NewDay. Bruntcliffe Way, Leeds, LS27 0JG. High Quality Office Investment Opportunity

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1 High Quality Office Investment Opportunity

2 Manchester Ikea Centre 27 Birstall Shopping Park Showcase Cinema Junction 27 /1 INTERSECTION Turnberry Park A62 Leeds A650 Junction 29 /M1 INTERSECTION Cliffe Park Travelodge Antler Complex NewDay 1, M1 & Wakefield Leeds & M1

3 Investment Summary Established business park location with excellent motorway connection. Close to retail and leisure facilities at junction 27. Self contained office building totalling 67,400 sq ft with 176 car spaces. Let to NewDay Cards Limited guaranteed by NewDay Group Holdings S.a.r.l (Shareholders funds 290 million) until 24 December 2024 at 674,000 per annum. Unexpired term of 8.75 years. Operations centre for the UK business of NewDay Cards Limited and a key part of the Groups operations. Single floor of 66,500 sq ft approximately. Car parking ratio 1:383 sq ft net. Low rent per sq ft per annum. Low capital value per sq ft. We are instructed to seek offers in excess of 6,700,000 (Six million seven hundred thousand pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an initial yield of 9.5% assuming purchasers costs of 5.8%.

4 A6033 A646 OLDHAM A629 BINGLEY A629 HALIFAX HOLMFIRTH GUISELEY LEEDS BRADFORD INTERNATIONAL A658 AIRPORT A650 SHIPLEY A6120 BRADFORD PUDSEY HUDDERSFIELD A629 CLECKHEATON 1 MORLEY LEEDS BARNSLEY ROTHWELL NORMANTON M1 A58 A64 M1 DEWSBURY WAKEFIELD A636 A638 A628 A1 CASTLEFORD A635 A64 NewDay A1 A638 A63 A19 A19 A63 M18 DONCASTER Leeds Leeds is the UK s fastest growing city and the second largest metropolitan district in England with a population of 798,000 people. The city lies immediately to the north of the M1/ intersection (Junction 42 M1/Junction 29 ) and adjacent to the M1 (Junctions 43, 44, 45 and 46). Mileages to major centres are London 196 miles, Manchester 43 miles and Sheffield 35 miles. Leeds City Station provides direct rail routes to national destinations and London Kings Cross with a fastest journey time of approximately 2 hours. Leeds Bradford International Airport is situated approximately 6 miles north of the city centre providing international and domestic flights to over 65 destinations. Leeds is the UK s largest City region outside London with a 53 billion economy generating 5% of the UK s Growth Value Added. The city region has the largest workforce outside of London and is the fastest growing in the North of England. The working age population is set to increase by 26% between 2006 and 2031 demonstrating the high levels of growth expected. Leeds is also the UK s main financial and business services centre outside the City of London. The sector generates over 13 billion each year and is projected to grow by 51% by 2022 with currently over 250,000 people employed. A62 ASQUITH DRIVE J27 WAKEFIELD ROAD GILDERSOME SPUR THISTLE WAY STONE PITS LANE NewDay BRUNTC LIFFE AVENUE NEPSHAW LANE NEPSHAW LANE A650 1 BRUNTCLIFFE WAY BIRK LANE BRUNTCLIFFE LANE BRUNTCLIFFE DRIVE WYNYARD DRIVE HIGHCLIFFE ROAD SCATCHERD GROVE THE ROUND WAY

5 Situation WAKEFIELD ROAD 1 CAR PARKING BRUNTCLIFFE WAY NewDay BRUNTCLIFFE LANE NewDay House is located approximately 5 miles to the south west of Leeds city centre fronting Bruntcliffe Way within the Leeds Business Park. The property is within one mile of Junction 27 of the (Trans Pennine motorway) the intersection with the 1 which provides direct motorway access to Leeds city centre. The M1 motorway is 6 miles to the east via the. Leeds Bradford Airport is 14 miles to the north via the outer ring road. Junction 27 of the is a major business park, industrial, retail and leisure destination and includes the Birstall Shopping Park (retailers including Ikea, Boots, M&S, Arcadia, Next and Gap), leisure (Showcase Multiplex Cinema and restaurants including Costa, Pizza Express, Bella Italia and Pizza Hut), Gildersome Spur (one of the principal industrial estates in West Yorkshire) and offices (Leeds Business Park, Centre 27 Business Park, Turnberry Park and Cliffe Park). Other office occupiers at Junction 27 include West Yorkshire Police Authority, Cunningham Lindsey, Babcock Training Ltd, Norland Managed Services Ltd, Q Hotels Ltd, Elliott Group Ltd, Tekla (UK) Ltd, Aviva Life and Pensions, Compass Group and SFS.

6 Description Accommodation Tenure NewDay House comprises a self contained predominantly single storey office building totalling 67,400 sq ft with 176 car spaces on a total site of 3.96 acres. The property was constructed in 1984 and has been significantly improved including recladding in The specification includes air conditioning and raised floors. In 2015 the owners carried out or financed works to the property including renewing the air conditioning system, carpeting and redecoration and the tenants at their cost upgraded/refurbished the staff restaurant and common parts including the reception and cloakroom accommodation, illustrating their commitment to the building. We have been provided with the following net internal floor areas: Area (Sq M) Area (Sq Ft) Offices 6, ,400 The property has 176 car spaces which provide a ratio of one space per 383 sq ft net. Freehold.

7 Tenancy The entire property is let on a regeared lease to NewDay Cards Limited guaranteed by NewDay Group Holdings S.a.r.l. for a term commencing on the 24th June 2014 and expiring on the 24th December 2024 as follows: Rent to 23 June ,000 per annum 24 June December ,000 per annum ( per sq ft) or the reviewed open market rent (rent review date 24 June 2019) capped at 808,800 per annum ( 12.00) per sq ft). The vendors will top up the rent. The rent received from completion will be 674,000 per annum. The lease is on FRI terms subject to a Schedule of Condition. The original lease commenced on the 1st June Tenancy Covenants NewDay Cards Limited is a leading specialist credit card company focusing on the retail co-brand card and point of sale finance market and the consumer credit card market. They are one of the largest issuers of credit cards in the UK. In May 2013 the company completed the acquisition of Santander UK s retail co-brand card and point of sale finance business for many of the UK s best known high street retailers including Debenhams, the Arcadia Group, House of Fraser and Laura Ashley. The purchase was one of the largest credit card portfolios in the UK with over 3.5 million customer accounts and balances of more than 1 billion. Founded in September 2000 NewDay Cards has expanded through a combination of organic growth in its aqua credit card business and strategic acquisitions including portfolios from HSBC (2007), Citi (2010) and Santander (2013). At the end of 2014 NewDay Cards had more than 5.4 million customers ( million) and balances in excess of 1.3 billion. NewDay are majority owned by Varde Partners an investment manager with over US$ 8 billion under management. In 2012 NewDay were ranked 3rd for profit growth among the top 100 UK private companies by the Sunday Times PwC Profit Track 100. In 2014 Santander s Co - brand credit card call centre based in India was onshored to NewDay House. Website: Tenant - NewDay Cards Limited (Company No ) 31/12/ /12/ /12/2012 Turnover 179,479, ,696,264 63,799,956 Pre-tax profit (loss) 8,254,000 (See note 1) ( 2,851,097) ( 9,583,034) Shareholders funds 15,332,000 8,006,767 10,962,122 Note 1 - Normalised pre-tax profit circa. 41 million. The financial year ended December 2014 included a one off and non-recurring cost of 32.1 million relating to the migration of the Co - brand credit card portfolio acquired from Santander to NewDay s operating platform. The migration was completed in August NewDay do not expect to incur any further significant additional costs relating to the migration. Guarantor - NewDay Group Holdings S.a.r.l. (RCS No B164614) 31/12/ /12/ /12/2012 Net operating income 215,483, ,088,000 20,180,000 Pre-tax profit (loss) ( 13,598,000) (See note 2) 116,899,000 ( 36,670,000) Total equity 290,115, ,213, ,252,000 Note 2 - Normalised profit 49.1 million excluding one off non-recurring costs.

8 Leeds Office Occupational Market Overview Leeds has been one of the best performing of the main regional office markets. In the out of town market take up in 2015 was 268,041 sq ft, an increase of 13% on the 2014 figure of 236,719 sq ft. City centre take up was 680,000 sq ft, an increase of 25% on the 2014 figure of 545,006 sq ft. Availability of good quality out of town office accommodation is diminishing. Quoting rents are to per sq ft. EPC Available on request. VAT We understand the property is not elected for VAT. Proposal We are instructed to seek offers in excess of 6,700,000 (Six million seven hundred thousand pounds) for our clients freehold interest subject to contract and exclusive of VAT. A purchase at this level reflects an initial yield of 9.5% assuming standard purchasers costs of 5.8%. Further information For further information or to arrange a viewing please contact: David Nicholls Hague Nicholls 1st floor 67 St Paul s Street Leeds LS1 2TE T: M: E: david.nicholls@haguenicholls.com Disclaimer: Hague Nicholls Limited Important notice relating to the Misrepresentation Act 1967 and the Property Misdescriptions Act 1991: Hague Nicholls for themselves and the vendor as agents for the vendor give notice that: 1. We provide the information contained in these particulars for guidance to intending purchasers, licensees or any other third parties and they are for your general information only and will be used at your own risk. 2. We will use all reasonable endeavours to ensure the accuracy of information, however, we do not guarantee or warrant the accuracy or completeness, factual correctness or reliability of any information in the particulars (especially as the information may have been obtained from third parties) and do not accept any liability for any errors or omission including any inaccuracies or typographical errors. 3. Any interested purchasers, licensees or any third parties should not view the information in the particulars as statements or representations of fact and should satisfy themselves that the facts and specific details in the particulars are correct and accurate especially in relation to floor areas and other measurements through inspection or other means, as appropriate, and will be responsible for taking independent surveys or valuations before entering into any legally binding transaction in respect of the property or premises that is the subject matter of these particulars. 4. We have not made any investigations or otherwise of any issues concerning pollution and potential land, building, air or water contamination. Prospective purchasers, licensees or any third parties must undertake their own enquiries and satisfy themselves in this regard. 5. Unless otherwise stated, all prices and rents are quoted exclusive of VAT. Subject to Contract. All maps and plans in this document are for identification purposes only. Designed and produced by Tel: February 2016.