Expensive souvenir as tourist shop sells for £1m
IT may not look like much from the outside – and when the visitor ventures inside it will probably look like even less.
Yet this tiny shop selling shortbread, postcards and See You Jimmy wigs has just become Scotland’s hottest commercial property.
The cramped newsagent on Edinburgh’s Royal Mile has been snapped up for £1million, making it by square feet the most expensive shop ever to change hands in Scotland.
Few would guess at its huge value by the Scottish-themed tourist fare inside.
Fridge magnets, decorative plates and a dizzying array of tartan trinkets occupy almost every square inch.
More to the point in determining the staggering price tag is the shop’s prime location just yards from Edinburgh Castle, where it enjoys a footfall of more than four million people every year. As a result, it has been sold to a private investor at a price equivalent to £3,871 for each of the 258 square feet it occupies.
By square footage that makes it even more expensive than an eight-bedroom apartment in Mayfair, on the market for more than £13million. The shop is part of an 18th century listed building and is currently occupied by J&S, which pays £18,100 a year for rent. The lease is due to run out in 2034.
Margaret Mitchell, of chartered surveyors DM Hall, which concluded the deal said: ‘Not only did we achieve a wonderful price for our client but it was positive to see competing offers around this level.’
Gail Hunter, regional director Royal Institute of Chartered Surveyors Scotland, said: ‘This sale shows that commercial property in prime locations remains highly attractive.
‘Being on the Royal Mile, in the heart of Edinburgh and on a key tourist trail, this property really is all about the location, location, location.’
‘The million-pound question is what the new owners intend to do to maximise the return on their substantial investment.’
Last night, the two brothers who own the shop declined to comment.