Description
5/6 letting bedrooms – all with own facilities; 2/3 bedroom owners accommodation.
Rare and Advantageous 60 year INTERNAL ONLY REPAIRING LEASE with the council responsible for:
All structural repairs and All exterior decoration;
The property enjoys wonderful sea views from many rooms and is located in a quiet location with no passing traffic as Brunswick Terrace is a cul de sac- this fact is very popular with guests who tend to return to this location because of its excellent position. The guest house is within easy walking distance of the Town Centre, Harbour etc. The property is Grade II Listed and benefits from gas fired central heating ( except for room 6 on the top floor)
The present owners run the business from 5 bedrooms using two bedrooms which are separated from the letting bedrooms.
The guest house has been redecorated inside and out by the present owners who have replaced the boiler and renewed some showers and kitchen equipment in the past three years. Family care responsibilities forces a sale after three seasons only.
The agents have seen accounts which show a turnover of £60,000 for the year ended April 2020 with takings of approx. £38,000 from a short trading period due to Covid in the summer of 2020. From 17th May in the current year (no Easter) approx. £43,500 has been taken or booked with a considerable period of the year to 5th April 2022 to go.
HOPE VALUE: Dorset Council, the landlord, have inherited this lease from the previous council when the Unitary Authority was formed in 2019 and they are obliged to carry out all structural repairs and all exterior decoration. Whilst the council states that they have no policy at this time regarding the sea front estate of 65 hotels, there is a strong possibility that they may be persuaded, in time, to sell a long (100 years +) leasehold with a nominal rent ( a virtual freehold) thus providing themselves with a useful capital sum and divesting themselves of the repair responsibilities for this property – previous sales of long leaseholds under Weymouth and Portland Council have seen tenants enjoy an exciting ‘paper’ capital gain! – these types of long lease can be financed by a wide range of banks and building societies.
Price: £290,000 for the valuable lease, goodwill and all furniture, fittings and equipment to continue the business.
