Grove House, Headley Road, Grayshott GU26 6LE

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Victoria Black
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1 Retail & Unbroken Residential Investment Opportunity For Sale on behalf of Messrs J Pitt & B Moon as joint Fixed Charge Receivers Grove House, Headley Road, Grayshott GU26 6LE t

Location Grayshott is an award winning village within National Trust countryside on the north east Hampshire / Surrey border and is located approximately 72 km (45 miles) south east of London, 24 km

Grayshott benefits from good road communications being located adjacent to the A3 Hindhead Tunnel which links directly with the M25 Motorway (Junction 10) approximately 32 km (20 miles) to the north

In addition, London Heathrow Airport is approximately 56 km (35 miles) to the north east and Gatwick International Airport is approximately 64 km (40 miles) to the east.

2 Location Grayshott is an award winning village within National Trust countryside on the north east Hampshire / Surrey border and is located approximately 72 km (45 miles) south east of London, 24 km (15 miles) south east of Guildford, 13 km (8 miles) south of Farnham and 6.4 km (4 miles) north west of Haslemere. Grayshott benefits from good road communications being located adjacent to the A3 Hindhead Tunnel which links directly with the M25 Motorway (Junction 10) approximately 32 km (20 miles) to the north east. The A3 also serves the south coast, connecting with the A27 approximately 40 km (25 miles) to the south. Frequent train services from London Waterloo to Haslemere take approximately 50 minutes. In addition, London Heathrow Airport is approximately 56 km (35 miles) to the north east and Gatwick International Airport is approximately 64 km (40 miles) to the east. Grayshott is surrounded by National Trust sites of outstanding natural beauty including Waggoners Wells, Ludshott Common, The Devil s Punchbowl, Gibbet Hill and Hindhead Commons. Notable residents of Grayshott have included George Bernard Shaw, Sir Arthur Conan Doyle, Alfred, Lord Tennyson and Colin Firth. Situation The property is situated along the south side of Headley Road between its junctions with Crossways Road and The Avenue. Headley Road is the main thoroughfare in Grayshott which leads to the A3 and the Hindhead Tunnel. A wide range of shops including fashion and clothing, flowers, gifts and cards, hair and beauty, home and garden, charity shops and estate agents are available in Grayshott. There is also a variety of convenience stores, greengrocers, bakeries, banks, pubs and restaurants. The Grayshott Market takes over Grayshott Village Square, which is diagonally opposite the subject property, every third Saturday of the month selling locally sourced food and crafts. There is a public car park directly behind the property on Crossways Road with a footpath adjacent to the property leading to and from Headley Road. In addition, there is on street parking directly in front of the property along Headley Road. Description Grove House provides a refurbished modern property of retail space on the ground floor with self- contained residential at first floor level. The property comprises three ground floor retail units; a Sainsbury s supermarket, a Haart estate agency and a unit which is currently vacant. The first floor comprises of 11 residential flats providing six 1-bedroom and five 2-bedroom flats which are all separately let on Assured Shorthold Tenancies. The property also benefits from 15 car parking spaces. One space is let to Sainsbury s, two to Haart with the remainder for the use of the residential tenants. Accommodation The property has been measured by BKR Floor Plans and provides the following Net Internal and Gross Internal floor areas; Sq Ft Sq M Sq ft Sq M (NIA) (GIA) Unit 1 -Sainsbury s 4, , Unit 2 5, , Unit 3 Haart Sub- Total 10,851 1, , , Flat 1. 1 bed 1 bath Flat 2. 1 bed 1 bath Flat 3. 2 bed 2 bath Flat 4. 2 bed 2 bath Flat 5. 1 bed 1 bath Flat 6. 1 bed 1 bath Flat 7. 1 bed 1 bath Flat 8. 2 bed 2 bath Flat 9. 1 bed 1 bath Flat bed 2 bath Flat bed 2 bath Sub-Total 7, Site We estimate the site area to be approximately 0.22 hectares (0.54 acres). A Phase 1 Environmental Survey was carried out by Groundsure in August The report concluded that the site presents a low environmental risk for continued use for commercial / residential purposes. A copy of the report is available to download.

Tenure Freehold. Tenancies The commercial element of the property is let to Sainsbury s Supermarket Limited and Haart Limited, plus the vacant unit.

3 Tenure Freehold. Tenancies The commercial element of the property is let to Sainsbury s Supermarket Limited and Haart Limited, plus the vacant unit. The residential element is let to 11 tenants in accordance with the attached Tenancy Schedule. The total current income is 198,185 per annum of which 97,025 per annum is from the commercial element and 101,160 per annum is from the residential element. Covenants Sainsbury s Supermarkets Limited (Co. No ) has reported the following figures: Year Ending 16 th March th March 2012 Turnover 23,290 million 22,288 million Pre-Tax Profit 616 million 1,114 million Total Equity 4,667 million 4,659 million The principal activity of the company is grocery and related retailing. Founded in 1869, the company operates over 1,203 stores comprising 583 supermarkets and 523 convenience stores and employs around 161,000 people. For further information please visit Haart Limited (Co. No ) is a non-trading company. The ultimate parent company is Spicerhaart Group Limited (Co. No ) which has reported the following figures: Year Ending 31 st Dec st Dec 2011 Turnover 92,263,074 88,789,516 Pre-Tax Profit 6,394,717 1,759,576 Shareholders' Funds 13,957,667 7,316,632 The Groups's principal activity is estate agency together with a broad range of complementary business streams. According to is website Spicehaart is one of the Uk's most innovative estate agency group, combining the largest independent residential sales and lettings network with one of the biggest integrated financial services businesses in the country. The Spicerhaart Group operates five estate agency brands - haart, Spicer McColl, Haybrook, Felicity J Lord and Chewton Rose. They also have an alternative to high street estate agencies through isold.com. For further information please visit Service Charge The total service charge budget for the period 1st April 2014 to 31st March 2015 is 34, ,450 relates to the residential element of the property and 11,700 relates to the commercial element. A copy of the service charge budget is available to download. Opportunities to enhance value The interest for sale provides an interesting opportunity to acquire a substantial unbroken, detached, mixed-use property in the centre of an affluent Hampshire / Surrey location. From our research we are advised that 2014 has been a record year for the residential market with continuing high demand from tenants, owner occupiers and buy-to-let investors alike. The chance to acquire an entirely unbroken property in this locale will provide an investor with a number of opportunities to enhance the value of the property including; Sell flats on an individual basis to owner-occupiers or investors; Increase the rental income by securing a tenant(s) for the vacant retail unit; Obtain a higher rent pro-rata for the front section of the existing retail unit by reducing its depth. This could provide an opportunity to add value to the rear section by providing on-site storage for the residential accommodation, self-contained office accommodation, or perhaps parking; Seek to create extra residential onsite, subject to consent. Value Added Tax The property has been elected for VAT. Therefore, VAT will be payable on the purchase price. It is envisaged the sale will be treated as a Transfer of a Going Concern (TOGC).

4 Accommodation Residential Unit Floor Area (sq. ft.) Unit Floor Area (sq. m) Unit Occupation Description AST Tenant Name Mr. P.M. Appleton & Mrs. C. Appleton Type Start Date Lease Term End Date Break Date Rent Review Monthly Rent Current Annual Rental Income 1 bed 1 bath 31/08/ months 30/08/ , AST Miss C.E. Morley 1 bed 1 bath 14/08/ months 13/08/ , AST Grove House, Headley Road,Grayshott GU26 6LE - Tenancy Schedule Mr. J.A. Gilby & Miss A. On 2 bed 2 bath 24/08/ months 23/08/ , AST Mrs. H.M. Warren 2 bed 2 bath 03/04/ months 02/10/ ,500 Current Rental Income Per Sq Ft Comments New Letting deposit 6 month break clause not exercised 1,177 Deposit 6 months' rent paid in advance = 5,250 1,212 Deposit AST Mr. K.B. Holden & Miss K.L. Baguley 1 bed 1 bath 03/03/ months 02/09/ , AST Mr. R. Kawa 1 bed 1 bath 16/06/ months 15/06/ , AST Mr. J.D. Morris 1 bed 1 bath 05/04/ months 04/10/ , AST Miss R.E. Cichowlas & M.M. Piotrowski & Mrs A.W. Bebas Rollover Option after the 6 month term 6 month break clause 2 bed 2 bath 24/08/ months 23/08/ ,200 1,177 Deposit AST Miss L.K. Brown 1 bed 1 bath 26/10/ months 25/10/ , AST Mr. D.A. Crossley & Mrs. I.M. Crossley 2 bed 2 bath 14/05/ months 13/11/ , AST Mr. A Anders 2 bed 2 bath 25/09/ months 24/09/ ,500 Sub - Total 7, , ,160 Commercial UNIT Let Haart Limited Lease Renewal 07/05/ years 06/05/ /05/ , UNIT 2 5, Vacant Vacant ~ ~ ~ ~ ~ ~ UNIT 3 4, Let Sainsbury s Supermarkets Limited FRI 15/03/ /03/ /03/ /03/2017 & 15/03/2022 Sub - Total 10,851 1,008 97,025 TOTAL 18, ,185 85, Rollover option after the 12 month term 983 deposit Rollover Option after the 6 month term 1,239 Deposit 1,212 Deposit New lease currently in legals Tenant break option on Rent reviewed to RPI compounded annually with a collar of 1.5% & a cap of 3.5%. Tenant break option , subject to 6 months' notice.

Proposal We are instructed by our client to invite offers in the region of 3,500,000, (Three Million, Five Hundred Thousand Pounds), subject to contract.

5 Proposal We are instructed by our client to invite offers in the region of 3,500,000, (Three Million, Five Hundred Thousand Pounds), subject to contract. We suggest that one could assess the asking price as follows; Residential (1) 1,900, % NIY 263 per sq ft Sainsbury s (2) 1,150, % NIY 255 per sq ft Haart 120, % NIY 132 per sq ft Vacant Unit (3) 330, per sq ft Total 3,500, We suggest that the total value of the residential flats if sold individually would be in excess of 2.2m, based upon sale figures of 160,000 for 1-bedroom flats and 250,000 for 2-bedroom flats. 2. Therefore, the total of the individual values represents a 15% margin compared to the suggested apportioned value for the residential accommodation. 3. The suggested apportioned value represents a generous 5% income return compared with buy-to-let investment sales often at 3.50%. Investment Considerations 1. An opportunity to acquire a substantial, detached, town centre,retail & residential investment in an affluent South East location; 2. Modern accommodation at the centre of Grayshott s amenities; flats all individually let on Assured Shorthold Tenancies in a high value residential location, available as a whole at a discount to full value. 4. Retail accommodation majority let to Sainsbury s for a further 12.5 years; 5. Various opportunities for an investor to enhance value; 6. Attractive lot size to an investor; 7. A purchase at the asking price represents an attractive yield profile; Contact Singer Vielle Wigmore Street dale@singervielle.co.uk London W1U 3RF Tel: richard@singervielle.co.uk Fax: neil@singervielle.co.uk % is a comparatively conservative yield for a South East convenience store investment. Singer Vielle has recently sold similar investments at yields of 6% which can be seen on our Previous Sales section. Vendors Solicitor Faye@singervielle.co.uk Jackie@singervielle.co.uk 5. A significantly lower capital value compared to the values on the let retail units, thereby validating the suggested opportunity to enhance value. AMB Law 46 New Broad Street scarter@amblaw.co.uk London EC2M 1JH Tel: Subject to contract and exclusive of VAT This property is being marketed on behalf of joint Fixed Charge Receivers J Pitt and B Moon who are acting as agents of Weybourne Reef Limited, without personal liability and therefore no warranties or guarantees in any respect including but not limited to VAT can be given. The Fixed Charge Receivers are not bound to accept the highest or any offer and are acting without personal liability. Misrepresentation Act 1967 Singer Vielle for themselves and for the Vendors or Lessors of this property whose Agents they are give notice that: 1. The particulars are set out as a general outline only for the guidance of intending purchasers or lessees, and do not constitute, nor constitute part of, an offer or contract 2. All descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the correctness of each of them. 3. No person in the employment of Singer Vielle has any authority to make or give any representation or warranty whatever in relation to this property. 4. All maps are for identification purposes only and should not be relied upon for accuracy. 5. Unless otherwise stated, all prices and rentals quoted are exclusive of Value Added Tax to which they may be subject. Finance Act 1989 Unless otherwise stated, all prices and rents are quoted exclusive of VAT. Property Misdescriptions Act 1991 These details are believed to be correct at the time of compilation, but may be subject to subsequent amendment. Concerning the Properties listed and/or appearing on the Site: 1. Under no circumstances shall we be liable to you for any direct, indirect, consequential, incidental or special damages arising out of your purchase or lease of any Properties on the Site. 2. Under no circumstances shall we be liable for any errors or incompleteness of the information relating to any Property listed on this Site or if any Property has been withdrawn from sale or lease nor shall we be responsible for any inaccurate dimensions of any Properties or price listed. 3. Our website service permits you to enquire about and to purchase or lease Properties appearing on or listed on this Site. Such enquiries, purchase or leasing can only be made and permitted strictly subject to the terms and conditions set out below. 4. We do not accept responsibility or liability for the completeness or accuracy of information appearing on this Site which is provided by the Vendors or Lessors of the Property concerned who are solely responsible for such information. 5. Whilst we believe that the Properties listed are available for purchase or lease we make no guarantee that this is the case or that they have not been withdrawn by the Vendor or Lessor of the same. All Properties appearing or listed on the Site are subject to changes, errors or omissions. We have not verified the accuracy of the information relating to the Properties or any dimensions which have been given by the Vendors or Lessors. 6. All Properties are listed subject to contract and the prices shown are exclusive of VAT if applicable.

On behalf of Receivers 19.5 years unexpired with no break options Highly secure income Spirit Group (SF - 366m) Tenant acquired by Greene King Plc in

On behalf of Receivers 19.5 years unexpired with no break options Highly secure income Spirit Group (SF - 366m) Tenant acquired by Greene King Plc in July 2015 City centre location within Norwich s leisure