216 High Street, Sheerness, Kent, ME12 1UN

Description

A three-storey mixed-use building on the outskirts of Sheerness town centre, arranged as a ground-floor commercial unit with three flats across the ground, first and second floors. Two of the three flats are currently let, along with the shop. There is also a vacant timber-framed building to the rear, previously used as offices and comprising two rooms.

Accommodation

Commercial ground floor shop with shop floor, kitchenette and W.C. Ground floor Flat 1: living room, kitchen, bedroom, study and bathroom with W.C. First floor Flat 2: entrance hall, living room, kitchen, bedroom, study and bathroom with W.C. Second floor Flat 3: living room, kitchen, bedroom, study and bathroom with W.C. Rear vacant timber-framed building used as offices with two rooms.

Location

Town centre location close to local amenities and Sheerness train station.

Tenure / Property Information

Investment Analysis

The guide is £250,000–£260,000. The evidence includes an adjacent 2021 sale at £150,000 and sales of this property in 2004 and 2008, but these are not sufficiently current or comparable to establish a reliable present-day GDV. Current contracted rents total £1,325 pcm (£15,900 annually), comprising the shop and Flats 2 and 3. The midpoint guide price of £255,000 is used only as the analysis purchase figure. No specific refurbishment cost or buyer/admin fee is supplied.

Investment Snapshot

Strategy Recommendation

Consider a cautious income-led hold only after verifying leases, tenancy positions, condition, vacant-unit rental potential and all auction costs. Do not rely on BRRR or a flip until a current valuation and detailed inspection support the numbers.

Works Required

No specific defects or refurbishment works are evidenced. Further inspection is required, particularly of the vacant Flat 1 and rear two-room timber-framed office building. Allow separately for any works identified, compliance requirements and EPC-related improvements before bidding.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed reliably because current GDV, refurbishment costs, finance costs and buyer/admin fees are unsupported. At a 75% loan-to-value refinance, the amount would depend on an unverified GDV. Existing income provides some support, but the vacant accommodation and mixed-use structure require further due diligence.

Buy-to-Let Analysis

Existing contracted income is £1,325 pcm, or £15,900 annually, before costs, voids and management. Against the £255,000 midpoint guide, the gross yield is approximately 6.24%; the guide range implies approximately 6.12%–6.36%. This is based on current passing rents, not external rental evidence. Flat 1 and the rear offices are vacant, so there may be income upside, but no achievable rents are evidenced.

Flip Analysis

A flip surplus cannot be calculated because no current GDV, refurbishment allowance or supported selling-cost allowance is available. The historic sales evidence is insufficient to establish a resale value, and the property includes tenanted commercial and residential accommodation plus vacant areas.

Investor Risks & Due Diligence

• No sufficiently specific external rental comparables are supplied.

• Flat 1 and the rear office building are vacant, with no supported rental estimates.

• The shop lease is only described as informed to run until 2030; full lease terms and tenant obligations are not supplied.

• Flats 2 and 3 are let on Assured Periodic Tenancy Agreements, with no further tenancy details supplied.

• The rear building is timber-framed and vacant; its condition and suitability are not evidenced.

• Flat 1 and Flat 3 have EPC E ratings, while no improvement cost or compliance assessment is supplied.

• Administration, other non-optional auction fees, VAT, Stamp Duty, Land Registry and potential search costs are unspecified.

Recommendation

Consider a cautious income-led hold only after verifying leases, tenancy positions, condition, vacant-unit rental potential and all auction costs. Do not rely on BRRR or a flip until a current valuation and detailed inspection support the numbers.

Strategy Rating

Analysis Confidence

Passing rents, tenure, occupancy and historic sales are supplied, but there are no current rental comparables, current valuation, condition survey, refurbishment costs or quantified buyer/admin fees.