Property for sale

Penallta Rd, Ystrad Mynach CF82

24 Penallta Road, Ystrad Mynach
Five-unit mixed-use investment | £550,000

A recently renovated mixed-use development comprising four commercial units and a refurbished two-bedroom flat, offering multiple rental income streams and a potential gross yield of 10.69% at the asking price.

The property has undergone extensive renovation and development, with modern accommodation throughout. Four of the five units are currently let, with the restaurant available and being marketed at £1,800 per calendar month.

The accommodation comprises:

• Restaurant: Approximately 70 covers, with dining accommodation and an upstairs bar, together with a basement commercial kitchen, storage and rear access for deliveries. Previously let at £1,400 per month and currently advertised at £1,800 per month.

• Barber shop: A substantial commercial unit with space for additional chairs and potential to create extra treatment rooms, subject to any necessary consents. Includes a kitchen, toilet and storage.

• Two-bedroom flat: Refurbished residential accommodation with its own independent entrance.

• Coffee and cake shop: An occupied commercial unit providing an established rental income.

• Separate commercial kitchen: Independently rented, providing a fifth income stream.

Rental income and returns

At the restaurant’s previous rent, the development would generate £4,500 per month, equivalent to £54,000 per annum and a gross yield of 9.82%.

If the restaurant is let at its current advertised rent of £1,800 per month, the combined income would increase to £4,900 per month, equivalent to £58,800 per annum and a gross yield of 10.69%.

With the restaurant currently vacant, the remaining four units generate £3,100 per month, equivalent to £37,200 per annum and a current gross yield of 6.76%.

The seller is happy to facilitate a new restaurant tenant taking occupation before completion, subject to agreeing suitable lease terms.

Location

Ystrad Mynach is an established town within Caerphilly County Borough, serving surrounding communities including Hengoed, Maesycwmmer and Gelligaer. Its town centre offers a mix of independent retailers, cafés and local services, alongside supermarkets and a railway station.

The wider town is also home to Coleg y Cymoedd’s Ystrad Mynach campus, Ysbyty Ystrad Fawr hospital and Tredomen Business Park. Parc Penallta provides an additional local leisure attraction.

Combining residential and commercial accommodation, this development offers investors an existing rental income with the opportunity to increase returns by letting the remaining restaurant unit.

Contact Flying Keys for further information and to arrange a viewing.

All yields are gross, calculated against the £550,000 asking price before purchase costs, management, maintenance and other expenses. Potential income assumes the restaurant is let at the stated rent. Lease details, refurbishment works and compliance documentation are subject to verification.

EPC Rating: C