Dating back to Roman times Neath is an historic South Wales market town located in the County Borough of Neath Port Talbot approximately 16 km (10 miles) north east of Swansea and 56 km (35 miles) west of Cardiff. Junction 43 of the M4 Motorway is approximately 5 km (3 miles) south via the A474 and A465.

Neath Railway Station provides frequent daily services to the surrounding conurbations including Swansea and Cardiff with a journey time of 10 minutes and 40 minutes respectively. In addition, Neath is connected to the national railway network with journey times to London Paddington of approximately 2 hours 50 minutes.

Major regeneration work is taking place in Neath town centre as part of the Council’s overall strategy to make Neath an attractive place to live, visit and do business. With funding from the Regeneration Investment Fund for Wales contractor Kier has completed the development of a 24,000 sq ft Wilko retail unit plus a 600 space car park. Other initiatives include Victoria Gardens which is located diagonally opposite the entrance to Queen Street at the southern end. Visited by approximately 500,000 people every year these artistically laid out gardens are a scenic site. The Council has also rebuilt the historic Gwyn Hall into a modern arts and cultural venue incorporating a traditional auditorium theatre, 3D digital cinema, multipurpose studio and a café bistro. For more information visit www.npt.gov.uk.

We are advised the property provides the following net internal floor areas;

The passing rent equates to £20.00 Zone A which from our enquiries we understand is in line with recent lettings within close proximity to the subject property.

We understand 36 Queen Street which is located directly opposite the subject property was let in March 2016 to Fahuluzz at a rent of £7,000 per annum equating to £19.36 Zone A.

We understand 1 The Parade was let in July 2015 to Cabana Boutique Limited on a 10 year lease at £10,200 per annum equating to £25.39 Zone A. The property is in a similar location and we understand it is smaller than the subject property.

We understand 3 Parade was let in June 2014 to two individuals who entered into a 2 year lease at a rent of £9,300 per annum, equating to £20.00 Zone A. Again, the property is in a similar location.

Rental levels in Neath town centre have been rebased from a historic level of circa £80 Zone A to a current level of circa £40 Zone A for prime retail properties.

In addition, we are aware of the following recent investment activity;

In December 2016, we understand that Barclays Bank Plc, 87 High Street, Godalming, Surrey was sold for £1,230,000 / 4.42% NIY. The property is let until March 2026 with a tenants break option in March 2021, therefore having 4.25 years term certain. The lease is also subject to a Schedule of Condition.

In December 2016, we understand that Lloyds Bank plc, 8 Thoroughfare, Woodbridge, Suffolk was sold for £1,170,000 / 4.76% NIY. The property is let until February 2026, therefore having just over 9 years unexpired lease term. The property is Grade II listed.

We are instructed to seek offers in the region of £540,000 (Five hundred and forty thousand pounds), subject to contract, reflecting a net initial yield of 5.5% after purchasers’ costs of 4.85%.

Phil Hay                phay@jacksoncriss.co.uk        +44 (0) 20 7637 7100
Brook Wannop  brookw@jacksoncriss.co.uk  +44 (0) 20 3714 0502