Savills | The Co-Operative, Forest Road, Binfield, RG42 4HP | Properties for sale
4,000 sq ft(371.61 sq m)
£1,930,000

The Co-Operative, Forest RoadBinfield, RG42 4HP

  • Freehold
Retail
4,000 sq ft (371.61 sq m)

Key features

  • Located in the very affluent location of Binfield
  • Former public house extended to provide G.I.A of 4,000 sq ft (323 sq m) and 9 exclusive car parking spaces
  • 20 year lease to The Southern Co-operative Ltd – Undoubted Covenant D&B rated 5A2
  • Unexpired term certain of approximately 15.9 years
  • £92,000pa of rental income from the ground floor convenience store*
  • Five yearly upwards only rent reviews linked to RPI compounded – collared and capped at 1% and 4% per annum
  • 800 sq ft two bedroom flat above generating £11,400pa
  • Freehold
  • Offers in the order of £1,930,000
  • 5.04% Net Initial Yield

The property comprises of a two storey detached building with a multi-pitched slate roof

About this property

  • Description
    The property comprises of a two storey detached building with a multi-pitched slate roof, rendered brick elevations and double-glazed fenestration throughout. The property has been extended with a single storey element to the rear.

    Externally, there is a tarmacadam car park located to the left elevation of the property with 9 lined spaces.

    Specifications
    The ground floor is let to The Southern Co-operative Ltd from 14 August 2015 on a new full repairing and insuring 20 year lease (no breaks) at a commencing rent of £80,350 per annum. There are therefore 15 years and approximately 9 months unexpired. The lease is subject to 5 yearly rent reviews in line with RPI with a collar of 1% and cap of 4%.

    Based on RPI data for the last 5 years we predict a rental increase in August 2020 to £92,000 per annum.
    The first floor is let to a private individual on an Assured Shorthold Tenancy (AST) Agreement from 23 April 2019 at a current rent of 11,400pa.

    The Southern Co-Operative was established approximately 145 years ago and operates in over 11 southern UK counties with approximately 200 stores including a successful franchise arm.

    The Southern Co-operative Ltd had a turnover for the year end 27th January 2019 of £450,851,000, with a tangible net worth of £105,504,000. The tenant can therefore be considered of undoubted covenant strength.

    Viewings
    For a formal viewing, strictly by appointment with Savills. Staff are unaware so no informal viewings or approaches.

    Terms
    Freehold, subject to an occupational lease of the whole.

Local information

  • The Co-operative convenience store is situated in a prominent position on Forest Road (B3034), close to the roundabout leading to Terrace Road North. The area is mixed with residential properties interspersed with commercial including Oakmede Village shops which is located 50m to the south and comprises a small cluster of independent retailers.