CAPITAL HOUSE PRIME CITY CENTRE RETAIL/OFFICE INVESTMENT WELLINGTON PLACE, UPPER QUEEN STREET, BELFAST

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1 CAPITAL HOUSE PRIME CITY CENTRE RETAIL/OFFICE INVESTMENT WELLINGTON PLACE, UPPER QUEEN STREET, BELFAST

2 INVESTMENT SUMMARY CAPITAL HOUSE WELLINGTON PLACE, UPPER QUEEN STREET, BELFAST A landmark office building in the heart of the City, finished to a high specification to include air conditioning and providing approximately 72,000sqft (6688sqm) of High Quality Business Space. Well let mixed use retail and office building in a prime City Centre location. Excellent tenant mix including Northern Ireland Water, Diageo, Capita and Steria. We have been instructed to seek offers in excess of 10,500,000 (Ten Million, Five Hundred Thousand pounds sterling) exc of vat. A purchase at this level would reflect a net initial yield of 8.5% assuming purchasers costs at 5.8%.

3 U Q U E E N S T O R M E A U M I L L F I E L D ROYAL AVE CA S T L E S T CO L L E G E S Q E GREAT VICTORIA STREET CITY CENTRE D O N E G A L L S Q N CITY HALL A RT H U R S T H O WA R D S T D O N E G A L L S Q S EUROPA BUS & RAIL STATION B E D F O R D S T A D E LA I D E S T A L F R E D S T LOCATION Capital House is located within the Central Business District of Belfast City Centre,a short distance from the City Hall and Donegall Square to the East and Great Victoria Street Bus and Rail Terminus to the west. There are numerous secure multi-storey carparks within a 5 minute walk of Capital House as well as on street carparking in and around the Wellington Place Area. Other occupiers in this well established office location include a number of Legal Practices, namely Carson McDowell, Johnsons Solicitors, C & H Jefferson and Accountancy Practices namely KPMG, Deloitte, BDO and Moore Stephens as well as a number of leading government agencies namely NIW, LPS, Inland Revenue and Belfast City Council.

4 THE BUILDING The building comprises a seven storey L shaped retail and office building with extensive frontages to Wellington Place and Upper Queen Street. The building is arranged around a courtyard carpark offering 20 secure and private spaces accessed from Upper Queen Street. The core of the building includes 3no. 10 person lifts which are centrally situated which facilitates the subdivision of each of the 913 sqm (9830 sqft) floorplates to offer excellent flexible accommodation with an abundance of natural light and creating a superb working environment. The building is finished to a high specification as below: Feature entrance foyer Concierge Secure car park 3 high speed 10 person lifts Air conditioning Gas fired central heating Fully accessible raised access floors Suspended ceilings with integrated lighting Painted walls Floor coverings

5 FLOOR PLANS SEVENTH FLOOR Available SIXTH FLOOR Available VACANT Asset management opportunity FIFTH FLOOR NIWS FOURTH FLOOR THIRD FLOOR DIAGEO SECOND FLOOR INGEUS FIRST FLOOR STERIA CAPITA GROUND FLOOR MACHETTS MUSICAL RANDSTAD RECRUITMENT TIMBERLAND CMS CIRCULATION

6 TENANCY SCHEDULE Tenant Unit Size Sq Ft Lease Start Lease End Term Citybus Limited 3, Jan Jan yrs Mizenhead Sales Limited t/a Timberland 1, Aug Aug yrs Randstad Employment Bureau Limited 2, Sep Jul yrs 10 mths Matchetts Musical Instruments Limited 3, Mar Feb yrs 11 mths 1 days Steria Limited 6, Sep Sep yrs Capita Asset Services (UK) Limited 5, Aug Aug yrs Ingeus UK Limited 4, Oct Sep-19 5 yrs Echo Managed Services 4, Feb Feb yrs Diageo Northern Ireland Limited 9, Feb Jan yrs Northern Ireland Water Limited 19, Feb Feb yrs Vacant 10,640 1 YEAR RENT GUARANTEE FROM COMPLETION Vodafone Limited 30-Jan Jan yrs 14 Car Park spaces Currently let 72,083 sq ft *Note The Vendor will make Top Up payments in respect of the Rent Free periods outstanding at the date of completion relating to Capita and Diageo lettings as well as the incremental increase in Rent attributable to the NIW lease. The Vendor will provide a 12 month Rent Guarantee over the 6th & 7th floors that have only recently been refurbished and available to the maket since mid-september. Please note there is significant interest in this available accommodation. *Car Park 6 additional spaces available at 1,500 per annum. Landlord to Guarantee 12 month s income

7 Next Review Reviewed Break Clause Annual Rent Rent psf Comments 15-Jan-19 5 yr 15-Jan-24 44, Aug-11 5 yr 29, Sep-16 5 yr 19-Jul-17 40, Feb-18 5 yr 60, Sep-18 5 yr 22-Sep-18 75, Aug-20 5 yr 02-Aug-20 67, Rent start date 3rd Februaury 2016 n/a n/a 01-Oct-17 58, Feb-16 5 yr 53, To be assigned to Mills Selig Ltd. Occupied by Ingeus. 01-Feb-20 5 yr 31-Jan , Rent start date 1st Februaury Break option subject to payment of 6 months rent penalty. 10-Feb-16 5 yr 31-Mar , Rent Review 10 February 2016 & 30-Jun-24 fixed at 221,175 pa ( psf) n/a 5 yr 9, , Refurbished - Available to let seeking 160,000 per annum ( 15.00) 22, TOTAL INCOME 946,054.00*

8 COMPARABLE RENTAL EVIDENCE Property Tenant Unit size/psf Rent/PSF Start Date Imperial House Santander Q City Quays 1 Baker McKenzie Q Arnott House Rapid Q Harvester House Cerberus Q Lanyon Quay Aviva Q The Linenhall First Source Q The Linenhall White Hat Q Bedford House Mercer Q The Linenhall CBRE Q INVESTMENT COMPARABLES Address Price Yeild Purchaser Date Victoria House, Gloucester Street 8.7M 7.93% F&C Reit Sep-14 Oxford Exchange, Oxford Street 4.85M 8% SIB Jan-15 Causeway Exchange, Bedford Street 12.15M 8.09% SIB Jan-15 CCEA Building, Clarendon Road 6.65M 7.20% Private Aug-15 Arnott House, Bridge Street 5.25M 4.88% Private Nov Corporation St 4.8M 8.17% Private U/O

9 ERV There is currently a lack of supply of good Grade A office accommodation in the Belfast City Centre market. This is having an upward affect on rental levels and because of this we have seen an increase in rents over the last 6 to 12 months. It is envisaged that this trend will continue and therefore it is our belief that the ERV of Capital House is in the region of 15.00/sqft with further anticipated growth over the next 12 to 24 months. For this reason Capital House must be considered as a highly reversionary prime office investment. VAT The property has been elected for Vat purposes and therefore it is envisaged that the transaction will be treated as a TOGC. PROPOSAL We have been instructed to seek offers in excess of 10,500,000 ( Ten Million, Five Hundred Thousand pounds sterling) exc of vat. A purchase at this level would reflect a net initial yield of 8.5% assuming purchasers costs at 5.8%. CAPITAL ALLOWANCES There will be no Capital Allowances transferred with the sale of the building.

10 SSE ARENA TITANIC BELFAST LAW COURTS CITY HALL CAPITAL HOUSE EUROPA HOTEL PROPOSED CENTRAL STATION

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12 TITLE Freehold (All information available from the dedicated data room) DATA ROOM Title, maps, leases, surveys, EPC s and contract information are all available within the dedicated Data Room online. Access is available through the instructed agent. EPC Ground Floor Unit 1: Ground Floor Unit 2: Ground Floor Unit 3: Ground Floor Unit 4: Part 1st Floor: Part 1st Floor: Part 2nd Floor: Part 2nd Floor: Third Floor: 4th & 5th Floor: 6th & 7th Floor: C62 C68 D83 C71 C69 C64 B44 D79 C74 B47 C57 DTZ McCombe Pierce 5 Oxford Street Belfast BT1 3LA Tel: +44 (0) Fax: +44 (0) Mob: +44 (0) robert.toland@dtzmcp.com Montgomery House Montgomery Street Belfast BT1 4NX Tel: +44 (0) @alterityinvestments.com DTZ McCombe Pierce LLP (and its subsidiaries and their joint Agents where applicable) for themselves and for the vendors or lessors of this property for whom they act, give notice that: 1. these particulars are a general outline only, for the guidance of prospective purchasers or tenants, and do not constitute the whole or any part of an offer or contract; 2. DTZ McCombe Pierce LLP cannot guarantee the accuracy of any description, dimensions, 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 of fact or representations and must satisfy themselves as to their accuracy; 3. no employee of DTZ McCombe Pierce LLP (and its subsidiaries and their joint Agents where applicable) has any authority to make or give any representation or warranty or enter into any contract whatever in relation to the property; 4. rents quoted in these particulars may be subject to VAT in addition; 5. DTZ McCombe Pierce LLP (and its subsidiaries where applicable) will not be liable, in negligence or otherwise, for any loss arising from the use of these particulars; and 6. the reference to any plant, machinery, equipment, services, fixtures or fittings at the property shall not constitute a representation (unless otherwise stated) as to its state or condition or that it is capable of fulfilling its intended function. Prospective purchasers/tenants should satisfy themselves as to the fitness of such items for their requirements.