ockleston bailey 86 NEWBOROUGH, SCARBOROUGH YO11 1ET PRIME FREEHOLD RETAIL INVESTMENT AND DEVELOPMENT OPPORTUNITY

Transcription

1 ocklesto bailey retail leisure ivestmet 86 NEWBOROUGH, SCARBOROUGH YO11 1ET PRIME FREEHOLD RETAIL INVESTMENT AND DEVELOPMENT OPPORTUNITY LET TO J G FOODS LIMITED TRADING AS GRAPE TREE

2 Ivestmet Summary Prime corer tradig locatio. The groud floor retail uit has bee let to J G Foods Limited tradig as Grape Tree (Compay No ) by way of a 10 year effective full repairig ad isurig lease with a service charge provisio from 1 Jue 2017, subject to a upward oly ret review i 5th year. The lease cotais a teat oly optio to determie o 6th aiversary of the term upo servig 6 moths prior writte otice. The curret retal is 37,500 p.a.x. The curret retal offers excellet growth prospects off a Zoe A of 55 after allowig 2.5% additio for the retur frotage. The first, secod ad third floors are vacat with a separate access off North Street. Subject to plaig the upper parts would be suitable for a residetial coversio ad prelimiary desigs idicate 2 two bedroom flats ad 3 oe bedroom flats. The property has bee registered for VAT purposes ad it is assumed that the trasactio will be dealt with as a TOGC. Freehold. There is a right of way i favour of the teat of 86/87 Newborough (Clarks) at groud floor level as a fire escape dischargig ito North Street. We are istructed to seek offers for our cliets freehold iterest i excess of 535,000. Assumig a value of 25,000 for the vacat upper parts, a purchase at this level would reflect a Net Iitial Yield of 7% after deductig 4.75% for purchasers costs o the retail elemet. Locatio Scarborough is a popular orth easter seaside tow located i Yorkshire approximately 40 miles (64 km) orth east of York ad 42 miles (67 km) orth of Hull. It is the mai tow o the south side of the North Yorkshire Moors Natioal Park ad as such, beefits from a strog tourist idustry, especially durig the summer moths. The tow beefits from good commuicatio liks with the A64 providig access to York which is 40 miles (64 km) to the south west. The A165 provides access to Hull which is 42 miles (67 km) to the south, ad the A171 provides access to Middlesbrough which is 47 miles (76 km) to the orth west. Scarborough railway statio provides direct Tras-Peie express services betwee Scarborough, Leeds, Machester ad Liverpool. The earest iteratioal airport is Leeds Bradford Airport which is located 68 miles (109 km) to the south west. I 2014 the airport hadled approximately 3,275,000 passegers. Catchmet ad Demographics Scarborough raks first o PMA Competitio Idicator (PROMIS) with 80% of expediture retaied withi the tow. Scarborough s total catchmet populatio is 148,000 (PROMIS) with the tow beefitig from a captive catchmet ad the closest sigificat competig retail cetre of York ad Middlesbrough beig over oe hour s drive away. Comfortable Commuities accout for the highest proportio of residets (42%), sigificatly higher tha the Yorkshire ad Humber average. The proportio of Mature Moey is 8% above the GB Average (CICI). Per capita retail expediture i Scarborough is broadly i lie with the PROMIS cetre average. The tow beefits from aroud 7 millio aual visitors ad spedig is estimated at 522.4m i 2014, with almost a quarter of this sped fallig ito the retail sector. Accordig to T&S/Visit Eglad figures released i Jue 2016, the Borough of Scarborough is oe of Eglads top five most visited destiatios based o total domestic trips ad the total sped over a 3 year period betwee 2013 ad 2015 ad fiished secod oly to Lodo based o domestic holiday trips ad holiday sped over the same period. The umber of day visitors icreased by 27% betwee 2006 ad % of jobs i the tow are liked to tourism, 29% i public admiistratio, educatio ad health sectors, 11% i maufacturig ad 14% of the workig populatio are self employed (PROMIS). The NHS is the largest employer i Scarborough with 2,400 staff followed by Cooplad & So (bakers) ad McCai Food with 1,300 ad 1,000 employees respectively. Retailig i Scarborough Scarborough is the leadig retail destiatio o the North Yorkshire coast. The tow cetre retail floor space is estimated at 1.70 millio square feet (81st of the PROMIS cetres) ad both the volume ad quality of retail provisio is sigificatly above average relative to the size of the shoppig populatio reflectig the importace of the tourist ad visitor sped to the tow. Retailig is focused aroud a cetralised pedestria prime retailig pitch o Westborough ad Newborough which rus east from Scarborough Railway Statio (situated approximately 350m to the west). The tow beefits from a umber of pay & display car parks i close proximity to the Subject Property ad i particular, Aberdee Terrace 480 spaces, St Thomas Street 123 spaces, Bruswick Shoppig Cetre 325 spaces, Kig Street 50 spaces. As with the majority of tows ad cities withi the Uited Kigdom, Scarborough has udergoe a re-basig of rets with a historic Zoe A toe of 105 ow at a re-based level of circa 65. Situatio The subject property occupies a prime, corer tradig locatio at the juctios of the pedestriaised Newborough ad North Street. Nearby multiple retailers iclude Clarks, Card Factory, Ediburgh Woolle Mill, EE, Bodyshop, Thortos, The Works, H Samuel, Greggs, Padora, Shoe Zoe, Marks & Specer, Greewoods, Savers, Poudworld, Pode Home ad TK Maxx.

3 Descriptio The property is arraged o groud, first, secod ad third floors ad is of brick costructio uder a pitched slate roof. The retail uit is arraged o groud floor oly ad accessed off Westborough. It has bee fitted out i the stadard Grape Tree livery ad offers a well cofigured sales area with the beefit of a retur frotage. The first, secod ad third floors, previously used as acillary accommodatio to the retail uit, beefit from a idepedet access of North Street. Developmet Opportuity Subject to obtaiig the ecessary Local Authority cosets, the vacat first, secod ad third floors would covert to residetial use. Architects have produced a idicative scheme showig five apartmets (2 two bed ad 3 oe bed). Further details are available o request. Accommodatio The accommodatio is arraged o groud, first, secod ad third floors with the followig approximate areas ad dimesios:- Descriptio ft/sq ft m/sq m Widow Frotage (Newborough) m Splay Frotage m Retur Frotage (North Street) m Iteral Width (maximum) m Shop Depth m Groud Floor Sales 1,116 sq ft 94.4 sq m ITZA 666 uits First Floor (vacat) 1,033 sq ft 96 sq m Secod Floor (vacat) 897 sq ft 83.3 sq m Third Floor (vacat) 652 sq ft 60.6 sq m

4 Right of Way 50 metres Copyright ad cofidetiality Experia, Crow copyright ad database rights OS Experia Goad Pla Created: 20/07/2017 Created By: Ocklesto Bailey For more iformatio o our products ad services: goad.sales@uk.experia.com

5 Teure Coveat Iformatio EPC The property is held freehold. There is a right of way i favour of the teat of 86/87 Newborough (Clarks) for a fire escape at groud floor level with access oto North Street. The fire escape is at the rear of the buildig. Teacy The groud floor retail uit is let to J G Foods Limited tradig as Grape Tree (Compay No ) by way of a 10 year effective full repairig ad isurig lease with a service charge provisio from 1 Jue 2017, subject to a upward oly ret review i 5th year at a curret retal of 37,500 p.a.x. The lease cotais a teat oly optio to break o the 6th aiversary of the term upo servig six moths prior writte otice. If the break clause is activated, the the teat will pay a ret pealty of three moths ( 9,375) plus VAT if applicable. The teat curretly beefits from a ret free period which expires o 1 December 2018 (teat payig half retal). The ladlord will top up the shortfall upo completio of a sale. J G Foods Limited tradig as Grape Tree operate from over 90 uits across the UK sellig a variety of health foods, uts, seeds, dries ad crystalised fruit, sacks, cofectioery, cookig ad bakig igrediets. We set out below the most recet fiacial iformatio available for the teat:- 31/12/ s 31/12/ s Turover 19,169,897 14,672, Pre-Tax Profit 707, , /12/ s Net Worth 1,206, , ,767 J G Foods Limited (Compay No ) has a ratig of 59 out of 100 represetig a average risk as defied by N2CHECK (part of Du & Bradstreet). The property has a ratig of D86. A certificate ad recommedatios are available o request. VAT The property has bee elected for VAT ad it is assumed that the trasactio will be dealt with as a TOGC. Produced by Word Perfect Prit. T: E: brochures@wordperfectprit.com

6 Proposal We are istructed to seek offers i excess of 535,000 subject to cotract ad exclusive of VAT. After allowig a sum of 25,000 i respect of the vacat upper parts, a purchase at this level would show a et iitial yield of 7% after deductig 4.75% for purchasers costs for the retail elemet. Further Iformatio For further iformatio, or to arrage a ispectio of the property, please cotact Hugh Ocklesto, Ocklesto Bailey Tel hugh@ocklestobailey.co.uk Subject to Cotract Misrepresetatio Act 1967 Ocklesto Bailey Ltd (ad their joit agets where applicable) for themselves ad for the vedors or lessors of this property for whom they act, give otice that : (i) these particulars are a geeral outlie oly, for the guidace of prospective purchasers or teats, ad do ot costitute the whole or ay part of a offer or cotract; (ii) Ocklesto Bailey Ltd caot guaratee the accuracy of ay descriptio, dimesio, refereces to coditio, ecessary permissios for use ad occupatio ad other details cotaied herei ad prospective purchasers or teats must ot rely o them as statemets of fact or represetatios ad must satisfy themselves as to their accuracy; (iii) o employee of Ocklesto Bailey Ltd (ad their joit agets where applicable) has ay authority to make ay represetatios or warraty or eter ito cotract whatever i relatio to the property; (iv) prices/rets quoted i these particulars may be subject to VAT i additio, (v) Ocklesto Bailey Ltd will ot be liable, i egligece or otherwise, for ay loss arisig from the use of these particulars. Date of publicatio: July 2017