn Park/Maida Vale underground stations (Bakerloo line) and Kilburn High Road/South Hampstead overground stations.

Tenure / Property Information

Investment Analysis

The property is a fully let commercial retail/office investment with contractual rent of £30,000 per annum. The £250,000+ guide implies a 12.0% gross initial yield before fees and other costs. The supplied sold comparables are residential flats/maisonettes or unspecified leasehold properties and are not sufficiently comparable to establish a commercial GDV. No supported residential conversion GDV is available; conversion is only a possibility subject to all relevant consents.

Investment Snapshot

Strategy Recommendation

Assess as a commercial income investment only, subject to legal review of the occupational lease, break option, tenant covenant and all unknown completion costs. Do not underwrite residential conversion or a flip without verified consents, costs and valuation evidence.

Works Required

No refurbishment defects or specific works are evidenced. The supported strategy is to retain the existing retail and office configuration, subject to reviewing the lease, building condition and legal pack. Any residential conversion would require planning and all other relevant consents, with no conversion works allowance supported by the evidence.

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 supported GDV, refurbishment budget, finance costs or residential conversion valuation is available. The existing income may support an investment case, but the six-month rolling landlord break option and approximately 93 years remaining on the headlease require legal and lease review before relying on the income.

Buy-to-Let Analysis

This is a commercial rather than residential BTL asset. The stated contractual rent is £2,500 pcm, or £30,000 annually, producing a 12.0% gross yield on the £250,000 guide and approximately 11.9% against the guide plus the stated £1,800 administration charge. Net yield cannot be established because operating costs, finance costs, taxation, insurance and other completion charges are not supplied. Income security is subject to the lease terms and the landlord's six-month rolling break option.

Flip Analysis

A flip surplus cannot be quantified. The residential sold comparables are not sufficiently specific to this commercial asset, no conversion consent or residential layout is evidenced, and no selling allowance, works budget or residential GDV is supplied.

Investor Risks & Due Diligence

• The landlord has a six-month rolling option to break the occupational lease, creating income and reletting risk.

• The property is leasehold with approximately 93 years unexpired; lease terms, service charges, rent review provisions and other liabilities require legal review.

• The £30,000 rent is contractual but no tenant covenant, rent payment history or operating costs are supplied.

• Buyer fees and possible legal-pack disbursements are not fully quantified; the analysis includes only the stated £1,800 administration charge.

• Residential conversion is speculative and subject to obtaining all relevant consents.

• The supplied sold comparables are residential or insufficiently described and do not establish the value of this commercial property.

Recommendation

Assess as a commercial income investment only, subject to legal review of the occupational lease, break option, tenant covenant and all unknown completion costs. Do not underwrite residential conversion or a flip without verified consents, costs and valuation evidence.

Strategy Rating

Analysis Confidence

The passing rent, guide, tenure, lease terms, accommodation and known administration charge are supplied, but there is no commercial valuation evidence, no condition or works budget, no external rental comparables, no tenant covenant information and incomplete fee/disbursement information.