sex shop

[hech123]

Hi, Just out of interest, I know its a bit strange but one of the commercials I bought was a sex shop, again mainly for the 4 residential units it came with.

We had some issues with the bank but I just wondered if anyone had any idea about resale of this building? Do you think it would put people off?

The good thing is that this is a national chain with over 40 stores so it is a very good tenant, its not quite Ann Summers and certainly a bit more seedy with some eye opening stuff but I just wondered with this being a national company would I get a great price upon selling? Or will a lot of people be put off? Any idea on what rent multiple for this?

[ram]

Just as a comment,

I would not entertain renting or buying a flat on top of a Sex shop,
ever. And I got there to view, I would just turn around and walk away,
and not even wait for the agent.

[bandontherun]

We had a shop under management let out on a term of fifteen years and the lessee assigned to a retailer who operated the premise as a "sex shop". On the landlords' behalf there was nothing we could do as this was a fait accompli. The partners of my firm decided not to investigate whether the upper parts were being used as a brothel, which would have entitled us to forfeit the lease for various reasons, not least that that partners' wives might get the wrong end of the stick (no pun intended) if we were seen sniffing around the upper parts of a sex shop!! Many buyers would have shunned the property as an investment but in the end the sex shop lady sold the lease on to someone selling less fruity items

[hech123]

The flats actually have a complete seperate access and we managed to let them all no problem, they have nothing to do with the shop or brothels and it is possible to enter them without actually seeing the shop but it was obviously a concern for us.

When we originally showed it to the bank they said they had concerns from a reputational point of view about the shop but when we showed them that it was a national chain and had a strong lease they were ok. I can see it obviously does strike a nerve and may need a more adventurous investror if we ever come to sell, no wonder the yield on the building was over 20%!!

[MrJohnnyB]

The big advantage about sex shops as tenants, is the council will be more pro-active about granting change of use to get rid of the them!

[mk1fan]

Wouldn't bother me. A restaurant or fast food outlet, that would put me off.

[Claymore]

Anyone living in the property and having a dinner party would never be short of conversation :-)

[ram]

Anyone living in the property and having a dinner party would never be short of conversation :-)

Strange dinner parties you go to !

I have never talked sex at dinner, and see absolutely no reason for
it, other than sex mad males perpetuating their lust and forcing it on
others who do not wish to think about a "quick fix" or "kick" out of
degrading a conversation.

[rentreviewspecialist]

When you read the prohibitions on user that most leases contain, sex shop is often amongst them, along with betting office, sale of alcohol, fun fair, lunatic asylum, and residential.

Ignoring the squeamish, prudish, and God-fearing, I think it's old-fashioned to mark down the value because of the occupier's use. When all's said and done it's only on lease and a lease can be ended.

.

[hech123]

Claymore, can I get an invite to one of your dinner parties?