36 & 36A Windmill Hill, Halesowen, B63 2BZ

Description

A vacant freehold retail unit with a studio flat above, within a busy local shopping parade. A two storey mid terraced retail premises with self contained studio flat above.

Accommodation

The ground floor comprises a main retail area with rear store, kitchenette and WC. On the first floor is a studio flat having hall, kitchen, bathroom/WC and open plan living room/bedroom. Outside there is a shared yard/parking area. It was noted that 36 Windmill Hill was previously interlinked with 38 Windmill Hill and it is considered that this arrangement could easily be reinstated to create a double unit.

Location

The property fronts the Northern side of the A458 Windmill Hill, standing within a parade of similar properties within a well established residential neighbourhood, situated between Halesowen Town Centre and Lye.

Tenure / Property Information

Investment Analysis

The guide is £120,000+. Local completed sales range from £120,000 to £175,000, including £135,000 for 36A Windmill Hill. However, the evidence does not confirm that the comparables are mixed-use properties or directly comparable in accommodation and condition. A base GDV of £135,000 is therefore used cautiously, with £120,000 as a low scenario and £175,000 as a high but weak local-sales scenario because the £175,000 comparable was detached.

Investment Snapshot

Strategy Recommendation

Proceed only after reviewing the legal pack and obtaining a condition and mixed-use valuation assessment. Do not rely on the supplied residential rent evidence or assume a profitable flip at the guide price.

Works Required

No specific refurbishment works are evidenced. Confirm condition, services, statutory compliance, commercial use, flat arrangements and any reinstatement requirements through inspection and the legal pack. The possible reinstatement of the former link to No. 38 is noted but is not assumed or costed.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A 75% refinance of the cautious £135,000 base GDV indicates £101,250 before considering lender valuation, finance costs, taxes and works. Total project cost cannot be calculated because refurbishment costs and additional legal-pack costs are unknown. BRRR feasibility is therefore unconfirmed.

Buy-to-Let Analysis

BTL yield cannot be established reliably. The only rental evidence is an advertised £825 pcm for a two-bedroom property, whereas this property contains a studio flat above retail accommodation. No commercial rent or directly comparable studio rent is supplied. Vacant possession also means there is no passing rent.

Flip Analysis

A flip appraisal cannot be reliably established. The base GDV is estimated at £135,000, but refurbishment, purchase costs beyond the known £2,700 administration charge, finance costs, selling costs and any applicable taxes are not fully evidenced. No supported flip surplus is calculated.

Investor Risks & Due Diligence

• Mixed-use valuation uncertainty because the supplied comparables are not confirmed as mixed-use properties.

• No directly comparable rent for the studio flat or retail unit, so rental yield cannot be established.

• Vacant possession means there is no existing passing income.

• Additional costs may be payable under the special conditions and are not supplied.

• Shared yard and parking arrangements require legal and practical verification.

• The former interlink with No. 38 may create layout, title or reinstatement considerations requiring investigation.

• No condition or refurbishment cost evidence is supplied.

Recommendation

Proceed only after reviewing the legal pack and obtaining a condition and mixed-use valuation assessment. Do not rely on the supplied residential rent evidence or assume a profitable flip at the guide price.

Strategy Rating

Analysis Confidence

There are several local completed sales and a known administration charge, but the comparables are not confirmed as mixed-use, rent evidence is not directly comparable, and condition, works, commercial income and additional completion costs are unknown.