Second Floor Mezzanine Storage Area, 21 & 22 Stanhope Gardens, LONDON, SW7 5RQ

Description

Long leasehold second floor mezzanine storage area sold with vacant possession. By order of the Executors.

Accommodation

One room, approximately 11.4ft x 7.8ft / 3.5m x 2.4m (8.4sqm / 90.4sqft).

Location

The property lies within South Kensington on Stanhope Gardens between Cromwell Road and Queens Gate. Local amenities include shops, bars and restaurants. Public transport links include Gloucester Road and South Kensington underground stations, with local bus services. Road links include the A4, M4 and M25. Hyde Park, Green Park, St James’s Park and the River Thames are nearby. The property is also well located for Imperial College London.

Tenure / Property Information

Investment Analysis

The two supplied Land Registry sales at 21–22 Stanhope Gardens (£22,500 in 2021 and £26,500 in 2020) are the most relevant evidence, although both are recorded only as “Other” and are not confirmed as the same mezzanine area. A cautious evidence-based scenario range is £22,500–£26,500, with a £24,500 base GDV. The £11,000 guide is materially below those historic same-address sales, but current liquidity, legal rights, service charges and any seller fees are not evidenced.

Investment Snapshot

Strategy Recommendation

Potential value play only at or near the guide, subject to legal, planning/use, access, title, service-charge and resale due diligence. Do not underwrite residential rent or a refinance until the storage use and lenderability are confirmed.

Works Required

No physical defects or refurbishment requirements are described. No refurbishment allowance is therefore included; confirm condition, access, services, fire safety and lawful use before bidding.

Rental & Market Context

Sold Comparables

The following completed sales were identified within approximately 5 miles:

Potential BRRR Position

At the £11,000 guide, adding the known £1,800 contract documentation fee gives a base cost of £12,800, assuming no works allowance and excluding any applicable seller fees. A 75% refinance against the £24,500 base GDV would be £18,375, implying an indicative £5,575 surplus over the analysed cost before finance, tax and other costs. This is highly dependent on lender acceptance of the leasehold storage asset and the reliability of the historic same-address comparables.

Buy-to-Let Analysis

BTL cannot be assessed because no sufficiently specific rental evidence or auctioneer rent estimate is supplied. The accommodation is described as a single mezzanine storage room rather than a dwelling, so residential letting income should not be assumed without confirming lawful use and letting suitability.

Flip Analysis

Using the £24,500 base GDV and £12,800 analysed acquisition cost gives £11,700 before selling costs, finance, tax and any works. A formal flip surplus is not stated because no supported selling-cost allowance is supplied. Resale evidence is limited to two historic same-address “Other” transactions.

Investor Risks & Due Diligence

• The supplied comparables are recorded as “Other” and are not confirmed as the same mezzanine storage area.

• No sufficiently specific rental evidence is available, so income yield cannot be established.

• The asset is described as storage rather than residential accommodation; lawful use, conversion potential and letting suitability are unconfirmed.

• Condition, services, access, fire safety and refurbishment requirements are not evidenced.

• The £1,800 documentation fee is known, but additional seller fees may apply under the Special Conditions of Sale.

• Service charges, insurance, repair liabilities and other leasehold costs are not supplied.

• Refinance assumptions may not be accepted by lenders for a small leasehold storage asset.

Recommendation

Potential value play only at or near the guide, subject to legal, planning/use, access, title, service-charge and resale due diligence. Do not underwrite residential rent or a refinance until the storage use and lenderability are confirmed.

Strategy Rating

Analysis Confidence

There are two relevant same-address completed sales and a stated lease term, but the comparables are not confirmed as identical, are historic, and there is no rental, condition, EPC, service-charge, planning/use or seller-fee evidence.