216 SPRINGFIELD ROAD, CM2 6BN
INVESTMENT CONSIDERATIONS Well located in the affluent south east City of Chelmsford Comprehensively redeveloped in 2016 to provide a 6,060 sq ft nursery with large outdoor play area and 10 car parking spaces Let to the Dun and Bradstreet rated 5A1 covenant of Busy Bees Nurseries Limited Long unexpired lease term of 23.7 years (no breaks) Passing rent of 132,000 per annum reflecting 21.78 psf 5 yearly fixed rental increases of 2.5% p.a. compounded 0.4 acre site with low site coverage of approximately 22% Freehold We are instructed to seek offers in excess of 2,475,000 (Two Million Four Hundred And Seventy Five Thousand Pounds), subject to contract and exclusive of VAT. An acquisition at this level would provide the following yield profile after allowing for purchaser s costs of 6.38%. Net Initial Yield 5.01% 23 September 2021 5.67% 23 September 2026 6.42% 23 September 2031 7.26% 23 September 2036 8.22%
LOCATION Chelmsford is an affluent City in the county of Essex, within London s commuter belt. The City is positioned 30 miles (48.2 km) north east of Central London, 21 miles (33.8 km) south of Colchester and 16 miles (25.7 km) east of Harlow. Chelmsford benefits from excellent road and rail networks connecting it to Central London and the south east. The A12 dual carriageway provides access to the M25 motorway (Junction 28) within 12 miles (19.3 km) to the south-west. The A414 provides access to the M11 and Harlow to the east, with the A130 providing access to Braintree to the north and Basildon to the south. Chelmsford Railway Station benefits from outstanding high speed connections to London Liverpool Street with a fastest journey time of 34 minutes. During peak times there are 7 trains per hour to London Liverpool Street. Chelmsford Railway Station is the second busiest station in the East of England; in 2013, 3.2m was committed to a programme of major improvements. The first phase of improvements to the public realm around the station entrance has been completed and includes a new ticket hall and retail units. The final phase, Mill Yard Gateway pedestrian access enhancement, is due to complete in April 2018. London Stansted Airport is located 20 miles (32.2 km) to the north and can be accessed by car within 35 minutes. London City Airport, serving around 50 destinations at present, can also be reached within 45 minutes. DEMOGRAPHICS The total population within the Chelmsford primary catchment area is 410,000 with an estimated shopping population of 262,000. The City is projected to see above average growth in population over 2016-2021. The Chelmsford area contains a significantly above average proportion of adults of working age categorised within the most affluent AB social group ranking 30 out of 200 PROMIS centres on the PMA Affluence Indicator in 2011. Furthermore, level of car ownership in Chelmsford is significantly above average within a particularly high proportion of 2 car households. A1 nt oss M1 Hatfield A1(M) J23 M25 Hertford Enfield J25 A10 LONDON A414 Harlow Epping M11 J27 M11 Chigwell M11 A13 A414 M25 Romford Stansted Airport 20 Mins Chipping Ongar Brentwood J28 J29 A12 A127 Billericay Basildon A13 A130 Wickford A130 A12 B1008 UKE ST DUCT R D A1060 entral Park C H Chelmsford Station ICTORIA RD S V A B1006 Chelmsford Cathedral NEW ST B1006 H OFFMANNS WAY VICTORIA RD LANE WATERL OO TOWN CENTRE Riverside Ice & Leisure Centre 09 W H A R River Chelmer QUEENS RD ARBOUR LANE HILL RD UMP LANE Lionmede Recreation Ground SANDFORD RD SPRINGFIELD PARK ROAD B1137 SPRINGFIELD ROAD SPRINGFIELD PARK AVE SPRINGFIELD PARK LANE KINGSTON AVE Coronation Park A138 Chelmer Village Retail Park DEVELOPMENT IN BEAULIEU Beaulieu is a large scale mixed use development situated just 1.7 miles (2.7 km) to the north east of the property. This joint venture between L&Q and Countryside will provide 3,600 new homes as well as retail, leisure and office accommodation. Also included in the plans are primary and secondary schools, as well as a brand new railway station. BOND STREET SHOPPING CENTRE Opened in September 2016, this scheme includes a 120,000 sq ft John Lewis department store as well as 20 other retail units, an Everyman Cinema and an extensive food and beverage offering. CROSSRAIL SHENFIELD STATION Situated a 20 minute drive to the south of Chelmsford (12 minutes by train), Shenfield Station will become the eastern terminus of the new Elizabeth Line in December 2019. With 12 services per hour to central London, this will further cement the areas reputation as an excellent commuting location.
SITUATION The property is situated on Springfield Road (B1137) at the junction with Brookhurst Close in a predominantly residential area, a short walk from Lionmede Recreation Ground to the south. Chelmsford town centre is situated a 10 minute walk to the east of the property, 38.7m Chelmsford Railway Station is a 20 minute walk (6 minute drive) to the east, with regular bus services running along Springfield Road to and from Chelmsford City Centre. DESCRIPTION The building was comprehensively redeveloped in 2016 to provide a three storey and part single-storey day nursery. Vehicular access is from Springfield Road with a total of 10 car parking spaces provided, a bike storage unit is also located to the western frontage of the building. Access is gained through secure doors to the reception and the nursery which has been subdivided to separate the varying age groups. The ground floor comprises the reception, kitchen, office, WCs as well as nursery accommodation for babies and pre-school children. The second floor comprises nursery accommodation for toddlers and WCs. The third floor comprises staff accommodation and storage. The property has been fitted out to a high standard in Busy Bees Corporate Style and benefits from a large outdoor playground. The nursery is registered for a capacity of 102 children. 8m E CLOSE 218 12 289 SPRINGFIELD ROAD B1137 216 216a Childrens Nursery BROOK HURST CLOSE 1 6 Crown Copyright, ES 100004106. For identification purposes only.
ACCOMMODATION The property provides the following approximate floor areas. Floor plans are available in the dataroom. GIA NIA Floor Sq Ft Sq M Sq Ft Sq M Ground 3,810 354.0 3,586 333.1 First 1,464 136.0 1,354 125,8 Second 786 73.0 726 67.5 Total 6,060 563.0 5,666 526.4 SITE AREA The site extends to approximately 0.4 acres (0.162 hectares). TENANCY The property is let to Busy Bees Nurseries Limited on a 25 year lease (no breaks) from 23 September 2016 expiring 22 September 2041 at a rent of 132,000 pa, reflecting 21.78 psf. The rent is subject to fixed uplifts equal to 2.5% pa compounded, receivable 5 yearly. TENURE The property is held freehold. COVENANT BUSY NURSERIES LIMITED (03454787) Dun and Bradstreet Rated 5A1 Busy Bees is the largest childcare provider in the UK, having been established for over 33 years. The company now operates from over 340 sites across the UK providing nearly 28,500 places. Busy Bees acquired Leapfrog (88 nurseries) in 2007, TLC (9 nurseries) in 2008, Early Years Childcare (9 nurseries) in 2011, Just Learning (71 nurseries) in 2012, Kinder Nursery Group (12 nurseries) in 2014 and Caring Daycare (12 nurseries) in 2014, Kids 1st (12 nurseries) in 2015, Bush Babies and Positive Steps in 2016. In 2017 they acquired Treetops Nurseries (61 nurseries). Further information can be found at www.busybeeschildcare.com 31 Dec 2016 31 Dec 2015 31 Dec 2014 Turnover 48,647,000 48,317,000 34,060,882 Pre-Tax Profit 3,086,000 6,543,000 4,722,845 Total Net Worth 57,139,000 53,912,000 46,852,491
VAT The property has not been elected for VAT. EPC The property has an EPC rating of B45, a copy of which is available in the dataroom. DATAROOM For access to the Dataroom please use the following link: https://datarooms.allsop.co.uk/register/busybeeschelmsford PROPOSAL We are instructed to seek offers in excess of 2,475,000 (Two Million Four Hundred and Seventy Five Thousand Pounds), subject to contract and exclusive of VAT. An acquisition at this level would provide the following yield profile after allowing for purchaser s costs of 6.38%. Net Initial Yield 5.01% 23 September 2021 5.67% 23 September 2026 6.42% 23 September 2031 7.26% 23 September 2036 8.22% For further information or to make arrangements for viewing please contact: Lottie Hayward 020 7543 6750 lottie.hayward@allsop.co.uk Andy Pointon 020 7543 6720 andy.pointon@allsop.co.uk Ciaran McGivney 020 7543 6888 ciaran.mcgivney@allsop.co.uk www.allsop.co.uk Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandhq.co.uk 02.18