Lucrative Investment Opportunity Residential Chalets In Cornwall For Sale

Business description

INVESTMENT OPPORTUNITY
This is an existing business with 16 open market residential chalets that are let on Assured Shorthold Tenancy basis. As part of the original planning permission there are 11 units that could be yet built on the said land but these would have to have to be built with a holiday restriction use. In addition there is an old dance hall which does have an Amusements licence so could be utilised or demolished and redeveloped STP.

Available is the former Predannack Holiday Village is ideally located to take advantage of the large influx of holidaymakers who regularly converge on this area of the south coast of Cornwall. Approximately 4 miles from the Lizard, with a flourishing tourist trade. Predannack Holiday Village is nestled close to Mullion, which is set within peaceful and picturesque countryside. The Lizard Peninsula is the most southerly area of the UK and is renowned for its outstanding and natural beauty. The area provides tranquil rural scenery, dramatic rugged coastlines, beautiful beaches and quaint
fishing coves.

Mullion is approximately five miles away and has an 18 hole links golf course overlooking the sea. The charming fishing village of Cadgwith is also close by. The Helford River is approximately 20 to 30 minutes away where there are good sailing waters.

BUSINESS PROFILE
‘Predannack’ has been under the careful ownership of our clients for the past 18 years. During this period, great care and consideration has been taken regarding the development of the complex and the maintenance of the chalets. The site offers a rare opportunity with considerable potential for any prospective purchasers.

SITE ATTRIBUTES:-
- 16 Open Market Chalets:
- Extant Planning approval for additional 11 units
- Detached old dance hall previously with Entertainment license (13,500 sq. ft)
- Circa 1.7 Acres.
- 4 x 1 bed chalets
- 11 x 2 bed chalets
- 1 x 1 bed detached chalet with own garden

On site at present, 16 chalets provide full residential use with appropriate Certificates of Lawfulness. We are advised that a further 11 chalets can be built as part of the original planning permission with holiday restrictions subject to agreeing a detailed permission.

The 16 open market chalets are let on Assured Shorthold Tenancies basis of which 8 of these have some form of garden. There has been an ongoing maintenance programme and can confirm that they have all had new roofs within the last 10 years and 90% of chalets have had new kitchens and the remainder have been refurbished.

We are of the opinion that ‘Predannack’ provides an excellent opportunity for a new owner to take advantage of the existing residential rental income. It is considered that the business can be developed further with the existing permission or expansion of the leisure facilities (subject to appropriate planning consents).

For the past six/seven years the site has not operated with holiday usage and have been let as residential units.
Rents being achieved
- 1 Bed units £300- £350 pcm
- 1 Bed detached unit £360 pcm
- 2 Bed units range from £360- £410 pcm

EX MOD BUILDING
(Comprising of Circa 13,500 sq. ft). Semi-derelict building which is currently utilised for the owner’s paintball business which, could be relocated. Potentially the vendor in the first instance would look to rent back this building for a sum of £250 per year and would maintain it in its current condition. The building benefits from washroom facility and toilets to the rear. This building did have a Public entertainment licence for 295 people with planning approved for as an entertainments complex.

SERVICES
We are advised that the water and sewerage is serviced by a private facility, each property will have to pay a contribution to sewerage of approximately £250-£300 a year. We understand that within the existing facility there is enough capacity for the 11 units yet to be built. Water for the site is served from a bore hole.

RIGHTS OF WAY
As this site is now being split up there will be a right of way over the existing access but any new purchaser will have to contribute to the access road on a pro rata basis.

FINANCIAL INFORMATION
We are advised that the current level of gross income for these units is circa £74,000 per annum.

REASON FOR SALE
The owners wish to pursue other business interests.

RATES
We refer you to the Valuation Office website: www.voa.gov.uk for an updated rates assessment.

Property information

Property:

Freehold