FOR SALE - PRIME RETAIL INVESTMENT 7 & 13 SINCLAIR STREET, HELENSBURGH G84 8SR Sheridan Property Consultants
INVESTMENT SUMMARY Rare opportunity to acquire a prime retail investment in an affluent Scottish town Situated in the 100% Prime retailing pitch Total passing rent of 113,300 per annum Let to Boots UK Limited and Black & Lizars Limited Boots in occupation since 1996 and recently extended their lease by 10 years Black & Lizars benefit from a new shop fit-out Boots UK Limited has a D&B Rating of 5A1 Black & Lizars Limited has a D&B rating of 2A1 The UK Government are set to spend 500 million at the nearby HM Naval Base Clyde (Faslane) Offers in excess of 1,430,000 (One Million Four Hundred and Thirty Thousand Pounds Sterling) subject to contract and exclusive of VAT for the Absolute Ownership of the property. A purchase at this level reflects an attractive Net Initial Yield of 7.5% assuming purchaser s costs of 5.62% FOR SALE PRIME RETAIL INVESTMENT
LOCATION Helensburgh is a prosperous Scottish town located approximately 25 miles west of Glasgow city centre. The town owes its growth and popularity to its attractive seaside location on the Clyde, combined with excellent transport links and the relatively large population within a short travelling distance. Helensburgh is located 4 miles from Loch Lomond, accessed via the B832, with Dumbarton lying approximately 10 miles to the south east, accessed via the A814 which also links with the A83 trunk road to Glasgow. SITUATION The two properties situated on Sinclair Street are located on the west side of the street, in a prominent location. Sinclair Street is one of the principal retailing thoroughfares within the town and nearby occupiers include Oddbins, WH Smith, Tesco, Johnson Dry Cleaners, Greggs, Birthdays, Semi-Chem, Timpson and Cancer Research UK. DESCRIPTION 7 SINCLAIR STREET, HELENSBURGH The subjects form the ground and first floors of a large two storey brick built building under a flat roof. The shop benefits from a full height display frontage and double door glazed entrance. Internally the ground floor is utilised for sales and the first floor used for staff accommodation which also includes WC facilities. The property is fitted out in the corporate style of the tenant, Black & Lizars Limited. BOOTS BLACK & LIZARS 13 SINCLAIR STREET, HELENSBURGH The subjects comprise a multi-windowed retail unit arranged over the ground and first floors of a large two storey brick building under a flat roof. The subject property has a modern aluminium shop front and centrally positioned entrance doors fronting the main thoroughfare of Sinclair Street. Internally the ground floor is utilised predominantly for sales purposes, whilst the first floor is used for storage, staff and WC facilities. The unit is fitted out in the corporate style of the tenant, Boots UK Limited. HM NAVAL BASE CLYDE Commonly known as Faslane, the HM Naval Base Clyde is located 5 miles to the north west of Helensburgh and is home to the core of the Submarine Service. In 2015, the Chancellor of the Exchequer announced that Faslane will be the home of Britain s Trident nuclear deterrent and has announced over 500 million of Government funding to the base. This in turn will increase military and civilian staff to 8,200 by 2022 as more submarines are transferred to Faslane. The MOD is expected to base new Successors Class Submarines at Faslane when they come in to service in 2028.
ACCOMMODATION/TENANCIES We have measured the subjects in accordance with the RICS Code of Measuring Practice (Sixth Edition) 2007, and estimate following net internal areas: ADDRESS TENANT RENT PER ANNUM START DATE EXPIRY DATE TENANT BREAK OPTION RENT REVIEW FLOOR AREA NIA REDUCED AREA RENT/SQFT ZONE A COMMENTS 7 Sinclair Street Black & Lizars Limited 27,500 07/10/13 17/04/25 17/04/20 17/04/20 1,467 sqft (136.29 sqm) 783 sqft (72.74 sqm) 35.12/sqft Black & Lizars took an Assignation from Occuleye Opticians, who had a date of entry of 18-4-2000. 13 Sinclair Street Boots UK Limited 85,800 03/04/96 28/02/26 N/A 28/05/21 8,650 sq ft (803.59 sqm) 2,592 sq ft (240.83 sqm) 33.10/sqft Boots recently committed to the property by extending their Lease by 10 years. 113,300 10,117 sqft (939.88 sqm) 3,375 sqft (313.57 sqm) TENURE The property is held on a heritable title (Scottish equivalent of English freehold). COVENANT INFORMATION Black & Lizars Limited have a Dun & Bradstreet rating of 2A1. For the year ending 30 September 2016, the company reported a Sales Turnover in excess of 13.9 million, Gross Profit in excess of 9.9m and a Tangible Net Worth in excess of 4,93m. Boots UK Limited has a Dun and Bradstreet rating of 5A1. For the year ending 31 August 2016, the company reported a Sales Turnover in excess of 6.87bn, Profit in excess of 523m and Tangible Net Worth in excess of 437m. EPC We understand the properties have EPC ratings as follows: 7 Sinclair Street (Black & Lizars Ltd) G 13 Sinclair Street (Boots UK Ltd) E PROPOSAL We are instructed to seek offers in excess of 1,430,000 (One Million Four Hundred and Thirty Thousand Pounds Sterling) exclusive of VAT for our client s heritable interest in the investment properties, subject to and with the benefit of the existing leases. A purchase at this level reflects an attractive Net Initial Yield of 7.5% assuming purchaser s costs of 5.62%.
VAT Our client has elected to waive exemption of VAT and accordingly VAT will be payable on the purchase price although we anticipate the sale will be treated as a TOGC. LEGAL COSTS Each party will be responsible for their own legal costs incurred in connection with the transaction. VIEWING & FURTHER INFORMATION Please contact the selling agents: Sheridan Property Consultants www.sheridanproperty.co.uk Stewart Sheridan / Cathal Keane / Graeme Millar Sheridan Property Consultants 37 ONE, 37 George Street Edinburgh EH2 2HN Tel. 0131 300 0296 Stewart 07740 940898 email. stewart@sheridanproperty.co.uk Cathal 07808 627224 email. cathal@sheridanproperty.co.uk Graeme 07523 512804 email: graeme@sheridanproperty.co.uk Sheridan Property Consultants 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 outline only for the guidance of intending purchasers or lessees, and do not constitute, nor constitute part of, an offer or contract; (ii) all descriptions, reference to condition and necessary permission for use and occupation, and other details are given without responsibility 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 and are advised to do so; (iii) no person in the employment of Sheridan Property Consultants has any authority to give representation or warranty whatever in relation to this property; (iv) all prices, rents and premiums quoted are exclusive of VAT at current rate; Date of Publication: February 2018