A rare opportunity to acquire a Freehold mixed-use Investment property in Kentish Town with conversion/development potential with a current income of £121,741 pa.
A rare opportunity to acquire a Freehold mixed-use Investment property in Kentish Town.
Significant Conversion/Development Potential of 14 flats with a retail/leisure use (Subject to Planning).
Current income £121,741 pa (with outstanding Rent Review)
Offers are invited in excess of £3,000,000 which shows a capital value of only £297 sq. ft on the existing GIA.
The property is located on the western side of Kentish Town Road close to its junction with Castle Road.
The site has a frontage of 13.7m and a return frontage to Castle Place is about 38m. The property is midway between Camden Town and Kentish Town Stations and is well served by public transport facilities. Regents Park is within a short walking distance.
This is the former South Kentish Town Underground Station designed by the architect Leslie Green in the early part of the 20th Century. The building has not been used as an Underground Station since 1924. The property currently provides a Yoga Studio on the first floor, a retail unit on the ground floor and "Escape Rooms" in the basement.
The main building is planned on lower ground, ground and one upper floor. There is a single storey structure at the rear which is of basic construction and is regarded as a Temporary Building.
The building does not come within a Conservation Area nor is it Listed. However, the former Station is included in Camden's Local List and is regarded as a "non-designated heritage asset" and is within an Archaeological Priority area.
Existing Floor Areas (NIA)
Lower Ground Floor - Escape Room - 1,806 sq. ft / 167.75 sqm
Ground Floor - Retail - 4,035 sq. ft / 374.85 sqm
First Floor - 2,640 sq. ft / 245.26 sqm
Total - 8,481 sq. ft / 787.86 sqm
Freehold subject to the below tenancies
There is an air shaft and a passageway which links into Castle Place. This must be kept clear for access for Transport for London (TFL)
Lower Ground Floor:
The lower ground floor is let to Mission Evasion Limited for a term of 10 years with effect from 14 April 2016 at a current rent of £25,000 pa. There is a rent review on 14 April 2021 and a tenant only break on the 14 April 2021 provided 6 months’ Notice is given. There is a Schedule of Condition attached to the lease which limits the tenants repairing liability. The tenant pays 20% towards the Landlords costs in maintaining the external and structural parts.
The ground floor is let to Capital Cash Limited for a term of 12years from 17 April 2009 at a current rent of £55,000 pa. There are four yearly rent reviews. The rent review as at April 2017 is outstanding (Trigger Notice has been served at £86,750 pa). There is a Schedule of Condition attached to the lease.
There is a special provision whereby the landlord can serve notice on the tenant to demolish and rebuild the single storey "Temporary Structure" at the rear. The tenant is liable for 40% of the Landlords costs in keeping the structural and common parts in repair.
The first floor is let to Yellowmat Limited for a term of 10years from 12 August 2013 at a current rent of £41,741 pa. There is a Schedule of Condition which limits the tenants repairing liability although the lease is effective full repairing and insuring with the tenant paying 40% of the Landlords cost of keeping the structural and common parts in repair.
The total current income is £121,741 pa
Ground Floor - £67,500 - Showroom & Premises
ATM Site - £2,000 - site of ATM
First Floor - £32,750 - Health & Fitness Centre & Premises
Lower Ground Floor - £30,000 - Sports Centre & Premises
Planning permission was granted on 30 March 2012 for a roof extension (approx. 1,800 sq. ft NIA) and a change of use from B1 (Office) to C3 (residential) at first and second floor levels for No. 4 x 2-bedroom flats and No. 2 x 1-bedroom flats. This consent has lapsed. A further and now lapsed consent was granted in April 2014 for the erection of a mansard roof extension to provide 3 residential units (No. 1 x 1 bed and No. 2 x 2 bed).
A pre-application has been recently submitted to Camden Council outlining a 19-unit scheme. A copy of the pre-application advice is available on request. It is anticipated that 14 flats could be obtained whilst retaining part of the ground floor as retail and part for D2 leaving the basement insitu. This would be subject to planning consent. some indicative plans have been proposed by Cooley Architects showing a mixed-use conversion and new build scheme (please see information pack). Camden Council consider the building to be an "opportunity site" and has "potential for comprehensive redevelopment/extensions".
Davis Brown for themselves, for any joint agents and for the vendors or lessors of this property whose agents they are give notice that: (i) the particulars are set out as a general outline only for the guidance of intending purchasers, or lessees, and do not constitute, nor constitute part of, an offer or contract; (ii) all descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the correctness of each of them; (iii) no person in the employment of Davis Brown or any joint agents has any authority to make or give any representation or warranty whatever in relation to this property; (iv) all rentals and prices quoted are exclusive of VAT (if chargeable)
SUBJECT TO CONTRACT