Commercial Property For sale

Area Description:

Shipston on Stour is a charming market town nestled in the picturesque Cotswolds, known for its vibrant community spirit and rich history. The town is strategically positioned, offering convenient access to major routes such as the A429 and M40, linking it to larger towns and cities like Stratford-upon-Avon, Banbury, and Oxford. The High Street, where the property is located, is the bustling heart of the town, lined with an array of independent shops, cafes, and essential services, ensuring a steady footfall of both locals and visitors alike. The town benefits from a thriving local economy, supported by a mix of traditional industries and tourism, which draws visitors throughout the year to enjoy the area's natural beauty and heritage sites.
Shipston on Stour is well-regarded for its excellent quality of life, boasting a variety of amenities including reputable schools, healthcare facilities, and recreational opportunities. The surrounding Cotswold countryside offers stunning landscapes for outdoor activities, making it a desirable location for families and professionals alike. The town’s calendar is packed with events such as the Shipston Proms and Wool Fair, further enhancing its appeal as a lively and culturally rich destination. With its strong sense of community and strategic location, Shipston upon Stour represents an attractive investment opportunity for businesses looking to benefit from a thriving local economy within an idyllic setting.

Current Operator

The convenience store on High Street in Shipston upon Stour is currently operated by Alliance Property Holdings, a subsidiary of Morrisons, one of the UK's leading supermarket chains. This store was previously part of the McColl’s Retail Group, which entered administration in May 2022. Following this, Morrisons acquired over 1,100 McColl’s stores nationwide, including the Shipston upon Stour location, through their property holding company, Alliance Property Holdings. The acquisition ensured the continuity of operations for all stores under the Morrisons Group, with minimal disruption to staff and customers. The transaction also safeguarded the jobs of 16,000 employees and secured the pensions of over 2,000 members, marking a significant positive outcome amidst challenging economic conditions. The store continues to benefit from Morrisons' robust supply chain and brand strength, positioning it as a stable and attractive investment opportunity in the retail sector. In December 2023 the holding company was granted a new 10 year FRI lease.

Shop Size

The retail unit on High Street in Shipston upon Stour offers a total area of 125.03 square metres (1,346 square feet), including well-organized retail zones and ample storage space. The ground floor including retail zones A, B, and C, with areas of 31.68 SQM (341 SQFT), 32.93 SQM (354 SQFT), and 12.32 SQM (133 SQFT), respectively, allowing for flexible merchandising options. Additionally, the property features 39 SQM (420 SQFT) of ground floor internal storage and 9.1 SQM (98 SQFT) of first-floor storage, providing significant back-of-house space.

This property has a rateable value of £15,250 and is currently let, generating an annual rent of £17,000, making it a strong investment opportunity with a stable income stream from a high level operator.

Living Space

Above the convenience store is a spacious three-bedroom duplex flat, which is currently let on an assured shorthold tenancy agreement, generating an annual rental income of £12,000. While we believe this rental figure is slightly below the current market rate, the tenants have consistently paid their rent in full and on time, providing a reliable and secure income stream. Given the tenancy has now moved into a holding over stage with a rolling monthly agreement, there is the option to renegotiate the rent. However, considering the stability and reliability of the existing tenants, we might recommend maintaining the current arrangement to avoid the potential risk associated with changing tenants for a marginal increase in rent.

Other Information

The rateable value for the retail unit, with effect from 1st April 2023 is £15,750. The council tax band for the flat is D., the local authority for both is Stratford-upon-Avon district Council.
To arrange a viewing, please contact the office on 01789 387882. All viewings strictly to be arranged through the agent.