Opportunity to acquire an established and well let gym in a core Birmingham City Centre building currently undergoing redevelopment.
Located at Snow Hill Plaza comprising part of the former Royal Angus Hotel, currently being redeveloped by Seven Capital to provide a 174 bed Park Regis Aparthotel.
Ground and first floor gym extending to 17,250 sq ft.
Let to Pure Gym Limited with a lease expiry on 29th August 2031 and subject to a tenants break notice on 29th August 2026. Current rent of £177,500 per annum subject to a rent review to the RPI index capped at 4% per annum on 30th August 2021 with an anticipated increase to a minimum of £202,900 per annum.
Long leasehold interest expiring 3rd February 2141 with a current ground rent of £39,841 per annum subject to 5 yearly RPI reviews capped at 4% per annum, next rent review on 3rd February 2026.
Net rent receivable after August 2021 of £163,059 per annum.
Offers are invited in the region of £1,500,000 (One Million Five Hundred Thousand Pounds) subject to contact and exclusive of VAT. A purchase at this level reflects a Net Initial Yield of 10.25%, and a Capital Value £86.95 per sq ft and assuming purchasers’ costs of 6.10%.