Lower Addiscombe Road, Croydon

PALACE AUCTIONS LONDON — LOT 82: MAGNIFICENT CROYDON MIXED-USE FREEHOLD CORNER PLOT INVESTMENT
Headlines :
A rare opportunity to acquire a substantial freehold mixed-use investment on a prominent corner plot in Croydon, partly let and income-producing, with significant unfinished development offering exceptional commercial and residential potential.

Auction: Live and Online at Claridge’s, Tuesday 12th August 2026 | Lot 82 | Guide Price: £1,300,000
Gross Rental Income (Let Portions): Circa £141,000 per annum
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PALACE AUCTIONS LONDON
LOT 82 | GUIDE PRICE: £1,300,000
LIVE AND ONLINE AUCTION AT CLARIDGE'S | TUESDAY 12TH AUGUST 2026
A MAGNIFICENT FREEHOLD CORNER PLOT INVESTMENT OPPORTUNITY
Croydon Mixed-Use Freehold | Partly Let | Partly Unfinished Development
Commercial & Residential | Endless Potential | Offered by Palace Auctions London
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INTRODUCTION
Palace Auctions London is proud to present Lot 82 — a truly magnificent freehold building occupying a prominent corner plot in Croydon, one of London's most dynamic and rapidly evolving boroughs. This is a rare and compelling Croydon mixed-use investment opportunity that combines immediate income with extraordinary untapped potential, all offered under the hammer at the prestigious live and online auction at Claridge's on Tuesday 12th August 2026.The property is currently partly let — generating a gross rental income of circa £141,000 per annum from four residential apartments and a professional office — and partly unfinished development, presenting endless commercial and residential possibilities entirely subject to the vision and ambition of the new owner. Whether you are a seasoned property investor, a developer with a transformative vision, a family office seeking a high-yielding freehold asset, or a private buyer looking to unlock significant long-term value, this is a property that demands serious attention.
• Guide Price: £1,300,000
• Tenure: Freehold
• Current Gross Rental Income: circa £141,000 per annum
• Auction: Live and Online at Claridge's, London | Tuesday 12th August 2026
• Lot Number: 82

A comprehensive legal pack is available for download at:

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THE PROPERTY — A CORNER PLOT OF OUTSTANDING SCALE AND CHARACTER
Occupying a commanding corner plot position, this magnificent freehold building is one of those rare assets that stops you in your tracks. Its physical prominence, generous scale, and flexible layout combine to create a canvas of seemingly limitless potential for the right buyer. Corner plot properties of this nature are highly sought after in Croydon's investment market — offering enhanced visibility, multiple elevations, and the structural and planning scope to accommodate a wide range of future uses.

The building is arranged over multiple levels and encompasses both income-producing and unfinished accommodation. At present, the let portions of the building comprise four residential apartments (currently occupied and generating rental income on Assured Shorthold Tenancy agreements) and a professional office unit (let to a commercial occupier). These income-producing elements provide an immediate and reliable revenue stream from the moment of completion of purchase.

The unfinished development element of the property is where the true imagination of the new owner comes into play. Subject to obtaining the necessary consents, the possibilities here are extensive — from completing the development as originally envisaged, to reimagining the space entirely for alternative commercial, residential, or mixed-use purposes. This is a genuine blank canvas opportunity within an already income-generating freehold building.

The property's corner plot position further enhances its asset management and redevelopment credentials, and prospective buyers are encouraged to review the legal pack and consult with planning professionals to fully explore the scope of what is achievable.
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INCOME AND INVESTMENT SUMMARY
This freehold Croydon investment property for sale delivers an immediate income stream alongside significant value-add potential. Key investment metrics at a glance:
Metric Detail
Current Gross Rental Income circa £141,000 per annum
Income Sources Four residential apartments (ASTs) + professional office unit
Croydon Average Gross Yield 5.7% — the highest in London
CR0 Postcode Gross Yield up to 5.4%
Tenure Freehold (corner plot)
Upside Completion of unfinished development; reconfiguration; asset management; lease re-gearing; refurbishment

The partly unfinished nature of the development creates a meaningful opportunity for value creation that does not exist in stabilised, fully-let assets. Buyers who can execute on the development and asset management opportunity have the potential to significantly increase both the rental income and the capital value of this already substantial freehold building.
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PRIME CROYDON LOCATION AND CONNECTIVITY
The property is situated in a prime location within Croydon — one of London's most well-connected, commercially active, and regeneration-driven boroughs. Croydon's transport infrastructure is exceptional, with fast rail services providing access to Central London in approximately 15 minutes (London Bridge and London Victoria) and direct connections to Gatwick Airport, making it an attractive location for both commercial occupiers and residential tenants.

Croydon is a designated London Opportunity Area and Growth Zone, a status that reflects the level of public and private sector investment committed to the borough's continued transformation. The area's designation as an Opportunity Area ensures a supportive planning environment for development, conversion, and intensification of land use — all directly relevant to an asset of this nature.

The strength of tenant demand across Croydon's commercial and residential markets is reflected in consistently low vacancy rates and robust rental values, making this mixed-use freehold auction property in Croydon an attractive proposition for investors seeking reliable income and long-term capital growth.
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CROYDON REGENERATION — THE BIGGER PICTURE
Croydon is currently at the heart of one of the largest and most ambitious urban regeneration programmes in London. Over £50 million has already been invested in Croydon town centre, with further significant funding allocated for infrastructure upgrades, public realm improvements, and new development.

The Westfield/URW masterplan — one of the most transformative schemes in Greater London — is set to deliver between 2,500 and 3,000 new homes and up to 93,000m² of flexible retail and leisure space, fundamentally reshaping the town centre's retail, residential, and commercial offer. This level of investment inevitably drives demand, underpins values, and enhances the long-term prospects of well-located investment properties such as this one.

The property's location within the Croydon Opportunity Area and Growth Zone places it in the direct path of this regeneration wave, providing a powerful structural tailwind for investors who act now.

For further information on Croydon's planning and regeneration strategy, visit:

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PLANNING AND DEVELOPMENT POTENTIAL
This Croydon mixed-use investment property offers a highly flexible planning position, with commercial accommodation currently falling under Class E (Commercial, Business & Service) and the residential apartments under Class C3 (Dwellinghouses).Importantly, permitted development rights under Class MA allow for the conversion of Class E (commercial) accommodation to Class C3 (residential) use, subject to prior approval and compliance with applicable local planning policies. This provides a significant additional avenue for value creation for buyers who wish to increase the residential density of the building.

Croydon Council has implemented Article 4 Directions in certain parts of the borough, which may affect permitted development rights in specific locations. Prospective buyers are strongly advised to review the full legal pack and to seek independent advice from a suitably qualified planning professional prior to bidding.

For authoritative guidance on use classes and permitted development rights, visit:
unfinished development element of the property represents a particularly attractive planning opportunity. The new owner will have the ability to shape the final form of this portion of the building — whether for commercial, residential, or a combination of uses — bringing their own vision and value to one of Croydon's most prominent corner plot assets.
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PROPERTY LAYOUT AND ACCOMMODATION
The building is arranged to provide a mixed-use freehold investment across multiple levels, comprising:
RESIDENTIAL — PARTLY LET
• Four self-contained residential apartments, currently let on Assured Shorthold Tenancy (AST) agreements and income-producing
COMMERCIAL — PARTLY LET
• Professional office unit, currently let to a commercial occupier and income-producing
DEVELOPMENT — UNFINISHED
• Further accommodation within the building that is currently unfinished and represents the principal development and value-add opportunity

The commercial accommodation is suitable for a range of uses under Class E, including retail, professional office, leisure, and other service uses, subject to planning and local policy. The corner plot configuration provides multiple elevations and potential points of access, enhancing the flexibility of any reconfiguration or extension.

Floorplans and further accommodation details are available within the legal pack, which can be downloaded at:

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ASSET MANAGEMENT AND VALUE-ADD STRATEGY
For investors with an active management approach, this Croydon freehold corner plot investment offers a compelling suite of value-add opportunities:
1. Complete the Development — The unfinished element of the building offers the most significant upside. Completing the development to a high standard could substantially increase both the rental income and the capital value of the asset.
2. Lease Re-Gearing — As existing tenancies approach expiry, there is scope to re-gear leases at open market rents, reflecting Croydon's rising rental values and strong occupier demand.
3. Commercial Reconfiguration — The Class E commercial accommodation could be reconfigured or subdivided to attract a wider range of commercial occupiers and optimise the rental tone.
4. Permitted Development Conversion — Subject to prior approval, the commercial element may be convertible to residential use under Class MA, potentially increasing the number of residential units and enhancing income.
5. Refurbishment — Upgrading the residential apartments and commercial spaces to a higher specification would support improved rental values and appeal to a broader tenant base.
6. Redevelopment — Subject to obtaining planning consent, the corner plot position may support a more comprehensive redevelopment, potentially increasing the overall scale and value of the asset significantly.
For a professional valuation or to discuss asset management strategies, visit:

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LOCAL AMENITIES AND ENVIRONMENT
The property is superbly placed to benefit from Croydon's rich and diverse amenity offer. The surrounding area is home to an extensive range of shops, restaurants, cafes, bars, and leisure facilities, reflecting the vibrancy of one of South London's most commercially active town centres.

Croydon is also home to major employers across a range of sectors, together with well-regarded educational institutions and cultural attractions, all of which contribute to a deep and consistent pool of commercial and residential tenant demand. Public realm improvements and new commercial developments continue to enhance the environment and attract new businesses and residents to the area.

The combination of exceptional connectivity, a strong local economy, ongoing regeneration investment, and a broad amenity base makes Croydon a compelling location for both occupiers and investors — and this property, situated on a prominent corner plot, is ideally placed to capture that demand.
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WHY INVEST IN CROYDON NOW?
Croydon consistently ranks as one of London's highest-yielding commercial and mixed-use property markets — with an average gross commercial yield of 5.7%, the highest recorded across London boroughs. For investors seeking genuine yield in a supply-constrained London market, Croydon represents outstanding value.

The borough's transformation is accelerating. With the Westfield/URW masterplan progressing, over £50 million already invested in town centre improvements, and continued public sector commitment to the Croydon Opportunity Area, the structural drivers of both income growth and capital appreciation are firmly in place.

Croydon's affordability relative to inner London, combined with its exceptional transport connectivity, continues to attract businesses, residents, and investors in growing numbers. Early movers in this market have historically been well-rewarded — and the opportunity to acquire a magnificent freehold corner plot investment in the heart of this story, at auction, is not one that arises frequently.
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AUCTION DETAILS — LOT 82
• AUCTION: Live and Online Auction at Claridge's, London
• DATE: Tuesday 12th August 2026
• LOT NUMBER: 82
• GUIDE PRICE: £1,300,000
• AUCTIONEER: Palace Auctions London
• TENURE: Freehold

The property is sold subject to the existing tenancies and in accordance with the standard auction terms and conditions. The comprehensive legal pack — including title documentation, tenancy schedules, searches, and all relevant legal information — is available for download now.

Download the Legal Pack and Register to Bid:
buyers are strongly advised to review the full legal pack and to seek independent legal and financial advice before bidding. Palace Auctions London recommends that all bidders are fully prepared prior to auction day.
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VIEWING ARRANGEMENTS AND ENQUIRIES
Viewings of this magnificent Croydon freehold corner plot investment property are strictly by appointment through Palace Auctions London. Given the exceptional nature and the strong anticipated interest in this Lot, early viewing is strongly recommended to fully appreciate the scale, character, and potential of the building.

To arrange a viewing, request further information, or download the legal pack, please contact the Palace Auctions London team:
• Website:
• Auction Catalogue & Legal Pack:
• Valuation Services:

Our experienced team is on hand to guide you through every stage of the auction process, from initial enquiry through to completion.
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USEFUL LINKS
• Palace Auctions London — Auction Catalogue:

• Palace Auctions London — Valuation Services:

• GOV.UK — When Is Planning Permission Required?

• Croydon Council — Planning & Regeneration:

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IMPORTANT NOTICE
All measurements, areas, and descriptions are provided for guidance only and should not be relied upon as statements or representations of fact. Prospective buyers must satisfy themselves as to the condition of the property and all planning, legal, and financial matters by independent enquiry. This property is sold subject to the auction terms and conditions. Palace Auctions London recommends that all prospective buyers seek independent legal and financial advice prior to bidding. The guide price is provided as an indication only; the reserve price may be set at or below the guide price, but not above it. The property is sold subject to the existing tenancies as detailed in the legal pack.
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PALACE AUCTIONS LONDON | LOT 82 | GUIDE PRICE £1,300,000
LIVE AND ONLINE AUCTION AT CLARIDGE'S | TUESDAY 12TH AUGUST 2026

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Summary:
This Croydon mixed-use investment property represents an outstanding opportunity for investors, developers, and private buyers seeking a prime freehold asset in a high-growth, regeneration-driven location. With strong rental yields, asset management potential, and the benefits of Croydon’s ongoing transformation, this property is ideally suited to those seeking both immediate returns and long-term value creation.

Contact Palace Auctions London today to arrange a viewing, download the legal pack to bid.