Description
Secure a below-market-value mixed-use block at 995–995A Oxford Road, Tilehurst, RG31 6TL. For a strike price of £1,050,000 (RICS value £1,300,000). This freehold asset delivers a 9.5% gross yield, 7.1% net yield, and £250,000 immediate equity.
Introduction
The Oxford Road Tilehurst investment presents a rare opportunity to acquire a newly redeveloped freehold block of 5 x one-bed apartments plus a 4-room HMO house, all finished to a high specification. Priced at a £1.05 M strike price—19.2% below its £1.3 M RICS valuation—this 9-unit portfolio offers immediate yield and equity. With total annual rent of £99,750 and conservative net operating expenses at 25%, investors achieve a net rental income of £74,813 p.a..
This turnkey asset suits buy-to-let portfolios seeking diversified income streams, strong capital growth potential in West Reading, and an attractive cash-on-cash return up to 7.1% (100% cash) or 6.4% (75% LTV mortgage).
Description
Palace Auctions invites offers for a freehold block at 995–995A Oxford Road, Tilehurst. The property comprises:
- 5 x newly refurbished 1-bed flats (approx. 450–500 sq ft each)
- 1 x 4-room HMO house (converted loft, communal kitchen/living)
- Total units: 9
- Total GIA: ~3,900 sq ft
Every flat and room benefits from individual metering, modern fittings, laminate flooring, and double glazing. The HMO is licensed and professionally managed, ensuring minimal void periods.
Moreover, Tilehurst enjoys rising demand from commuters, with Reading Station a 5-minute drive away. Local amenities include shops, schools, and parks within walking distance.
Income & Yield Analysis
| Metric | Value |
|---|---|
| Strike Price | £1,050,000 |
| RICS Market Valuation | £1,300,000 |
| Immediate Equity Gain | £250,000 (23.8%) |
| Annual Rental Income (stated 9.5%) | £99,750 |
| Operating Expenses (25%) | £24,937 |
| Net Annual Income | £74,813 |
| Gross Yield | 9.5% |
| Net Yield | 7.1% |
 |
|
| Figure: Yield, cash-on-cash and 5-year total return projection |
Location & Amenities
- 🚆 Transport: Reading Station (Crossrail from 2024), easy M4 access
- 🛍️ Shopping: Tilehurst High Street, local supermarkets
- 🏫 Schools: Tilehurst Primary, Kendrick School catchment
- 🌳 Parks: Prospect Park, Christchurch Meadows
- 🍽️ Dining: Independent cafés on Bath Road
- 🚴 Cycle Routes: Thames towpath & Reading Green Park
For a deeper dive, see our Tilehurst & West Reading Area Guide.
Media Links
• Auction Calendar
• How to Register to Bid
• Reading Borough Council → https://www.reading.gov.uk/
• Rightmove Tilehurst Trends → rightmove.co.uk/house-prices/tilehurst.
Next Steps:
- Arrange a Viewing: Contact our Investment Team.
- Review Legal Pack: Verify titles, leases & EPC.
- Exchange Contracts: Secure this below-market opportunity.
Page last updated 13th August 2025 14:38
