Flat 407 The Printworks, Hodgson Street, Sheffield, South Yorkshire

Description

A Fourth Floor Studio Flat Subject to a Periodic Tenancy Producing £8,844 Per Annum (Reflecting a Gross Initial Yield of 44.2%). The property comprises a fourth floor studio flat situated within a purpose built block arranged over ground and five upper floors. The property benefits from a communal gym and laundry room.

Accommodation

Fourth Floor: Studio Room; Bathroom

Location

Situated on a residential road close to local shops and amenities. The open spaces of The University of Sheffield and Sheffield Hallam University are within easy reach. Transport links are provided by West Street tram stop, Meadowhall rail station and the M1.

Tenure / Property Information

Investment Analysis

Same-block Land Registry evidence comprises three completed sales from October 2016 to March 2017 at £116,995 to £129,995. Applying a simple evidence-based range, with a midpoint base case, indicates low GDV of £116,995, base GDV of £123,495 and high GDV of £129,995. The evidence is dated and does not confirm that the sold flats matched this studio's size, floor, condition or service-charge position, so current GDV confidence is limited. The existing tenancy produces £8,844 per annum (£737 pcm). The £953 pcm figure is an advertised asking rent, not an achieved rent.

Investment Snapshot

Strategy Recommendation

Potential high-gross-yield buy-to-let only if the periodic tenancy, rent, service charges, building costs and all auction fees are verified. Do not rely on the dated GDV evidence for a BRRR or flip decision without current valuation and lender confirmation.

Works Required

No refurbishment works or defects are evidenced. Confirm condition, fixtures, communal-area obligations, service charges and any required repairs through inspection and the legal pack before bidding. No refurbishment allowance is included in the calculations.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

Using the midpoint GDV of £123,495 and the top guide plus the known admin charge, 75% of GDV is approximately £92,621, compared with an indicative acquisition cost of £36,800 before unknown buyer premium, finance, tax, legal costs and works. This produces a theoretical cash surplus of approximately £55,821 before those exclusions, but refinance availability, lender valuation and mortgage terms are unconfirmed. The dated comparables and unknown building costs make the refinance case high risk.

Buy-to-Let Analysis

At the top guide of £35,000, the current passing rent of £737 pcm gives a gross yield of approximately 25.27%; including the known £1,800 admin charge, the indicative gross yield is approximately 24.03%. The £953 pcm asking rent would imply a higher yield but is not achieved-rent evidence. Service charges, management costs, insurance, taxes, buyer premium and other legal-pack disbursements are unknown, so net yield and cash flow cannot be established.

Flip Analysis

The dated same-block sales support a broad historical GDV range of £116,995 to £129,995. At the top guide, the base purchase-plus-known-admin cost is £36,800 before selling costs, finance, tax, buyer premium, legal-pack disbursements and any works. A formal flip surplus is not calculated because no supported selling-cost allowance or current valuation is available. The apparent uplift should not be treated as a confirmed profit.

Investor Risks & Due Diligence

• Buyer premium is payable potentially on top of the bid, but the amount is unspecified.

• Additional search fees, seller-cost reimbursement, legal fees, transfer fees and other legal-pack disbursements may be payable and are unquantified.

• Service charges, ground rent, insurance and communal-facility costs are not supplied.

• The property is subject to a periodic tenancy; tenancy terms, payment history and possession position require verification.

• The £953 pcm rent is an advertised asking rent and may not be achievable.

• The comparable sales are from 2016-2017 and may not represent current value.

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

• Refinance value, lender criteria, mortgage terms and valuation are unconfirmed.

Recommendation

Potential high-gross-yield buy-to-let only if the periodic tenancy, rent, service charges, building costs and all auction fees are verified. Do not rely on the dated GDV evidence for a BRRR or flip decision without current valuation and lender confirmation.

Strategy Rating

Analysis Confidence

The passing rent, lease term, tenancy status, known admin charge and same-block completed sales are supplied, but the sales are dated, the property-specific comparability is unconfirmed, and buyer premium, disbursements, service charges, condition, EPC and finance terms are missing.