High Street, London, London, W3

Prime Freehold Investment Opportunity – High Street Retail & Residential

An excellent opportunity to acquire a prime freehold mixed-use investment property situated in a prominent High Street location. The property comprises a ground floor retail unit occupied by an established global brand tenant together with a spacious self-contained two-bedroom garden flat above.

The retail premises extends to approximately 1,000 sq ft and is currently let to T4 Bubble Tea, a well-known international franchise operator with over 50 UK branches. The tenant has recently committed to a new 10-year lease commencing May 2023, providing strong long-term income security.

Investment Highlights

• Prime High Street freehold investment
  
• Ground floor retail unit approx. 1,000 sq ft
  
• Let to global covenant tenant – T4 Bubble Tea
  
• New 10-year FRI lease from May 2023
  
• Tenant break option in 2028
  
• Current commercial rent: £32,500 p.a.
  
• Fixed rental increase to £37,500 p.a. from 2028
  
• Additional income from self-contained 2-bedroom garden flat
  
• Strong potential to increase residential rent to approx. £2,000 pcm
  
• Opportunity to add an additional floor subject to planning permission
  
• High specification fit-out completed by tenant
  
• Let until 2033 (subject to tenant break in 2028)
  

  Commercial Tenancy
  

  The ground floor shop is fully let to T4 Bubble Tea, part of a rapidly expanding international franchise network. The tenant has occupied the premises for approximately three years and has recently entered into a new lease for a term of 10 years from May 2023.
  
  

  The lease is held on full repairing and insuring terms, producing a current rent of £32,500 per annum for the first five years, increasing to £37,500 per annum from 2028 onwards.
  
  

  Residential Accommodation
  

  The upper parts comprise a spacious self-contained two-bedroom apartment featuring a large lounge area and private garden.
  
  

  The apartment offers strong reversionary potential with estimated market rent in the region of £2,000 pcm, providing an opportunity for future income growth and value enhancement.
  
  

  Development Potential
  

  The property may offer further asset management and development opportunities through:
  
  

  • Increasing the residential rental income to market levels
    
  • Refurbishment and value enhancement of the apartment
    
  • Potential construction of an additional floor, subject to obtaining the necessary planning consents
    

    A rare opportunity to acquire a secure mixed-use freehold investment with strong covenant strength, long-term income, and future upside potential.