LONG LET DEPARTMENT STORE WITH MINIMUM FIXED UPLIFTS DEBENHAMS HASTINGS TN34 1HN

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1 Hunters Property Investment Ltd LONG LET DEPARTMENT STORE WITH MINIMUM FIXED UPLIFTS DEBENHAMS HASTINGS TN34 1HN

2 INVESTMENT SUMMARY DEBENHAMS HASTINGS TN34 1HN Located in the heart of Hastings within the pedestrianised retail pitch Site of 0.53 acres Well configured store trading over five floors, with a total area of 96,089 sq ft Freehold Let to the 5A1 covenant Debenhams Retail Plc until unexpired term of approximately 16½ years Current rent of 636, per annum ( 6.62 psf overall) Rent reviews every 5 years equivalent to 2.5% pa compounded or open market rental value, whichever is the higher - next rent review in June 2019, providing a minimum uplift to 720, pa Significant asset management opportunities on a break up including potential reconfiguration, more massing, sub division, or change of use to residential / PRS / student / hotel accommodation, subject to planning Hastings could see the new arrival of the HS1 rail extension Offers are sought in the region of 9,950,000 (Nine Million, Nine hundred and Fifty Thousand Pounds), subject to contract and exclusive of VAT. Reflects a capital value rate of per sq ft This reflects the following minimum yield profile, net of standard purchaser's costs:- Net Initial Yield 6.00% June % June % June % 2

3 LOCATION Hastings is located in East Sussex on England s south coast. The town is approximately 55 miles south of London, 31 miles south west of Ashford and 16 miles east of Eastbourne. It is connected to the national road network via the A21, linking to J5 of the M25, and the A259 south coast road leading to Eastbourne to the west and Folkestone to the east. Hastings also lies on the A27 west-east coastal route (Salisbury to Pevensey), which, between Portsmouth and Lewes, is one of the busiest trunk roads in the UK, providing direct access to Eastbourne, Brighton and Portsmouth. Hastings rail station offers frequent services to London, either by Southeastern Trains to London Bridge (1h 26m) or by Southern via Ashford to St Pancras International (1hr 36m) or Victoria. Ashford Station provides access to HS1/Eurostar. Hastings also benefits from an east-west rail service to Eastbourne (30mins) and Brighton (1hr 18m). London Gatwick airport is 39 miles to the north and the port of Dover (40 miles) and the Channel Tunnel (36 miles) are to the east. Recent Infrastructure Improvements and Investment The long awaited Bexhill to Hastings Link Road (at a cost of approximately 120 million), which opened in 2015, has greatly reduced local congestion and provides significant travel time savings to Eastbourne and Brighton. This much needed road improvement is already boosting the local economy with an anticipation it will assist delivery of up to 2,000 new homes and 3,000 new jobs. Hastings 144 year old Grand Pier was largely destroyed by fire in 2010 and, after a 14.2m redevelopment, reopened in The new pier sums up Hastings on-going regeneration and is expected to bring a further 300,000 visitors to Hastings per year, with an extra 1.2 million to the local economy. Gatwick A23 London M23 M25 East Grinstead A27 Brighton Sevenoaks A22 A264 Newhaven M20 A21 A26 Uckfield Lewes A22 A27 Network Rail have assigned 2.3bn to improve train services to the south east with works scheduled to conclude by 2019 which paves the way for high speed trains to London. Hastings could see the new arrival of the HS1 line extension, which would run from Bexhill, Hastings and Ashford. This would reduce journey times from Hastings to London St Pancras International to 68 minutes. Hastings would gain an international status as it would be connected to the Channel Tunnel train line to Europe. The arrival of HS1 would be a Gamechanger for Hastings and, in addition to the new link road recently opened, would further boost its accessibility and economy. Demographics and Local Economy M26 Tunbridge Wells A265 Maidstone The total population within Hastings primary catchment area is 171,000 with an estimated shopping population of 90, % of catchment residents live in areas where average household income is also above GB average. 32% of Hastings catchment area is Acorn Wealthy Achievers. A21 Bexhill Eastbourne Household income is 10% above GB average. Rochester A262 M2 M20 A259 A2070 HASTINGS Canterbury A28 Ashford Folkestone 3

A21 Hastings STATION APPROACH A21 A21 HAVERLOCK RD. DEVONSHIRE RD. MIDDLE ST. SOUTH TERRACE QUEENS ROAD A2101 A2101 RUSSELL STREET QUEENS RD. WELLINGTON SQUARE CASTLE HILL ROAD ROBERTSON ST.

4 A21 Hastings STATION APPROACH A21 A21 HAVERLOCK RD. DEVONSHIRE RD. MIDDLE ST. SOUTH TERRACE QUEENS ROAD A2101 A2101 RUSSELL STREET QUEENS RD. WELLINGTON SQUARE CASTLE HILL ROAD ROBERTSON ST. ROBERTSON CARLISLE PARADE A259 PASSAGE ROBERTSON TER. HAROLD PLACE PELHAM ST. CARLISLE PARADE DENMARK PLACE A259 SITUATION The property fronts onto the pedestrianised Robertson Street with a further entrance from Robertson Terrace which runs parallel and to the rear of Robertson Street. The Priory Meadow Shopping Centre (420,000 sq ft) lies the north east of the property, provides 1,100 parking spaces. Tenants include Marks and Spencer, River Island, Boots, H&M, New Look and Topshop. Surrounding occupiers include HSBC Bank, NatWest Bank, Café Nero and Yates s Public House. SITE The property occupies an irregular shaped site with a total frontage to Robertson Street of 55m (180 ft) and Robertson Terrace of 24.4m (90 ft). The overall site area is approximately hectares (0.53 acres). 4

5 PH to PH DEBENHAMS HASTINGS TN34 1HN LB CAMBRIDGE ROAD to b51c 51 51a 51d 52 52b 4 1 to 3 1a ROBERTSON PASSAGE El Sub Sta to to 33 ROBERTSON TERRACE Albany Court 34 to 69 REDEVELOPMENT SITE CLUB SCULPTURE MOBILE CENTRE ZOFIA'S ICE CREAM UNDER DEVELOPMENT OFFICE ENTRANCE 5

6 THE PROPERTY HASTINGS TRAIN STATION 6

DESCRIPTION The property combines several buildings which have been altered and extended at various times and using a number of construction methods.

This building dates back to the 1800s and comprises basement, ground and 5 upper floors.

The ground floor has three full height display windows, two sets of metal, double glazed doors and two fire exit doors which lead to the basement.

7 DESCRIPTION The property combines several buildings which have been altered and extended at various times and using a number of construction methods. 1/3 Robertson Street is considered the primary entrance to the store, situated closest to the Robertson Street / Havelock Road and Queens Road Junction. This building dates back to the 1800s and comprises basement, ground and 5 upper floors. It has a sandstone façade to the upper floors of the frontage with a number of crittal style steel and PVC windows to the first floor. The ground floor has three full height display windows, two sets of metal, double glazed doors and two fire exit doors which lead to the basement. Adjacent to this, the ground and first floor of Number 4 Robertson Street is occupied by HSBC Bank which is not within the demise of the property. By way of a flying freehold, the 2nd floor of this building is occupied by Debenhams. 6/9 Robertson Street is of the same construction as Number 4, but includes an additional upper floor. The ground floor offers similar retail frontage to 1/3 Robertson Street with three display windows and two double doors. The building fronting Robertson Terrace is more modern, believed to date back to the 1960s. The ground and first floors (first and second floors from within the store) are let to Debenhams, with the ground having a similar style glazed frontage as Robertson Street with display windows and double entrance doors. The first floor is used as a Debenhams café for customers and benefits from sea views with large PVC windows. At ground level, to the right hand side there is an undercroft driveway through the building which leads to a small delivery yard which includes a vehicle turning table. The additional 6 upper floors of this building comprise a block of residential flats which has been sold on a long lease as detailed below in the Tenancy Summary. Internal customer areas are served by escalators between the ground, first and second floors. A passenger lift also serves the ground to fourth floor levels and there are two goods lifts serving the basement to upper floor levels. An independent customer lift within the terrace buildings links the ground, first and second floors as well. The third floor accommodation is accessed via a staircase and leads to storage areas which are predominantly disused. Within the third floor retail space there is a section partitioned off which was previously used as a hairdressers. Currently it is used as a storage area. The fourth floor of 1-3 Robertson Street is used for administrative office purposes and is arranged in individual rooms. The remainder of the fourth floor provides a staff area. The majority of the remaining areas including the basement are used for storage purposes, maintenance offices, plant and staff rooms. 7

ACCOMMODATION Our client has been provided the following gross internal floor areas:- Floor Description Area (sq m) Area (sq ft) Ground Sales 2143.11 23,068 First Sales 2069.

8 ACCOMMODATION Our client has been provided the following gross internal floor areas:- Floor Description Area (sq m) Area (sq ft) Ground Sales ,068 First Sales ,279 Second Sales and restaurant ,475 Third Sales and previously hairdressing ,314 Fourth Offices and staff room ,968 Fifth Storage and workshop ,125 Basements Storage ,860 Total ,089 TENURE The property is held freehold. TENANCY The property is let on two leases as follows:- The commercial element is let by way of an occupational lease to Debenhams Retail Plc for a term of 30 years from 25th March 2004 expiring 24th March 2034 (16 ½ years unexpired). The tenant has an option to renew the lease at expiry for a further 25 years. The passing rent is 636, per annum (as of 24th June 2014 minimum fixed uplift) and increases every 5 years, based on a stated minimum rent (equates to 2.5% per annum compounded) or the open market rent, whichever is the higher. The lease stipulates the minimum rent as shown opposite: Rental Period Minimum Rent (pa) , , , The residential element, known as Albany Court, Robertson Terrace, has been sold on a long lease to Multistates Limited for a term of 199 years from 1st November 2004 expiring 1st October 2203 at a peppercorn rent. The tenant is obliged to repair, uphold, cleanse and keep in repair the premises including the roof, external and/or load bearing parts of the building. 8

TENANT COVENANT INFORMATION Debenhams is one of the UK s most iconic department stores with a history on the British high street dating back over 200 years, which now trades from 248

The company is the second largest department store chain in the UK, with a top four market share in womenswear and menswear and a top ten share in the childrenswear market.

Financial results for the last three years are set out below: Company Number: 03/03/2016 29/08/2015 30/08/2014 000083395 ( 000s) ( 000s) ( 000s) Sales Turnover 2,105,400 2,099,300

of Going Concern (TOGC). EPC The EPC rating for the property is available upon request.

9 TENANT COVENANT INFORMATION Debenhams is one of the UK s most iconic department stores with a history on the British high street dating back over 200 years, which now trades from 248 department stores across 27 countries. The company is the second largest department store chain in the UK, with a top four market share in womenswear and menswear and a top ten share in the childrenswear market. Debenhams Retail Plc has a Dun & Bradstreet rating of 5A1 representing minimum risk of business failure. Financial results for the last three years are set out below: Company Number: 03/03/ /08/ /08/ ( 000s) ( 000s) ( 000s) Sales Turnover 2,105,400 2,099,300 2,085,900 Pre-tax Profit 145, , ,700 Net Worth 1,010, , ,900 VAT The property is elected for VAT and it is proposed that the sale will be treated as a Transfer of Going Concern (TOGC). EPC The EPC rating for the property is available upon request. RECENT INVESTMENT TRANSACTIONS Evidence of recent department store investment sales are: Location Size (sq ft) Tenant Unexpired Price Yield Date Term Manchester 387,595 Debenhams 33 years 84.5m 5.07% Under Offer Southampton 295,000 Debenhams 17 years 29m 5.95% Under Offer Nottingham 190,000 Debenhams 23 years 25.85m 5.35% April 17 Winchester 50,612 Debenhams 17 years 15.83m 4.16% April 17 Eastbourne 102,946 Debenhams 17 years 14.10m 5.88% April 17 Camberley 115,858 House of Fraser 23 years 17m 5.75% Dec (& Nat West) 9

PROPOSAL Offers are sought in the region of 9,950,000 (Nine Million, Nine Hundred and Fifty Thousand Pounds), subject to contract and exclusive of VAT. This reflects a capital value rate of 103.

10 PROPOSAL Offers are sought in the region of 9,950,000 (Nine Million, Nine Hundred and Fifty Thousand Pounds), subject to contract and exclusive of VAT. This reflects a capital value rate of per sq ft. This provides the following minimum running yield profile, net of standard purchaser s costs:- Net Initial Yield 6.00% FURTHER INFORMATION AND VIEWING Should you have any queries or wish to make an inspection, please contact: Bidwells 25 Old Burlington Street London W1S 3AN Tel: Mike Fox DDI: mike.fox@bidwells.co.uk Hunters Property Investment Limited 66 Grosvenor Street London W1K 3JL Tel: Richard Hunter DDI: richard@huntersprop.co.uk June % June % June % Darryl Stevenson DDI: darryl.stevenson@bidwells.co.uk Saskia Hunter DDI: saskia@huntersprop.co.uk October

11 Hunters Property Investment Ltd Bidwells 25 Old Burlington Street London W1S 3AN Tel: bidwells.co.uk Hunters Property Investment Limited 66 Grosvenor Street London W1K 3JL Tel: huntersprop.co.uk IMPORTANT NOTICE RELATING TO THE MISREPRESENTATION ACT 1967 AND THE PROPERTY MISDESCRIPTIONS ACT 1991 Bidwells LLP and Hunters Property Investment Limited act for themselves and for the vendors of this property, whose agents they are, give notice that: These particulars do not form part of any offer or contract and should not be relied upon as statements or representatives of fact. Bidwells LLP and Hunters Property Investment Limited have no authority to make or give in writing or verbally any representation or warranties in relation to the property. Any areas of measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. No assumptions should be made that the property has all necessary planning, building regulation or other consents. Bidwells LLP and Hunters Property Investment Limited have not carried out a survey, nor tested the services, appliances or facilities. Purchasers must satisfy themselves by inspection or otherwise. In the interest of Health & Safety, please ensure that you take due care when inspecting the property. Bidwells LLP is a limited liability partnership registered in England & Wales (registered number OC344553). Registered head office is Bidwell House, Trumpington Road, Cambridge CB2 9LD, where a list of members is available for inspection

FREEHOLD LONG-LET LEISURE INVESTMENT, 51/53 BRIDGE STREET, SWINDON, SN1 1BL

FREEHOLD LONG-LET LEISURE INVESTMENT, 51/53 BRIDGE STREET, SWINDON, SN1 1BL 0207 493 3043 bidwells.co.uk Investment Summary Prominent long let bar investment. Freehold. Located on Swindon s main pedestrianised retail and leisure pitch. Rare late licence. Let to Probka Management