SHEFFIELD 11/15 FARGATE & 18/36 CHAPEL WALK PRIME RETAIL PARADE WITH ASSET MANAGEMENT OPPORTUNITIES. Sat Nav Ref: S1 2HD

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1 SHEFFIELD 11/15 FARGATE & 18/36 CHAPEL WALK PRIME RETAIL PARADE WITH ASSET MANAGEMENT OPPORTUNITIES Sat Nav Ref: S1 2HD

2 INVESTMENT HIGHLIGHTS Sheffield is England s fourth largest city in terms of population and the principal retailing and commercial centre for South Yorkshire. 100% Prime retail frontage onto Fargate and Chapel Walk. Significant asset management opportunity, including the conversion of the 23,303 sq ft of upper parts into student accommodation. Let to tenants including H Samuel, Paperchase, Accessorize and Claire s. Low rebased rents on Fargate. Freehold Current Net Income: 497,384 per annum Offers in excess of: 5,910,000 (Subject to contract & exclusive of VAT) A purchase at this level would reflect a net initial yield of 8.25% for the income producing element and 225,000 for the vacant upper parts, assuming purchaser s cost of 5.80%.

3 Harrogate York Keighley A64 Blackpool M55 M6 Blackburn Bradford LEEDS M1 M65 M62 Wakefield Southport M61 Bolton M66 M62 Huddersfield M1 Barnsley A19 M18 Doncaster LIVERPOOL M6 Warrington MANCHESTER M60 Stockport A628 Peak District National Park Rotherham SHEFFIELD A1(M) M53 M56 A61 Worksop M6 LOCATION Sheffield is the commercial centre for South Yorkshire and the major retailing destination for the region. The city is located approximately 33 miles south of Leeds, 22 miles west of Doncaster, 38 miles east of Manchester and 175 miles north of London. Communications to Sheffield are excellent. The M1, Junction 4 is located 4.5 miles to the north east providing direct access to Leeds to the north and Nottingham and London to the south. The city has a light railway service called the Supertram, which has 3 main routes within the centre. The tram network has been undergoing a 32 million upgrade, with phase 2 recently completed and phase 3 due to start in spring 2015, with a new tram link anticipated between Sheffield and Rotherham in 2016 Sheffield Railway Station provides regular trains to London St Pancras, with a travel time of two hours. Sheffield Robin Hood Airport is located approximately 12 miles to the north east of the city, while both Leeds Bradford and Manchester International Airport are located within a one hour drive.

4 100% Prime retail frontage onto Fargate and Chapel Walk SITUATION Fargate occupies a 100% prime retailing location within the pedestrianised city centre. Other retailers in the immediate vicinity include: Chapel Walk offers arcade shopping and is the primary thoroughfare from the prime Fargate to Norfolk Street. DESCRIPTION The property consists of eight retail units arranged over the ground floor and basement, with two fronting Fargate and six fronting Chapel Walk. The first, second, third, fourth and fifth floors are currently vacant and consist of 23,303 sq ft of accommodation. We feel that this space would be well suited to be converted into student accommodation (subject to obtaining any necessary consents including planning). DEMOGRAPHICS 637,000 primary catchment population, with a large proportion within the age band.* *Source: PROMIS 60,000 student population attending the University of Sheffield and Sheffield Hallam University.*

5 Let to tenants including H Samuel, Paperchase, Accessorize and Claire s RETAILING IN SHEFFIELD Sheffield has an estimated city centre retail floorspace of 1.67 million sq ft, with the city s shopping population estimated to spend 1,458 million on comparison goods every year (Source: PROMIS). The city s prime retail pitch is the pedestrianised Fargate, which runs in a linear pitch from High Street to the north east down to Pinstone Street to the south. The High Street benefits from excellent communication links being situated adjacent to the busy Castle Square tram stop and a number of bus stops serving the city centre. To the immediate south of Fargate is Orchard Square. This is a managed scheme totalling 120,000 sq ft, which was built in the 1980 s. It is centred around a courtyard, with retailers including TK Maxx, Evans, River Island and Waterstones. Further to the south of Fargate is The Moor, which is currently undergoing an extensive refurbishment programme. A number of retailers have recently commited to Fargate. The most recent deal being the open market letting to Pandora at 16 Fargate in October 2014 at a rent reflecting 170 Zone A. We feel that this offers excellent scope for growth in the subject property.

6 COVENANT INFORMATION We highlight the key tenants most recently available financial information below: H Samuel Ltd Year Ending 01/02/ /02/ /01/2012 Turnover 233,100, ,450, ,166,000 Pre-Tax Profit 9,477,000 9,902,000 13,097,000 Net Worth 97,178,000 90,232,000 81,180,000 Paperchase Products Ltd Year Ending 01/02/ /02/ /01/2012 Turnover 95,849,000 84,891,000 77,590,000 Pre-Tax Profit 741, , ,000 Net Worth 20,758,000 20,159,000 19,730,000 Claire s Accessorise UK Ltd ASSET MANAGEMENT The upper parts are currently vacant, offering 23,303 sq ft of accommodation. We feel that this space would provide an excellent opportunity for a student accommodation conversion (subject to obtaining any necessary consents including planning). There is a high demand for student accommodation in the city and we feel that the city centre location would be appealing to students attending either of the two Universities in Sheffield. More information available upon request. Year Ending 01/02/ /02/ /01/2012 Turnover 120,629, ,666, ,507,000 Pre-Tax Profit 7,917,000 3,232,000 ( 719,000) Net Worth 16,167,000 16,860,000 14,232,000 Monsoon Holdings Ltd Year Ending 31/08/ /08/ /08/2011 Turnover n/a n/a n/a Pre-Tax Profit 7,194,815 5,809, ,840,734 Net Worth 30,412,503 30,481,136 31,185,165

7 TENANCY Demise Tenant Name Basement Ground ITZA First Floor Further upper parts Lease Start Next Review date Lease Expiry First Break Date 11 Fargate Paperchase Products Limited 2,129 2,592 1, (T) 155, Fargate H Samuel Limited 1,626 1, , Chapel Walk Claire's Accessories UK Ltd (T) 32,500 Passing Rent Landlord Shortfall Comments Rent Free until 12/07/2015. To be topped up by the vendor. Break subject to six months notice and penalty of 38,750 plus VAT. Monthly rent. Rolling break option from subject to three months notice. Monthly rent. 20 Chapel Walk Monsoon Holdings Limited ,500 Tenant currently holding over Chapel Walk Guarantee 2,279 1,709 1,128 2 years 67,750-10% adjustment for quantum. 30 Chapel Walk UK Candy Co Limited (T) (T) 32 Chapel Walk Whewell and Weger Ltd (T) 35, Chapel Walk Jean Claude Gree & Stephen Moran 18, (T) 15, Break subject to six months notice. Rent deposit held 5,400 Break subject to six months notice. Repairing obligation is subject to schedule of condition. Break subject to six months notice. Repairing obligation is subject to schedule of condition. First and Second Floor Shortfall guarantee 13,966 0 Conversion potential Third Floor Shortfall guarantee 3,067 0 Conversion potential Fourth Floor Shortfall guarantee 3,135 0 Conversion potential Fifth Floor Shortfall guarantee 3,135 0 Conversion potential Elec Sub Stn Yorkshire Electricity Group ,250 Equipment Sheffield City Council TOTAL 7,038 9, , , Total current income 498,000 Landlord shortfall 616 Total net rent 497,384 TENURE Freehold

8 VAT The property is elected for VAT and it is proposed that the sale will be treated as a Transfer of Going Concern (TOGC). PROPOSAL GUARANTEE We are seeking offers in excess of 5,910,000 (Five million, nine hundred and ten thousand pounds), subject to contract and exclusive of VAT. A purchase at this level would reflect a net initial yield of 8.25% on the net contracted income and 225,000 for the vacant upper parts, assuming purchaser s costs of 5.80%. EPC Further information is available upon request. SUBJECT TO CONTRACT FURTHER INFORMATION Thomas Heptonstall +44 (0) thomas@fawcettmead.co.uk Jonathan Mills +44 (0) jonathan@fawcettmead.co.uk Great Portland Street London W1W 8QA fawcettmead.co.uk Misrepresentation Act: The particulars in this brochure are believed to be correct, but accuracy cannot be guaranteed and they are expressly excluded from any contract. Designed by Graphic Outlines Ltd May 2015