Office Investment For Sale, 39-41 Melville Street, Edinburgh, EH3 7JF

The townhouses are arranged over lower ground, ground, first and second floors and benefit from period features throughout. Both buildings have been extensively refurbished and modernised.

To the rear are 11 clear parking spaces with access provided through a pend off Melville Street Lane. Also included in the sale are 4 lock-up garages located either side of this pend.

Location

Edinburgh is Scotland’s capital city and its principal financial and administrative centre housing both the Scottish Parliament and the Scottish Government. It is recognised as a globally important business centre and is the UK’s second largest and Europe’s fourth largest financial centre by equity assets under management. The city has a population of 519,000 people increasing to 1.38 million within the “Edinburgh city region”. It is the most prosperous regional city in the UK and its work force is one of the most highly educated.

Accommodation

Total NIA of 7,972 sq ft

Terms

VAT The property is elected for VAT and VAT will therefore be payable on the purchase price. It is however anticipated that the sale will be treated as a Transfer of a Going Concern (ToGC).

Proposal Offers in excess of £3,300,000 exclusive of VAT are invited representing a net initial yield of 6.49% allowing for standard purchaser’s costs including LBTT of 6.45%. A purchase at this level would reflect a capital rate per sq ft of £354 (attributing values of £25k per parking space and £50k per lock-up garage).

AML To comply with Anti-Money Laundering Regulations we are legally required to undertake due diligence on prospective purchasers which will at the minimum include proof of identity/address and funding. Applicable documentation will therefore be required on agreement of heads of terms

Specification

• Comprising 2 townhouses,
• 11 clear parking spaces and 4 lock-up garages
• Total NIA of 7,972 sq ft FRI lease (subject to a Schedule of Condition) to Vegware Ltd
• expiring November 2027
• Creditsafe Rating of 93 ‘A’ 
• Indicating ‘Very Low Risk’
• Net worth of c. £12.4m
• Total current passing rent of £228,000 per annum
• Reflecting low rental rates of £22.66 psf (No.39) and £24.90 psf (No.41)
• exclusive of car parking