31-33 PERRYMOUNT ROAD

Transcription

1 TOWN CENTRE SOUTH EAST OFFICE INVESTMENT LET TO LLOYDS BANK PLC PERRYMOUNT ROAD HAYWARDS HEATH RH16 3BN

2 Office investment located in an affluent South East town Investment Summary Office investment totalling 30,055 sq ft located in the affluent South East Market Town of Haywards Heath. Perrymount Road is the prime office location in Haywards Heath. Let in its entirety to Lloyds Bank plc, for a term of 10 years from the 24th June 2011, with an unexpired term of approximately 5.5 years. Passing rent of 485,000 per annum equating to a low overall rate of per sq ft. 90 car parking spaces offering a generous town centre ratio of 1:334 sq ft. Excellent asset management opportunities including conversion to alternative uses subject to usual planning consents. The property is located 300m from the train station which is undergoing a 35m facelift and boasts a direct journey time to central London of 45 minutes. We are seeking offers in excess of 6,250,000 for the freehold interest, subject to contract, reflecting a net initial yield of 7.33% and a low capital value of 208 per sq ft allowing for normal purchasers costs of 5.80%

3 Location Haywards Heath is an affluent town located in West Sussex, 40 miles south of London and 15 miles north of Brighton. Situation The property is situated on Perrymount Road, the premier office location in the town. It is also the main thoroughfare between the train station and the town centre. Office development dominates the western side of the road while the eastern side is predominantly residential. The town has a population of approximately 25,000 and has a thriving business community supported by its wealthy catchment population. It benefits from excellent transport communications and a town centre offering superb levels of amenity. Unemployment is low at only 0.4% of the population, with 55% of workers in professional, technical and managerial positions compared with 41% nationally. Haywards Heath has an extensive retail and leisure offer; Orchards Shopping Centre is home to retailers including Marks & Spencer and Next, while Boots, Curry s PC World and WHSmith are present on South Street. The southern part of Perrymount Road is the main leisure pitch with Cote Brasserie, Zizzi, Café Rouge and Prezzo all represented together with numerous independent restaurants and cafés. A new Waitrose supermarket will form part of the new Haywards Heath Station Quarter development, further improving amenities. BANNISTER WAY MARKET PL. SYDNEY RD. MILTON RD. Haywards Heath Rail Station CLAIR RD PADDOCKHALL RD. BOLTRO RD. PERRYMOUNT RD. Clair Park OATHALL RD. A3 HEATHROW M3 A3 GUILDFORD A272 REIGATE A22 A24 M23 GATWICK CRAWLEY A23 LONDON CITY LONDON CROYDON M25 HAYWARDS HEATH A272 A26 M20 SEVENOAKS UCKFIELD A2 ROYAL TUNBRIDGE WELLS ROCHESTER MAIDSTONE M2 SHEERNESS M20 ASHFORD Communications Road connectivity is excellent; the A272 is the main road serving the town which provides access to the A23 and M23 motorway 9 miles to the north. This connects Brighton to the south with Crawley and London to the north. The train station is located approximately 300 metres from the property and provides access to regular rail services to London Bridge, London Victoria, as well as Blackfriars and Kings Cross via Thameslink, with a journey time of approximately 45 minutes and up to 12 services per hour. The Haywards Heath Station Quarter is currently undergoing a 35m improvement programme, which will provide new access and reduce the walking distance from the property. R LEWES London Gatwick International Airport is located 12 miles to the north.

4 TRA INS T O BR IGHT ON PERRYMOUNT ROAD BURRELL ROAD BUSINESS PARK TOWN CENTRE 35M REGENERATION OF HAYWARDS HEATH STATION QUARTER SAINSBURY S HAYWARDS HEATH STATION TRAINS WAITROSE DEVELOPMENT COLLINSON INSURANCE CLAIR PARK TO LO NDON

5 1 DESCRIPTION The detached property comprises an office building of framed construction set over 4 floors with surface level and undercroft car parking to the rear. There is a glazed, double height reception area to the front The office accommodation provides largely open plan floor plates with good levels of natural light. The internal specification comprises solid floors with under floor trunking, suspended ceilings, CAT 2 lighting and double glazed windows. The Tenant has recently upgraded the air conditioning system. The building benefits from two passenger lifts together with male and female WC s on each floor and a shower on the ground floor. The property benefits from 90 car parking spaces, providing a generous ratio of 1:334 sq ft. ACCOMMODATION The property has been measured in accordance with RICS Property Measurement 1 st Edition and provides the following net usable areas: 37 to 39 Sq m Sq ft Third ,841 Arlington Court Second ,712 Oakfield House First ,168 El Sub Sta 35 Ground ,964 Reception Total 2, ,055 SITE The property occupies a rectangular shaped site extending to 0.32 hectares (0.79 acres). Tenure Battery Room Central House 25 to to 33 PERRYMOUNT ROAD 62.1m El Sub Sta Freehold to Jireh Court

6 TENANCY The property is fully let to Lloyds Bank plc, for a term of 10 years from 24 June 2011, thus having an unexpired term of approximately 5.5 years. The tenant has been in occupation since The passing rent is 485,000 per annum, reflecting psf. COVENANT Company Registration No: MARKET COMMENTARY Investment demand for South East offices continued to grow through 2015 with total volumes for the year in excess of 3.9bn across 183 transactions. The 2014 total of 2.5 billion has been easily surpassed and there remains a depth of demand from investors wishing to enter the market. This is being driven by strong underlying fundamentals and long-term confidence in the strength of the South East economy, which has supported a strong performance in the occupational market. Strong town centre locations with high underlying land values have performed well as investors seek comfort in longer term redevelopment options to underpin values. Date Property Area (sq ft) Dec 15 Wharf House, Tonbridge 13,799 Tenant West Kent Primary Care Trust WAULT (Years) Price NIY Cap Val (psf) m 6.30% 238 Purchaser The Ancient Order of Foresters Friendly Society Ltd Lloyds Bank was formed in 1765 and is one of the most recognised banks on the UK high street. It forms part of Lloyds Banking Group, a FTSE 100 listed company with a market capitalisation in excess of 47.43bn. Dec 15 Dec 15 Nov Clarendon Road, Watford DeVille Court, Weybridge 1 Suffolk Way, Sevenoaks 29,830 Regus m 5.82% 314 Canada Life 10,708 Accolade Wines m 5.92% 608 Elmbridge Borough Council 14,500 Multi-let m 6.29% 337 RO Real Estate 31 December December December 2012 Turnover 40,761,000,000 53,977,000,000 55,410,000,000 Pre-Tax Profit 2,289,000, ,000, ,000,000 Net Worth 48,777,000,000 43,739,000,000 48,401,000,000 Aug 15 Prospect House, Sevenoaks 8,906 Elkington & Fife LLP m 5.52% 382 Drapers Livery Company Aug 15 Metropoint, Croydon 40,564 Secretary of State m 5.85% 389 AA Homes Jun15 High Trees, Hemel Hempstead 14,329 Multi-let m 7.25% 164 Private Investor ASSET MANAGEMENT The property affords numerous medium term asset management opportunities, including: Regearing the lease with Lloyds Bank plc Upgrading the building at the point of lease expiry to provide Grade A accommodation Conversion to alternative use including residential or hotel subject to usual planning consents. Prime office rents currently stand at psf offering potential to capture growth off the low passing rent of psf. The nearby centres of Crawley and Brighton have experienced tangible rental growth in excess of 10% in the last two years. Haywards Heath is an affluent town located within 45 minutes of London by train, putting it within the commuter belt. Residential values in the town are as high as 400 per sq ft.

7 HAYWARD HEATH REGENERATION Haywards Heath Station forms part of a 35 million redevelopment project being carried out by Solum Regeneration, a partnership between Network Rail and Kier. The scheme is due to complete in late 2016 and will provide a number of major improvements: A new 30,000 sq ft Waitrose store with its own parking. An improved integrated transport hub at the station. A three level multi-storey dedicated station car park providing over 1,000 spaces. A substantial new enclosed footbridge linking the car park, platforms and Boltro Road. A radically enhanced public realm around the station. Improved pick up and drop off facilities. This is a great example of how the railway industry can work with other partners to attract investment that benefits local economies Tim Robinson, Network Rail

8 EPC The property has an EPC rating of C and a score of 67. A copy of the EPC is available upon request. VAT The property is not elected for VAT. PROPOSAL We are seeking offers in excess of 6,250,000 for the freehold interest, subject to contract, reflecting a net initial yield of 7.33% and a low capital value of 208 per sq ft allowing for normal purchasers costs of 5.80%. CONTACT For further information or to arrange an inspection, please contact: Charlie Lake clake@lsh.co.uk Matt Jones mhjones@lsh.co.uk James Shaw jashaw@lsh.co.uk UK House, 180 Oxford Street London W1D 1NN T: F: Misrepresentation Act 1967: Lambert Smith Hampton for themselves and for the vendor(s) or lessor(s) of this property whose agents they are, give notice that: 1. These particulars do not constitute, nor constitute any part of, an offer or contract. 2. None of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact. 3. Any intending purchaser or lessee must satisfy himself by inspection or otherwise as to the correctness of each of the statements contained in these particulars. 4. The vendor(s) or lessor(s) do not make or give and neither Lambert Smith Hampton nor any person in their employment has any authority to make or give, any representation or warranty whatever in relation to this property. Finance Act 2013: Unless otherwise stated all prices and rents are quote exclusive of VAT. The Business Protection from Misleading Marketing Regulations 2008: These details are believed to be correct at the time of compilation but may be subject to subsequent amendment. All maps and plans are for indicative purposes only. Lambert Smith Hampton: February 2016 Produced by Barbican Studio: +44(0)