23 Clarendon Road, Edgbaston, Birmingham, Birmingham, B16 9SD

Description

A residential investment opportunity comprising of a traditional freehold detached former dwelling house of three storey brick construction, surmounted by a pitched tile clad roof, long established as a flat conversion and containing six separate self-contained flats, each benefiting from separate gas and electricity meters, mains fitted fire panel and emergency lighting and UPVC double glazed windows (except store room). Each flat provides well laid out accommodation, offered in well maintained condition, many with modern kitchen and shower room fitments and the majority of external walls have been internally insulated. Clarendon Road forms part of a popular and highly regarded residential area and comprises a no through road accessed from Vernon Road, which in turn leads of Portland Road (B1425) and the property lies conveniently within approximately 1¼ mile to the West of Birmingham City Centre. Tenancy Information: All flats (except flat 2] are currently let on assured periodic tenancies at the following rentals: Flat 1: £670 per calendar month Flat 2: Currently Vacant with a potential rent of £850 per calendar month Flat 3: £650 per calendar month Flat 4: £600 per calendar month Flat 5: £625 per calendar month Flat 6: £760 per calendar month Total Current Rental Income: £3,305 p.c.m. (£39,660 per annum) Total Current Rental Income (when fully let): £4,155 p.c.m. (£49,860 per annum) approx.

Accommodation

Ground Floor: Communal Hallway with Fire Panel and meter cupboards Flat 1: Lounge: 5.16m x 4.89m, Kitchen and Inner Hall: 6.03m x 2.10m (max) with newly fitted range of units, Bedroom: 4.29m x 2.78m (max), Bathroom: 3.02m x 1.73m with panel bath, pedestal wash basin and wc, Heating: Gas Fired Central Heating Flat 2: External Side Gated Access, Large Reception Hall, Bedroom: 4.01m x 3.51m, Lounge: 4.03m x 3.76m, Inner Hall, Shower Room: 2.02m x 1.92m with glazed shower enclosure, vanity wash basin and wc, Kitchen: 2.97m x 2.17m with range modern fitted units, Heating: Gas Fired Central Heating First Floor: Landlords Store: Entrance Hall, Toilet with wc, Store Room: 3.17m x 3.13m Flat 3: Entrance Hall, Kitchen (L-shaped): 3.09m x 2.79m (max), Lounge: 5.15m x 5.02m, Bedroom: 3.53m x 3.02m Bathroom: 1.88m x 1.75m with panel bath, pedestal wash basin and wc, Heating: Electric Storage Heaters Flat 4: Reception Hall, Lounge/Kitchen/Diner: 5.02m x 4.02m (max) with range of modern fitted units, Bedroom: 3.97m x 3.69m, Shower Room: 2.69m x 1.725m with glazed shower enclosure, vanity wash basin and wc, Heating: Gas Fired Central Heating Second Floor: Stairs and Landing Flat 5: Reception Hall, Living Kitchen: 4.67m x 3.72m with range of modern fitted units, Bedroom: 3.81m x 3.55m, Bathroom: 2.79m x 1.75m with panel bath, pedestal wash basin and wc, Heating: Electric Storage Heaters Flat 6: Reception Hall, Open Plan Lounge/Kitchen/Diner: 5.05m x 4.74m with range of modern fitted units, Shower Room (L-shaped): 3.03m x 2.21m (max) , with glazed shower enclosure, pedestal wash basin and wc, Bedroom One: 3.15m x 2.26m, Bedroom Two: 3.15m x 2.24m, Heating: Independent Electric Heaters

Location

23 Clarendon Road, Edgbaston, Birmingham, Birmingham, B16 9SD. The Cottons particulars describe the property as being within an established local residential/commercial area with access to nearby shops, amenities and transport links.

Key Investment Considerations

• Guide Price: £600,000+

• Tenure: Freehold

• Condition: Presentable / improved

• Preferred strategy: Multi-Unit Residential Investment

Investment Analysis

Investment Snapshot

Strategy Recommendation

Preferred strategy: Multi-Unit Residential Investment. This is based on the Cottons property description, current condition, tenure and the guide price. It should be tested against the legal pack, inspection, finance and local market evidence before bidding.

Works Required

• Review six tenancy files

• Fire-panel/emergency-lighting servicing

• Targeted flat upgrades

• Common-parts decoration

• Confirm licensing/compliance requirements

HB initial works allowance: £20,000–£40,000. This is an investment-feasibility allowance, not a contractor quotation.

Rental & Market Context

The Cottons particulars state current rental income of approximately £39,660 per annum. For initial appraisal only, HB estimates market rent at approximately £4,155–£4,333 per month (£49,860–£52,000 per annum). This is an indicative market assumption, not an auctioneer-stated figure, and should be checked against current local lettings before bidding.

GDV / Resale Analysis

HB's indicative post-works / stabilised value range is £700,000–£825,000. This is an appraisal estimate only, not a RICS valuation. Confirm the figure using recent genuinely comparable sold evidence, adjusting for property type, condition, tenure, floor area, plot and any planning potential.

Properties Sold Within Approx. 5 Miles

Specific sold transactions are not contained in the supplied Cottons scrape, so no unverified addresses or sold prices have been inserted. Before bidding, verify recent Land Registry sales for closely comparable properties in the same postcode and surrounding area.

Potential BRRR Position

Using a middle-case appraisal of £600,000 purchase plus approximately £30,000 works gives an indicative project cost of about £630,000 before SDLT, legal, finance and auction charges. At the midpoint HB indicative value of £762,500, a purely illustrative 75% refinance would be about £571,875. That would leave approximately £58,125 of purchase/works capital in the project before acquisition and finance costs. Lender valuation and rental stress testing will determine the actual refinance position.

Flip Analysis

A midpoint resale appraisal of £762,500 less the £600,000 guide and midpoint works allowance of £30,000 gives an indicative gross spread of about £132,500 before SDLT, auction fees, legal costs, finance, utilities, insurance, holding costs, selling fees and contingency. This gross spread is not profit and should only be used as an initial feasibility check.

Investor Risks & Due Diligence

• Review the full Cottons legal pack, title and special conditions before bidding

• Confirm buyer's premium / administration charges and completion timetable

• Obtain an appropriate structural or condition survey

• Verify refurbishment quotations and contingency before setting a maximum bid

• Verify current local rental evidence and recent sold comparables

• Confirm lender requirements, valuation assumptions and exit finance

• Verify tenancy agreements, deposits, rent history and landlord compliance

Recommendation

Initial recommendation: Multi-Unit Residential Investment. The guide price may offer scope for value creation, but the investment case should only proceed if the legal pack, condition, rental evidence, finance and exit value all support the proposed maximum bid.

Strategy Rating

Income Investment: ★★★★☆ | Value Add: ★★★★☆ | Flip/Resale: ★★★☆☆