UNDER OFFER
Blue Bell Hotel, Acklam Road, Middlesbrough, TS5 7HL
Offers in Excess of
£3,650,000
£137.45 per sq ft
Business rates & charges may apply
- SIZE AVAILABLE
26,556 sq ft
2,467 sq m
- SECTOR
Commercial property for sale
Key features
- Freehold public house and hotel investment
- Entire property let to Stonegate Pub Company Limited with Town & City Pub Group Limited and Bay Restaurant Group Limited as Guarantor
- Property arranged over three levels extending to 26,525 Sq Ft (2,465 Sq M)
- Current rent of £348,801 per annum
- The next rent review due in February 2030
- Lease expiring 7 July 2045
- The rent is subject to five yearly annually compounded upwards only rent reviews in line with RPI subject to a collar of 1% and cap of 4%
- Offers in excess of £3,650,000 (9.0% NIY)
- 60 bedroom hotel with recent £300,000 tenant investment
Description
Description
The two storey detached building is arranged over ground, basement and first floors with brick elevations beneath a pitched roof. To the rear is a detached three storey hotel block with brick elevations beneath a flat roof.
Location
Located in the Acklam area of Middlesbrough, 3.6 miles south of the town centre, fronting the Blue Bell Roundabout just off the A174.
The Blue Bell is situated in a residential area with Esso and Tesco Express located directly opposite and Middlesbrough Municipal Golf Course a short distance to the east.
Tenure
The property is held freehold (Title Number CE148757).
Tenancy
The entire property is let to Stonegate Pub Company Limited with Town & City Pub Group Limited and Bay Restaurant Group Limited as Guarantor at a current rent of £348,801 per annum, which is subject to five yearly annually compounded upwards only rent reviews in line with RPI subject to a collar of 1% and cap of 4%, with the lease expiring 7 July 2045. The next rent review is 5 February 2030.
Planning
The property is not listed or situated within a conservation area.
VAT
It is envisaged that the property will be sold as a TOGC so the transaction should therefore be exempt from VAT on the basis the purchasing entity is VAT registered.
EPC
C - 56
Terms
Offers in excess of £3,650,000 which reflects a Net Initial Yield of 9.0% NIY based upon the standard purchasers costs.
Covenant
Stonegate Pub Company Limited is the largest pub company in the UK currently owning and operating 4,432 pubs/bars with revenue of £1,719m in the 52 weeks to 24 September 2023.
Stonegate Group are backed by private equity firm TDR Capital and were established in 2010 through the acquisition of 333 pubs from Mitchells and Butlers for £373 million. In March 2020, Stonegate acquired Ei Group for £1.27bn to produce the UK’s largest pub company comprising 1,349 managed operations and 3,033 leased and tenanted pubs.
In July 2024 Stonegate Group completed their debt refinancing requirements which resulted in TDR Capital making a £250m shareholder contribution demonstrating their continued support for the business. This follows the refinancing agreement with Apollo in December 2023 for £638m in relation to c1,000 pubs within the Stonegate estate.
The company is renowned for its Yates and Slug & Lettuce brands however they operate a number of formats including Popworld, Walkabout, Be at One, Craft Union, Proper Pubs, Social Pub and Kitchen and Sports Bar & Grill.
Fixtures & Fittings
The fixtures and fittings are currently owned by the occupational tenant.
Viewings
All viewings must be made by prior appointment and under no circumstances should any direct approach be made to any of the occupational tenants staff.
For further information and all viewing requests please contact the sole selling agents Savills.
Money Laundering
Money Laundering Regulations require Savills to conduct checks upon all purchasers. Prospective purchasers will need to provide proof of identity and residence.
The two storey detached building is arranged over ground, basement and first floors with brick elevations beneath a pitched roof. To the rear is a detached three storey hotel block with brick elevations beneath a flat roof.
Location
Located in the Acklam area of Middlesbrough, 3.6 miles south of the town centre, fronting the Blue Bell Roundabout just off the A174.
The Blue Bell is situated in a residential area with Esso and Tesco Express located directly opposite and Middlesbrough Municipal Golf Course a short distance to the east.
Tenure
The property is held freehold (Title Number CE148757).
Tenancy
The entire property is let to Stonegate Pub Company Limited with Town & City Pub Group Limited and Bay Restaurant Group Limited as Guarantor at a current rent of £348,801 per annum, which is subject to five yearly annually compounded upwards only rent reviews in line with RPI subject to a collar of 1% and cap of 4%, with the lease expiring 7 July 2045. The next rent review is 5 February 2030.
Planning
The property is not listed or situated within a conservation area.
VAT
It is envisaged that the property will be sold as a TOGC so the transaction should therefore be exempt from VAT on the basis the purchasing entity is VAT registered.
EPC
C - 56
Terms
Offers in excess of £3,650,000 which reflects a Net Initial Yield of 9.0% NIY based upon the standard purchasers costs.
Covenant
Stonegate Pub Company Limited is the largest pub company in the UK currently owning and operating 4,432 pubs/bars with revenue of £1,719m in the 52 weeks to 24 September 2023.
Stonegate Group are backed by private equity firm TDR Capital and were established in 2010 through the acquisition of 333 pubs from Mitchells and Butlers for £373 million. In March 2020, Stonegate acquired Ei Group for £1.27bn to produce the UK’s largest pub company comprising 1,349 managed operations and 3,033 leased and tenanted pubs.
In July 2024 Stonegate Group completed their debt refinancing requirements which resulted in TDR Capital making a £250m shareholder contribution demonstrating their continued support for the business. This follows the refinancing agreement with Apollo in December 2023 for £638m in relation to c1,000 pubs within the Stonegate estate.
The company is renowned for its Yates and Slug & Lettuce brands however they operate a number of formats including Popworld, Walkabout, Be at One, Craft Union, Proper Pubs, Social Pub and Kitchen and Sports Bar & Grill.
Fixtures & Fittings
The fixtures and fittings are currently owned by the occupational tenant.
Viewings
All viewings must be made by prior appointment and under no circumstances should any direct approach be made to any of the occupational tenants staff.
For further information and all viewing requests please contact the sole selling agents Savills.
Money Laundering
Money Laundering Regulations require Savills to conduct checks upon all purchasers. Prospective purchasers will need to provide proof of identity and residence.
Energy Performance Certificates
EPCBrochures
Blue Bell Hotel, Acklam Road, Middlesbrough, TS5 7HL
NEAREST STATIONS
Distances are straight line measurements from the centre of the postcode- Marton Station1.9 miles
- Gypsy Lane Station2.4 miles
- Nunthorpe Station2.9 miles
Notes
These notes are private, only you can see them.
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