A developer’s plans for a Stoke-on-Trent shop and flats have hit some bumps. After delays in planning, they now aim to sell the property instead of renting it out.
Stoke-on-Trent: A rundown shop and flats caught the eye of a developer. The property, featured on Homes under the Hammer, had a guide price of £70,000. Presenter Martin Roberts thought it was a great deal.
The property includes two flats and a commercial space. Martin pointed out the potential, saying it could be flexible and spacious. He was excited about the possibilities.
Essex-based developer Tony and his wife Sarah bought the place for £121,000. They wanted to turn it into four one-bedroom apartments, which would be their biggest project yet.
They planned to keep the front as a retail unit and add a flat in the loft. Tony hoped to finish everything in eight to twelve months, with a budget of £100,000 to £120,000.
However, when the BBC returned after 11 months, not much had changed. Martin noted that Tony had just secured planning consent after delays. The plans were adjusted to allow for three flats instead of four.
Now, the ground floor would be an office for the shop. With the planning finally approved, Tony decided to sell the property at auction instead of renting it out.
They had cash tied up in the property for nearly a year and needed funds for another project in Essex. They spent about £127,000 on the Stoke-on-Trent property, including clearing out rubbish.
Jim Demitriou from SDL Auctions mentioned a strong demand for rental properties in the area. With planning consent, he estimated the property could sell for £150,000 to £160,000.
Tony was happy with the valuation, which would give them a pre-tax profit of £23,000 without even starting any renovations.
