McColl's Convenience Store

Bury, BL8 2RT

Property Type Investment
Availability For Sale
Size 3517 sqft
Energy Performance Rating This property has been graded as D 84

Prominently Located Convenience Store Investment. Let to McColl's Retail Group Plc for 16.5 years with no breaks.


LOCATION

Bury is located approximately 8 miles north of Manchester, midway between Bolton and Rochdale, some 6 miles from each. The town benefits from good road communications being situated 1 mile west of Junction 2 of the M66 Motorway which in turn leads to the M62 Motorway, 4 miles to the south. The property is situated in a residential suburb 1 mile west of Bury town centre. The unit is prominently situated on the Ainsworth Road in a densely populated residential area.

KEY POINTS

  • Large well maintained first floor by the tenant
  • Vacant first floor studio flat
  • Whole property let for 16.5 years with no breaks to Martin McColl Ltd with a guarantee from McColl’s Retail Group Plc
  • Total current rents reserved £25,754 pa rising to £28,434 pa on 21st August 2025
  • Fixed uplifts at 2% pa compounded throughout offering guaranteed rental growth
  • Low passing rent of £7.10 per sq ft
  • Offers in excess of £410,000
  • Net Initial Yield of 6.03% with a Reversionary Yield of 6.65% in May 2025.

The building is a two storey brick built corner sited unit under a pitched roof.  The retail shop is arranged over the ground floor with ancillary and staff accommodation to the rear and large well maintained storage on the first floor.  There is also a vacant studio flat in need of repair.

There is customer car parking available on the street and in the adjacent road.

Ground - Sales 1,666 sq ft 155 sq m
Ground - Ancillary 393 sq ft 37 sq m
First - Ancillary 1,458 sq ft 135 sq m
Total NIA 3,517 sq ft 327 sq m

Tenure

Freehold

Tenancy

The whole property is let to Martin McColl Limited with a guarantee from McColl’s Retail Group PLC for a term of 16.5 years from the 21st February 2019 on FRI terms.  The lease is subject to fixed uplifts at 2% per annum compounded throughout and the passing rent is £25,000 per annum. The vendor will top up the rent to £25,754 per annum from completion until 21st August 2020 by way of a reduction in the purchase price.

Rental Uplifts

Year Rent Reversionary Yield
21st August 2025 £28,434 pa 6.65%
21st August 2030 £31,394 pa 7.34%

Covenant

McColl’s trade from over 1,600 stores throughout the UK with approximately three quarters of those being convenience stores and the remainder trading as newsagents. Their brands include McColl’s, Martin’s and R. S. McColl. For the year ending 26th November 2017 reported a turnover of £713.391 million, a pre-tax profit of £27.168 million and shareholder’s funds of £186.239 million.

The combined group has a turnover in excess of £1.1bn. It employs over 22,000 full and part-time staff and is visited by over 5 million customers every week. The company floated on the London Stock Exchange in 2014. Further information can be found at:

http://www/mccolls.co.uk/investor

EPC

The property has an EPC rating of D84. A copy of the EPC is available on our website.

VAT

The property is elected for VAT which will be chargeable on the purchase price. It is anticipated the transaction is to be treated as a transfer of going concern (TOGC).

Proposal

We are instructed to seek offers in excess of £410,000 (Four Hundred and Ten Thousand Pounds) subject to contract for the freehold interest, which reflects a net initial yield of 6.03% assuming purchaser's costs at 4.24%.

< Back to properties VIEW SHORTLIST Download Marketing Brochure Download Lease Plan Bury.pdf Download EPC - Bury .pdf

Viewing & Further Information

For further information, or if you would like to arrange a viewing, please contact our agents:

Michael Braier

020 7478 9112

CONTACT AGENT


Nick Sherling

020 7478 9113

CONTACT AGENT


This site uses Google Analytics cookies. We use the Google Analytics to help us improve the site. The cookies collect information in an anonymous form, including the number of visitors to the site, where visitors have come to the site from and the pages they have visited on the site. Please accept if you would like to continue with cookies enabled. If you want to change your settings click here