7 Cross St, Cheadle, Stoke-on-Trent

Description

An attractive mid terrace, mixed-use property comprising a commercial unit at ground and basement floors trading as a beautician. Both flats are self-contained and consist of 4 rooms, kitchen and bathroom on each floor. Both are large flats in excess of 1,000 sq ft each. Potential to re-configure the flats to create more bedrooms or multiple additional units, and potential to convert the units into HMOs, subject to the requisite consents. The commercial unit has been let continuously to various tenants for the last 15 years. VAT-free investment. Investment let at £16,700 p.a.

Accommodation

Total building approximately 3,368 sq ft. Ground and basement commercial unit approximately 1,279 sq ft. First floor: 4 rooms, kitchen and bathroom, approximately 1,046 sq ft. Second floor: 4 rooms, kitchen and bathroom, approximately 1,038 sq ft. Both flats are self-contained and may be used as individual flats or converted into an HMO, subject to the requisite consents.

Location

The property occupies a prominent position within the market town of Cheadle, fronting Cross Street in the town centre. Cheadle provides a range of local amenities, retailers and services and is approximately 10 miles east of Stoke-on-Trent and 13 miles north-west of Uttoxeter, with access to the A50 and wider Midlands road network. Rail services are available from Blythe Bridge, Uttoxeter and Stoke-on-Trent.

Tenure / Property Information

Investment Analysis

The property is offered at a £140,000 guide price and produces stated contracted rent of £16,700 p.a., equivalent to an indicative gross yield of 11.93% on the guide price before fees, finance, management, maintenance and voids. The supplied sales comparables relate to individual flats and are dated, so they do not provide sufficient evidence for a reliable whole-building GDV. Auction buyer fees and other sale charges are unspecified.

Investment Snapshot

Strategy Recommendation

Consider as a retained-income mixed-use investment only after verifying the leases, tenant status, rent payment history, condition and auction special conditions. Do not rely on HMO or subdivision potential without confirming consents and viability.

Works Required

No specific defects or required works are evidenced. Retain the existing commercial unit and two self-contained flats unless inspection identifies necessary repairs. Any reconfiguration or HMO conversion would require assessment and the requisite consents.

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 whole-building GDV, refurbishment costs, finance costs and applicable auction charges are not evidenced. The property is already let, so the principal opportunity appears to be income retention rather than a clearly evidenced value-add refinance. HMO or additional-unit potential remains subject to the requisite consents.

Buy-to-Let Analysis

The stated commercial rent of £6,500 p.a. plus residential rents of £4,800 p.a. and £5,400 p.a. total £16,700 p.a. (£1,391.67 pcm equivalent). This gives an 11.93% gross yield against the £140,000 guide price, before operating costs, voids, management, finance and auction charges. The figures are stated passing rents rather than independent market-rent evidence, and lease details beyond the commercial two-year term are not supplied.

Flip Analysis

A flip surplus cannot be calculated because no supported whole-building GDV or refurbishment allowance is available. The supplied comparables are individual flats and are not sufficient to establish the resale value of this mixed-use property.

Investor Risks & Due Diligence

• The guide price excludes the buyer's fee and further seller or VAT charges may apply under the Special Conditions of Sale.

• The stated income depends on the commercial tenant and both flat tenants remaining in occupation and paying the quoted rents.

• The commercial lease is stated to run for two years from November 2025; lease terms, break rights and repairing obligations are not supplied.

• The supplied rental figures are existing stated rents, not independent achieved-market-rent evidence.

• Potential HMO, reconfiguration or additional-unit use is subject to the requisite consents.

• No EPC, council tax, parking, heating or detailed condition information is supplied.

• The dated flat comparables do not establish the value of the complete mixed-use building.

Recommendation

Consider as a retained-income mixed-use investment only after verifying the leases, tenant status, rent payment history, condition and auction special conditions. Do not rely on HMO or subdivision potential without confirming consents and viability.

Strategy Rating

Analysis Confidence

Current rents, tenure, occupancy, accommodation and guide price are provided, but there is no whole-building valuation evidence, refurbishment budget, EPC, detailed lease information for the flats, or quantified auction fees.