North West London Investment. Stanmore Buckingham House, The Broadway

Transcription

1 North West London Investment with Residential Conversion Potential Stanmore Buckingham House, The Broadway Sat Nav Ref: HA7 4EB

2 Investment Considerations North West London retail and office investment/ development opportunity situated on the London Underground Jubilee line. Connected to Central London on the London Underground Jubilee Line. Permitted development rights to create ten residential flats in the vacant offices. Low capital value of 208 per sq ft. Large site area of c acres and 63 car parking spaces to the rear. 100% income producing retail element, with significant retailer demand. Let to tenants including JD Wetherspoon plc, Ganton House Investment Ltd (Ladbrokes) and Oxfam. Freehold. Current Net Income: 479,310 per annum Offers in excess of 8,875,000 (Subject to contract & exclusive of VAT) A purchase at this level would reflect 5.67% for the net income producing element and 110 per sq ft for the vacant offices, assuming cost of 5.80%. 2

3 Hemel Hampstead St Albans Mill Hill Golf Club Heathrow M25 M25 Borehamwood Barnet Stanmore Harrow Wembley WatfordM20 M1 LONDON M11 M25 Subject Property Stanmore Edgware Canons Park Location The property is situated in the affluent residential district of Stanmore in northwest London, which is part of the London borough of Harrow. Stanmore is located approximately 11 miles northwest of Charing Cross, 4.6 miles north of Wembley, 4 miles south of Watford and 2.6 miles north of Harrow. Stanmore is popular with commuters to central London as it is located on the London underground network on the Jubilee Line, offering direct travel to Bond Street station in approximately 30 minutes. There are also six bus routes in Stanmore offering direct access to Brent Cross, Watford Junction, Edgware, Harrow, South Harrow, Holborn and Hatfield. The town has excellent road communications as it is located close to the A41 and junction 4 of the M1, approximately 2.5 miles to the east. The A410 run through the town, which links to the A41 to the east, which leads into central London and Northwood and Hatch End to the west. Situation The immediate area is a popular retail, leisure and residential area. The property is situated at the busy junction of The Broadway, Church Road and Stanmore Hill. Stanmore Hill leads onto Stanmore Common and Watford to the north. Stanmore Common is a 120 acre local nature reserve and public park, situated just 500 metres from the rear of the property. The property occupies a prime position within the town centre of Stanmore. The town centre has a large Sainsbury s supermarket directly opposite the property and a Lidl supermarket both of which are major drivers of footfall. Other retails in the immediate vicinity include Café Nero, Boots Opticians, Nationwide, Pizza Express, Prezzo and a variety of local operators. Plans have recently been approved for the development of a Marks & Spencer Simply Food and 120 residential dwellings to the rear of the property called Anmer Lodge. We feel that this development will solidify the subject property s location as prime pitch and bring new customers to the location. More information can be found on under application P/0412/14. 3

4 Low capital value of 208 per square foot Socio-Economic Profile The socio-economic profile within the residential area is affluent, being above the GB average, as summarised below: stanmore GB average area population Managers & Senior Officials 18.57% 14.74% Symbols of Success 28.01% 9.61% Education: Higher Degree/Degree 18.93% 14.32% Households with a car 77.93% 72.56% *Source: Experian The property comprises a three storey mixed use building with retail on the ground floor, offices on the two upper floors and parking to the rear. The retail element consist of twelve units let to twelve individual retail tenants. JD Wetherspoon acts as an anchor to the parade, occupying the largest unit. The upper parts are split into the East and West blocks. The East block is let on nine individual leases to office occupiers. The West block will have vacant possession to enable a residential conversion to take place. More information available upon request. 4

5 STORE ROOM LONDON CENTRE OF MARKETING MALE WC FLAT ROOF FEMALE WC AS TIBBER & CO SOLICITORS BRESLAUER VACANT MALE WC VOID FEMALE WC K SHAH AND CO TOUCHSTONE DO NOT SCALE THIS DRAWING. CHECK ALL DIMENSIONS ON SITE THIS DRAWING IS PROTECTED BY COPYRIGHT. IT MAY NOT BE REPRODUCED IN ANY FORM OR BY ANY MEANS FOR ANY PURPOSE, WITHOUT GAINING PRIOR WRITTEN PERMISSION FROM JONES LANG LASALLE FLAT 2 FLAT 1 FLAT 3 DINING FLAT ROOF DINING FLAT 5 FLAT 4 FLAT 7 FLAT 6 FLAT 8 VOID DINING DINING FLAT 10 FLAT 9 DO NOT SCALE THIS DRAWING. CH THIS DRAWING IS PROTECTED BY MEANS FOR ANY PURPOSE, WITHOU Permitted development to create ten residential flats in the vacant offices Residential Conversion The upper parts of the subject property have significant development potential, including a residential conversion. Permitted development rights have been achieved to convert the West block into ten two bedroom appartments. The vendor has obtained vacant possession of the upper parts of the West block of Buckingham House. Indicative plans have been produced by the vendor to demonstrate how ten two bedroom flats can be converted from the current office accommodation. More information is available upon request: Exisiting First and Second Floor, West Block Proposed First and Second Floor, West Block EXISTING FIRST FLOOR 1:100 EXISTING SECOND FLOOR 1:100 PROPOSED FIRST FLOOR 1:100 PROPOSED SECOND FLOOR 1:100 Rev Rev Date By Chck'd 30 Warwick Street London W1B 5NH For indicative purpose only. Client Project BUCKINGHAM PARADE STANMORE HA7 4EB T +44 (0) F +44 (0) Client Project BUCKINGHAM PARADE STANMORE HA7 4EB Existing First and Second Floor Plan Scale A1 Date December 2014 By DB Job 1664 Drg Checked IS rev Proposed First and Second Fl

6 Covenant Information We highlight the key tenants covenant information below: JD Wetherspoon Plc 27/06/ /07/ /07/2012 Turnover 1,409,333,000 1,280,929,000 1,197,129,000 Pre-Tax Profit 78,365,000 57,143,000 58,882,000 Net Worth 200,330, ,749, ,708,000 Oxfam 31/03/ /03/ /03/2012 Turnover 389,100, ,900, ,500,000 Pre-Tax Profit 24,000,000 ( 16,700,000) 6,800,000 Net Worth 75,100,000 55,900,000 73,900,000 Ladbrokes Betting & Gaming Ltd 31/12/ /12/ /12/2011 Turnover 818,578, ,851, ,139,000 Pre-Tax Profit 87,693, ,843, ,963,000 Net Worth 994,620, ,843, ,620,000 Medical Direct Group Limited 31/12/ /12/ /12/2010 Turnover 2,782,340 2,826,405 2,957,726 Pre-Tax Profit 11,313,044 ( 423,035) - Net Worth 12,734,444 1,302,181 1,735,209 Tenure Freehold 6

7 Tenancy Schedule Tenant Name Basement Ground ITZA Areas First Second Total Lease and Rent Lease Start Expiry Date Next Review Breaks JD Wetherspoon Plc Retail-1 Buckingham Parade 2,186 3,178 1, ,843 14/01/ /01/ /01/2018 None 69,500 1 Oxfam Retail-2 Buckingham Parade 1, ,014 16/07/ /07/2019 Not Activated 18,000 1 Niamh Marie Wedgeworth Retail-3 Buckingham Parade 1, ,030 06/03/ /03/2023 None 18,100 1 Natural Health Options Retail-4 Buckingham Parade 1, ,419 15/03/ /03/ /03/ /03/ ,000 1 Questpark Ltd Retail-5 Buckingham Parade 1, ,082 26/07/ /07/ /07/2019 None 26,000 1 Speedway Ladieswear Ltd Retail-6 Buckingham parade /07/ /07/2016 Not Activated 27,000 1 Lola Childrens Boutique Ltd Retail-7 Buckingham parade /09/ /09/ /09/ /09/ ,000 Ladbrokes Betting & Gaming Ltd Retail-8 Buckingham Parade /07/ /07/ /07/ /06/ ,000 Dovelawn Management Ltd Retail-9 Buckingham Parade /12/ /12/2016 None 21,800 1 Friends (Stanmore) Ltd Retail-10 Buckingham Parade 1, ,136 09/07/ /07/ /07/ /07/2017 (T) 09/07/2020 (T) 27,000 1 Malstock Ltd Retail-11 Buckingham Parade 1, ,182 25/03/ /03/ /03/2017 None 26,500 1 Sol Stanmore Ltd Retail-12 Buckingham Parade 1, ,236 21/01/ /01/ /01/2020 None 26,000 1 Incentive topped up by vendor Vacant Office-Suite 1 (West) 2,597 2,597 None 0 Vacant for residential conversion Vacant Office-Suite 2 (West) 1,624 1,624 None 0 Vacant from June Agreement for surrender in place Vacant Office-Suite 3 (West) 2,597 2,597 None 0 Vacant for residential conversion Vacant Office-Suite 6 (West) 1,588 1,588 None 0 Vacant from June Agreement for surrender in place Medicals Direct Group Ltd Office-Suite 9A & 9B & 9X (East) 3,852 3,852 11/08/ /08/ /12/ /08/2016 (T) 11/08/2018 (T) 38,000 6 Service charge cap G Perry Office-Suite 9Y (East) /12/ /11/2013 None 4,850 1 Tenant holding over Service charge cap Tibber Legal Ltd Office-Suite 10, Unit 1 (East) 1,137 1,137 13/01/ /01/2019 Rolling 14, , Rolling break between January R Rose Office-Suite 10A (East) /06/ /06/2010 None 5,800 1 Tenant holding over Mr K Shah & Co Office-Suite 10B (East) /03/ /03/ /03/2017 6,000 2 Tenant relocated from the west block Medicals Direct Group Ltd Office-Suite 7 (East) 4,191 4,191 11/08/ /08/ /12/ /08/2016 (T) 11/08/2018 (T) 42,000 8 Service charge cap Ice (Europe) Ltd Office-Suite 8 (East) 4,872 4,872 11/06/ /06/ /06/2015 Rolling L+T 53, , Inclusive tenancy Medicals Direct Group Ltd Office-Suite 10, Unit 2 (East) /08/ /08/ /12/ /08/2016 (T) 11/08/2018 (T) 5,000 1 Service charge cap Breslauer Ltd Office-Suite 10, Unit 3 (East) /06/ /06/ years (T) 10,700 5 Incentive topped up by vendor. Contracted term shown Laurence Braham & Anthony Gold Office-Suite 10, Unit 4 (East) /02/ /02/2018 Not Activated 5,500 1 Service charge cap Cornerstone Telecommunications Roof Aerial 23/12/ /12/ /12/2018 Rolling (T) 10,000 Medicals Direct Group Ltd 15 Car Parks 11/08/ Rolling 7,500 Tibber Legal Ltd 3 Car Parks 25/12/ Rolling 250 Mr K Shah & Co 2 Car Parks 23/03/ Rolling 1,000 Total 42, , , Current Rent pa Landlord Shortfall Comment Total contracted rent 536,500 Landlord shortfall 57, Total net rent 479, Car parking spaces are currently not allocated to any tenant, but we would anticipate 13 been required for the residential conversion of the West block. 7

8 63 CAR PARKS to be Anmer Lodge Development incl. 120 residential appartments VAT All sums expressed are exclusive of VAT and the appropriate amount of VAT shall be paid in addition. 25 CAR PARKS EPC J D WETHERSPOON Further information is available upon request. Proposal We are seeking offers in excess of 8,875,000 (Eight million, eight hundred and seventy five thousand pounds), subject to contract and exclusive of VAT. A purchase at this level reflects 5.67% on the current net income and 110 per sq ft. for the vacant offices, assuming cost of 5.80%. subject to contract For indicative purpose only. Further information Thomas Heptonstall +44 (0) thomas@fawcettmead.co.uk James Mead +44 (0) james@fawcettmead.co.uk Great Portland Street London W1W 8QA fawcettmead.co.uk Misrepresentation Act: The particulars in this brochure are believed to be correct, but accuracy cannot be guaranteed and they are expressly excluded from any contract. Designed by Graphic Outlines Ltd April