For Sale

For Sale
Investment, Retail
86 Channel Street, Galashiels, Scottish Borders, TD1 1BD
Tenure: For Sale
Size: 774 sq ft (72 sq m)
Price: Offers Over £95,000
Floor Plan

Key Features

  • Attractive VAT free investment located in Galashiels town centre
  • Let to Hays Travel Ltd until 22 September 2031
  • Passing rent of £9,500 per annum
  • Strong tenant covenant with 49 UK-wide branches
  • Offers over £95,000 reflecting a Net Initial Yield of 9.82% after standard purchaser costs

The subjects comprise a mid-terrace single windowed shop unit arranged over ground floor of a two-storey building contained beneath a pitched and slated roof.  The upper floor of the building comprises residential units.

The shop is set out as a travel agency with open plan workstations to the front and a secure foreign exchange area to the rear. In addition, there is a staff room, store and WC facilities.

Galashiels is a busy Scottish market town located in the Borders some 30 miles south of Edinburgh and 30 miles west of Berwick Upon Tweed.  The town has a resident population of some 14,000 persons.

Communication links are provided via a direct train line to Edinburgh and also the A7 trunk road which links to Edinburgh, Hawick and Carlisle.

The subjects are located on the north side of Channel Street, the principle retailing street within the town, close to its junction with Market Street. Nearby traders include Borders Pet Rescue, Argos, Card Factory, Boots, Holland & Barrett, Domino’s, Subway and many others.

Parking is widely available in the town with numerous on street metered parking and large car park facilities.

Accommodation

According to our recent measurement survey the premises contain the following approximate net internal areas:

Area Sq M Sq Ft
Ground Floor 71.93 774
ITZA 58.00 624

Tenancy Information

Tenant Rent (p.a) Rate Per Sq Ft (ITZA) Lease Commencement Lease Break Lease Expiry
Hays Travel Ltd £9,500 £15.22 23 September 2021 23 September 2026 22 September 2031

Price

Offers Over £95,000 are invited for our client’s heritable interests in the subjects.

A purchase at this level would show a reversionary yield of 9.82% after allowing for purchaser’s costs of 1.8% plus LBTT (Land and Building Transaction Tax).

Hays Travel Ltd - Covenant Details

Hays Travel Limited is an independent travel agent chain headquartered in Sunderland, England. As of February 2024, the company has the largest number of retail travel shops in the United Kingdom at 49.

In the year end 30th April 2023, the Group Total Transaction Value was £2.19bn, an increase of over 103% versus 30th April 2022 (£1.07bn).  Group turnover was £423.5m, an increase of 93% versus 30th April 2022 (£219.4m).

In the year to 30 April 2023, the Group generated a profit before taxation and exceptional items of £51.5m in comparison to a profit of £14.5m in the previous year.

The Group successfully attracts new customers, with 41% of customers new to Hays Travel and the previously acquired Thomas Cook shops.

Tenure

The property is held on a Heritable title (Scottish equivalent of English freehold).

Rateable Value

According to the Scottish Assessor’s website (www.saa.gov.uk) the subjects have a Rateable Value of £7,800 effective 1st April 2023. The uniform business rate for the current year is £0.498 pence in the pound.

Occupiers may be eligible for 100% rates relief through the Small Business Bonus Scheme if the combined rateable value of all their business premises in Scotland is £35,000 or less.

Utilities

The property is served by mains electricity and water.

Energy Performace Certificate

The Energy Performance Certificate rating is B.

VAT

We understand the property is not elected for VAT.

Legal Costs

Each party shall bear their own legal costs with the eventual tenant liable for any LBTT and Registration Dues.

Anti-Money Laundering

The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 came into force on 26th June 2017.  This now requires us to conduct due diligence not only on our client but also on any purchasers or occupiers.  Once an offer has been accepted, the prospective purchaser(s)/occupier(s) will need to provide, as a minimum, proof of identity and residence and proof of funds for the purchase, before any transaction can proceed.

Entry

Upon completion of a formal missive under Scots Law.

Viewing and Further Information

By contacting the joint selling agent Allied Surveyors Scotland or Cullen Kilshaw:

Iain W. Mercer BA, AssocRICS

Director of Commercial Agency (East)

0131 357 4455 / 07713 626 887

Iain.mercer@alliedsurveyorsscotland.com

Bernadetta Majewska BSc (Hons) MRICS

Commercial Surveyor

0131 357 4455 / 07511 499 420

Bernadetta.majewska@alliedsurveyorsscotland.com

 

Lauren Brown

Property Sales and Letting Negotiator

T: 01450 393 330

lauren.brown@cullenkilshaw.com

 

Gavin Lauder

Property Sales Negiator

T: 01450 393 331

E: gavin.lauder@cullenkilshaw.com

Iain W. Mercer

Head of Commercial Agency - Scotland
Bernadetta Majewska

Commercial Surveyor - Agency and Valuation

Enquire about this property

"*" indicates required fields

Office Agency Team of the Year – Finalist

Retail and Leisure Agency Team of the Year – Finalist

Retail and Leisure Team of the Year – Finalist

Industrial Agency Team of the Year - Finalist

Business Resilience Award – Finalist

Excellent service received from James Burns. Process of having a home report carried out was seamless from start to finish. Highly recommend.

I would like to say that Keith and One Service have bent over backwards to help us on our way to preparing the sale of our home. They have been extremely professional, courteous and helpful throughout. I cannot speak highly enough about them.

I have dealt with Allied Surveyors in Inverness for many years most recently with regard to a Commercial Rent Review. They are highly professional , very efficient and go to great lengths to ensure that the client is well looked after and represented properly. I have no hesitation in recommending them.

I chose Allied to carry out home report on my flat. Scott Livingstone came out quickly and carried out a thorough inspection of the property. The report was accurate, clear and concise on the condition and provided a valuation that I and ultimately the market was happy with. I would thoroughly recommend to others requiring valuation services

Bernadetta provided an excellent service, warm, friendly and very approachable. A professional service from start to finish. I would highly recommend Bernadetta at Allied Surveyors.

I have huge thanks for Simon and all at Allied Surveyors who are just the most wonderful company to deal with. Buying/selling a home can be a complex process and to give someone your time is such a simple thing yet often lost in the current world, Simon at Allied has given us just that as well as mountains of advice and a sharing of his knowledge. Thanks Again

Professional and really nice person to deal with. Scott from Allied Surveyors (Stirling/falkirk area) recently did my home report. He was easy to talk and he explained the issues he noticed at the time of viewing the property as well as in more detail in the report itself. He is a very fair individual and also in our discussion gave me the opportunity to correct a few things. Not full of himself or power tripping. Just a genuninely nice person doing his job. Thank you.

Grant Robertson recently completed a development valuation for a site I am building out. His knowledge and attention to detail was outstanding and has made the process of purchase and funding so much easier. He also kept the lawyers, who were often dragging their feet, focused on delivery.

Great service from Bernadetta. She was always available for questions and very responsive. Thanks for finding a Tenant and helping in closing the lease.

We’re here to help.

If you have a question about any of our other services please fill in the enquiry form or call one of our offices.