£100k to spare?

As freehold prices soar, buyers are turning to leaseholds. Here's what you can get for your money.

The price of freehouse pubs is continuing to rise and with the lack of freeholds on the market these figures are expected to continue upwards.

Agent Fleurets says that the average price of a freehold freehouse in England is now £392,000 while agent Christie & Co revealed that pub values rose by 6.2 per cent in 2003 driven by the lack of freeholds.

With the prices continuing upwards the obvious cheap entry route for licensees is to go for a lease. But what exactly can you get for your money?

If you are looking for a pub in the southern half of the country (not including London) and have £100,000 to invest what can you get your hands on?

The Ship sets sale​

The Ship Inn in the centre of Pakefield village, near Lowestoft, Suffolk, is a community pub with a turnover of £7,000 per week including VAT.

The site has two bars, a dining room and a games room. It is being offered at a premium of £75,000 for the 10-year full repairing and insuring lease, which will be assignable after two years. The lease is tied for cask conditioned beer but it is totally free-of-tie for other drinks.

• Price:​ £75,000 leasehold
• Rent:​ £43,000 per annum subject to RPI increases
• Agent:​ Fleurets
• Tel:​ 01787 378050

Pot of gold​

The 16th century Pot Kiln pub is located about half a mile from the village of Frilsham in the Pang Valley in Berkshire.

As well as having a strong local trade, it is a popular as a stop-off point for walkers.

The pub is renowned for its real ale and sells its own Brick Kiln Bitter, which is produced by the West Berkshire Brewery, located at the rear of the property.

The red-brick building has a public bar with a wood-burning stove, a saloon bar, a dining room to seat 11, a good-sized catering kitchen and four-bedroom owner's accommodation.

• Price:​ £98,000 for the 15-year free-of-tie lease
• Rent:​ £30,000 per annum (rent reviews every three years)
• Agent:​ Christie & Co
• Tel:​ 01908 300950

On the Waterfront​

The Waterfront Bar and Restaurant is on the site of West Midlands Water Ski Centre near Tamworth, Staffordshire.

The property has a fully-fitted bar and restaurant with wooden decking which can hold up to 400 people. In addition to day-to-day trade the site has the advantage of the adjacent ski centre which also brings in the customers.

Total turnover for the six-month period to the end of September 2003 was £153,000 (inc VAT).

• Price:​ £75,000 leasehold
• Rent:​ £35,000 per annum but only £20,000 for the first year
• Agent:​ Fleurets
• Tel:​ 0121 236 5252

Waggon on a roll​

The 18th century Waggon and Horse coaching inn is just outside the village of Doulting Beacon near Shepton Mallet, Somerset.

This is reputed to be one of the most famous food pubs in Somerset and was one of the first to be visited by Prince Charles as part of his "Pub is the Hub" campaign.

The site has a spacious function room with a skittle alley where music concerts are held.

• Price:​ £125,000 for the 20-year lease
• Rent:​ £30,000 per annum
• Agent:​ DMP
• Tel:​ 01454 419 900

Winning horse​

The Horse & Hounds in the Cotswold village of Broadway in Worcestershire is on the market.

Situated at the "Gateway to the Cotswolds" the 16th century inn is built of a mixture of Cotswold stone and brick. It has a lounge/public bar, 45-cover restaurant, five letting rooms, a one-bedroom manager's flat, a car park and barn. The site offers quality food with a lunchtime snack menu and a more substantial evening menu.

• Price:​ £11,000 for the remaining 17 years of the lease
• Rent:​ £85,000 per annum
• Agent:​ Christie & Co
• Tel:​ 0121 456 1222

Rising Sun shines​

The Rising Sun in Sidford, Devon, is a popular village pub.

It is well supported by the locals who run five skittles teams, two euchre teams and a darts team. The site offers traditional pub food throughout the week, except on Sundays.

The pub also has the benefit of four en-suite letting rooms and there is scope to develop this side of the business.

The site has a dining room with 24 covers, a lounge bar, a locals bar and catering kitchen. Turnover for the site is split 70/30 in favour of wet sales.

The first floor has a manager's flat with two bedrooms and two attic rooms. The lease is a 20-year full insuring lease which started in 1997.

• Price:​ £85,000 leasehold
• Rent:​ £18,000 per annum rising by £1,000 a year until 2007
• Agent:​ The Stonesmith Partnership
• Tel:​ 01392 201262