• Located in a Cathedral City and major tourist destination

• Undoubted Income - let to Santander UK PLC

• New 5 year lease from December 2020

• Tenant has been in occupation since 1960’s

• Attractive building in the heart of the city centre

• The only Santander in Canterbury

• VAT free investment opportunity

• Grade II listed (no empty rates payable)

• Freehold

• £1,070,000, subject to contract

• 8.0% net initial yield

The property occupies a prominent position at the heart of the pedestrianised southern sector of the city centre close to the junction of High Street, The Parade and St. Margaret Street.

The property is opposite Mercury Lane leading through to Christchurch Gate and to Canterbury Cathedral, therefore, providing significant pedestrian footfall in and around the property. Other nearby occupiers include Lloyds Bank (adjacent), Nationwide, Pret A Manger, Caffe Nero, Holland & Barrett, Jack Wills and Lush.

There are ambitious plans to redevelop the former Nasons department store immediately adjacent to the subject property at 46-47 High Street. The site has been acquired by development company Setha Group and the proposed scheme (reportedly circa £30 million) includes a mixture of shops, hotel/services apartments and residential.

In addition, planning permission has been obtained to redevelop the former Debenhams store diagonally opposite the subject property. Owners 90 North have obtained consent for a multi-million pound scheme ‘Guildhall Quarter’ comprising 12 retail units and 72 apartments.

An attractive Grade II listed building, the property comprises a ground floor retail unit configured as an open-plan banking area which has been fitted out by the tenant, Santander, in their usual corporate style. The first floor provides a combination of offices and staff/ancillary accommodation with further ancillary accommodation on basement, second and third floor levels.

The tenant has access across a rear site in the event of emergencies. This plot totals some 290 sq m (3,122 sq ft). A plan of this rear site is available to download, identifying Santander’s access right. This site is available to purchase by separate discussion.

The property is Grade II listed (hence empty rates are not payable).

The property is entirely let to Santander UK PLC on a full repairing and insuring basis for a term of 5 years from 25th December 2020, expiring on 24th December 2025. The rent commencement date was 25th March 2021.

The current passing rent is £90,000 per annum. We suggest that this equates to a Zone A rate of £108 per sq ft, after a 10% allowance for the hard frontage.

The tenant has been in occupation since the 1960’s. The most recent lease renewal took place in December 2020. The fact that the tenant has extended their lease during COVID-19 demonstrates their desire to remain in the property.

Santander UK PLC (Co No.02294747) has reported the following figures:

Santander UK is a large retail and commercial bank based in the UK and a wholly owned subsidiary of the major global bank Banco Santander. In 2020 the company had 14.3 million active customers and provided £170 billion customer loans. For further information visit www.santander.co.uk.

The adjoining property, 49 High Street, was sold by Singer Vielle in January 2009 for £4,850,000 reflecting a net initial yield of 5.2%. Totalling 663 sq m (7,138 sq ft) the property is let to Lloyds TSB Bank Plc for a term expiring in June 2026. The passing rent at the time of sale was £270,000 per annum equating to £162 Zone A.

In comparison, the passing rent of £90,000 per annum for the subject property equates to a Zone A rate of £108, hence a significant discount to the previous level of some with the Lloyds rent being some 50% more than the current Santander rent.

Our client is seeking a figure of £1,070,000 (One Million and Seventy Thousand Pounds) subject to contract, reflecting a net initial yield of 8.0%, after allowing for standard purchaser’s costs of 5.82%.

Please note that a purchaser will be re-charged the cost of the searches which are provided in the data room.

The plot of land at the rear of the property is available to purchase by separate discussion.

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.

clicktopurchase® provides the opportunity for any investor, whether located UK or abroad, to uniquely purchase online with ease and certainty. To learn more about clicktopurchase®, click here.