53 LONDON GT SUFFOLK STREET

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1 53 LONDON SE1 INVESTMENT OPPORTUNITY

2 53 LONDON SE1 Investment Summary An attractive central Southbank location, a few minutes walk from Southwark Jubilee Station, Waterloo and London Bridge Stations, and Tate Modern Art Gallery. A period warehouse building of 17,597 sq ft, converted in 1999/2000 to offices on ground to third floors with an adjoining warehouse building on ground floor only. Freehold Let to Metro Broadcast Ltd from 29th September 2006 until 31st August 2012, on a full repairing and insuring basis, subject to a schedule of condition and contracted out of the compensation and security of tenure provisions of the Landlord and Tenant Act 1954 (amended). There is a surety from WPP 2005 Ltd, the principal corporate vehicle for the WPP Group The rent is 400,000 per annum, reflecting 26 per sq ft on the offices and 15 per sq ft on the warehouse. Offers are invited in excess of 6.6 million, subject to contract and exclusive of VAT. A purchase price at this level would provide a net initial yield of 5.75% assuming costs of 5.75%. Location The Southbank area of Central London extends from Westminster Bridge in the west to Butlers Wharf in the east, along the south side of the River Thames. Over the last decade it has been one of the most dynamic areas of change in London. Recent significant infrastructure improvements include: The Jubilee Line extension, with stations in Waterloo, Southwark and London Bridge providing access in less than ten minutes to both the West End and Canary Wharf. Waterloo International Rail Terminus, home of the Eurostar. The new Millennium footbridge across the River Thames linking St. Paul s Cathedral and the acclaimed Tate Modern Gallery.

3 In addition to the above, detailed planning consent has been given for the substantial redevelopment of London Bridge Station, including an upgrade of Thameslink, and there are plans to redesign Blackfriars Station to create platforms on Blackfriars Bridge, thereby providing access for passengers from both sides of the Thames. These will further improve access to the many attractions of the Southbank, which include: The London Eye, The Southbank Arts Centre and Royal Festival Hall, The Old Vic Theatre, The Tate Modern, The Globe Theatre, Vinopolis, Borough Market, Southwark Cathedral, Conran s Gastrodome and The Design Centre. This combination of excellent new communications, and new exciting arts based infrastructure, has made Southbank one of the most fashionable parts of Central London. With the advantage of lower rents, rates, and capital values, it competes directly with the West End and Midtown.

4 53 LONDON SE1 n Royal Festival Hall WATERLOO BRIDGE BELVEDERE ROAD YORK ROAD Royal National Theatre Haywood Gallery VICTORIA EMBANKMENT UPPER GROUND EXTON ST STAMFORD STREET BAYLIS RD WATERLOO ROAD ROUPELL ST THE CUT WEBBER STREET 3 BLACKFRAIRS BRIDGE BLACKFRIARS ROAD RUSHWORTH ST WEBBER STREET HOLLAND ST 6 UNION STREET GT UPPER THAMES ST Globe Theatre Tate Modern SUMNER STREET SOUTHWARK STREET 7 Gt. Suffolk St SUFFOLK ST 5 SOUTHWARK BR RD MARSHALSEA RD SOUTHWARK BRIDGE UNION STREET SOUTHWARK ST Southwark Cathedral Borough Market BOROUGH HIGH STREET LONG LANE LONDON BRIDGE TOOLEY ST ST THOMAS ST There are also a number of substantial office developments, under construction, consented or proposed, which will change the location considerably. These include: 1) 1 Palestra: 300,000 sq ft new offices developed by Royal London and Blackfriars, at the junction of Union Street and Blackfriars Road, opposite Southwark Underground Station. Entirely let to Transport for London who have just completed their fitting out. 2) 2 Travelodge Hotel, Union Street: 201 room hotel, under construction. Completion Blackfriars Road: 90,000 sq ft office consent. Due to start Mid ) Blackfriars Road: 188,000 sq ft office application. Possible start ) 5 Bankside 1, 2 and 3: Phase 1(500,000sq ft) has been sold to IPC. Work has started on Phases 2 and 3, totalling over 450,000sq ft, which are being developed speculatively by Land Securities. 6 Bankside 4, Sumner Street & Holland Street: Richard Rogers proposal for a 229 unit residential scheme. Possible start ) 7 Union Street: 30,000 sq ft office consent. Start In addition developers are pursuing a number of mixed use schemes commercial and residential, both private and social housing, student accommodation and hotels.

5 Crown Copyright All rights reserved. Licence number Site The site is rectangular with a frontage to Great Suffolk Street of 89 ft, and to Loman Street and Copperfield Street of 112 ft. The total site area is approximately 10,080 sq ft. Situation The property lies on the east side of Great Suffolk Street between its junctions with Copperfield Street and Loman Street. Southwark tube station is situated about 400 metres to the north-west of the property and Waterloo and London Bridge Mainline and Underground stations are both within 10 minutes walk. The immediate area is characterised by many period warehouse style buildings, which have been converted to offices. These are popular with occupiers looking for a contemporary image.

6 53 LONDON SE1 The Property A period warehouse building, comprehensively refurbished and converted to offices on ground to third floors, with an adjoining warehouse building on ground floor only. The buildings are brick built, under modern pitched roofs. Large, double-glazed windows on the sides of the main building provide excellent light. The specification includes an 8-person passenger lift, staircases at front and rear, toilet facilities on all floors, air-cooling and perimeter central heating. The ground floor of the main building provides a large reception area, meeting rooms, partitioned studio/sound rooms and offices. The first floor is mainly open plan with suspended ceilings, category 2 lighting and fully accessible raised floors. The second floor is also mainly open plan and loft style with attractive, exposed, metal trusses under the pitched roof that has been boarded and painted white. There is a small mezzanine floor at the rear. The third floor comprises a single room accessed by a staircase at the front of the building. Accommodation The property provides the following approximate net areas: Floor Use Sq ft Sq m Ground Offices (NIA) 3, Warehouse (GIA) 4, st floor Offices 4, nd floor Offices nd floor Offices 3, nd floor mezz. Offices rd floor Store Total 17,597 1,635 Planning The property lies within the jurisdiction of Southwark Borough Council. It is not listed, nor is it within a conservation area.

7 In the rating list the property is listed as warehouse, offices and premises and we believe that the current lawful use is the actual use, i.e. B1 offices and ancillary, B8 storage and warehousing. Tenure Freehold Absolute. Tenancies The property is subject to a lease to Metro Broadcast Ltd from 29th September 2006 until 31st August 2012, at a rent of 400,000 per annum, on standard institutional terms, on a full repairing and insuring basis. There is a schedule of condition which relates to a number of specific repairs to brickwork. This can be made available on request. The lease is contracted out of the compensation and security of tenure provisions of sections of the Landlord and Tenant Act 1954 (amended). Covenant Metro Broadcast Ltd have a D&B rating of 2A1, based on a tangible net worth of 6.3m and minimal risk. They were formed in 1980 and employ 150 people. Their last available accounts are for the year ending 31/12/2005, when they made a pre-tax profit of 528,967 on a turnover of million. The lease is guaranteed by WPP 2005 Ltd, the principal corporate vehicle for the WPP Group Business. Income The total current income is 400,000 per annum exclusive, reflecting psf overall, 26 psf on the offices and 15 on the warehouse. Development Potential The property offers significant redevelopment potential subject to planning, either through intensification of the existing use or for alternative uses for example private residential, student housing or budget hotel. Informal advice has indicated over 40,000 sq ft of net accommodation could be created on the site. Indicative drawings can be made available on request.

8 53 LONDON SE1 Terms We are instructed to seek offers in excess of 6,600,000 for the freehold interest, subject to contract and exclusive of VAT, a price reflecting a net initial yield of 5.75% after estimated purchase costs at 5.75%, and a price of 375 psf. VAT The property has not been elected for VAT which will not be payable on the purchase price. For further information and to view the property please contact: Andy Verschoyle ajv@kinglypartners.com Paul Rowntree pr@kinglypartners.com Alternatively please contact our joint agent: The James Stewart Property Consultancy Ian Smyth ian.smyth1@btopenworld.com NOTICE Messrs Kingly Partners LLP and The James Stewart Property Consultancy for themselves and for the vendors of this property, whose agents they are, give notice that: (i) These particulars are only for the guidance of prospective purchasers and do not form part of any offer or contract. (ii) Whilst the information contained herein is issued in good faith, neither the firm nor its clients guarantee its accuracy and it is not to be relied upon as statements or representation of fact. (iii) Any intending purchasers must satisfy themselves as to the correctness of each of the statements made herein. (iv) The vendor does not make or give, and neither the firm nor any of their employees have any authority to make or give, any representation or warranty whatever in relation to this property. (v) Nothing in these particulars constitutes a statement that the property and/or any services or facilities are in good condition or working order. (vi) These particulars were completed in April (vii)kingly Partners LLP and The James Stewart Property Consultancy will not be liable, in negligence or otherwise, for any loss deriving from these particulars. April 2007