PIER STREET, BURNHAM-ON-SEA, SOMERSET, TA8 1BT WELL SECURED RETAIL WAREHOUSE INVESTMENT OPPORTUNITY

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1 PIER STREET, BURNHAM-ON-SEA, SOMERSET, TA8 1BT WELL SECURED RETAIL WAREHOUSE INVESTMENT OPPORTUNITY

2 INVESTMENT SUMMARY Burnham-on-Sea is a large seaside town in Somerset within Sedgemoor District Council, located 11 miles south of Weston-super-Mare and 11 miles north of Bridgwater.

2 2 INVESTMENT SUMMARY Burnham-on-Sea is a large seaside town in Somerset within Sedgemoor District Council, located 11 miles south of Weston-super-Mare and 11 miles north of Bridgwater. The subject property is prominently located on the seafront at the junction of South Esplanade and Pier Street. Purpose built retail unit totalling 29,824 sq ft with 313 car parking spaces adjacent, providing a superb ratio of 1:95 sq ft. Total passing rent of 451,500 pa, reflecting a rent of per sq ft. Large site area of 3.65 acres, 15% site coverage. Freehold. Open A1 planning consent. The property is let to B&M Retail Ltd (5A1) with in excess of 7 years unexpired. Our client is seeking offers in excess of 6,050,000 (SIX MILLION AND FIFTY THOUSAND POUNDS), subject to contract and exclusive of VAT. A purchase at this level reflects an attractive 7.00% Net Initial Yield, assuming 6.63% purchase costs.

3 EXFORD D MINEHEAD DUNSTER 6 WINSFORD BARRY WIVELISCOMBE KILVE A358 MILVERTON CARDIFF BISHOP S LYDEARD CANNINGTON BREAN BRIDGWATER NORTH PETHERTON M5 A370 HIGHBRIDGE PURITON A361 CLEVEDON M5 LOCKING

A368 M32 BRISTOL A37 SPARKFORD A303 KEYNSHAM SHAPTON MALLET A371 A4 MIDSOMER NORTON A361 PEASEDOWN ST JOHN PAULTON EVERCREECH A359 BRUTON LOCATION WINCANTON A46 BATHAMPTON BATH A36 FROME CASTLE COMBE

3 3 EXFORD D MINEHEAD DUNSTER 6 WINSFORD BARRY WIVELISCOMBE KILVE A358 MILVERTON CARDIFF BISHOP S LYDEARD CANNINGTON BREAN BRIDGWATER NORTH PETHERTON M5 A370 HIGHBRIDGE PURITON A361 CLEVEDON M5 LOCKING BURNHAM-ON-SEA TAUNTON NEWPORT WESTON-SUPER-MARE WINSCOMBE YATTON PORTISHEAD CONGRESBURY LANGPORT NAILSEA A370 A368 A371 GLASTONBURY A361 STREET A372 9 A4 WOOKEY HOLE 8 PATCHWAY FILTON CHEW MAGNA A37 A368 M32 BRISTOL A37 SPARKFORD A303 KEYNSHAM SHAPTON MALLET A371 A4 MIDSOMER NORTON A361 PEASEDOWN ST JOHN PAULTON EVERCREECH A359 BRUTON LOCATION WINCANTON A46 BATHAMPTON BATH A36 FROME CASTLE COMBE BOX CORSHAM A4 BRADFORD-ON-AVON TROWBRIDGE A303 MERE GILLINGHAM A350 CHIPPENHAM WARMINSTER HINDON CODFORD TISBURY Burnham-on-Sea is a large seaside town in Somerset within Sedgemoor District Council, located 11 miles south of Westonsuper-Mare and 11 miles north of Bridgwater. The M5 (junction 22) is located just 2.5 miles east of the town providing direct access to the national motorway network and wider South West region. CATCHMENT & DEMOGRAPHICS Drive time population 23, minute drive time 30, minute drive time The catchment is moderately affluent with 71.9% classified within the ABC social groups (Oxford Retail Consultants). The town is a popular tourist destination attracting a significant number of day trips and extended visitor trips, particularly in the summer months. In 2014, over 1 million visitor trips were recorded with a total visitor spend of 45.2 million (SWRC). Burnham-on-Sea was identified recently as the fourth highest town for house price growth in the UK with average house prices rising by 9.9% from 2016 to 2017 (Rightmove). Burnham-on-Sea is a popular commuting town for Bristol due to its proximity and strong rail connections. Sedgemoor District Council s emerging Local Plan has therefore identified the requirement for 850 new homes in Highbridge and Burnham between 2015 and This is additional to the 918 homes that are in the planning stages or that are currently being developed. Highbridge and Burnham rail station is located to the south-east of the town centre providing direct services to Bristol and Exeter with fastest journey times of 50 minutes and 40 minutes, respectively. Bristol Airport is located 18.5 miles to the north-east.

4 GROVE RD GROVE RD RECTORY RD RECTORY RD WESTMERE CRES WESTMERE CRES PALMERS CL PALMERS CL 4 OUTHERN LEA RD BERROW RD RD AXBRIDGE CL AXBRIDGE CL OUTHERN LEA RD SITUATION WESTFIELD RD RD BURNHAM-ON-SEA MANOR RD MANOR RD ST PAUL S RD GLOUCESTER RD GLOUCESTER RD WINCHESTER RD WINCHESTER RD TRURO CL BEATTY WAY BEATTY WAY RAMSEY WAY RAMSEY WAY VICTORIA ST ST HIGH ST CROSS ST ADAM ST HERN LN JAYCROFT RD PRIORY GARDENS MENDIP WAY WAY ROSEWO OD AVE THE FRANK FOLEY PKWY The subject property is prominently located on the seafront at the junction of South Esplanade and Pier Street. The main town High Street is located immediately north and the subject property car park forms one of the primary parking facilities for the town ensuring a high level of footfall. HERN LN JAYCROFT RD PRIORY GARDENS ROSEWO OD AVE THE FRANK FOLEY PKWY B3140 M5 J22 RETAIL WAREHOUSE PROVISION S ESPLANADE S ESPLANADE STEART AVE STEART AVE ABINGDON ST OXFORD STREET LYNTON ST OLD STATION APPROACH OLD STATION APPROACH KILLARNY AVE KILLARNY AVE ASHCROFT DR ASHCROFT DR BEN TRAVERS WAY BEN TRAVERS WAY WORSTON LN MAPLE DR L UNDY DR WILLIS CT WORSTON LN There is no other retail warehouse provision within the 15 minute catchment. Other foodstore provision within the 15 minute catchment includes: MAPLE DR L UNDY DR WILLIS CT WELLS WELLS RD RD WALLACE THE FRANK FOLEY PKWY THE FRANK FOLEY PKWY Retailer GIA (sq ft) NSA (sq ft) Lidl, Oxford Street, Burnham, TA8 1EL Tesco, Ben Travers Way, Burnham, TA8 1EZ Asda, Caxton Road, Highbridge, TA9 3BX 14,884 9,548 46,787 28,761 46,166 26,924 MARINE DR MARINE DR HIGHBURN CT CT APEX DR APEX DR B3139 WEST AVE AVE NORTH AVE NORTH AVE EAST AVE EAST AVE PEPPERALL RD PEPPERALL RD MORLAND RD MORLAND RD FIELD WAY FIELD WAY OLD WAY PL PADDOCK DR PADDOCK DR HIGHBRIDGE DONS TAN TAN RD RD CLOVER WAY CLOVER WAY POPLES ROW POPLES ROW M5 J22 BENNETT RD ISLEPORT ISLEPORT Co-operative, Southwell Crescent, Highbridge TA9 3BN 10,742 8,100 Construction has also commenced on a new 19,419 sq ft Aldi store at Isleport Business Park in Highbridge. 270 HOMES Areas defined by Sedgemoor District Council s emerging Local Plan for residential development. MARKET ST HIGHBRIDGE & BURNHAM-ON-SEA 400 HOMES M5

5 DESCRIPTION The property comprises a purpose built supermarket constructed in 1990, which has since been re-fitted for the current tenant s use.

59 First Floor Plant 403 37.47 Total 29,824 2,770.

display basis. There are 313 spaces, which provides a superb ratio of 1:95 sq ft.

5 5 DESCRIPTION The property comprises a purpose built supermarket constructed in 1990, which has since been re-fitted for the current tenant s use. The property totals 29,824 sq ft arranged as follows: PIER STREET Floor Sq Ft Sq M Ground Floor 23,796 2, First Floor 5, First Floor Plant Total 29,824 2, CAR PARK SPACES There is a substantial demised car park to the west and south of the store that is sublet to the council who operate it on a pay and display basis. There are 313 spaces, which provides a superb ratio of 1:95 sq ft. In addition, there is a further area of car parking to the east of the store owned and operated by the council that sits outside of the ownership. This site extends to approximately 3.65 acres, reflecting a low site coverage of 15%. PLANNING CAR PARK SPACES The planning consent provides for an Open A1 (including food) consent. TENURE STEART STREET Freehold.

There are 5 yearly rent reviews to OMV with the next review due in August 2020.

6 6 TENANCY The property is let to B&M Retail for a term of 35 years from 30th August 1990, providing in excess of 7 years unexpired. The lease was assigned to B&M in September 2016 from previous tenant WM Morrison Supermarkets Plc. Privity of contract applies. The passing rent is 451,500 pa, reflecting psf. There are 5 yearly rent reviews to OMV with the next review due in August The demised car park is sub-let to Sedgemoor District Council for a term of 60 years from 23rd August 1990, expiring 22nd August The tenant must charge no more in tariffs than usual in respect of public car parks within the tenant s area of jurisdiction. TENANT COVENANT B&M Retail Ltd is a 5A1-rated covenant (Dun & Bradstreet) with a UK network of 576 retail stores and a total of 47 new store openings in the last financial year. A summary of their latest accounts are shown below. GBP (000 s) 25/03/ /03/ /03/2015 Turnover 2,252,265 1,902,557 1,526,181 Pre-Tax Profit 198, , ,063 Net Worth 498, , ,599 The parent group s most recent accounts to 31st March 2018 showed a 22% rise in group turnover to 2,976.3 million and a 25% jump in pre-tax profits to million. Within these accounts, B&M reported a +4.7% increase in like-for-like revenues in the UK.

PROPOSAL Our client is seeking offers in excess of 6,050,000 (SIX MILLION AND FIFTY THOUSAND POUNDS), subject to contract and exclusive of VAT. A purchase at this level reflects an attractive 7.

7 PROPOSAL Our client is seeking offers in excess of 6,050,000 (SIX MILLION AND FIFTY THOUSAND POUNDS), subject to contract and exclusive of VAT. A purchase at this level reflects an attractive 7.00% Net Initial Yield, assuming 6.63% purchase costs VAT The property is elected for VAT. EPC & ENVIRONMENTAL An environmental and ground conditions report is available upon request, which concludes a low risk rating. A detailed Flood Risk Assessment has been undertaken that concludes the property is at very low risk of flooding equivalent to an annual chance less than 1 in 1000 (0.1%). EPC Rating of C 75. FURTHER INFORMATION Nick Richardson T: E: nick.richardson@montagu-evans.co.uk Will Collins T: E: will.collins@montagu-evans.co.uk Misrepresentation Act 1967 Montagu Evans LLP for themselves and for the vendors or lessors of this property whose agents they are, give notice that : (i) The particulars are set out as a general guideline only for the guidance of intending purchasers or lessees and do not constitute the whole or any part of an offer or contract.(ii) All descriptions, dimensions, references to condition and necessary permissions of the use and occupation, and other details are given in good faith without responsibility whatsoever and 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. (iii) Neither Montagu Evans LLP nor their employees has any authority to make or give any representation or warranties whatsoever in relation to the property. (iv) Unless otherwise stated, all prices and rents are quoted exclusive of VAT and intending purchasers or lessees must satisfy themselves independently as to the applicable VAT position. (v) All the plans and maps provided within the particulars are for identification purposes only. June / June 2018 Designed and produced by THE GROUP

34-36 High Street, WELLINGTON TA21 8RD. DOMINANT, WELL-LET SUPERMARKET INVESTMENT with fixed rental uplift

34-36 High Street, WELLINGTON TA21 8RD. DOMINANT, WELL-LET SUPERMARKET INVESTMENT with fixed rental uplift with fixed rental uplift Investment Summary Wellington is an attractive market town lying on the A38 trunk road in Somerset, seven miles south west of Taunton. It has an affluent catchment area estimated