18/22 GROVE STREET, WILMSLOW SK9 1DR PRIME FREEHOLD BANK INVESTMENT LET TO BANK OF SCOTLAND PLC T/A HALIFAX

Transcription

1 18/22 GROVE STREET, WILMSLOW SK9 1DR PRIME FREEHOLD BANK INVESTMENT LET TO BANK OF SCOTLAND PLC T/A HALIFAX

2 Investment Summary r Prime trading location. r A full repairing and insuring lease to Bank Scotland Plc (Company No.SC27000) trading as Halifax for 10 years from 2 June 2017, subject to an upward only rent review in 5th year. The lease expires on 2 June 2027 (9. years unexpired). r The current rental is 106,000 p.a.x. The current rental fers good growth prospects f a Zone A 57. r The property benefits from a separate access f Grove Street to the first floor. Part the first floor has been sublet to Wilmslow Physiotherapy and the sub tenant is currently holding over on a lease that expired on 20 June r The Bank no longer utilize the remaining first and the whole the second floors. With the benefit a separate access from both Grove Street and a substantial rear yard demised to the tenant fering approximately 7 car parking spaces and rear access, there exists a genuine asset management opportunity to regear the lease and potentially convert the upper parts to residential, subject to obtaining the appropriate consents or, let the accommodation as separate fice suites/as a whole. r Halifax have traded from this location for over 25 years. r The property has been registered for VAT purposes and it is assumed that the transaction will be dealt with as a TOGC. r Freehold. r We are instructed to seek fers for our client s freehold interest 1,900,000. A purchase at this level would reflect a net initial yield 5.25% after deducting purchasers costs 6.25%.

3 Wakefield A675 M6 A59 M61 Rochdale Location rk Huddersfield M66 Barnsley Oldham Wigan A65 Wilmslow is a thriving, prosperous Cheshire town and the third most affluent electorial ward in the M1 Ashton-under-Lyne Salford whole the Country. The Wilmslow area is one the most sought A628 after residential locations in the St Helens Golborne Stocksbridge UK and, together withm62 Knutsford and Alderley Edge, forms part Cheshire s Golden Triangle. M58 irkby L M62 Bury Bolton MANCHESTER M60 Wilmslow is located 11 miles (17.7km) south Manchester, 8 miles (12.8km) southwest Stockport, A57 Altrincham Warrington Stockport 6 miles (9.6km) northwest Macclesfield and 7 miles (59.5km east SHEFFIELD Chester. Widnes A6 Wilmslow area population approximately 5,000 persons rising to 48,000 M56 serves an urban Wilmslow A52 persons within a 6 mile (10km) radius and 1. million persons within 12 miles (20km).A61 A62 Frodsham Buxton A49 Northwich Macclesfield The town benefits from excellent communications with Junction 6 the M56 motorway being M6 within 5 miles the town centre. In addition,a54the A4 dual carriageway provides a direct link to A6 A54 Junction the M60 and a number outlying areas. Chester Congleton Manchester International Airport is located miles to the northeast Wilmslow, fering direct flights to over 200 destinations worldwide and serving approximately 19 million passengers a year. Clitheroe A586 Blackpool Guiseley Keighley Shipley A59 M55 Preston Burnley Bradford Accrington Blackburn LEEDS Halifax Batley M65 Leyland A GROVE ST VENTURE HOUSE Southport A59 Cle XP OS E Dr y Crosby N ws ag en ts OR MA TH R IN K GT O RA Ne RD S OX FA M Rochdale Oldham Wigan Kirkby Golborne M62 A57 Stockport WILMSLOW Wilmslow M56 A6 A62 A49 Buxton Northwich Macclesfield M6 Chester SHEFF A52 Frodsham Ellesmere Port IN Stocksbridge M60 M5 DR H ES AIR SE RS A628 MANCHESTER Altrincham Warrington Barfield House idgfords A65 Ashton-under-Lyne Salford St Helens Widnes Jordon Fishwick Huddersfield M58 LIVERPOOL Shoe Repairs M62 Bury Bolton M66 Bootle BA W M61 Ormskirk an ers A565 Meredith House A675 M6 A54 A54 Congleton A6

4 Economy and Demographics The town is predominantly populated by Class AB groupings (higher and intermediate managerial/administrative/pressional) uses. The table below highlights the town s prosperity. Wilmslow Nationally Symbols Success 41.% 9.7% Higher Managerial and Pressional Occupations 7.2% 21.7% Welfare Borderline 2.5% 6.2% Home Ownership 78.2% 68.% Car Ownership (2 or more) 42.4% 28.8% Employment Bias (banking, financial & business services) 26% 17.5% Unemployment 4.1% 7.1% In addition, American research company Waters Corporation has recently completed a 60 million Mass Spectrometry Headquarters fice building on 7 acres land, approximately 1 mile northwest Wilmslow town centre. Waters Corporation are consolidating into their new Wilmslow HQ from 4 locations throughout South Manchester and will bring over 500 employees to the site, with an additional 100 new positions created. Manchester Airport is already one the biggest employers in the North West (19,000 direct jobs and 42,500 supported) and is within miles Wilmslow town centre. In addition to strong forecast growth in the airport business itself, sites adjoining the airport are to be brought forward as Airport City one the largest ever regeneration and job creation projects in the UK. Manchester Airport Group has formed a Joint Venture Partnership with Beijing Construction Engineering Group, Carillion Plc, Greater Manchester Property Venture Fund and Argent to deliver a new international business destination and transport hub. Airport City is being created through phased delivery over the next 15 years at a cost 650 million. Upon completion, Airport City will provide up to:- r 1.4 million square feet logistics and industrial space. r 1 million square feet fices. r 650,000 square foot advanced manufacturing space. r 2,400 hotel beds. r 100,000 square foot ancillary retail accommodation.

5 Retailing in Wilmslow Prime retailing with Wilmslow is situated on the pedestrianised Grove Street which is home to numerous major national multiple retailers. In addition, Grove Street is ably supported by Water Lane and Alderley Road which contain numerous aspirational national retailers and restaurateurs. The town benefits from a number pay & display car parks in close proximity to the subject property and in particular (Water Lane multi-storey 08 spaces, behind Sainsburys 40 spaces, Alderley Road 10 spaces). As with the majority towns and cities within the United Kingdom, Wilmslow has undergone a rebasing rents with an historic Zone A tone 75 now at a rebased level circa 60. Situation The subject property occupies a prime trading location on the pedestrianised Grove Street being adjacent to Boots the Chemist. Nearby multiple retailers include Foot Asylum, Caffe Nero, William Hill, Monsoon, Waterstones, Vision Express, Clintons, Holland & Barrett, Thomson, Vodafone, Card Factory, Ryman, The Works, WH Smith and Clarks. Description Accommodation The premises are arranged on basement, ground, first and second floors with the following approximate areas and dimensions:- Description ft/sq ft m/sq m Window Frontage m Shop Depth m Ground Floor Sales,088 sq ft sq m Basement Ancillary 1,79 sq ft sq m First Floor (sublet accommodation) 1,78 sq ft 128 sq m First Floor Offices 1,99 sq ft 10 sq m Second Floor Offices 1,066 sq ft 99 sq m ITZA 1,551 units Asset Management The first floor benefits from a separate access to the sublet accommodation. The Bank no longer occupy the remainder the first floor or the entire second floor. The existing lease could be re-geared to demise the ground and basement only to the Bank with the first and second floors potentially fering a residential conversion, subject to obtaining the appropriate consents. Alternatively, the first and second floors could be let for their current fice use either as a whole, or as individual suites. The subject property is arranged on basement, ground, first and second floors and is a brick construction under a pitched, slate ro. In addition there is a substantial two storey brick built extension under a pitched, slate ro at the rear. The property has been fitted out in the standard Halifax livery with a modern banking hall and series meeting rooms at ground floor level. The basement accommodation is used for document storage, whilst the first and second floors fer fice accommodation. The front section the first floor has been sublet and is accessed via a separate access f Grove Street. There is a substantial rear yard accessed f Grove Avenue which provides parking for approximately 7 cars.

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7 Tenure The property is held freehold, subject to the tenancy listed below. The site area extends to 0.11 an acre (0.048 hectares). Tenancy The entire property is let to Bank Scotland Plc (Company No. SC27000) by way a 10 year full repairing and insuring lease from 2 June 2017, subject to an upward only rent review in 5th year, at a current rental 106,000 p.a.x. There is a rent free period to expire on 24 September 2018 which the vendor will top up to 106,000 p.a.x. LBs 6g TCB 6b 6 2d m 4 Bank Barons Court 1 2 Bank Square Bank 2 Ward Bdy TCB Swan Hotel SWAN STREET 4 10 PC Bowling Green Grove Street, Wilmslow 2 6e 4 2a 5 4 to 6 Bank Chambers Bank Club Bank Place Kingswood Court GROVE AVENUE Cypress House El Sub Sta 8 Grove Avenue b Bank Shelters 1 to to 20 St Teresa's Church St Anns House 14 0m 10m 20m 0m Grove Street 7 Ordnance Survey Crown Copyright All rights reserved. Licence number Plotted Scale - 1: c 1 REEN LANE Presbytery St Ann's

8 Covenant Information Halifax operate as a trading division Bank Scotland, itself a wholly owned subsidiary Lloyds Banking Group. We set out below the most recent financial information available for the tenant:- 1/0/ s 1/0/ s 1/0/ s Turnover 101,18 9,61 7,60 Pre-Tax Prit 7,981 6,667 26,29 Tangible Net Worth 59, , ,8 Bank Scotland Plc has a Creditsafe rating 86 out 100 which represents a very low risk. (Source:- Creditsafe) EPC The property has a rating D94. A certificate and recommendations are available upon request. VAT The property has been elected for VAT and it is assumed that the transaction will be treated as a TOGC.

9 Proposal We are instructed to seek 1,900,000 subject to contract and exclusive VAT, reflecting a net initial yield 5.25% after deducting purchasers costs 6.25%. Further Information For further information, or to arrange an inspection the properties, please contact: Hugh Ockleston Ockleston Bailey Tel: hugh@ocklestonbailey.co.uk Misrepresentation Act 1967 Ockleston Bailey Ltd (and their joint agents where applicable) for themselves and for the vendors or lessors this property for whom they act, give notice that : (i) these particulars are a general outline only, for the guidance prospective purchasers or tenants, and do not constitute the whole or any part an fer or contract; (ii) Ockleston Bailey Ltd cannot guarantee the accuracy any description, dimension, references to condition, necessary permissions for use and occupation and other details contained herein and prospective purchasers or tenants must not rely on them as statements fact or representations and must satisfy themselves as to their accuracy; (iii) no employee Ockleston Bailey Ltd (and their joint agents where applicable) has any authority to make any representations or warranty or enter into contract whatever in relation to the property; (iv) prices/rents quoted in these particulars may be subject to VAT in addition, (v) Ockleston Bailey Ltd will not be liable, in negligence or otherwise, for any loss arising from the use these particulars. APRIL 2018