london INVESTMENT MEMORANDUM

Transcription

1 INVESTMENT MEMORANDUM

2 WELCOME TO ICONBLU ICONBLU WILL OFFER THE BEST IN URBAN LIVING WITH SUPERB FACILITIES AND EXCELLENT CONNECTIONS COMPUTER GENERATED IMAGE

3 EXECUTIVE SUMMARY ICONBLU IS A UNIQUE OPPORTUNITY TO OWN AN APARTMENT PROPERTY IN WEST LONDON WITH DEDICATED UNDERGROUND PARKING AT A HUGELY COMPETITIVE PRICE THE DEVELOPMENT The development will offer 271 studio to two-bedroom apartments, each with a dedicated underground parking space, a rare feature for properties in London. The apartment buildings being converted were previously the offices for Sky TV and the site retains direct access to the Sky complex and studios. The properties will be finished to a high standard and benefit from essential facilities including an on-site porter / concierge, 24-hour security and CCTV as well as a resident s gym. IconBlu will offer an excellent rental investment with strong projected yields. WHY BRENTFORD? Brentford is at the heart of the Golden Mile and provides access to central London in under 35 minutes. It is located AT A GLANCE 271 Studio to two-bedroom apartments Refurbishment of old Sky TV offices Interior designed modern style Located at the epicentre of London s Golden Mile Allocated underground parking Onsite security and concierge Residents gym Launching Spring / Summer 2018 Syon Lane Station 6 minutes walk in Hounslow, one of the fastest growing boroughs in the country. Brentford is being regenerated with plans in place to upgrade the high street, the existing shopping areas and the sports stadium as well as providing a new marina at the waterfront. These enhancements will make Brentford more desirable. There are major transport enhancements planned which will drastically increase direct access to Brentford and Syon Lane by public transport. Brentford borders the Great West Corridor and the Golden Mile. Substantial regeneration and planned improvements for the Great West Corridor will see an increase in local employment expanding the workforce by 14,000. There is also substantial demand for private rental accommodation in the borough, underpinning a buoyant rental market and competitive rental rates. Access Central London in under 35 minutes Regeneration of Brentford underpins market strength Growing population and local employment supports housing demand Extension to transport network will increase catchment Substantial demand for private rental accommodation STUDIO TO TWO BEDROOM APARTMENTS INDICATIVE LIFESTYLE PHOTOGRAPH

4 DEAL SUMMARY ICONBLU PROVIDES HIGH QUALITY FULLY FINISHED APARTMENTS WITH EXCELLENT RENTAL POTENTIAL IN A REGENERATING AREA PROPERTIES 271 Studio to two-bedroom apartments High quality modern interior design and finishing Fully fitted kitchens Smart technology 250-Year Lease FACILITIES & AMENITIES Dedicated 12-hour porter / concierge Outdoor pavilion at the heart of the development 24-hour security and CCTV Residents gym Blu Living App and smart technology INVESTMENT & RETURNS House price growth of 48% in Brentford between 2008 and 2017 Population growth of 20% between 2001 and Over 200 businesses along the Golden Mile Anticipated increase in employment adding 14,000 employees along the Great West Corridor Need to construct 300 homes in Brentford per annum Strong potential rental yields COMPUTER GENERATED IMAGE house price growth

5 HARROW M25 A40 UXBRIDGE NORTHOLT HOLLOWAY BRENT PARK WEMBLEY FINSBURY PARK A1 HAMPSTEAD A10 NORTH CIRCULAR A12 A40 london A5 LOCATION HAYES ACTON london who have chosen the Golden Mile as their base and will provide excellent opportunities for owners. Residents can reach the within just 6 minutes drive and Heathrow Airport is just 15 minutes away. The IconBlu site is immediately adjacent to Sky Studios estate. Sky Studios remains fully operational despite the relocation of their primary office which was previously where the development now sits. IconBlu is also in the immediate vicinity of the offices of a number of other multi-national businesses including GlaxoSmithKline, Gillette, JC Decaux, Verisure Audi and Allianz amongst others. There are two train stations within a short walk or drive with the closest, Syon Lane (Zone 4) just a 1-minute drive or 6 minutes walk away. Trains from Syon Lane provide access to central London in under 35 minutes and connect to Clapham Junction within just 22 minutes providing links throughout the South of England. Brentford sits on the Golden Mile at the point where the converges with the A4. Its excellent connections are appealing for the 200 businesses A3220 NORTH CIRCULAR KENSINGTON WESTMINSTER CHISWICK VAUXHALL BRENTFORD A4 HEATHROW INTERNATIONAL AIRPORT M25 PECKHAM ISLEWORTH A316 SOUTH CIRCULAR RICHMOND BATTERSEA PUTNEY A316 A3 BRIXTON CLAPHAM A3 A23 A30 DULWICH A14 A3 TWICKENHAM FELTHAM BALHAM A24 A308 STREATHAM TEDDINGTON SUNBURY CRYSTAL PALACE WIMBLEDON HAMPTON M25 SO CIRC SOUTH CIRCULAR A316 ASHFORD KINGSTON UPON THAMES A23 A3 A24 M3 MITCHAM MORDON CROYDON Travel time from Boston Manor Tube Station 7 mins 14 mins South Knightsbridge Piccadilly Kensington Circus 23 mins 25 mins 31 mins 19 mins Staines Ashford Feltham Hounslow Isleworth Syon Lane 19 mins 15 mins 11 mins 5 mins 2 mins 0 mins Brentford Kew Bridge Chiswick 2 mins 5 mins 8 mins Barnes Bridge 10 mins Barnes 13 mins GUNNERSBURY ROAD W IN DM I LL RO A CARVILLE HALL PARK D T EA GR KEW BRIDGE A4 BRENTFORD AD RO ST WE BRENTFORD LON AD RO DON 5 A31 KEW GREEN A4 D OA A315 NH AM RO AD TW ICK E ISLEWORTH ISLEWORTH S D ME HA RT RIV E 5 A31 KEW KEW GARDENS SYON PARK RROAD U LA OAD ROYAL BOTANIC GARDENS, KEW IRC NR DO LON SO U C TH THORNBURY PARK SPRING GROVE ROAD NR SPUR ROAD O ND LO ROA SYON LANE A4 KEW D 7 GREAT WEST ROA AD SOUTH CIR CULAR RO london 5 BOSTON MANOR PARK 5 B4 CRE HALF A ST R T WE G RE A OAD RCULAR ROAD SWYNCOMBE PLAYING FIELD LING AN O H EA SOUT NM R 1 The Green School for Boys: 2 Brentford School for Girls: LONDON PLAYING FIELDS GUNNERSBURY PARK SOUTH EALING CEMETERY OAD JERSEY R 19 mins 35 mins ROAD BOSTON MANOR BO ST O OSTERLEY PARK Waterloo I TH C NOR MILL WIND OSTERLEY 9 mins 34 mins Wandsworth Clapham Queenstown Vauxhall Town Junction Road 16 mins 19 mins 22 mins 25 mins 28 mins AD RO 0 mins 20 mins 14 mins mins 21 mins 15 mins 13 mins 17 mins 15 mins Kings Cross St Pancras 40 mins NORTHFIELDS BRENT RIVER PARK NE 9 mins 17 mins 25 mins 4 mins Holborn Putney EALING 0 mins 11 mins 9 mins 16 mins 11 mins 2 mins 5 mins Leicester Square 32 mins Travel time from Syon Lane Train Station LA UNIVERSITY OF WEST LONDON 7 mins 15 mins 0 mins ON SY Other Facilities West Middlesex University Hospital 4 mins / 6 mins 8 mins 3 mins B454 Schools & Education Primary School (Marlborough) Secondary School & Sixth Form (Boys)1 Secondary School & Sixth Form (Girls)2 University of West London 6 mins 15 mins 25 mins - - Boston Manor Acton Town Hammersmith Earls Court LANE Lifestyle & Attractions Gym (Onsite) Syon Park Brentford Lock (Grand Union Canal) Twickenham Stadium Kew Gardens Boston Manor Park Griffin Park (Brentford FC) 1 min 5 mins 7 mins 15 mins / 35 mins 6 mins Osterley MILL WIND TWICKENHAM STADIUM Shopping Tesco Extra Brentford High Street Walk Hounslow Central 7 mins EY R O AD GREAT CONSERVATORY - SYON HOUSE Drive / Public Transport Heathrow 4 16 mins JERS Travel Syon Lane Train Station Brentford Train Station Boston Manor Tube Station (Piccadilly) Heathrow Airport Access Heathrow mins Heathrow 5 21 mins A3 0 KEY DISTANCES GRE A20 CAMBERWELL A30 M3 A2 FULHAM HOUNSLOW STAINES UPON THAMES A11 CITY OF LONDON CENTRAL LONDON A40 EALING SOUTHALL WEST DRAYTON ICONBLU IS SITUATED IN BRENTFORD, DIRECTLY OFF THE GREAT WEST ROAD (THE A4), AND WAS ONCE THE UK SKY TELEVISION HEAD OFFICE A1 M25

6 SYON LANE STATION BRENTFORD HAS LONG BEEN THE GATEWAY TO LONDON WITH ITS INCREDIBLE CONNECTIONS MAKING IT A TRADING AND BUSINESS HUB FROM THE PAST TO THE PRESENT. IT SITS IN THE BOROUGH OF HOUNSLOW WHICH IS ONE OF THE FASTEST GROWING BOROUGHS IN THE UK GILLETTE BUILDING BRENTFORD: THE GATEWAY TO LONDON BUSINESS CENTRE The Golden Mile, also known as the Great West Corridor, extends along the A4 (Great West Road) from Power Road to Gillette Corner. It is home to over 200 companies including BSkyB, GlaxoSmithKline, JC Decaux and Gillette which employ over 25,000 people. BSkyB alone employ 8,725 people and with their proposed expansion, this number is likely to increase. Sky anticipate that their new campus will attract 100,000 visitors per annum. The corporate presence has created the foundation for a residential community in Brentford but until now the area has not been developed to match the demand of residents for facilities and amenities. The needs of present and future residents are now being explored and a dedicated plan is in place for the Great West Corridor and regeneration of Brentford with substantial investment to create a residential community in a locale which has been typified previously by an office and industrial focus. BRENTFORD HIGH STREET REGENERATION Significant efforts are being employed to regenerate Brentford and the Great West Corridor. A total of 1.85 million in funding has been secured from various sources including Round Two of the Outer London Fund and Hounslow Council to create regenerate Brentford. Placemaking is leading the drive with a focus on outdoor events and spaces which will appeal to local residents and employees. An animation program is being put in place and the Brentford Lock Piazza will be regenerated by 2020 to create a performance ready location. The high street and waterside areas will be enhanced. Existing retail precincts Albany Parade and Stile Hall Parade will secure funding for improvements. Retail and leisure will be added to the waterfront area as part of a large scale development by Ballymore. The tenants are not yet defined, but the retail components will include an anchor foodstore, non-food retail and some REGENERATION OF BRENTFORD REGENERATION OF BRENTFORD LOCK

7 35 MINUTES INTO CENTRAL LONDON OXFORD IVER M25 WEST DRAYTON HAYES & HARLINGTON SOUTHHALL HANWELL WEST EALING EALING BROADWAY BIRMINGHAM & MANCHESTER HS2 OLD OAK COMMON PADDINGTON london EUSTON WEST END & CITY WINDSOR & READING M25 HEATHROW AIRPORT LONDON BOROUGH OF HOUNSLOW THE GOLDEN MILE BRENTFORD KEW BRIDGE GUNNERSBURY WATERLOO KEW GARDENS STAINES ASHFORD (SURREY) FELTHAM HOUNSLOW CLAPHAM JUNCTION TWICKENHAM RICHMOND WEYBRIDGE M25 Southall Crossrail Link - connecting the Golden Mile to Southhall The Golden Link - link to HS2 from Hounslow Heathrow Link - connecting Waterloo to Heathrow Proposed transport enhancements for the networks surrounding Brentford independents. Target tenants identified by Savills include the likes of Boots, Superdrug, WH Smiths, Waitrose, Whole Foods, Lush, Greggs, Pret A Manger, Monsoon, Joules, White Stuff and Kuoni amongst others. A local Brentford market stall area is also being contemplated. The leisure element will focus on waterfront living with restaurants, pubs and leisure activities such as canoe hire. A new 20,000 capacity stadium is under development for Brentford F.C. This will complete during A 26 berth new marina being developed for 5.45 million will be located next to Watermans Park, smartening up the riverside. PLANNED CONNECTIVITY ENHANCEMENTS Brentford and Syon Lane already offer very strong public transport connections into central London in under 35 minutes by train and also provide access to commuter interchanges at Clapham Junction and Reading. New connectivity enhancements are going to be implemented as part of the London Borough of Hounslow s Regeneration and Economic Development Strategy The key projects enhancing the connectivity of the area include: Southall Crossrail Link to join Southhall to stations on the Golden Mile. It is currently in its final design and scoping stage. It is intended to complete in 2020 Boston Manor Link to join the Great West Road to Boston Manor and the Piccadilly Line with a pedestrian boardwalk and cycle route. Feasibility is being explored by BSkyB Golden Mile Station a new Golden Mile station is intended in Brentford just a stones throw from the Sky campus which, if realised, will provide a link to Crossrail providing extensive benefits to IconBlu residents HS2 a link to HS2 at Old Oak Common is proposed from the Golden Mile and its key stations AT A GLANCE 1.85 million regeneration of Brentford Over 200 companies along the Golden Mile Transport enhancements will improve connectivity Access Central London in under 35 minutes Regeneration of Brentford underpins market strength Growing population and local employment supports housing demand Extension to transport network will increase catchment Substantial demand for private rental accommodation THE SHARD CENTRAL LONDON

8 HOUSING MARKET: WEST LONDON BRENTFORD OFFERS AN EXCITING SOLUTION FOR INVESTORS AND HOMEBUYERS WHO ARE LOOKING FOR A MORE AFFORDABLE LONDON LOCATION THAN SURROUNDING CHISWICK, RICHMOND AND EALING HOUSE PRICES Prices in Hounslow are typically 81% higher than those in the UK as a whole while being about 17% less than London region as a whole based on House Price Index data for In the 10 years to December 2017, house prices in the region have increased by 48%, higher than UK wide growth by 26% and the average price for an apartment had reached 327,195 in December 2017 (See Figure 1). First time buyers purchased houses with an average value of 363,379 in December 2017 making the typical apartment within Hounslow and IconBlu specifically within easy reach of most first time buyers budgets. GROWING POPULATION In Hounslow as a whole, the population is expected to grow by 35,000 to 309,000 by It is one of the fastest growing boroughs showing growth of 20% between 2001 and 2011 compared to 8% nationally. The growing population supports the need for additional housing in the borough. HOUSING STOCK The London Plan requires Hounslow to deliver at least 822 homes per annum and the Great West Corridor has been identified as a location in which some of this stock should be focused. It is expected that between 2015 and 2030 an additional 12,300 homes will be delivered. Figure 1: House Prices in Hounslow compared to the UK Hounslow Average Price All Property Types Hounslow Average Price Flats and Maisonettes UK Average Price All Property Types UK Average Price Flats and Maisonettes INDICATIVE LIFESTYLE IMAGE

9 COMPUTER GENERATED IMAGE THE DEVELOPMENT ICONBLU IS A NEW DEVELOPMENT OF 271 STYLISH AND MODERN STUDIO TO TWO-BEDROOM APARTMENTS IN THE HEART OF THE GOLDEN MILE IN THE GREAT WEST CORRIDOR The properties at IconBlu will offer ergonomic layouts with modern and stylish interior design and high quality finishing. The development comprises four buildings of four storeys each. The buildings gleam in the sunlight with feature mirror glazing to the facades intersperced with taupe brickwork. Subtle landscaping surrounds the buildings and will be enhanced to create outdoor community areas. There is substantial underground parking with one parking space allocated per apartment. IconBlu will also offer essential facilities to its residents including an on-site gym, 24-hour security and CCTV and dedicated on-site porter / concierge. BluLiving smart technology will be implemented at IconBlu with the BluLiving social app which provides a social network designed to connect residents and owners to create a true residential community. AERIAL VIEW OF THE PROPOSED ICONBLU DEVELOPMENT

10 ATTENTION TO DETAIL THE PROPERTIES AT ICONBLU HAVE BEEN DESIGNED TO UNCOMPROMISING STANDARDS WITH HIGH QUALITY MATERIALS AND ATTENTION TO DETAIL COMPUTER GENERATED IMAGE

11 SHOWER ROOM CLY. / ST. BEDROOM AREA SAMPLE APARTMENT 3 STUDIO APARTMENT FLOORPLANS KITCHEN LIVING / DINING AREA THESE PLANS SHOW EXAMPLE STUDIO TO TWO BEDROOM PROPERTIES AT ICONBLU. PLEASE CONSULT YOUR SALES EXECUTIVE FOR UNIT SPECIFIC PLANS LIVING / DINING AREA BEDROOM AREA LIVING / DINING AREA KITCHEN SAMPLE APARTMENT 4 SAMPLE APARTMENT 1 STUDIO APARTMENT KITCHEN ONE BEDROOM APARTMENT HALL SHOWER ROOM CLY. / ST. CLY. / ST. BEDROOM BATHROOM BEDROOM 1 SAMPLE APARTMENT 2 LIVING / DINING AREA SAMPLE APARTMENT 5 BATHROOM BEDROOM ONE BEDROOM APARTMENT TWO BEDROOM APARTMENT CLY. / ST. KITCHEN BATHROOM HALL BEDROOM 2 LIVING / DINING AREA HALL KITCHEN

12 SPECIFICATION HIGH QUALITY SPECIFICATION WITH A MODERN FEEL WILL MAKE THE APARTMENTS AT ICONBLU TRULY DESIRABLE GENERAL Tall internal and entry 44mm fire rated doors High ceilings living and bedroom Suspended feature ceiling to kitchen, bathroom and hallway with LED mood lighting and spot lights High quality oak engineered wood flooring throughout Built in closets to master bedroom All windows are openable for natural ventilation KITCHEN & APPLIANCES Fully fitted designer kitchens with integrated LED cupboard lighting, under counter sink and stainlesssteel taps Quartz stone worktop with splashback Dual tone lacquered gloss finish handle-less soft close kitchen units and drawers Fitted Smeg branded appliances - Integrated fridge/freezer - Integrated dishwasher - Induction 4-ring hob - Integrated microwave - Built-in electric oven - Integrated telescopic extractor LIGHTING AND ELECTRICS Video door entry system Dimmable white designer light switches Suspended ceilings have recessed LED spotlights Featured under pelmet LED lighting strip to kitchen suspended ceiling Designer wall lights to living room and bedroom Sockets in crisp white with standard and USB ports to living and bedroom TV point to living and bedroom Data points to living and bedroom areas Underfloor heating throughout BATHROOM Floor tiling in Desert Oak Mosaic tiled bathroom walls Rain shower and hand-held shower (some units) Large bath with glass screen (some units) Duravit sanitary ware Wall hung white WC with concealed cistern Grohe chrome flush plate to toilets Modern branded taps and shower fittings Underfloor heating Electric heated towel rails Mirrored storage Shaver socket COMPUTER GENERATED IMAGE COMPUTER GENERATED IMAGE

13 RENTAL OPPORTUNITY ICONBLU PROVIDES AN EXCELLENT RENTAL OPPORTUNITY FOR INVESTORS UNDERPINNED BY A HIGH- QUALITY DEVELOPMENT, WITH EXCELLENT CONNECTIONS AND STRONG LOCAL DEMAND FOR PRIVATE RENTALS AT A GLANCE Strong annual rental yields anticipated Average rents for Brentford provide strong opportunities 31% of population live in private rented accommodation and there is further demand Strong demand from employees of 200 companies along Golden Mile 14,000 new jobs along the Golden Mile to enhance rental demand TARGET RENTAL RATES With excellent access links and a lack of supply in this stretch of the Great West Road, it is anticipated that the rental rates for IconBlu will be on the high side for the area. Unit Type Monthly Rental Annual Rental Studio 1, , Bedroom Apartment 1, , Bedroom Apartment 2, , A high rental yield is expected for the properties at IconBlu. DEMAND FOR PRIVATE RENTALS The many large and small businesses situated along the Golden Mile provide a substantial pool of tenants for properties at IconBlu. The Golden Mile is home to some 20,000 people working for over 200 companies. The Great West Corridor masterplan has identified capacity for a further 14,000 new jobs thereby increasing the primary source of prospective tenants for IconBlu. Demand will not only come from those working in the immediate area however. The excellent connections to Waterloo and other primary stations will appeal to people who need to commute into Central London in particular locations with connections to Waterloo. The planned transport enhancements will only serve to increase the potential volume of tenants seeking an easy commute, adding people who work on the Piccadilly Line and its secondary lines as prospective tenants. Compared to London as a whole, there is substantial demand for private rental accommodation in the borough of Hounslow with 31% of the population living in private rented property, 27% higher than the London average and the 9th highest out of 32 London boroughs. COMPARABLE RENTAL RATES In Brentford the average rent for an apartment in early 2018 is 1,789 per month. Equivalent rental rates and market volumes are as follows: No of Properties Average Rent Median Rent Time on Market One Bedroom 151 1,410pcm 1,352pcm 177 days Two Bedrooms 205 1,921pcm 1,751pcm 193 days Three Bedrooms 59 2,653pcm 2,249pcm 243 days Four Bedrooms 26 2,738pcm 2,375pcm 251 days Five Bedrooms 12 3,967pcm 3,675pcm 120 days COMPUTER GENERATED IMAGE

14 EXIT STRATEGY ANYONE WHO HAS LIVED IN OR AROUND LONDON KNOWS THAT THE UK S CAPITAL CITY CONTINUES TO EXPAND AND ENVELOP THE REGIONS ON ITS OUTSKIRTS Brentford is being swallowed by London as it is regenerated, creating a new and desirable region for investors and for residents. INCREASING POPULATION & CONNECTIONS The increasing population of the borough will serve to create demand for property at IconBlu. Furthermore the planned transport enhancements will make IconBlu appealing to people who work along the new train and tube links including the 210 million passengers per year who use the Piccadilly line. COMPETITIVE PRICES Prices at IconBlu and in Brentford as a whole remain competitive compared to those in surrounding regions which will enable the sale of the properties to a wider demographic profile based on affordability concerns. GROWING APPEAL The regeneration of Brentford and Hounslow borough will be a long process over a number of years. Each year the location will become more and more appealing supporting a steady growth in house prices and increasing the number of people who would like to own a property in the area. This will provide a healthy source of future house buyers to whom investors can sell their properties. AT A GLANCE Improving connections and popularity will further open the market Pricing is competitive compared to wider London Absorption is good with limited time on market as demand outstrips supply Regeneration of Brentford and Golden Mile making area more desirable to tenants and home owners COMPUTER GENERATED IMAGE

15 THE DEVELOPER BYM CAPITAL, ESTABLISHED BY MATAN AMITAI, JOSEPH DUNNER AND BEN DITKOVSKY IN 2016 AND THE COMPANY HAS BECOME A MAJOR PLAYER IN THE PERMITTED DEVELOPMENT MARKET. The team of three worked together at Iron Rock Capital and specialised in providing commercial to residential conversion investment solutions. BYM Capital focuses on securing sites that meet the criteria for permitted development schemes to create excellent value residential schemes for local and international property investors. At present BYM has projects under development in excess of 115million in addition to achieving a turnover of 150m in property transaction trades to date. BYM has also executed the sale and development of over 400,000 sq.ft throughout the UK, ranging from securing planning for residential development to enhance the investment value or developing the sites directly. BYM enjoy a close working relationship with some of the country s most prestigious funds (Legal & General, Thread Needle, AXA, and others). Some of BYM Capital s projects both completed and in progress include an 8.9 million project in Solihull of 39 residential units, a 90-unit residential conversion from an office building in St Albans worth 34 million, a development with a GDV of 32 million in Newbury with 107 permitted development residential units and 32 new build residential units, a 9.8 million 56 unit development in Norwich and an 88 unit development in Bracknell, Berkshire. AT A GLANCE Experts in Permitted Development Over 150m turnover Development of over 400,000 sq.ft Projects with GDV of 115m under development

16 RIVER THAMES NEAR BRENTFORD

17 DISCLAIMER The material and information contained in this document is for general information purposes only. You should not rely upon the material or information in this document as a basis for making any business, legal or any other decisions. Whilst we endeavour to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied about the completeness, accuracy, reliability, suitability or availability with respect to the information contained herein. Any reliance you place on such material is therefore strictly at your own risk. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find in this document and wish to rely upon, whether for the purpose of making an investment decision or otherwise.