Bloom & Bean...........................

Liverpool City Centre - Commercial Unit

- Purchase: £250,000

- Leasehold : 499 years
- Ground rent: £350 per year
- Tenancy: bloom and bean cafe (please see the business proposal attached)
- Return: 6% net yield (Term: 10 year lease with 5 yearly rent review (Service charge and management fee is paid by tenant, not investor) / (10 year is the tenancy agreement/lease)
- reservation fee : £4,000
- Size : 450 sft
- Since this is a listed building, if the property is empty in the future, the investor does not have to pay any business rates.
- Also since the rent is £15,000, it qualifies for zero business rate, which makes it even more attractive for tenants.
- Since this is a 10 year lease, it is normal to put rent free period for tenant in the first year. This is because, they use this time for fit out and setup the business. In this case it is only 6 months and then it goes back to normal for the rest of the 10 year lease.
- Service Charge & Management fee : ( £5.75 sqft this also includes management). Previously as stated it is paid by tenant not investor
- Valuation : Retail units in liverpool selling for circa 6% yield
- Rental : the rental price around in these area is between £30 to £35 sqft. The reason you are not finding any, is because there is not a single unit available in the area, existing rent is at £33sqft
- Reservation : £4000 to reserve the shop, and pay the rest £246,000 on completion. It takes around a month to complete.
- All furniture and refurbishment cost are responsibility of tenant, that is why a tenant takes 6 months rent free period, to do fitout and start business)
- Business License : (existing A1 & A3 - it can easily be varied in the future if need be)