Neighbourhood Shopping Centre Investment, Durham
Gilesgate Shopping Centre, Sunderland Road, Duham , DH1 2LH
Retail, Investment
16,616 Sq Ft
£1,545,000 Long Leasehold
For Sale
Chris Donabie
Interested in this property?
Please contact me
chrisdonabie@naylors.co.uk 0191 232 7030
Find out more
About the property
The property consists of a two-storey retail parade comprising of 8 units. The property is of brick construction with a flat roof. The retail units face onto the busy Sunderland Road, with loading areas to the rear. The upper floors are a mix of office and storage uses. Included with the property is an adjoining car park. The property has been improved during the period of the current ownership through several refurbishments and upgrades to the units and car park.It also benefits from most of the units having long established tenants.
Key features
Established neighbourhood shopping centre anchored by Sainsbury's Supermarkets Ltd until August 2033
Sainsbury's has been in occupation since October 2007 and last renewed in 2023
Located in busy residential / commercial location
Let to 7 tenants, offering a diverse mix of income
Includes a 'free to use' car park
WAULT to expiry 5.1 years (4.8 years to break)
Virtual Freehold
Total passing rent of £123,251 per annum, with growth prospects
Seeking offers over £1.545m. This shows a net initial yield of 7.52% after standard purchaser's costs
Location
Gilesgate Shopping Centre occupies a prominent position approximately 1.5 miles east of Durham City Centre, serving the densely populated residential areas of Gilesgate, Belmont and the wider Durham catchment. The scheme benefits from excellent connectivity, with direct access to the A690 providing links to the A1(M) the region's principal motorway. The property fronts onto the busy Sunderland Road.
Gilesgate Shopping Centre provides an established neighbourhood retail offering, benefiting from a loyal customer base and a strategic position within one of County Durham's most sought-after residential and commercial locations.
The population of Gilesgate is 6,746 (2021 Census) and the population including the surrounding towns is 13,640 (Elvet, Gilesgate and Shincliffe).
Due to the property's close-proximity to Durham City Centre, there has been investment nearby in Student HMO development and recent improvements to cycle infrastructure.
Durham County Council has spearheaded a £70 million county-wide five-year plan to build 500 new affordable homes. In Gilesgate, this includes the completion of bungalows at Hartley Gardens and the targeted acquisition of properties to bolster the local affordable housing stock.
Terms
Long leasehold from Durham County Council at a peppercorn for a term of 2,000 years from 23 December 1993.
Seeking offers over £1,545,000 (One million five hundred and forty-five thousand pounds). This shows a net initial yield of 7.52% after standard purchaser's costs.
