27 Nottingham Road, Borrowash, Derby

Description

Commercial investment opportunity. High Street self-contained retail unit, available with the unit next door. Benefits from a kitchen, WC, and separate electric and water meters. Currently fitted as a barbers but suitable for a range of retail high street or professional uses.

Accommodation

Unit Number 27; 327 sq.ft. (30.30 sq.m.).

Location

Situated off Nottingham Road within the centre of Borrowash. The shops for sale adjoin Victoria Avenue. Nearby occupiers include a Co-Op, BJ Wilson Chemists, and Birds the Bakers.

Tenure / Property Information

Investment Analysis

The £60,000+ guide equates to approximately £183.49 per sq.ft. for the 327 sq.ft. unit. No sufficiently specific commercial sale comparable or rental evidence is supplied. The only completed sale is a residential semi-detached property and is not a reliable indicator of this unit’s value. The unit is vacant, held on a 999-year lease with £1 annual ground rent, and is advised to be VAT-registered; the VAT treatment and any commercial market value above guide cannot be established from the evidence.

Investment Snapshot

Strategy Recommendation

Do not bid on yield or resale assumptions without independent commercial valuation, rental evidence, VAT clarification and an inspection. Consider only if the buyer is comfortable with the vacant commercial asset and can verify occupier demand.

Works Required

No specific defects or refurbishment requirements are evidenced. The unit currently has a barbers fit-out, kitchen, WC and separate electric and water meters. Any works should be limited to purchaser-led cleaning, redecoration, fit-out retention or alteration following inspection; no quantified allowance is supported.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR strategy cannot be underwritten without a supported rent, commercial valuation/GDV, refurbishment budget or refinance terms. The long lease and £1 annual ground rent are positive structural features, but vacant possession, possible VAT on the transaction and the absence of rental evidence create material uncertainty.

Buy-to-Let Analysis

BTL analysis cannot be established because no sufficiently specific rental evidence or auctioneer rent estimate is supplied. The property is vacant, so there is no passing rent. The minimum buyer fee at a £60,000 purchase is £1,500 including VAT, while the auction terms also state that figures are exclusive of VAT and that VAT may apply to Unit 27; the total acquisition cost is therefore not determinable from the evidence.

Flip Analysis

A flip appraisal cannot be completed because no supported commercial GDV, refurbishment cost or selling allowance is supplied. The residential comparable is not suitable for valuing a 327 sq.ft. commercial retail unit.

Investor Risks & Due Diligence

• No sufficiently specific commercial rental comparable or rent estimate is supplied.

• No supported commercial valuation or GDV is available.

• Unit is offered with vacant possession and has no passing income.

• Unit is advised to be registered for VAT, but the transaction’s VAT impact is not quantified in the supplied evidence.

• The asset is a 999-year leasehold interest rather than freehold, despite being described as virtual freehold.

• No EPC, condition report or refurbishment cost evidence is supplied.

Recommendation

Do not bid on yield or resale assumptions without independent commercial valuation, rental evidence, VAT clarification and an inspection. Consider only if the buyer is comfortable with the vacant commercial asset and can verify occupier demand.

Strategy Rating

Analysis Confidence

The evidence confirms size, tenure, guide price, vacancy and basic specification, but provides no relevant commercial comparables, rent, EPC, condition budget, GDV or clarified VAT-inclusive acquisition cost.