Hartshorn House Neath Rd 4,133 SF 100% Leased Retail Building Maesteg CF34 9EE $179,873 ($43.52/SF) 11.92% Cap Rate

LONG LEASEHOLD INTEREST FOR SALE (88 YEARS UNEXPIRED), OFFERS IN THE REGION OF £135,000.
We note the subject is held on a Long Leasehold interest for a term of 125 years from 12th March 1988 (88 years unexpired), which is subject to the payment of an initial Minimum Rent of £337.50 per half year or the Net Aggregate Underlease Rent (as overage). The Lease also has provisions for 5 yearly periodic rent reviews.
At present, the subject premises benefits from the following rental income.
Unit 3 - Occupied by My Aesthetics, producing a current rent passing of £250 pcm (£3,000 pa) plus service charge contributions of £45 per calendar month. We further advise that notice has been given by the Licensee to vacate the unit.
Unit 6 - Occupied by Interiors in Bloom Florists & A1 Lettings and Sales, producing a current rent passing of £590 pcm (£7,080 pa) plus service charge contributions of £112 per calendar month.
Unit 8 - Occupied by D&G Hair and Beauty, producing a current rent passing of £250 pcm (£3,000 pa) plus service charge contributions of £45 per calendar month. We further advise that notice has been given by the Licensee to vacate the unit.
We have been advised that the previous expenditure for the subject premises was approximately £10,853 per annum, at 40% of the gross annual income, equating to a net rental return of approximately £16,098 per annum (if fully let), providing an attractive Gross Initial Yield (GIY) of 11.92%.
The subject premises comprises a prominent corner ground floor retail unit forming part of an established landmark building, front the main intersection along the primary retail areas of Maesteg town centre. We note that the ground floor is currently subdivided to accommodate a number of smaller retail areas, forming part of a parade of independent units (known as Bowrington Arcade), which can be accessed internally off a communal corridor to the rear. Access over the ground floor accommodation is available via a stepped entrance off the main pedestrian walkway facing the main intersection, fronting the corner of Neath Road and Llynfi Road, while a secondary entrance point is also available over the side elevation, facing Upper Street. The individual retail units also appear to be supported by ancillary accommodation comprising communal w.c. facilities and additional storage areas to the rear of the communal corridor.