59-61 London Road, Stockton Heath, Warrington

We are delighted to offer for sale this prime village centre mixed use investment property. The ground floor and first floor of 59 London Road are let to Three’s Company (Catering) Limited by way of a 10 year Lease from July 2024. There is a tenant only break clause at the end of the 5th year of the term. This Tenant is rapidly expanding across the region and they currently have 33 stores.

The first floor of 61 London Road comprises a separately accessed residential tenanted flat.

The property comprises a pair of adjoining terraced buildings that have been opened up at ground floor to form this most attractive double unit. Prior to the Coffee House tenure, it was home to Costa Coffee.

The Coffee House fitted out and moved in during Summer 2024 and they report that the property is trading very well.

Location
We are of the opinion that this property boasts the best location in Stockton Heath Village. It is situated at the mid-point of the prime retail section fronting the A49 London Road. Formerly Costa Coffee it is situated directly opposite the entrance to The Forge Shopping Precinct, which leads to Marks & Spencer and the Villages main car park.

Purchase Price
£825,000.

Tenancy Analysis
Three’s Company (Catering) Limited trading as The Coffee House currently have 33 regional stores and are under a programme of rapid expansion. The Tenant company was first incorporated in 2010. The current rent under this Lease is £40,000 per annum.

The first floor flat is currently tenanted on an Assured Shorthold Tenancy Agreement at a rent of £8,500 per annum.

The current combined gross rent amounts to £48,500 per annum, which represents a gross yield a shade under 6%. Whilst this appears an extremely keen yield, we encourage purchasers to consider the following. We are of the opinion that the overall rent is low and offers potential for future rental growth. Furthermore, single units along this section of London Road have been recently transacting around £400,000, which further substantiates our asking price.

VAT
We are advised that VAT is not currently applicable to the property.

Anti-Money Laundering
In accordance with Anti-Money Laundering Regulations, two forms of Identification and confirmation of the source of funding will be required from the successful purchaser.

Available Area