A mixed-use freehold building in Swansea, SA1, offered as a single lot at £350,000. It holds 3 self-contained flats over a ground-floor commercial unit, and every part of it is let from completion. Day 1 income is £36,600 a year: £27,000 from the 3 flats and £9,600 from the shop.
The shop is held on a 10-year FRI lease with a review at year 5, so the tenant carries repairs and insurance and that £9,600 is a clean net figure with no landlord costs against it. The lease is already agreed to step up to £900 a month from year 3, which adds £1,200 a year without any negotiation. Above it sit a 3-bed flat at £800 a month, a 2-bed at £600 and a 2-bed at £850, each self-contained, separately accessed and individually metered. There is parking for 2 cars at the rear.
The 3 flats measure 2,099 sqft between them and the shop adds a further 646 sqft. Valued the way a mixed-use building should be - the flats on local £/sqft evidence and the shop on an investment yield - the combined market value is £401,730, so the asking price sits 12.9% below it. The in-place rent delivers 8.2% net after all running costs; letting the 3-bed at the £1,100 a month the local market supports, together with the agreed shop step-up, takes that to 9.3% net. A refinance at 75% loan-to-value lifts the return on remaining capital to 17.2%.
General location only - map centred on the Swansea SA1 area. The exact address is shared with serious buyers at the appropriate stage. Tiles: OpenStreetMap contributors.
Residential based on 20 comparable sold transactions within roughly 0.18 miles, January 2025 to March 2026, averaging £142/sqft. Residential floor area 2,099 sqft. The shop is valued on its net FRI rent capitalised at a retail investment yield, flexed 1 point either side of the 9.26% benchmark. A mixed-use building is never valued on a single blended £/sqft.
All 3 flats individually certified. Each flat and the shop has its own utility supply, and each flat its own gas supply. Certificates provided in the full information pack.
Uplifts are the contracted shop step-up to £900 pcm from year 3 and the 3-bed flat moving from £800 to £1,100 pcm. Net figures after voids, maintenance, letting and insurance on the flats; the shop nets its full rent under the FRI lease.
| Property type | Date | Price | Sqft | £/sqft | Distance |
|---|---|---|---|---|---|
| Flat | Apr 25 | £80,000 | 552 | £145 | 0.17 mi |
| 3-bed detached house | Apr 25 | £117,500 | 753 | £156 | 0.18 mi |
| 3-bed semi-detached house | Oct 25 | £145,000 | 893 | £162 | 0.18 mi |
| 3-bed terrace | Mar 26 | £145,000 | 958 | £151 | 0.17 mi |
| 4-bed terrace | Jul 25 | £225,000 | 1,313 | £171 | 0.12 mi |
| 5-bed terrace | Jul 25 | £217,500 | 1,399 | £155 | 0.13 mi |
| Large terrace | Mar 26 | £260,000 | 2,024 | £128 | 0.12 mi |
A mix of nearby flats and houses of different sizes sold within roughly 0.18 miles over the last 18 months. Local £/sqft has grown 1.2% over 1 year, 6.5% over 3 years and 14.5% over 5 years. The subject is a mixed-use freehold sold as a single lot, so it prices below the sum of its parts - the spread of local values shows the room in the asking price.
GDV shown at purchase price (no refurb assumed). Land Transaction Tax at the Welsh non-residential and mixed-use bands (0% to £225k, 1% £225k-250k, 5% £250k-£1m). Resi costs are 4% voids, 4% maintenance and 12% letting on the flats only; the shop nets its full rent under the FRI lease. Figures consistent with the in-house due diligence on this property.