73 & 74 Union Street, Ryde, Isle Of Wight, PO33 2LN

Description

Vacant four storey freehold town centre building with potential. Former bar with manager's flat, substantial cellar, kitchen and other amenities, situated in a prime town centre location with scope and potential subject to consents.

Accommodation

74 Union Street: Ground floor main bar/trading space with access to lower ground floor; lower ground floor substantial basement/cellar; first floor former commercial kitchen, ladies and gents W.Cs and storerooms; second floor flat comprising living room, kitchen, bedroom and shower room with W.C. Outside: small courtyard to rear.

Location

Situated on Union Street, Ryde's premier trading location, a short distance from the seafront and beach. FastCat and Hovercraft services are available, giving access to the mainland.

Tenure / Property Information

Investment Analysis

The only completed-sale evidence is 69 Union Street at £259,000 in August 2022. It is on the same street and freehold, but is classified only as “Other” and is not confirmed as directly comparable to this vacant four-storey former bar with manager’s flat. £259,000 is therefore used as a cautious single base benchmark rather than a formal valuation; no evidence supports reliable low/high GDV scenarios.

Investment Snapshot

Strategy Recommendation

Proceed only after legal, planning, building-survey and commercial appraisal work confirms a viable retained bar, alternative use or mixed-use strategy. Do not rely on the residential rent evidence or the 2022 sale as a firm whole-building valuation.

Works Required

Obtain a full building and services survey; assess the bar, cellar, kitchen, WCs, storerooms, flat and courtyard; undertake only evidenced repairs, refresh and compliance works. Any change of use, redevelopment or residential/commercial reconfiguration is subject to the necessary consents.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR strategy cannot be reliably underwritten because refurbishment costs, buyer/admin fees, finance costs, achievable rents and refinance valuation terms are not supplied. The £259,000 base benchmark would imply 75% refinancing of £194,250, but this is not a supported refinance valuation and no cash-left-in calculation is reliable.

Buy-to-Let Analysis

The supplied £800–£850 pcm asking-rent evidence relates to two-bedroom Isle of Wight homes and may provide only a broad indication for the second-floor two-bedroom flat. It does not establish rent for the former bar or the whole building. At the £140,000 guide midpoint, the flat-only indicative gross yield is approximately 6.86%–7.29%, before vacancy, repairs, finance, tax and unspecified auction costs. Whole-property BTL yield cannot be established.

Flip Analysis

A potential resale margin is suggested by the £259,000 2022 same-street sale, but the evidence is not directly comparable and no refurbishment budget, selling costs or current valuation evidence is supplied. Flip surplus cannot therefore be calculated.

Investor Risks & Due Diligence

• Vacant former bar building with no established passing income.

• Any change of use, redevelopment or reconfiguration may require consents, which are not confirmed.

• Refurbishment and compliance costs are entirely unquantified.

• Buyer premium, administration charges and other non-optional auction costs are unspecified.

• Residential rents are advertised asking rents and do not evidence achieved rent.

• The only sale comparable is from 2022, classified as “Other”, and may not be directly comparable.

• The property includes substantial commercial accommodation, so the two-bedroom rental evidence does not establish whole-building income.

Recommendation

Proceed only after legal, planning, building-survey and commercial appraisal work confirms a viable retained bar, alternative use or mixed-use strategy. Do not rely on the residential rent evidence or the 2022 sale as a firm whole-building valuation.

Strategy Rating

Analysis Confidence

There is one same-street completed sale and limited two-bedroom asking-rent evidence, but no direct comparable detail, current valuation evidence, works budget, passing rent, commercial rent, or quantified auction fees.