A wooden beach chalet is being tipped to sell for a staggering £325,000 after it was put on the market.

From the outside, the single-storey shack looks little more than a glorified garden shed, with only timber walls and roof to shield the occupants from the elements.

But looking at it from another view, quite literally, the humble property is situated in one of the most stunning locations in Britain.

Perched just yards from Chesil Beach at West Bexington, the seafront chalet boasts breathtaking views of the Jurassic Coast and the English Channel.

It has 524sq ft of space – about a third of the size of the average house – and has three cramped bedrooms, a bathroom and an open-plan kitchen and dining room.

There is no central heating but it is double glazed and there is a back garden, a sun deck and off-road parking.

Council tax is payable at £1,032 a year.

It is possible to live in it all year round but by the estate agent’s own admission, the new owners might feel the chill in the winter months, due to the wooden walls.

It is in a row of 14 similar chalets and has now gone on the market for offers over a record £300,000, although it is likely to fetch about £325,000 pounds.

For the same amount of money, you could buy a seven- bed house in Hull or Glasgow, a four-bed detached bungalow in Norwich or a one-bed flat in trendy Islington, North London.

Despite its price there are plenty of interested parties.

James Pellow, of estate agents Symonds and Sampson, said: “This is the biggest and best chalet in the row of 14 and one of the finest along the West Dorset coastline.

“There is no occupancy restriction on it, so you could live in it all year round, although you might feel the chill in the winter months.

“Beach huts and chalets are in their own niche market which goes against the grain of the rest of the property market.

“The views are to die for. On one side you have Chesil Beach and on the other there is Lyme Bay.

“In between it’s nothing but uninterrupted coastal views.”

The previous record sum paid for one of the West Bexington chalets is £280,000.

The current owners have had the hut for several years and have used it as a stopping off point while visiting close family members in the West Country.

Mr Pellow said that although the walls are timber, they have recently been clad in UPVC and the roof covered in smart corrugated tin.