DescriptionThe property comprises an attractive mixed-use investment arranged to provide a ground-floor retail unit, with self-contained residential accommodation above. The commercial unit fronts Cowley Road and is currently occupied as a general store. The premises were comprehensively refurbished by the current tenant during 2025 and are understood to be presented in good order. The commercial demise includes the ground floor of 127 Cowley Road and the installations, fixtures and fittings exclusively serving the premises. The commercial tenant also benefits from rights relating to the building’s service media and use of the rear courtyard for temporary refuse storage. The upper floor comprises residential accommodation known as 127A Cowley Road, which is independently occupied and currently produces £1,350 per calendar month from 1 October 2026.
LocationThe property occupies a prominent position on Cowley Road, one of Oxford’s best-known suburban retail and leisure thoroughfares. Cowley Road serves a densely populated and diverse residential catchment and is characterised by a broad mixture of independent retailers, convenience stores, restaurants, cafés and other commercial operators. The property is well positioned for access to Oxford city centre and the surrounding residential areas, making it suitable for both commercial and residential occupation. The location section should ultimately be strengthened with verified distances to Oxford city centre, Oxford railway station, local universities and major road connections.
The OpportunityWe are instructed to seek offers in the region of £750,000 for the freehold interest, subject to contract and exclusive of VAT. A purchase at this level reflects a gross initial yield of 6.16%.
Investment SummaryGuide price of £750,000, reflecting a gross initial yield of 6.16%, rising to a gross reversionary yield of 6.82%.
TenureThe property is understood to be held freehold under title number ON9540.
TenancyThe lease reserves an annual rent of £30,000, payable monthly in advance, and grants a contractual term from 14 March 2024 until 13 March 2034. The annual rent is reviewed on the fifth anniversary of the renewal lease. The review is upward-only, with the revised rent being the higher of the rent previously payable and the open market rent. The tenant may determine the lease on 14 March 2029 by giving at least six months’ prior written notice, subject to compliance with the break conditions contained within the lease.
Covenant InformationThe commercial income is currently supported by:
•A clean rental payment history, with no arrears reported.
•A substantial tenant-funded refurbishment completed in 2025.
•An Authorised Guarantee Agreement provided by the outgoing tenant following the 2025 assignment.
•Tenant repairing, decorating and statutory compliance obligations
Business RatesCurrent rateable value (1 April 2026 to present) - £24,250
