Lot 27 Click here for addendum
Freehold Town Centre Investment let to WH Smith Retail Holdings Limited prod. £52,500 p.a. with potential Residential Development – Gross Yield 10.7%
3 Week Completion
Situation
Located in the main pedestrianised retail shopping area in the town centre, adjacent to The Works and NatWest, opposite the Folca Community Centre and amongst such other multiple retailers as Superdrug, Costa Coffee, Boots, Claire’s Accessories and Waterstone’s with the indoor Bouverie Place Shopping Centre in close proximity. There is also a street market in Sandgate Road on Thursdays and Saturdays.
Folkestone is a well known Town and Port benefitting from the Eurostar Link from the UK to France, being approx. 8 miles south-west of Dover, 69 miles south-east of London and conveniently located for the M20 (Junctions 12 and 13).
Property
Comprising a Large Ground Floor Retail Unit which includes a Post Office Counter together with Ancillary Accommodation on the first and second floors.
The property also includes a rear parking/loading area which can be accessed from Pound Way.
ACCOMMODATION¹
Ground Floor Retail Unit
Gross Frontage 52'8"
Built Depth 100'0"
Area Approx. 4,005 sq ft
First Floor Ancillary
Area Approx. 2,867 sq ft
Second Floor Ancillary
Area Approx. 1,095 sq ft
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Total Area Approx. 7,967 sq ft
¹Not internally inspected by Barnett Ross. Areas taken from VOA.
VAT is applicable to this Lot
FREEHOLD
TENANCY
The entire property is let on a full repairing and insuring lease to WH Smith Retail Holdings Limited (having over 530 High Street branches) (T/O for Y/E 31/08/22 £191.7m, Pre-Tax Loss £40.8m and Shareholders’ Funds £848.6m) for a term of 5 years from 24th June 2023 (in occupation since 2005) at a current rent of £52,500 per annum exclusive (see Note 1).
Tenant’s Break June 2026
Note 1: There is currently a rent free period which expires on 3rd October 2024 in lieu of an interim rent that was due to the tenant prior to the renewal of the current lease. Therefore, the Vendor will make up this rent shortfall on completion.
Note 2: The current rent of £52,500 p.a. was rebased from £100,000 p.a. in 2023 at the lease renewal.
Note 3: The upper floors of the property may lend itself to conversion to Residential Use, subject to obtaining possession and the necessary consents.
Click here to view the floor plans provided by the Vendor to illustrate this use.
Click here to view the existing 3D Model view of the building.