This property comprises a modern, high quality retail convenience store constructed in Q2 2023. The purpose-built development is arranged over ground floor level and has been carefully designed to capture pedestrian and vehicle traffic along the busy King Street thoroughfare. The modern store layout ensures ease of access and maximises trading potential. The ground floor is laid out in a standard convenience store configuration.
The store entrance and glazed frontage face directly onto King Street, ensuring excellent exposure to both passing traffic and pedestrian footfall on this busy street. The property benefits from a variety of customer-focused amenities including an in-store bakery, Amazon Hub Locker, ATM, soft plastics recycling unit and Costa Coffee. The store also offers food delivery services via national platforms such as UberEats and Deliveroo.
Location
Situated on King Street, Aberdeen, this Co-op enjoys a highly visible roadside location with excellent accessibility. The property benefits from strong levels of footfall, driven by its proximity to key arterial routes, the city centre and notable nearby landmarks.
The surrounding area is a mix of residential housing and local amenities and the store is also exceptionally well placed to serve the nearby University of Aberdeen and Unite Student Halls of Residence. The location provides a significant catchment with diverse demographics including residents, students and commuters.
Accommodation
Ground floor - 547.57 sq m ( 5,894 sq ft )
Terms
Lease Terms The property is let to Co-operative Group Food Limited on a Full Repairing and Insuring Lease from 1st August 2023 at a rental of £95,700 per annum until 31st July 2038. The tenant has an option to extend the lease for a further 10 years, providing at least 6 months prior written notice. The lease contains a provision for 5-yearly upward only rent reviews on the basis of CPI, subject to a cap and collar of 3% and 1%. The subjects are held on Full Repairing and Insuring terms.
Tenure The property is held on a heritable title (the Scottish equivalent of an English freehold).
Energy Performance Rating The property has an energy performance rating of A.
VAT The property is registered for VAT purposes. It is anticipated, however, that a sale would be by means of a Transfer Of Going Concern (TOGC).
Legal Costs Each party will bear their own legal costs incurred in this transaction.
Proposal We are instructed to seek offers in excess of £1,650,000, exclusive of VAT. A purchase at this level reflects a net initial yield of 5.47%, assuming standard purchaser’s costs.
Anti Money Laundering Procedures Under both HMRC and RICS guidance as property agents we are obliged to undertake AML diligence for both the purchasers and vendors (our client) involved in a transaction. As such, personal and or detailed financial and corporate information might be required before any transaction can conclude.
Specification
- Secure convenience supermarket investment opportunity
- Strategic location on King Street with strong visibility
- Let to the Co-operative Group Food Limited until 31st July 2038 (just under 13 years unexpired)