|Energy Performance Rating||This property has been graded as C 61|
Let To 5A1 Covenant on new 16.5 year lease
Shepton Mallet is a town and civil parish in the Mendip district of Somerset in South West England. Situated approximately 18 miles (29km) south of Bristol and 5 miles (8.0km) east of Wells, the town is estimated to have a population of 10,369. It contains the administrative headquarters of Mendip District Council. Shepton Mallet is the closest town to the site of the Glastonbury Festival, the largest music festival in Europe. Also nearby is the Royal Bath and West of England Society showground which hosts the Royal Bath and West Show, and other major shows and festivals. The property occupies a prominent corner site in the centre of the town at the junction of the High Street and Commercial Road.
- Well located convenience store in the centre of this popular town
- Includes substantial rear car park offering future development opportunity (subject to planning)
- Let for 16.5 years with no breaks to the excellent covenant Martin McColl Limited
- Passing rent £35,150 per annum
- Fixed uplifts throughout at 2% pa
- Net initial yield of 5.75% with a reversionary yield in May 2019 to 5.92%
The property is arranged on ground and two upper floors with ground floor sales and ancillary space together with first floor storage and a training room. The 1st floor commercial upper part is served with a goods lift. The 2nd floor residential has been sold off on a long lease. The property also offers the considerable benefit of a rear car park for 18 vehicles.
|Ground Floor Sales||2,865 sq ft||266 sq m|
|Ancilliary||463 sq ft||43 sq m|
|First Floor Storage||2,954 sq ft||274 sq m|
|Total NIA||6,282 sq ft||583 sq m|
The property is let to Martin McColl Limited for a term of 16.5 years from the 10th November 2017 on FRI terms and subject to fixed uplifts at 2% per annum compounded throughout. The passing rent is £35,000 per annum, in addition a £150 per annum ground rent is received to the freeholder.
|10th May 2019||£36,205 pa||5.92%|
|10th May 2024||£39,958 pa||6.54%|
|10th May 2029||£44,101 pa||7.22%|
McColl’s trade from over 1,300 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.
The property has an EPC rating of C61.
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).
We are instructed to seek offers in excess of £582,000 (subject to contract) for the freehold interest, which reflects a net initial yield of 5.75% assuming purchasers costs at 5%.