HIGH YIELDING INDUSTRIAL INVESTMENT HAYES DATA CENTRE SPRINGFIELD INDUSTRIAL ESTATE BEACONSFIELD ROAD HAYES UB4 0SL

HIGH YIELDING INDUSTRIAL INVESTMENT HAYES DATA CENTRE SPRINGFIELD INDUSTRIAL ESTATE BEACONSFIELD ROAD HAYES UB4 0SL

INVESTMENT SUMMARY Sale of the Freehold Interest Former light industrial unit currently operating as a data centre. Total GIA 106,488 sq ft (9,893 sq m) over ground and 1st floor fixed mezzanine (59,409 sq ft (5,519 sq m) excluding the mezzanine floor). INVESTMENT SUMMARY Situated on Springfield Industrial Estate, Hayes which is located approximately 15 miles west of central London Let to Deutsche Bank AG on Full Repairing and Insuring terms expiring on 14 September 2021 (approximately 3 years remaining). Not in occupation Current rent of 2,646,040 per annum reflecting approximately 24.85 per sq ft on the total GIA or 44.54 per sq ft on the GIA exc mezzanine floor WE ARE SEEKING OFFERS IN EXCESS OF 11,000,000 EXCLUDING VAT. ASSUMING STANDARD PURCHASER COSTS. THIS REFLECTS A NET INITIAL YIELD OF 22.50% AND A CAPITAL VALUE OF 185 PER SQ FT. Asset management opportunities including potential to obtain Vacant Possession for an owner occupier use (light industrial or data centre) or opportunity to surrender and regear existing leases post completion for continued data centre use Excellent data centre location and fibre connectivity with 6 MVA power reserved with potential to increase to 18 MVA 2.588 acres (1.047 hectares) 02

WEMBLEY STADIUM CITY OF LONDON RETAIL PARK INC: Carphone Warehouse, Currys Pc World, Samsung, Halfords and Dreams A4020 RING ENGINEERING SUBJECT PROPERTY SOUTHALL RAILWAY STATION HEATHROW AIRPORT 5 MILES SIRAS CASH & CARRY A4020 RESIDENTIAL DEVELOPMENT SCHEME HAYES GATES FOOTBALL CLUB LONDON FILM STUDIOS HAYES & YEADING UNITED FOOTBALL CLUB GOALS HAYES GURU NANAK SCHOOLS RAILWAY & CROSSRAIL (2018) STATIONS J4 M4 4.5 MILES TO THE SOUTH 03

LOCATION THE UNIT IS LOCATED ON SPRINGFIELD INDUSTRIAL ESTATE WHICH LIES TO THE EAST OF HAYES AND WEST OF SOUTHALL JUST OFF THE PARKWAY (A312) AND UXBRIDGE ROAD. SUBJECT PROPERTY LONDON PADDINGTON Hayes lies within the London Borough of Hillingdon, the second largest of London s 32 boroughs with a total population of 273,936 people. The borough is home to Heathrow Airport. Hayes is strategically positioned just minutes from the M4, M25 and M40 interchanges. Hillingdon is a largely affluent area. Of the total working population 76% of males and 65% of females are economically active, 50% of which are in top levels of employment in managerial positions, professional or technical industries or highly skilled trades (UK Census 2011). Springfield Industrial Estate is a well-established light industrial and retail warehouse location with a range of occupiers including West London Film Studios, Ring Engineering as well as retailers including Halfords, Siras Cash & Carry, Dreams and Currys PC World. The Guru Nanak Sikh Schools site is also located close by on Beaconsfield Road. Hayes has excellent accessibility by road with Junction 4 of the M4 located 4.5 miles to the south of the property along the A312 (the Parkway). Rail links are provided from Hayes & Harlington train station 3 miles south west of the property. The station runs regular and direct First Great Western services to London Paddington (15 minutes), Heathrow Airport (12 minutes) and Reading (40 minutes). Trains also run to Acton, Ealing, Southall, West Drayton, and further afield to Oxford via Reading, Swindon, Bristol and Southampton all within 2 hours. Crossrail will begin operating from Hayes and Harlington in 2018 and will substantially reduce travel times to central London. SUBJECT PROPERTY London Heathrow International Airport is one of the world s busiest airports and is located just over 5 miles to the south west. Heathrow caters for approximately 72 million passengers a year, travelling on 82 airlines to 180 destinations in 85 countries. The Airport offers unrivalled international travel options to and from the UK. 04

DESCRIPTION The property comprises an industrial warehouse unit fitted as a wholesale data centre extending to approximately 106,488 sq ft GIA. ACCOMMODATION UNUSED DATA HALL - GROUND FLOOR The GIA includes a fixed mezzanine floor (Landlord fixture). The GIA excluding the mezzanine floor is approximately 59,409 sq ft. The Net Technical Area is currently approximately 38,000 sq ft. The property was constructed in the late 1980s and later extended in the 1990s. The secure site is of approximately 2.588 acres and has parking for approximately 40 cars, although much of the yard area currently comprises Data Centre infrastructure (Tenant fit out). The property has two access points; one from Beaconsfield Road and one from Bullsbrook Road. On the ground floor, the property is part fitted out as a data centre with four data halls. Two are active and are occupied by subtenants. Two are unused. The first floor mezzanine comprises one data hall (unused) and an open plan warehouse area together with ancillary offices (part occupied). Floor plans of the current fit out can be provided upon request. SITE The site is broadly square in shape and level and extends to approximately 2.588 acres (1.047 hectares). The site has two access points, one from Beaconsfield Road to the south west and one from Bullsbrook Road to the north. TENURE This property is held Freehold. FRONT ELEVATION & PARKING OFFICE BREAK OUT AREA - FIRST FLOOR 05

TENANCIES The interest being sold is the freehold subject to the lease of the whole of the Property to Deutsche Bank AG dated dated 29 June 2001. The FRI lease is for a term of 20 years from 15 September 2001 expiring on 14 September 2021. The current rent is 2,646,040 per annum. There are no further rent reviews. Deutsche Bank AG are no longer in occupation. ADDITIONAL INFORMATION FREEHOLDER HAYES FREEHOLD LIMITED HEADLEASE DEUTSCHE BANK AG UNDERLEASE SENTRUM (HAYES) LIMITED SUB-UNDERLEASE SENTRUM (COLO) LIMITED DISSOLVED ENTITY TO BE DISPOSED OF ACTIVE - NOT IN OCCUPATION IN LIQUIDATION SUB-UNDERLEASE LEVEL 3 Comms. LTD The vendor is aware of an underlease of the whole and sub-underleases of part derived out of the lease granted to Deutsche Bank AG including an underlease of the whole dated 26 February 2010 made between (1) Deutsche Bank AG London (2) Sentrum (Hayes) Limited and (3) Sentrum Holdings Limited. The vendor is aware of sub-underlettings and other documents including:- (i) Hall C Digiplex Megaplex Centre (ground floor and office space first floor) granted to Sentrum (Colo) Limited (company number 07624178). Companies House records indicate this company was dissolved on 22 July 2016. (ii) Hall D (part) dated 2 April 2012 of Phase One made between (1) Sentrum (Hayes) Limited (2) Level 3 Communications Limited and (3) Level 3 Communications Inc. Further details will be provided on request. DISCLAIMER The vendor does not have a direct relationship with the underlessee or any sub-underlessees and the prospective buyer must satisfy itself with regard to these matters. A buyer must rely on the buyer s own opinion and/or professional advice concerning the description quality statement, condition of the property or any rights, title or interest sold and the possibility that some or all of them may have defects not apparent on inspection and examination. Neither the vendor nor their agents nor any person acting on their behalf will incur any personal liability whether directly or indirectly under any contract or under any deed or instrumental document entered into under or in connection with it. 06

TENANT COVENANT Deutsche Bank was founded in Berlin in 1870 and employs 100,000 employees in over 70 countries. They have a large presence in Europe, the Americas, Asia-Pacific and the emerging markets. The bank offers financial products and services for corporate and institutional clients along with private and business clients. Deutsche Bank s core business is investment banking. In 2017 the bank reported a pre-tax profit of 1.3 Billion Euros, a significant increase on 2016. Their Moody s rating is currently A3. In addition: Level 3 Communications are an American Multinational Telecommunications company who operate across the United States, South America, Western Europe, and Asia. They are the deliverer of Netflix and Apple Music video content over the internet. In 2015 they recorded a turnover of $8.2 billion (increase of 18% on 2014) and profit of $3.4 billion (increase of 91% on 2014). OFFICE ACCOMMODATION IN 2017 THE BANK REPORTED A PRE-TAX PROFIT OF 1.3 BILLION EUROS, A SIGNIFICANT INCREASE ON 2016. THEIR MOODY S RATING IS CURRENTLY A3. 07

ASSET MANAGEMENT OPPORTUNITIES The property offers numerous asset management possibilities in the short and medium term including: INVESTMENT SUMMARY Potential to refurbish the unit to create a light industrial unit to take advantage of the strong occupational demand within the wider Heathrow / Hayes markets. Surrender the existing occupational lease and enter into a new relationship with one of the subtenants. Invest in the current data centre operation to improve marketability and customer base. DATA ROOM Access available upon request under NDA. CAPITAL ALLOWANCES Further information can be provided upon request. VAT The property has been elected for VAT. The sale will be dealt with as a TOGC. (Subject to compliance with the relevant requirements). OFFICE ACCOMMODATION - FIRST FLOOR MEZZANINE (CURRENTLY UNUSED) - FIRST FLOOR 08

PROPOSAL We are seeking offers in excess of 11,000,000 excluding VAT. Assuming standard purchaser costs. This reflects a Net Initial Yield of 22.50% and a capital value of 185 per sq ft. CONTACT INFORMATION For further information, access to the data room or to arrange an inspection, please contact: CHARLES FLETCHER T 020 7861 1450 M 07838 575 063 E charles.fletcher@knightfrank.com DISCLAIMER The property is being marketed for sale on behalf of Joint Fixed Charge Receivers. No warranties, representations or guarantees are given or will be given in respect of the information in this brochure or any matter relating to the Property, including VAT The Receivers do not have a direct relationship with the underlessee or any sub-underlessees and the prospective buyer must satisfy itself with regard to these matters. A buyer must rely on the buyer s own opinion and/or professional advice concerning the description quality statement, condition of the property or any rights, title or interest sold and the possibility that some or all of them may have defects not apparent on inspection and examination. Any information provided is provided without liability for any reliance placed on it and the Receivers are acting without personal liability and neither the Receivers nor their firm nor any person acting on their behalf will incur any personal liability whether directly or indirectly in connection with this brochure any contract or under any deed or instrumental document entered into under or in connection with it The Receivers are not bound to accept the highest or any offer. WILL GUBB T 020 7861 1595 M 07436 153 573 E Will.Gubb@knightfrank.com HECTOR AHERN T 020 7861 1749 M 07976 577 214 E hector.ahern@knightfrank.com Knight Frank LLP 55 Baker Street London W1U 8AN MISREPRESENTATION ACT: Knight Frank LLP give notice to anyone who may read these particulars as follows:- 1. Particulars: These particulars are not an offer or contract, nor part of one. You should not rely on statements by Knight Frank LLP in the particulars or by word of mouth or in writing ( information ) as being factually accurate about the property, its condition or its value. Neither Knight Frank LLP nor any joint agent has any authority to make any representations about the property, and accordingly any information given is entirely without responsibility on the part of the agents, seller(s) or lessor(s). 2. Photos etc: The photographs show only certain parts of the property as they appeared at the time they were taken. Areas, measurements and distances given are approximate only. 3. Regulations etc: Any reference to alterations to, or use of, any part of the property does not mean that any necessary planning, building regulations or other consent has been obtained. A buyer or lessee must find out by inspection or in other ways that these matters have been properly dealt with and that all information is correct. 4. VAT: The VAT position relating to the property may change without notice. Knight Frank LLP is a limited liability partnership registered in England with registered number OC305934. Our registered office is 55 Baker Street, London W1U 8AN, where you may look at a list of members names. October 2018.