70 Lansdowne Road, Ilford, Essex

Description

Investment - Freehold Part Reversionary Ground Rent. Secured upon two self-contained flats. The lessees have not elected to take up their rights of pre-emption under the terms of the Landlord and Tenant Act 1987.

Accommodation

Two self-contained flats

Location

Situated on the east side of Lansdowne Road. The shops and amenities of Ilford are to the south. Seven Kings rail station is approximately 0.3 miles to the south. The A406 (North Circular) is to the west. Seven Kings Park is to the north east. King George Hospital, Goodmayes Hospital and Seven King's Health Centre are within reach. University of East London, Seven Kings School and Farnham Green Primary School are in close proximity. Valence House Museum, Redbridge Central Library and Museum and Redbridge Town Hall are close by.

Tenure / Property Information

Investment Analysis

The £10,000+ guide is the only supplied pricing evidence. The sold comparables are freehold houses and are not sufficiently comparable to a freehold part reversionary ground-rent interest secured on two flats. No passing ground rent, lease premiums, income schedule or specific rental evidence is supplied, so market value and investment yield cannot be established. One lease has approximately 53 years remaining, the other is long, with reversion from 2080. The lessees have not elected to exercise their stated pre-emption rights, but the legal position should be verified.

Investment Snapshot

Strategy Recommendation

Only consider as a specialist ground-rent/reversion investment after reviewing the leases, income entitlement, arrears, pre-emption position and all auction charges. Do not underwrite from the supplied house comparables.

Works Required

No physical refurbishment works are evidenced. Required investigation is legal and financial: review both leases, ground-rent provisions, rent review clauses, arrears, rights of pre-emption and the 2080 reversion terms.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

BRRR is not supported by the evidence. There is no refurbishment opportunity, supported rental income, GDV or refinance value, and the interest includes a reversion from 2080 rather than an evidenced short-term value-add strategy.

Buy-to-Let Analysis

This is not evidenced as a conventional buy-to-let purchase; it is a freehold ground-rent and reversionary interest. No passing ground rent or sufficiently specific rental evidence is supplied, so BTL income and yield cannot be established.

Flip Analysis

A flip analysis is not supportable. The supplied comparable sales relate to freehold houses, not this ground-rent/reversionary interest, and no selling allowance or market value evidence for the investment interest is provided.

Investor Risks & Due Diligence

• No passing ground-rent figure or income schedule is supplied.

• One flat has approximately 53 years remaining on its lease, which may affect value and future lease-extension considerations.

• The reversion is stated to be from 2080, creating a long-dated and potentially illiquid investment profile.

• The supplied sold comparables are freehold houses and may not represent the value of this interest.

• Additional seller or third-party charges may apply and are not quantified.

• The stated pre-emption position and all lease terms require solicitor verification.

Recommendation

Only consider as a specialist ground-rent/reversion investment after reviewing the leases, income entitlement, arrears, pre-emption position and all auction charges. Do not underwrite from the supplied house comparables.

Strategy Rating

Analysis Confidence

The title structure and broad lease information are supplied, but there is no ground-rent amount, lease documentation, passing-income evidence, valuation evidence for the interest or buyer/admin fee schedule.