533 Norwood Rd 121 SF 100% Leased Retail Building London SE27 9DL $1,659,705 CAD ($13,716.57 CAD/SF)

The subject property is situated on the east side of Norwood Road, close to its junction with Chestnut Road . Norwood Road is a busy shopping parade that is a mixture of independent traders and multiples, such as Costa Coffee, Iceland and KFC.
The locality is West Norwood, south-east London, within the London Borough of Croydon. Nearby areas include Tulse Hill, Dulwich and Streatham. The immediate locality comprises of the usual shop and upper parts, being either ancillary or residential accommodation, and the hinterland is mainly residential in nature.
The subject property comprises of a four storey mid-terraced mixed use property from ground to third floors. The property is configured and arranged to provide a commercial unit occupying part of the ground floor and four self contained residential units to the other parts. The original property has been extended by a loft conversion/ extension and a part two/part single storey extension to the original rear addition circa 2010.
At ground floor level, approximately half the width of the ground floor is the subject commercial retail space and the other half is an underpass which leads to the rear of the subject building. To the main body of the building, the first floor is arranged as a one bedroom flat, there is a two bedroom flat to the second floor and a studio flat to the third floor (loft conversion extension). The original built two storey rear addition is currently configured as a one bedroom mews house.
Flat 1 is arranged to provide a bedroom, bathroom and open plan kitchen/reception room. Flat 2 (second floor flat) is arranged with an open plan kitchen/reception room, two bedrooms and a bathroom. Flat 3 (third floor flat– loft conversion/extension) is arranged as a studio area (kitchen, sleeping and reception room) and bathroom.
The property is currently producing an income of £49,200 per annum with with the third floor studio flat and ground floor kiosk currently vacant. We estimate the ERV to be in the region of £72,000 per annum when fully occupied. We are seeking offers in the region of £900,000 for the benefit of the freehold interest in the property. This equates to
a net initial yield of 5.2% after factoring in purchasers costs at 5.8% and a reversionary yield of 7.5% based on the ERV.