For SalePrime retail investment

61-63, Lumley Road, Skegness, Lincolnshire, PE25 3LS

Description

A substantial and well configured retail premises laid out over 3 floors, with a full width glazed frontage onto Lumley Road and rear servicing.

The ground floor is currently utilised as sales space, with ancillary accommodation over the first and second floors.  

The property provides one of the few premises in the town centre that offers retailers large unrestricted floor plates. 

location

Skegness is the largest town on the Lincolnshire East Coast and is a thriving tourist resort, attracting over 4.2 million visitors annually from all over the country. 

The town is situated about 19 miles north of Boston, 37 miles east of Lincoln and 64 miles east of Nottingham.

The town provides good access to both the A1 and M1, via the A52 and the railway station offers regular services to both Nottingham and Lincoln. The nearest regional airports are Humberside about 42 miles north and Norwich about 51 miles to the south. 

TENURE

The property is predominantly held freehold with a small section to the rear held long leasehold.

The long leasehold interest is held for a term of 197 years from 21st December 1959 at a rent of £200 per annum.

TENANCY

The whole property is let on a 10 year Full Repairing and Insuring lease to Poundland Ltd commencing on 23rd July 2012, expiring on 22nd July 2022.

The current rent is £195,000 per annum exclusive.

COVENANT INFORMATION

Poundland Ltd (company number 02495645) is a British Variety Store Retailer founded in 1990, now trading from over 800 stores nationwide and employing over 10,000 staff. 

Please see attached pdf for further details.

VAT

The property is elected for VAT.

However, the sale will be treated as a TOGC and therefore VAT will not be payable on the purchase price.

PROPOSAL

We are instructed to seek offers in excess of £2,100,000 (Two million one hundred thousand pounds) subject to contract and exclusive of VAT, for the freehold and long leasehold interests in the property.

A purchase at this level will reflect a yield of 8.74% allowing for standard acquisition costs.