Residential Investment Opportunity WHITLEY BAY NEWCASTLE UPON TYNE NE26 2BL Rare unbroken freehold investment well positioned on popular Promenade overlooking the sea Investment Considerations • Freehold nationally renowned sea front • There is car parking to the front of the block for up to nine cars and to the rear for up to six • Unbroken block comprising 40 self-contained flats, • Current Rent Reserved: £173,760 per annum (36 flats let) arranged as; 11 x studios, 24 x one beds and 5 x two • Offers are invited in excess of £2,150,000 subject to • Estimated Rental Value: £191,460 per annum (fully let) beds all existing tenancies, subject to contract • • Very well located overlooking Whitley Bay’s popular and Gross Yield: 8.9% (based upon ERV) Tenure Freehold. Title number; TY124715. Location Kittiwake House is located on the North Sea coast in Newcastle Upon Tyne (Newcastle), North East England. Newcastle, positioned on the northern banks of the River Tyne is equidistant between Edinburgh in the north and Leeds to the south, both within approximately 160 km (100 miles). The city is well connected via road, rail and air; with quick access to the A1(M) and A19 Motorways providing good links north and south of the city. Newcastle Central (Train) Station is a principal stop on the East Coast Main Line and Cross Country Route. The station provides regular direct trains to Leeds and Edinburgh, both with journey times of 90 minutes, and London with journey times of 3 hours. Newcastle International Airport, located approximately 9.7 km (6 miles) to the north west of the city provides international links, handling over 5 million passengers a year making it the tenth busiest regional airport in the UK. Situation Kittiwake House is situated on The Promenade in Whitley Bay, approximately 16 km (10 miles) to the east of Newcastle city centre. Whitley Bay is a popular coastal town which has gained national press over the past two years with the Council’s Promenade redevelopment scheme named the best medium project at the annual Institution of Civil Engineers (ICE) Robert Stephenson Awards (2019). Whitley Bay is well connected via the local Metro network, which links the surrounding towns of Newcastle to the city. The Metro provides regular direct services into central Newcastle with journey times of approximately 25 minutes. Whitley Bay Metro Station, the closest to the subject, is within a short 5 minute walk (0.3 mile). The shops and amenities of Whitley Bay town centre are within a similar distance of the property. The immediate situation is predominantly residential here, with the neighbouring Rex Hotel which is currently closed, now undergoing a £10m re-development to provide care home accommodation. Description Kittiwake House is a brick and stone built property with accommodation over ground and two upper floors (including eaves) in the most part. The property comprises 40 self-contained flats, arranged as 11 x studios, 24 x one bed and 5 x two bed flats. The property benefits from front and rear access, the rear of which is gated. Flats are positioned throughout various stair cores, with telephone entry systems throughout. All flats have electric storage heaters and are individually metered. Flats benefit from UPVC double glazed windows throughout. We understand there is no gas to the building. Tenancies / Rental Income There are currently four vacant flats; the remaining 36 are let subject to Assured Shorthold Tenancies. Current rent reserved is £173,760 per annum. There is a ground floor restaurant premises within the subject Freehold which is subject to a lease for a term of 99 years from 10 February 1983 (thus having approximately 63 years unexpired). The current ground rent receivable is £500 pa. The lease is available to view within the data room. We understand these premises, under the ownership of the neighbouring property, are currently vacant. Opportunity Kittiwake House is located on a popular coast line, one that is gaining local and national recognition following a Council master Whitley Bay Newcastle Upon Tyne plan which involves £36m of investment from both the public and NE26 2BL private sectors. This location is popular from both renters and those looking to buy, with views of the sea front going for a premium; 50% of the Proposal subject flats are sea facing. The property is well let, with only 4 flats currently vacant. Offers are invited in excess Various flats within the subject have been let for a number of years of £2,150,000 subject to all and as such we are of the opinion the current passing rents are existing tenancies, subject to below market level. We therefore believe rents can be increased contract over time, alongside a light touch refurbishment plan, giving a total ERV in the region of £230,000 per annum. Regardless, a purchase at the guide price reflects an attractive Contacts gross yield of 8.05%, with the immediate potential to increase this For further information or to arrange an to 8.9% if fully let. inspection, please contact: Additional Information Jack Robson 0113 243 7952 An extensive information pack is available to view and download [email protected] online at: https://datarooms.allsop.co.uk/register/kittiwakehouse. Jordan Payler 0113 243 7957 Method of Sale [email protected] The property is for sale by way of Private Treaty however we reserve James Wilson the right to conclude marketing by an Informal Tender process. 0113 236 6679 [email protected] Viewing Information The property will be subject to block viewing arrangements and will not be available for viewing internally outside of these times. Please contact the office to register your interest. Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective allsop.co.uk purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. March 2018 .