• Significant opportunity to enhance value

• On behalf of Administrators, acting as agent without personal liability

• Prominent development within Reading Town Centre

• Combination of vacant refurbished and new apartments, and three commercial retail/restaurant units

• Anticipated potential income between £638,000 - £670,000 per annum

• Anticipated total exit value between £9,297,500 - £10,720,000

• Offers in the region of £7.5m, subject to contract, providing a 70-80% margin.

The property comprises an attractive apartment and commercial scheme on approximately 0.25 acres / 0.101 hectares which was completed and launched in 2021. Comprising the former Jackson’s Corner Department Store, the property now provides three commercial retail units beneath 18 apartments within refurbished accommodation fronting the street, along with a new rear block comprising 15 units.

The refurbished front scheme provides three floors of apartments; the new rear block is arranged over five floors and benefits from a lift. Access to the residential accommodation is via a passageway from the High Street, this leading to the central courtyard from which the apartments are accessed.

The commercial units have been completed in shell condition.

Whilst the original plans for the scheme are available to download, in addition the property has been measured by BKR Floor Plans to confirm the accommodation below. These floor plans and the measured survey report will be re-addressed to a purchaser at a cost of £950 +VAT.

Note that the above list of apartments excludes those which have been sold prior to the administrator’s involvement with the property.

Unit 1 – an Agreement for Lease and Supplemental Agreement has been signed with Rosa’s London Limited (Thai café). The letting will be for 15 years at an initial rent of £30,000 per annum, rising to £60,000 per annum after 38 months. In addition, the tenant has been granted a 12 month rent-free period. Therefore the tenant has in effect been granted the equivalent of 31 months rent-free. The service charge is capped at £1.50 per sq ft for the first five years of the term.

The Agreement required works to be undertaken by the landlord; a specification is provided in the data room. The only items currently outstanding are the works to the fire escape and the connection of a water supply. An M&E consultant (Kendall Kingscott) has been appointed to finalise the specification in order to enable the letting to complete.

The lease is also conditional upon the tenant having obtained a premises licence. This has been obtained and a copy can be found within the data room.

Unit 2 – an Agreement for Lease has been signed to let to Fat Hippo (burger bar)for 15 years at an initial rent of £55,000 per annum, with a 18 month rent free period and a tenant break option at the end of the tenth year. The service charge is capped at £1.50 per sq ft for the first five years of the term.

The agreement requires the landlord to undertake appropriate works, including providing a route for an extraction duct; the works are to be undertaken once the tenant has secured planning permission for their ventilation system, which is being progressed.

The lease is also conditional upon the tenant having obtained a premises licence. The tenant is to use reasonable endeavours to obtain it as soon as reasonably practicable.

Unit 3 – The unit is being offered to the market to let by Fleurets and Hicks Baker. The asking rent is to be £75,000 per annum. It should be noted that the property was recently under offer to a menswear retailer at £92,500 per annum

Please refer to The Budget of the Remaining Works within the dataroom. General works have been priced at £15,500, works for landlord’s obligations for unit 1 at £11,500, landlord’s works for unit 2 at £27,300, and costs for a number of items prior to letting unit 3 at £11,600.

Rosa’s London Limited (Co. No 07734532)has reported the following figures:

“Rosa’s Thai” currently trades from 35 nationwide outlets according to the company’s website. www.rosasthai.com.

Please note that there is no rent deposit.

Fat Hippo Restaurants Limited (Co. No 07207305)has reported the following figures:

“Fat Hippo” currently trades from 16 nationwide outlets according to the company’s website. www.fathippo.co.uk.

Please note that there is no rent deposit.

We understand that the property has been elected for VAT.

We are instructed to seek offers in the region of £7,500,000 (Seven Million, Five Hundred Thousand Pounds), subject to contract, for the freehold interest.

Please note that a purchaser will be re-charged the costs of the searches (£1,500 + VAT) which are provided in the data room.

Conditional Offers
It should be noted that the vendor will entertain clicktopurchase legal offers with completion conditional upon finance, as well as unconditional offers. Should an offer be accepted and a contract formed with completion conditional upon finance being obtained by a purchaser, if a purchaser subsequently withdraws due to the lack of funding, a payment will be withheld from the contract deposit of 0.5% of the contract price.

The affairs, business and property of the Company is being managed by the Joint Administrators Paul Zalkin and Simon Campbell, of Quantuma Advisory Limited who act as agents for the Company and without personal liability. Both are licensed by the Insolvency Practitioners Association and are bound by the Insolvency Code of Ethics

The attention is drawn to the fact that access to all areas of the property may not be possible prior to completion.

Replies to standard enquiries will not be provided as part of the conveyancing process.

The property will be sold as seen. No express or implied warranties or representations are given.

Any prospective owner must be prepared to undertake robust asset management initiatives to regularise the basis upon which any commercial and residential occupants remain in situ.

The guide price has been set realistically to reflect significant opportunities to build a sustainable income stream and enhance value.

Access to the data room and for the ability to purchase online with speed and ease, please click the clicktopurchase® “C” icon or the clicktopurchase® side bar. Purchasers will be able to access the complete legal package, clear verification and submit legally-binding offers to acquire the property.

Purchasers benefit from the trust, security and transparency provided by the platform. All activities, including the online contract execution, will form part of the electronic audit trail which is anchored in the clicktopurchase® Blockchain.

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