For SaleBANK INVESTMENT - WITH POTENTAL FOR RESIDENTIAL CONVERSION

11-13 Eastgate, Louth, Lincolnshire, LN11 9NB

Description

The property comprises a substantial bank investment laid out over 2 floors providing ground floor customer/trading areas and on the upper floors ancillary office accommodation.

The property is constructed in brick and clay pantiles and has been extended on its western end. It provides an attractive frontage to this section of Eastgate.

There is self contained access to the upper floors meaning that in the medium term there is potential for conversion of the upper floor accommodation into residential, a use which generates reasonable values in Louth.

LOCATION

Louth is a thriving market town with a wealthy population of just under 20,000 and a catchment of 30,254. The town is highly regarded for its healthy mix of national and independent traders including White Stuff, Caffè Nero and a variety of businesses offering top quality local produce such as Luck of Louth and Coopers Antique Dealers.

Eastgate is a well established town centre trading location surrounded by an abundance of surfaced car parking.

Louth sits in a strategic location just off the A16 which links Boston to the south with Grimsby to the north east.

SERVICES

We understand that all mains services are available and connected to the property. These have not been tested and interested parties are advised to make their own investigations to the relevant utility service providers.

TOWN AND COUNTRY PLANNING

We understand that the property has consent for uses falling within Class E (Commercial, Business and Service Uses) of the Town and Country Planning (Use Classes) Order 1987 (as amended), following the recent changes to the use classes order introduced in early September 2020. Alternative uses may be appropriate subject to receipt of the necessary Planning Consent.

The property we understand is not Listed but is located within a Conservation Area.

RATES

Charging Authority:  East Lindsey District Council
Description:  Bank and Premises
Rateable value:  £17,000
UBR:  0.512
Period:  2020-2021

Multiplying the Rateable Value figure with the UBR multiplier gives the annual rates payable, excluding any transitional arrangements which may be applicable. For further information, please contact the Charging Authority.

TENURE

The property is to be sold Freehold, subject to the existing tenancy agreement in place. The property is let as a whole to TSB Bank plc on a 10 year lease with effect from 25 December 2012. The current rent is £15,000 per annum and the lease is drawn on Full Repairing and Insuring Terms.

COVENANT STRENGTH

TSB Bank Plc have a Creditsafe Rating of 86/100 and for the year ending 31 December 2019 reported a turnover of £1.23 billion, an operating profit of £105,900 million, shareholder funds of £1.9 billion and a net worth of £1.88 billion.

PRICE

£195,000 which would give a purchaser a Net Initial Yield of 7.56% after standard acquisition costs

Low capital value of £69 per square foot

VAT

The property is elected for VAT.  However, the sale of the property will be treated as a TOGC and therefore VAT will not be payable on the purchase price.

LEGAL COSTS

Each party is to be responsible for their own legal costs incurred in documenting the transaction.