Retail premises for sale in Grainger Street, Newcastle Upon Tyne NE1

Investment summary

Newcastle upon Tyne, England has a population of 300,200 people and a wider metropolitan population of approximately 880,000 (c2021)

The property is located on the corner of Newgate Street and Grainger Street in the heart of Newcastle amongst a well-established shopping and leisure district

In close proximity to Eldon Square, Newcastle’s premier shopping centre, which offers 1.6 million square feet of retail space.

Total passing rent of £82,500 per annum from two tenants

Dicksons is a well-established regional butcher with over 30 stores in the North East

Chilliflames is a national Afro Portuguese hot food takeaway and restaurant with more than 17 stores

We are instructed to seek offers in excess of £1,100,000 (exclusive of VAT) reflecting a niy of 7.09% niy assuming purchasers costs of 5.85%

Location

Newcastle upon Tyne, the commercial capital of the northeast of England, is situated approximately 300 miles north of London, 100 miles south of Edinburgh, and 100 miles north of Leeds. The city has excellent transportation links, being situated on the main A 1 (M) motorway connecting London and Edinburgh. It also links with Carlisle and Cumbria to the west via the A69 trunk road.

Newcastle International Airport is located approximately 7 miles north west of the city centre providing daily flights to most major domestic and European destinations Newcastle Central Railway Station is a short walk from the property and forms part of the east coast main line between Edinburgh and London.

As well as overground rail connections, Newcastle is the only city in England outside of London to benefit from an underground rail network, the Tyne and Wear Metro. The Metro has 60 stations across the North East connecting Newcastle City Centre to the wider conurbation including Sunderland, South Shields, and Newcastle Airport. Newcastle is home to two leading universities with over 50,000 students; Newcastle University and Northumbria University. Newcastle University is a member of the Russell Group, a prestigious group of 24 UK universities.

Both universities have large international student populations and have recently expanded their city-centre campuses. The population of Newcastle upon Tyne, England is approximately 300,200 people, according to the 2021 UK Census. The wider population of the Tyneside metropolitan area, which includes Newcastle and the surrounding boroughs of Gateshead, North Tyneside, and South Tyneside, is approximately 880,000.

Situation

The property is located on the corner of Newgate Street and Grainger Street in the heart of Newcastle upon Tyne, one of the largest cities in the North East of England. It is a prime location, close to all of the city’s amenities, including shops, restaurants, bars, and clubs. The property is also within walking distance of both Newcastle University and Northumbria University, as well as St. James’ Park, home to Newcastle United Football Club.

Across the street from the property is the redeveloped Newgate Centre, which includes student accommodation, a four-star hotel, and retail, leisure, and restaurant space. To the west of the property is The Gate Leisure complex, and to the east is the Bigg Market. Also in close proximity is the Debenhams entrance to Eldon Square, Newcastle’s premier shopping centre, which offers 1.6 million square feet of retail space.

Description

The property comprises ground floor and basement accommodation, sub-divided to provide two retail units; occupied by Dicksons & Chilliflames.

Tenure

The property is held freehold with title number ND7535. The upper floor flats have been sold off on a long-leasehold interest.

VAT

The property is elected to tax and VAT and it is anticipated that the sale will be treated as a togc.

Proposal

We are instructed to seek offers in excess of £1,100,000 (exclusive of VAT) reflecting a net initial yield of 7.09% assuming purchaser’s costs of 5.85%.