20 Year Convenience Store Investment

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Conrad Woods
6 years ago
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1 Photo taken prior to tenant fit out. Indicative shop front. 20 Year Convenience Store Investment Midcounties Co-Op, Humber Road, Coventry CV3 1AT

INVESTMENT SUMMARY n Located on edge of Coventry city centre on a main arterial road n Surrounded by predominantly new build residential n Close to Peugeot UK HQ n New 20 year lease n Tenant Kenmare

36 per sqft) n Asking price - 756,000 n Initial Yield - 6% LOCATION Coventry is located 19 miles east of Birmingham and 98 miles north west of London.

2 INVESTMENT SUMMARY n Located on edge of Coventry city centre on a main arterial road n Surrounded by predominantly new build residential n Close to Peugeot UK HQ n New 20 year lease n Tenant Kenmare Estates Ltd, guaranteed by The Midcounties Co-operative Ltd n Rent of 48,000 per annum ( per sqft) n Asking price - 756,000 n Initial Yield - 6% LOCATION Coventry is located 19 miles east of Birmingham and 98 miles north west of London. The city is the second largest in the West Midlands and has a resident population of almost 330,000. The subject property lies ½ mile to the east of the city centre on Humber Road which leads south from the junction of the A428 and A444, which provides direct access north to J3 of the M6. Humber Road leads south to the A4082 which directly links into the A444. Humber Road (B4110) provides access through Stoke Aldermoor and was a key arterial route through to the former Stoke Aldermoor manufacturing plant, an 83 acre complex and home to Peugeot for over 40 years. This has now been redeveloped, partly with a 165,000 sqft UK HQ and Tech Centre for Peugeot. Bilton Industrial Estate is to the west of the property on Humber Avenue, a 175,000 sqft multi let industrial estate.

3 A444 A428 City Centre Subject Property Taylor Wimpey s The Promenade & The Heights Bilton Industrial Estate Urban Village Peugeot Technical Centre Peugeot UK HQ Humber Road

RESIDENTIAL DEVELOPMENT The remainder of the former Stoke Aldermoor plant was allocated for a large scale village development known as New Stoke Village.

4 RESIDENTIAL DEVELOPMENT The remainder of the former Stoke Aldermoor plant was allocated for a large scale village development known as New Stoke Village. This is now approximately 75% complete and has been undertaken by four of the national house builders. Taylor Wimpey are currently developing The Promenade and The Heights. There are about 1,700 new homes either built or planned within ¼ mile of the subject property. The new residential developed has no local neighbourhood centre provision. This subject property will provide the local convenience offering. DESCRIPTION The subject property comprises a completely refurbished convenience store, having been an office supplies retail unit before. The building was stripped back to shell and new steels inserted internally. The majority of plant is on the re-surfaced roof. An outline Developer s Shell Specification can be provided. Planning for the alterations was received in August 2014, a copy of which can be provided. The unit now provides main retail space and rear ancillary stores and staff accommodation. There is a fully glazed frontage and entrance to Humber Road. There are 8 on site car spaces along the Hollis Road frontage. ACCOMMODATION The unit extends to sqm (3,592 sqft). TENURE Freehold. TENANCY The property is to be let on a 20 year lease to Kenmare Estates Ltd, with a guarantee from The Midcounties Co-operative Ltd. The lease has 5 yearly open market reviews. There is an initial 3 month rent free period at the commencement of the lease which will be covered by the vendor. NOTE: The tenant has a break option only IF a 1913 covenant is exercised with regards the sale of alcohol. If the covenant is enforced then the tenant has the right to break the lease ONLY at the expiry of the 10th year, subject to six months notice. The tenant received a licence to sell alcohol from the Council earlier this year and no objections from the beneficiary of the covenant were ever received. Further information and explanation are available on request.

COVENANT Kenmare Estates Ltd is a mutual society registered under the Co-operative & Community Benefit Society Act 2014.

5 COVENANT Kenmare Estates Ltd is a mutual society registered under the Co-operative & Community Benefit Society Act /01/ /01/2013 Turnover 23,083 21,975 Pre-tax Profit 7,108 8,476 Total Assets less Current Liabilities 171, ,400 Members Funds 29,770 47,152 The Midcounties Co-operative Ltd is the largest independent co-operative society in the UK. They operate a range of businesses in food, travel, healthcare, funerals and childcare. Food is the largest part of the group producing gross sales of 577m from an overall total of 1.21bn. A summary of the latest figures reported are as follows: 24/01/ /01/ /01/2013 Gross Sales 1,209,693 1,167, ,807 Profit before Tax 9,181 4,137 1,931 Net Assets 158, , ,846 CONTACTS PRICE We are instructed to seek offers in excess of 756,000 which reflects an initial yield of 6% based purchaser s costs of 5.8%. VAT The property is elected for VAT and VAT would be payable on the purchase. The intention would be to sell as a TOGC. EPC The current certificate is available on request. The unit s energy performance rating prior to the refurbishment and fit out is E For further information or if you wish to arrange a viewing, please contact :- ANDREW PRICE andrew.price@fspproperty.co.uk BEN BLACKWALL ben.blackwall@fspproperty.co.uk Franck Steier Price Ltd Third Floor, Victoria House Colmore Row, Birmingham, B3 3BD Misrepresentation Clause : The accuracy of any description, dimensions, references to condition, necessary permissions for use and occupation and other details contained herein are not guaranteed and are for general guidance only and prospective purchasers or tenants must not rely on them as statements of fact or representations and must satisfy themselves of their accuracy. Neither Franck-Steier Price Ltd, nor any of their employees or representatives has any authority to make or give any representation or warranty or enter into any contract whatever in relation to the property. Prices and rents quoted in these particulars may be subject to VAT in addition. The reference to any mechanical or electrical equipment or other facilities at the property shall not constitute a representation (unless otherwise stated) as to its state or condition or that it is capable of fulfilling its intended function. Prospective tenants/purchasers should satisfy themselves as to the condition of such equipment for their requirements.

Prime Long Let Day Nursery Investment Opportunity. Busy Bees, 2 Armstrong Road, Littlemore, Oxford OX4 4XT

Prime Long Let Day Nursery Investment Opportunity Busy Bees, 2 Armstrong Road, Littlemore, Oxford OX4 4XT INVESTMENT SUMMARY n The property is located in Littlemore 2½ miles south of Oxford city centre