Land Associated With Knights Place Farm, Rochester, Kent

Description

A freehold pair of telephone masts for investment located south-west of the M2.

Accommodation

Pair of telephone masts.

Location

Land associated with Knights Place Farm, Rochester, Kent, located south-west of the M2. The masts can be accessed on foot via Razorbill Close, Strood ME2 2FU. What3words locations: ///factories.wedge.burst and ///think.taken.office.

Tenure / Property Information

Investment Analysis

The property comprises two freehold telephone masts rather than residential accommodation. The supplied sold comparables are residential properties and are not relevant to valuing the mast investment. A formal market value or GDV cannot be established from the evidence. The stated aggregate current rent is £18,333 per annum (£9,000 plus £9,333), subject to the individual lease positions. At the £90,000–£100,000 guide range, this represents an indicative gross yield of approximately 18.33%–20.37%, before acquisition costs, tax, management, maintenance and other deductions.

Investment Snapshot

Strategy Recommendation

Consider as an income-led commercial investment only, subject to satisfactory legal review of both mast agreements, particularly Mast 2's holding-over status, and confirmation of all acquisition and ongoing costs.

Works Required

No physical refurbishment works are evidenced. The priority is legal and technical due diligence covering both mast leases, the holding-over arrangement, access via Razorbill Close, site condition and any landlord maintenance obligations.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

A BRRR assessment cannot be completed because no supported GDV, refurbishment budget or refinancing valuation is provided. The income profile may support an investment purchase, but refinance proceeds cannot be calculated and the holding-over lease introduces material security-of-income risk.

Buy-to-Let Analysis

This is not a residential BTL opportunity. The supplied current contractual rents total £18,333 per annum, equivalent to £1,527.75 per month, producing a 19.30% gross yield against the £95,000 midpoint of the guide range. The calculation excludes unknown buyer/admin fees, SDLT, VAT, legal costs, maintenance, management and financing. Mast 1 is subject to a 20-year lease from 13 October 2015; Mast 2 is holding over after expiry of its stated lease, requiring specific legal review.

Flip Analysis

A flip or resale surplus cannot be established because no relevant mast-investment valuation, resale evidence or selling-cost allowance is supplied. The residential sold comparables do not support a value for this commercial asset.

Investor Risks & Due Diligence

• Mast 2 is holding over under an expired lease, so income security and renewal terms require legal review.

• The supplied residential sold comparables are not relevant evidence for a telephone-mast investment valuation.

• Administration fees, other non-optional charges, search costs, SDLT, Land Registry fees and VAT may be payable but are not quantified.

• Access is described as being on foot via Razorbill Close; practical access and rights should be verified.

• The stated rents may not represent the future passing income if lease terms change or either tenant does not renew.

Recommendation

Consider as an income-led commercial investment only, subject to satisfactory legal review of both mast agreements, particularly Mast 2's holding-over status, and confirmation of all acquisition and ongoing costs.

Strategy Rating

Analysis Confidence

The two stated current rents, tenure and lease summaries are provided, but there is no relevant valuation evidence, external rent comparison, condition report, fee schedule or refinancing evidence.