186 High Street Northallerton
Price: Offers in excess £510,000 plus VAT
Address: 186 High Street, Northallerton, North Yorkshire DL7 8LF
Executive Summary
- Retail Investment situated in a Prime High Street location in popular North Yorkshire County Town of Northallerton.
- Located centrally in High Street next to cluster of other similar tenants, including Vodaphone, and O2, and next to Greggs and Cooplands the Bakers in one of highest concentration of footfall.
- Rental re-based following the Lease renewal with EE Ltd in January 2024. Passing Rent now £42,625 pa reflecting ITZA rate of approx £65 per sqft reflecting a significant discount to previous passing rent of £54,500 pa (approx £85 per sqft ITZA) set at November 2016 Rent Review with EE.
- Prospect for some potential future rental growth now appearing. Most recent (April 2026) Open Market letting evidence to White Stuff at 206 High Street reflecting approx £69.80 per sqft ITZA.
- Quality covenant with EE Ltd holding the Headlease interest, with sublease to Franchisee. EE Ltd is part of the BT Group Plc.
- EE Ltd have occupied this property since November 2011.
Description
186 High Street comprises a prime retail premises situated centrally in Northallerton High Street, with rear extensions, and pedestrian access from Forge Mews and Applegarth.
The main property is brick construction, rendered and painted on the frontage with clay tiled pitched roof, arranged over 3 storeys, forming an inner terrace of the established Northallerton High Street. To the rear is a part two storey extension.
Internally the layout has clearly changed in parts over the years, particularly in terms of the use. The property was occupied and used as a newsagents for many years, the previous tenant until 2011 being Maynards/Martin McColl. Today the main part of the ground floor area is in use as a retail unit for the sale of mobile phones and accessories, with stores to the rear. This has a double fronted glazed showroom frontage, re-fitted with new shopfront and glazing by the current tenants, with central pedestrian access.
Access to the upper floors is via the rear stores. The upper floors are not refurbished and are believed to have last been used as additional storage. However, there is scope to re-purpose this space and bring it back into economic use, subject to future lease agreements, should a new owner see fit to do so.
To the rear is a single storey brick outbuilding attached to the main part of the property, not currently in use, and falling outside of the demise of the current lease. This along with the main property, has pedestrian access via Forge Mews and Applegarth. Again, this space has some scope for being brought back into economic use.
Tenure & Tenancies
The property is held freehold and is subject to an occupational tenancy across all but the a small single storey outbuilding to the rear, which is offered with vacant possession.
The property is registered with Title Number NYK117371 (part). This title also includes the recently developed Forge Mews residential apartments. Rights of access will be reserved across the Forge Mews property as shown on the sale plan (and as per the current lease agreement).
There are two current tenancies in place across the Property, one Headlease and a sublease.
The key terms of the occupational tenancies are summarised below:
Headlease
Tenant: EE Ltd
Lease Date: 31st January 2024 (as renewed).
Original Lease: 11th November 2011
Term: 5 years from 31st January 2024 (Expires 30th January 2029)
Break Clause: Tenant right to break 31st January 2027 (subject to 6 months prior notice)
Passing Rent: £42,625 pa exclusive
Rent Review: N/A
Repairs: Effective Full Repairing terms.
Insurance: T to repay annual premium incurred by LL.
User: Retail Shop.
Alienation: T permitted to sublet or assign whole, subject to LL consent, not to be unreasonably withheld.
Sublease
Tenant: Ignite (North) Limited and Mark Timothy Hopton acting as surety.
(Tenant occupies within a Franchise Agreement with EE Ltd).
Lease Date: 31st January 2024.
Term: 5 years from 31st January 2024 (Expires 30th January 2029).
Break Clause: Sub tenant must comply with any breaks exercised by Head Lessor but has no right to break the sublease.
Rent: £42,625 pa exclusive.
Rent Review: N/A
Repairs: Effective Full Repairing terms.
Insurance: T to repay annual premium incurred by LL.
User: Retail Shop.
Alienation: No rights granted.
Security of Tenure: Contracted out of sections 24 to 28 of the 1954 Act.
Covenants
EE Ltd is part of the BT Group Plc. Information taken from the Audited Accounts for the Company year ending 31st March 2025 gives the following key financial performance indicators:
Revenue for Y/E March 2025 was £7,052 million (2024: £7,169 million) and adjusted EBITDA was £2,479 million (2024: £2,358 million).
The EE mobile consumer base now stands at over 13 million with the continued rollout at pace of EE’s 5G network. Churn continues to remain stable in a competitive market and latest Ofcom complaints data shows EE is lower than industry average for mobile. Rootmetrics again named EE as the UK’s best network for the 22nd time in a row.
The accounts show an operating profit of £1,356 million (2024: £1,300 million).
Ignite (North) Ltd is a subsidiary of The Ignite Group whose principal activity is the retail of mobile phones and accessories, with registered office in Derby. The most recent published accounts are for Y/E 31stMarch 2025, where the Company recorded a Turnover of £13.9 million (2024: £12.75 million) with corresponding Operating profit of £2.663 million (2024: £439,103). Total shareholders’ funds are listed as £3.505 million (2024: £1.495 million).
The sublease interest is subject to surety from Mark Timothy Hopton, who is the Managing Director of The Ignite Group, now one of EE’s largest UK retail partners with stores throughout the UK.
Services
The property is connected to mains services, including foul and surface water drainage, electric, gas, water and telecoms. The agents have not tested services; purchasers are required to satisfy themselves in respect of availability and condition of the service provision to the subject property.
EPC
The property has an EPC grade D
Business Rates
The property has a Rateable Value of £37,500
Guide Price
The Property is offered for sale with a guide price of ‘Offers in region £510,000’ plus VAT. This would generate a Net Initial Yield of approx 8 % after allowance for standard purchasers’ costs at 5%.
VAT
The property has been elected for VAT, hence VAT will be levied on the purchase price.
Legal Costs
Each party will pay their own legal costs.
All descriptions, dimensions, areas, reference to condition and other details are given in good faith and believed to be correct but intending purchasers / lessors should satisfy themselves as to the correctness.
Plans
Location Map
Property Brochure
EPC
Photo Gallery
