McColl's Convenience Store - Chatham

Chatham, Kent, ME4 5QA

Under Offer

Property Type Investment
Availability For Sale
Size 1390 sqft
Energy Performance Rating This property has been graded as D 93

McColl's Convenience Store


LOCATION

Chatham, one of the Medway towns, with a population of some 104,000, is located adjacent to the city of Rochester and some 30 miles south-east of central London, between Junctions 2 and 3 of the M2 Motorway. The property is located in a residential suburb half mile south of Chatham town centre. The property is surrounded by a large number of residential housing and is a busy trading store serving the local community in the area.

KEY POINTS

  • Located in a residential suburb half a mile south of Chatham town centre
  • Busy trading store with little competition serving a large local housing community
  • Let for 16.5 years with no breaks to the excellent covenant Martin McColl Limited
  • Total current rents reserved £15,452 per annum rising to £18,836 per annum in 25th February 2030
  • Fixed uplifts at 2% pa
  • Net initial yield of 5.46% with a reversionary yield in February 2025 to 6.02%

ADDITIONAL INFORMATION

The building is a single storey corner sited purpose built retail unit, under part pitched and flat roof. The retail shop is arranged over the ground floor with ancillary and staff accommodation to the rear and partly in the basement.

The premises benefits from good on street car parking.

Ground Floor (Sales) 784 sq ft 73 sq m
Ground Floor (Ancillary) 606 sq ft 56 sq m
Total NIA 1,390 sq ft 129 sq m

TENURE

Freehold.

TENANCY

The whole property is let to Martin McColl Limited for a term of 16.5 years from the 25th August 2018 on FRI terms and subject to fixed uplifts at 2% per annum compounded throughout. The passing rent is £15,000 per annum. The vendor will top up the rent to £15,452 per annum from completion until 25th February 2020 by way of a reduction in the purchase price.

RENT

Year Rent

Reversionary
Yield

25th February 2025 £17,061 pa 6.02%
25th February 2030 £18,836 pa 6.65%

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 27th November 2016 reported a turnover of £518,736 million, a pre tax profit of £25,361 million and shareholder’s funds of £160,391 million.  The combined group has a turnover in excess of £1bn. It employs nearly 20,000 full and part-time staff and is visited by over 4.5 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 D93. 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 £275,000 (Two Hundred & Seventy Five Thousand
Pounds) subject to contract for the freehold interest, which reflects a net initial yield of 5.46% assuming purchasers costs at 2.98%.

< Back to properties VIEW SHORTLIST Download Marketing Brochure Download EPC Download Lease Download Official Copy (Title Plan) - K852272.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


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