Land for sale in Sankey Street, Warrington WA1

Key Points

Description

We are delighted to offer for sale this substantial freehold investment opportunity, that has untapped development potential.

The property is wholly let to Poundland Limited until 2 May 2027, on a Lease that is excluded from the Landlord & Tenant Act.

Poundland have been in occupation since 2010 and this is their third term.

The property frontage is a most attractive façade and we understand that the property is Grade II Listed.

The ground floor is predominantly sales and the remaining floors storage.

The asset management opportunities here are significant, potentially a regear with Poundland and a Planning Application for a
conversion of the upper floors to residential and possible sub division of the ground floor to enable access, to suit Poundland’s
requirements.

Location

The property is located on Sankey Street in the heart of Warrington’s retail core. The property faces Golden Square Shopping Centre, which boasts
household brands to include Boots and Next.

Opposite the property is a walk-way through to the Old Fish Market square, where a variety of coffee shops and restaurants are in situ, including
Nando’s, Ask and Café Nero.

Car parking is available within the 1,700 space, 3 level Golden Square multistorey car park.

Tenancy Information

The entire property is currently let to Poundland Limited for a term of 3 years from 3 May 2024, at a current rent of £70,000 per annum exclusive.

The Lease is excluded from the Landlord & Tenant Act 1954.

It is let on a Tenant’s Full Repairing and Insuring basis, limited by a 2010 dated Schedule of Condition.

There is clearly an opportunity for future rental growth and/or lease regearing to release upper floors for residential development.

Asking Price

£875,000 plus VAT. However, a sale with the Tenant in situ may be eligible as a togc.

Yield & Analysis

A purchase at the asking price represents a net initial yield of 7.58%, taking account of 5.6% purchase costs.

However, this accounts for the asset management opportunity. In addition, it represents a capital rate of just c. £20 psf overall, including basement.