PRIME CAR SUPERMARKET INVESTMENT Motorpoint Birmingham, 2 Lichfield Road, Birmingham, B6 5SU

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1 PRIME CAR SUPERMARKET INVESTMENT Motorpoint Birmingham, 2 Lichfield Road, Birmingham, B6 5SU

2 SUMMARY Established highly prominent modern car supermarket, within a 5 minute drive of Junction 6 of the M6 Motorway (Spaghetti Junction) Located a mile north of Birmingham city centre Built accommodation extends to approximately 68,002 sq ft (6,318 sq m) on a total site area of 5.59 acres (2.26 hectares) Let on a term of 15 years from July 2013 A reversionary lease will be in place extending the term certain to 15 years from completion Passing rent of 450,000 per annum Let to Motorpoint Limited, who have a D&B rating of 4A1 Seeking offers in the region of 7,500,000, which reflects a net initial yield of 5.63%, assuming purchaser s costs of 6.66% LOCATION Birmingham, is located in the centre of the West Midlands Metropolitan Borough and is the largest and most populous city outside of London. The main dealership property fronts the northbound carriageway of Lichfield Road (A5127) and is located between Park Road and Upper Portland Street. The vehicle compound is located directly behind the dealership and is situated off Park Road. Lichfield Road runs approximately parallel to the A38 (M) and provides access to Junction 6 of the M6 Motorway (Spaghetti Junction) and Birmingham City Centre. Development within the immediate vicinity is mixed comprising a combination of employment uses. To the east of the property is a substantial East End Foods cash and carry and directly adjacent are a number of trade counter units containing occupiers such as Screwfix, Crown Decorator Centre, Jonstones Paints and Toolstation. Immediately adjacent are a number of vehicle retailing businesses including Harley Davidson and an Evans Halshaw car store. Other vehicle dealership representation is well dispersed throughout the city and includes representation for all the premium and volume franchises. DESCRIPTION The subject property comprises a modern, detached two storey used car dealership with supporting separate storage compound. The property is constructed around a steel portal frame with profile clad and glazed elevations. It provides for showroom, office, workshop and ancillary accommodation. The property has three access points, one of which is directly off of Lichfield Road (A5127). The compound can be accessed via Park Road, which links directly to the Lichfield Road. Internally the property benefits from three large showrooms. The first showroom can accommodate for approximately 30 display vehicles and also includes the main sales administration area. Located off the first showroom is access to a second showroom/ display area which links to the covered display area. This area, including the covered display, can accommodate approximately 150 display vehicles. A third showroom area is accessed from the main sales area and can accommodate approximately 30 display vehicles. Located at the rear of the property is the workshop, PDI and valet bays. The first floor accommodation consists of a large network of offices and ancillary accommodation for staff, including canteens, kitchenettes, staff changing and looker rooms.

3 SCHEDULE OF ACCOMMODATION Area Use sq m sq ft Ground Internal showrooms 3, ,591 Offices ,824 Workshop ,512 Valeting ,580 Ancillary ,017 First Ancillary ,479 Office ,999 TOTAL 6,318 68,002 Motorpoint Limited have a Dun and Bradstreet Financial Rating of 4A1. Motorpoint are now perceived as the market leader in terms of used vehicle sales across the UK and financial information relative to this company can be summarised as follows: 31 st March st March st March 2013 Sales Turnover 563,140, ,910, ,745,560 Profit/ (loss) before taxes 9,548,538 8,284,809 1,758,733 Tangible Net Worth 25,052,368 19,495,216 13,189,083 Net Current Assets (liabilities) 28,476,397 22,653,330 21,114,148 Use Spaces External Display 100 Covered Display 150 Prep Parking 40 Customer Parking 60 Spaghetti Junction Compound 350 TOTAL 700 Aston Expressway TENANCY The property is let to Motorpoint Properties Limited for a term of 15 years from 26 July 2013, expiring in 26 July The current passing rent is 450,000 per annum with the next rent review on 26 July The rents are reviewed to open market rental value on a five yearly basis. Important note: A reversionary lease is being prepared to extend their lease to give a term certain of 15 years, with the option to extend for a further 10 years. COVENANT The operating company is now known as Motorpoint Ltd, having historically been known as Motorpoint of Derby limited. The company was originally established in 1998, and over the last 17 years the company has acquired additional premises throughout the UK at Burnley, Birtley, Chingford, Oldbury, Sheffield and Widnes amongst others. Subject Property Birmingham City Centre

4 INVESTMENT COMPARABLES Property Size Price /Net initial yield Date Covenant Lease terms Motorpoint, 36,595 sq ft (3,399 sq m) 5,755,000 / 5.75% Under Offer 4A1 15 years from date of completion. Oldbury 5.33 acres Volkswagen, Redditch 20,795 sq ft (1,931 sq m) 2.56 acres 3,2450,000 / 6.01% Under Offer 5A1 9 years unexpired. BMW and Volvo, Warwick 38,216 sq ft (3,550 sq m) 3.86 acres 8,950,000/ 6.75% October A1 6 years unexpired. Volkswagen, Leicester 39,658 sq ft (3,658 sq m) 3.05 acres 5,280,000 / 5.9% August A1 10 years unexpired. Honda, Land Rover and Mazda, Birmingham 70,629 sq ft (6,562 sq m) 6 acres 17,000,000 / 4.75% June A1 20 years from date of completion. Honda, Halesowen 11,461 sq ft (1,064 sq m) 1.1 acres 2,850,000 / 6.43% June 2016 N years unexpired.

5 SITE AREA The total site area extends to 5.59 acres (2.26 hectares). The dealership element extends to 3.90 acres (1.58 hectares) and the compound extends to 1.69 acres (0.68 hectares). ENVIRONMENTALS Prospective parties will need to undertake their own investigations to satisfy themselves on environmental issues. EPC The property has a rating of C-72; a copy of the certificate is available on request. LEGAL COSTS Each party is to be responsible for its own legal and professional fees in connection with this transaction. VAT The property is elected for VAT. It is intended the sale will be undertaken as a TOGC. PROPOSAL We are instructed to seek offers in the region of 7, , (Seven Million, Five Hundred Thousand Pounds), subject to contract and exclusive of VAT. A purchase at this level would reflect a net initial yield of 5.63%, assuming purchasers costs of 6.66%. FURTHER INFORMATION AND VIEWING Please contact Colliers International and Nigel Griffiths and Company: Nigel Griffiths David Chittenden John Roberts nigelgriffithsuk@yahoo.co.uk david.chittenden@colliers.com john.roberts@colliers.com Disclaimer Colliers International and Nigel Griffiths and Company gives notice that these particulars are set out as a general outline only for the guidance of intending Purchasers or Lessees and do not constitute any part of an offer or contract. Details are given without any responsibility and any intending Purchasers, Lessees or Third Party should not rely on them as statements or representations of fact, but must satisfy themselves by inspection or otherwise as to the correctness of each of them. No person in the employment of Colliers International has any authority to make any representation or warranty whatsoever in relation to this property. November 2016 Colliers International Property Advisers UK LLP which is a limited liability partnership registered in England and Wales with registered number OC Our registered office is at 50 George Street, London W1U 7GA