Owning the office is tax sense, says vendor

Apr 16 2008 by Graeme King, The Journal

OFFERS are being sought for a Grade II-listed office block in the heart of Newcastle city centre.

The 3,500sq ft of space in 8 Mosley Street is being offered for sale by owner Jacky Brown at an asking price of £865,000.

Mrs Brown, whose husband Nick ran Northern Profile PR in the building before selling to national agency Golley Slater, is marketing the building herself through a specially set up website.

She is believed to be looking to buy a property abroad and that has prompted the decision to sell.

Golley Slater, which currently occupies the building, will be moving in September to new offices close to the firm’s current home in the city centre, though the exact location has not yet been announced.

The 100-year-old 8 Mosley Street building has five floors of offices, its own off street entrance and a prominent facade to promote an occupier’s business. Mrs Brown said: “This is a unique opportunity to own an exceptional office or retail building.

“A quick glance at the lack of For Sale boards in Newcastle city centre tells its own story, ie it is very rare that an office building is available to buy.”

Mrs Brown said she was aiming for owner managers of North East businesses.

“Following the latest Budget, which impacted on taper relief and capital gains, many accountants are advising entrepreneurs to consider tax efficient methods of owing commercial properties.

“Personally owning your company’s office will mean that the tenant is your own organisation. More and more entrepreneurs are doing this because it provides a guaranteed income via the lease and it creates a significant asset for you and your dependants personally.

“We have therefore decided to utilise this strategy in the marketing of 8 Mosley Street.”

While Mrs Brown says she has already had 11 viewings of the building from investors aiming to buy, she is also willing to look at leasing it.

She is offering a £60,000 per annum lease, equating to £17 per sq ft, and the building is available from September for five or 10 years.

Mrs Brown is offering a £15,000 discount in year one of a five-year lease, or a £20,000 discount in year one for a 10-year lease.

More entrepreneurs are doing this … it creates a significant asset for you and your dependants.