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Brighton – High Street Bank Investment Opportunity
HSBC, 153 North Street & 2 Bond Street, Brighton, BN1 1RE
- Property Type:
- Commercial
- Sub Type:
- Retail
- Tenure:
- Freehold
Income
£304,974 per annum
Description
- Brighton is a major commercial centre in the south east located approximately 53 miles south of London.
- City centre High Street bank totalling approximately 10,684 sq ft.
- The city benefits from a strong tourism economy with approximately 11 million visitors per annum.
- Situated on one of the main retail pitches within the city centre and commands a prominent corner position.
- Freehold.
- Current income of £304,974 per annum.
- Unexpired lease term of approximately 8.75 years.
- Let to the 5A1 covenant of HSBC Bank Plc.
- The rent is reviewed annually in line with RPI with a collar and cap of 3%-5%, additionally there is an upwards only market rent review in 2023.
- Offers are sought in excess of £5,200,000 subject to contract and exclusive of VAT. This equates to an attractive net initial yield of 5.50%, after allowing for purchasers’ costs of 6.60%.
- Assuming the collar of 3% a purchase at this price gives a reversionary yield in:
2020: 5.67%
2025: 6.57%