2-4a Southgate Street, Gloucester Prime & Prominent Corner Retail Unit Located On The Cross Property Consultants

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Daniella Harmon
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1 2-4a Southgate Street, Gloucester Prime & Prominent Corner Retail Unit Located On The Cross Property Consultants

Derby Shrewsbury M1 M5 4 Investment Summary A49 A487 Retailing in Gloucester A1(M ) Aberystwyth Coventry Bicester Merthyr Tydfil Cheltenham Gloucester M5 A34 M4 8 Cardiff M5 Bristol Reading M4 M4 M4

The office uppernewquay parts have recently been vacated and Plymouth offer asset management potential. The landlord will Truro provide a rental guarantee.

2 Derby Shrewsbury M1 M5 4 Investment Summary A49 A487 Retailing in Gloucester A1(M ) Aberystwyth Coventry Bicester Merthyr Tydfil Cheltenham Gloucester M5 A34 M4 8 Cardiff M5 Bristol Reading M4 M4 M4 A34 Taunton A39 M5 A303 Southampton Bournemouth A39 The passing rent is 85,000 p.a. and reflects just ZA. The office uppernewquay parts have recently been vacated and Plymouth offer asset management potential. The landlord will Truro provide a rental guarantee. Falmouth We are seeking offers in excess of 1.25 million, which after allowing for standard purchaser s costs of 5.8% reflects 7.52% NIY. Winchester A35 Exeter M40 Swindon Basingstoke A303 A30 Ipswich M5 0 The property is held freehold. Launceston Gloucester is a major retail destination in Southwold the UK and one of the Bury St Edmunds dominant locations in the South West. The central retail area offers approximately 1.48m sq ft of retail floor space, which ranks the city 34th out of the Promis 200 Centres. Northampton M4 0 The property comprises a four-storey building offering regular sales accommodation at the ground and part Ilfracombe basement levels (xxxx). The retail unit is let to Vodafone Ltd on a lease to expire on 15th May 2022 (TOTB 16th May 2017). M3 Gloucester s prime retail area is focused around the intersecting M1 Colchester pedestrianised streets of Eastgate, Southgate, Westgate and A1(M) M1 1 Northgate, which isa12known as The Cross. At The Cross, footfall levels are exceptional, with the respective thoroughfares linking to High Wycombe Gloucester s various shopping pitches and centres, car parks and M2 5 LONDON principal transport hubs. Margate M3 Retailers situated nearby The Cross include Topshop, Waterstones, Canterbury Starbucks, EE, Clarks,M2Sports Direct, Costa and the banks HSBC, 0 Guildford M23 Dover located on Gloucester s RBS and Halifax. Other significant tenants prime high street pitch of Eastgate Street include Marks & Spencer, A272 Primark, BHS and H&M. M27 Portsmouth Torqua y Location Gloucester is an historic Cathedral City and the county town of Gloucestershire. The city is considered one of the dominant retail and commercial destinations in the South West. Gloucester is situated on the River Severn and lies close to the Welsh border. The city is 32 miles to the north east of Bristol, 45 miles south west of Birmingham and 104 miles west of London. Road links are excellent, with Gloucester sitting at the intersection of the A40 and the A438, which provides a direct link to the M5 at Junctions 11, 11A and 12. The M5 motorway provides a continuous motorway link to the M4, M50, M6 and M42, together linking the city to the wider motorway network. By rail, Gloucester benefits from its proximity to the Bristol and Birmingham Railway. There is also a direct link to London Paddington at a fasted journey time of approximately 2 hours. Finally, Bristol International Airport serves Gloucester by air, being located just 37 miles to the south. This airport offers both domestic and international flights. 2-4a Southgate Street, Gloucester Great Yarmouth Norwich Peterborough M69 Birmingham Gloucester is one of the most dominant retail destinations in the South West. Total town centre retail space is estimated at 1.48m sq ft. A487 The property is located in an extremely prominent corner position on The Cross. The property is highly Carmarthen visible from the length Of the prime pitch of Eastgate Street, where tenants include Primark, Marks & Spencer, Pembroke Top Shop, Starbucks, Waterstones and The Body Swansea M4 Shop. Kings Lynn Leicester M2 Gloucester has twohastings managed schemes, which together account for just 18% of the total floorspace. The Eastgate Shopping Centre totals 250,000 sq ft over two levels. Tenants within the scheme include M&S, H&M and JD Sports. The second scheme is King s Walk, which totals 400,000 sq ft and is anchored Primark, WH Smith and BHS, all of whom benefit from Eastgate Street frontages, and HMV, Superdrug and Iceland. Both schemes have their entrance on Eastgate Street. Brighton

3 Situation The property occupies a prime and highly prominent corner position on the Southgate Street and Westgate Street side of The Cross. The property, therefore, is highly visible from the length of the prime section of Eastgate Street. Other tenants located on The Cross include EE and HSBC, whilst Topshop, Waterstones, Marks & Spencer, Starbucks and Costa are also nearby the subject property. Description The property comprises a four storey retail unit offering regular sales accommodation at ground floor level. In addition, retail ancillary accommodation is provided at the basement and mezzanine level. In addition, a staircase at ground floor to the basement level offers the potential to adopt this space as sales in the future. The upper parts benefit from self-contained access, which is located on the property s Southgate Street frontage. The property has been measured in accordance with the RICS Code of Measuring Practice (6th Edition) and has the following approximate net internal areas: Floor Sq ft Sq m Ground Sales 1,387 sq ft sq m Ground ITZA 997 UNITS - Basement Shop Ancillary 884 sq ft sq m Mezzanine Shop Ancillary 248 sq ft sq m First Floor Office 1,119 sq ft sq m Second Floor Office 1,169 sq ft sq m Third Floor (Attic) 157 sq ft sq m Total 4,965 sq ft sq m 2-4a Southgate Street, Gloucester

Tenancies The retail unit is let to Vodafone Ltd on an effective FRI lease for a term of 10 years from 16th May 2012 and expiring 15th May 2022. The current passing rent is 85,000 p.a. and this is to be reviewed upwards only to market value on 16th May 2017.

Vodafone have been trading in this unit since October 2014 and have recently received landlord s consent for significant shop-fit alterations.

4 Tenancies The retail unit is let to Vodafone Ltd on an effective FRI lease for a term of 10 years from 16th May 2012 and expiring 15th May The current passing rent is 85,000 p.a. and this is to be reviewed upwards only to market value on 16th May The lease incorporates a tenant option to break on 16th May Vodafone Ltd took the lease on assignment from Phones 4 U Ltd (in administration) in September Vodafone have been trading in this unit since October 2014 and have recently received landlord s consent for significant shop-fit alterations. The upper parts have the benefit of planning consent for B.1(c) (manufacturing of clothes and light industrial use, A2 (professional and financial service and B.1 (office accommodation). We also believe these premises offer the potential of a residential conversion, subject to planning. The vendor will provide a top-up of 14,500 p.a. for a period of one year from completion. The total income, therefore is 99,500 p.a. Market Rent We have devalued the passing rent to reflect Zone A. This analysis applies a 5% premium for the valuable return frontage on Westgate Street. Prime rents reached 145 Zone A during the last occupational cycle. The subject property was let in 2012 to Phones 4 U. Following Phones 4 U entering administration, Vodafone subsequently took assignment of the lease in October We believe that this demonstrates that the passing rent has been rebased to an attractive and sustainable level. The subject property occupies an exceptional location and offers a well-configured corner retail unit within the prime pitch. Looking ahead, with vacancy rates now falling and the wider economic recovery strengthening, we believe the property is well placed to benefit from the rental recovery. The upper parts have recently been vacated by a light clothing manufacturer. We believe these premises could be suited to a range of uses and have a current market value in the order of 14,500 p.a. reflecting approximately 6 psf. Covenant Information Vodphone Limited (Registered Number: ) Date for Accounts Sales Turnover Pre-tax Profit/ (Loss) Net Worth 31/03/2014 6,969,200 ( 304,800) ( 1,658,000) 31/03/2013 5,062,500 n/a ( 1,629,200) 31/03/2012 5,364,200 ( 61,300) ( 3,044,800) 2-4a Southgate Street, Gloucester

5 2-4a Southgate Street, Gloucester

Further Information For further information please contact: Bradley Maher DDI: 020 7016 5348 Mob: 07827686461 E: bradley.maher@primeretailproperty.

6 Further Information For further information please contact: Bradley Maher DDI: Mob: E: Prime Retail Property Consultants 2 Conduit Street London W1S 2XB Property Consultants Julian Capewell DDI: Mob: E: julian.capewell@brutonknowles.co.uk Bruton Knowles Bisley House Green Farm Business Park Bristol Road Gloucester, GL2 4LY VAT EPC The property is elected for VAT. It is anticipated that the sale will be structured as a Transfer of a Going Concern (TOGC). A full copy of the energy performance certificates are available on request. The retail unit achieved a rating at level C (64) and the upper parts a rating of C (69). Tenure The property is held freehold. Proposal We are instructed to seek offers in excess of 1,250,000. Allowing for standard purchaser s costs of 5.8% and including the landlord s guarantee in respect of the upper parts, this price would reflect an attractive 7.52% NIY. Misrepresentation Act 1967 Prime Retail Property Consultants LLP as agents for the vendors or, as the case may be, Lessor (the Vendor ) and for themselves, give notice that 1. These particulars are provided merely as a general guide to the property. They are not and shall not hereafter become part of any offer or contract; 2. The statements herein are made in good faith but without any responsibility whatsoever on the part of the Vendor, Prime Retail Property Consultants LLP or their servants. It is for the Purchaser or as the case may be Lessee (The Purchaser ) to satisfy himself by inspection or otherwise as to their accuracy and fullness, he must not in entering into any contract or otherwise rely upon these particulars as statement or representations of fact. 3. The Vendor does not make or give neither Prime Retail Property Consultants LLP nor its servants any authority, express or imply, to make or give any representations or warranties in respect of the property. 4. In the event of any inconsistency between these Particulars and the Conditions of Sale, the latter shall prevail. 5. Nothing in these particulars should be deemed to be a statement that the property is in good condition or that any service or facilities are in working order. Subject to contract March 2015.

7-8 EAST STREET, TAUNTON, TA1 3LQ S O L D

7-8 EAST STREET, TAUNTON, TA1 3LQ S O L D Prime East Street location Well configured retail unit built in 2005 Let to Tony Pryce Retail Ltd Trading as Animal/Inter Sport Let until May 2020 without break Income 105,000 per annum Rebased rent and