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Travelodge, The Quadrant, Market Place, Romford, RM1 3ER

Secure hotel investment opportunity within a thriving retail centre and busy commuter town

The building occupies a significant position within Romford Town Centre

Romford Station is a 5-minute walk away

65 bedroom hotel arranged over part ground and three upper floors developed in 2017 extends to approx. 2,495.91 sqm (26,866 sqft)

Let to Travelodge Hotels Limited on an FRI lease with 18.9 years unexpired

Following the most recent rent review in July 2022, the total rental income is £443,800 per annum reflecting £6,830 per room

999 year lease (leasehold granted in 2022)

The lease is subject to a CPI linked rent review every 5 years (Upward only capped at 4%)

Offers in excess of £6,250,000 for the leasehold interest. A purchase at this level would reflect a Net Initial Yield of 6.64% assuming standard purchaser costs of 6.80%

Description

The building is situated within the heart of Romford Town Centre and is located in the London Borough of Havering.

The property extends to approx. 2,495.91 sqm (26,866sqft) and comprises 65-bedrooms set between the part ground floor and three upper floors. Each bedroom is en-suite and there is bar and restaurant situated on the first floor. The entrance is situated at ground floor level fronting onto Market Place with the remaining accommodation situated on the first and second floors above the retail units.

The current lease with Travelodge Hotels Limited is due to expire on the 25th July 2042 with the tenants paying £443,800 per annum. The lease is subject to CPI linked rent reviews, capped at 4% and upward only every 5 years, the next of which is due in July 2027.

Location

The existing building is positioned above the Quadrant Shopping Arcade in a prominent position on Market Place, Romford.

The immediate neighbourhood comprises various retail and office spaces with The Liberty Shopping Centre, Brewery Shopping Centre snd Romford Shopping Hall all being within close proximity of the property.

Transport

Romford station has recently undergone an extensive refurbishment programme ahead of the 2022 opening of the Elizabeth Line.

The Elizabeth Line will provide journey times of 19 mins to Stratford Station and 27 mins to London Liverpool Street. The station also provides National Rail services to Brentwood, Chelmsford and Colchester.

Numerous bus routes connect Romford to Chigwell in the north, Upminster to the east, Dagenham to the south and Barking to the west.

The A12 is one of London’s major arterial routes leading north east from the city and is situated approximately 0.9miles (1.45 km) to the north, and the M25 junction 28 approximately 4.5 miles (7.24km) to the west.

The closest airport is London City Airport, which is 8 miles south west of the town. Crossrail will also connect Romford directly to Heathrow Airport.

Further Information

Please contact a member of the team at Highfield Investments for the further information pack.

Access

Available upon request.

VAT

We have been advised that the property is elected for VAT, therefore, the transaction will be treated as a Transfer of Going Concern (TOGC).

Tenure

999 year lease (998 years remaining).

Terms

Offers in excess of £6,250,000 for the leasehold interest. A purchase at this level would reflect a Net Initial Yield of 6.64% assuming standard purchaser costs of 6.80%.

Please note the information provided by Highfield Investments London Limited, trading as Highfield Investments has been given in good faith, however all parties must undertake their own due diligence to satisfy themselves in regards to accuracy.