77 Linthorpe Road, Middlesbrough, Cleveland

Description

Freehold leisure investment arranged over 4 floors and entirely let to Luxury Leisure (t/a Admiral Casino). Total accommodation approximately 317.1 sq m (3,413 sq ft). VAT is applicable.

Accommodation

Arranged over 4 floors; total accommodation approximately 317.1 sq m (3,413 sq ft)

Location

Town centre location on the west side of Linthorpe Road, close to its junction with Gilkes Street and situated 680m from Middlesbrough Railway Station. Nearby occupiers include PDSA, Lloyds Bank, New Look, Boots, Scope, McDonald's, NatWest, Costa, River Island and Vodafone.

Tenure / Property Information

Investment Analysis

The £325,000–£350,000 guide cannot be independently converted into a supported GDV because no passing rent, lease rent, yield evidence, EPC or formal valuation is supplied. The property is a 3,413 sq ft, four-storey freehold leisure investment let to Luxury Leisure until June 2031, with VAT applicable. Sold comparables on Linthorpe Road range from £190,000 to £1,150,000 but concern different properties, dates and potentially different uses/sizes, so they do not provide a reliable direct valuation. The two residential asking rents supplied are not relevant evidence for this commercial leisure asset.

Investment Snapshot

Strategy Recommendation

Treat as a lease-income commercial investment only, not a refurbishment or residential BTL opportunity. Obtain the complete lease, current rent and review history, VAT treatment, tenant covenant information, condition report and professional valuation before bidding.

Works Required

No specific defects or refurbishment requirements are evidenced. Allow for professional inspection and review of the building, services, statutory compliance, EPC position and lease obligations before bidding; no works cost can be supported from the supplied evidence.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

BRRR analysis cannot be completed because the commercial passing rent, acquisition costs, refurbishment costs and refinance valuation yield are unavailable. The lease expires in June 2031, so remaining term and renewal risk should be assessed before relying on refinance value. VAT and unspecified additional charges may materially affect required capital.

Buy-to-Let Analysis

A conventional residential BTL analysis is not applicable to this four-storey commercial leisure investment. The passing rent is not supplied, so income, yield, debt cover and value cannot be established. The supplied residential asking rents are not suitable proxies. Confirm the rent, rent review provisions, repairing obligations, deposit or guarantees and tenant covenant before proceeding.

Flip Analysis

A flip analysis is unsupported. No refurbishment requirement, resale costs, commercial valuation or exit yield is provided. The same-road comparables are too varied in price, date and property characteristics to establish a dependable resale value.

Investor Risks & Due Diligence

• Passing rent and lease economics are not supplied, preventing yield and affordability analysis.

• The lease expires in June 2031, creating lease expiry, renewal and reletting risk.

• VAT is applicable and the amount or recovery position is not stated.

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

• No condition, EPC, services or statutory compliance evidence is provided.

• The sold comparables vary materially in date, price and property characteristics and may not be directly comparable.

Recommendation

Treat as a lease-income commercial investment only, not a refurbishment or residential BTL opportunity. Obtain the complete lease, current rent and review history, VAT treatment, tenant covenant information, condition report and professional valuation before bidding.

Strategy Rating

Analysis Confidence

The property description, tenure, tenant, lease expiry, size and guide range are supplied, but passing rent, lease terms, valuation yield, condition, EPC, buyer costs, VAT detail and exit evidence are missing.