Summary
Acquired unconditionally following a competitive bidding process, the property was purchased with vacant possession.
Through its retail agency contact, BHP was aware of both Cafe Nero and Fat Face having active requirements. Fat Face was chosen over Cafe Nero to reduce planning risk.
The Fat Face letting was completed and alongside this, planning consent was obtained for the refurbishment of the upper parts to residential. BHP refurbished the apartments.
The retail unit was sold at auction whilst the apartments were sold by private treaty.
Business Case
STRENGTHS
- Prime position in the High Street
- Known retail requirements, particularly Cafe Nero & Fat Face
- Car parking on site, a rare commodity in Lewes town centre
OPPORTUNITIES
- To secure a multiple retailer as a tenant
- To refurbish the upper parts for residential
WEAKNESSES
- The layout of the property was slightly compromised
- The conversion of the upper floors would be compromised through the existing fabric of the building
THREATS
- Planning risk
- The price agreed reflected the strong retailer demand and as a result reduced margin
- A heated residential market