Downs Court 64 Meads Street Eastbourne BN20 7FD Prime Mixed Use Investment Opportunity
Colwyn Bay Lincoln A1 Prime Mixed Use Investment Opportunity 2 M6 Wrexham Nottingham Stoke-on-Trent EXECUTIVE SUMMARY RESIDENTIAL 22 Apartments [2 x 1 beds and 20 x 2 beds] 21 apartments currently fully let on ASTs 1 apartment subject to a long lease Passing Rent: 215,230 per annum ERV: 236,050 per annum Area (GIA): 1,992 sq m / 21,446 sq ft excluding communal areas Grantham EASTBOURNE Derby AN ATTRACTIVE Telford FREEHOLD INVESTMENT M42 M54 OPPORTUNITY COMPRISING Birmingham 22 APARTMENTS AND RETAIL UNIT LET TO TESCO. Coventry M69 M6 RETAIL M45 Ground floor retail unit let to Tesco Stores Limited until 1st July 2025 An 85 million plan to transform the Eastbourne Arndale Centre was approved in 2014. King s LynnThe extension will provide up to 24 new shops between the existing Arndale Centre and the railway Norwich station. The development is a private sector proposal from Performance Retail LimitedA47 Partnership (PRLP) in which Legal & General have a majority share. Construction is expected to The development is approximately 1.3 miles from Eastbourne commence in 2016 and Legal & General is working towards A47 provides access into LondonPeterborough train station which (Victoria) in completing the scheme by 2018. approximately 1 hour 30 minutes. London Gatwick Airport The Eastbourne campus of the University of Brighton is located is located approximately 49 miles to the north west of in The Meads area and is situated across three main clusters: A1(M) Eastbourne. Darley Road, Hillbrow and Welkin. In the region of 3,000 students Eastbourne is a popular seaside town on the south coast of study at this campus. Sussex Downs College, with a campus England between Brighton and Hastings. The town is situated in Eastbourne, is the largest further education college in East A14 at the eastern end of the chalk South Downs alongside the Sussex, providing education and training from foundation to high cliff at Beachy Head. degree level. Downs Court (the development) is located on Meads Street to the south west of Eastbourne A1 town centre. The area is known locally as The Meads and is considered to be one of the most affluent parts of Eastbourne, characterised by traditional Leicester A47 residential accommodation. Newmarket Worcester Northampton The Seven Sisters Country Park (part of South Downs National Bedford Park) extends to 280 hectares and is located to the west of TheCambridge Meads. Area NIA: 349.41 sq m / 3,761 sq ft Current passing: 51,350 per annum Ipswich The population of Eastbourne grew between 2001 and 2011 from 89,800 to 99,412. It is the 2nd fastest growing seaside town in the UK, and the economic driver of East Sussex. Those living in the Milton Keynes Private Rented Sector in Eastbourne rose from 16% of households Luton in 2001, to 24% in 2011. Stevenage RPI linked review due in July 2015 OFFERS FOR THE WHOLE INVITED IN EXCESS OF 5M Prime Skegness Mixed Use Investment Opportunity 3 Cheltenham Gloucester Eastbourne has a broad economic base. Gardners Books Aylesbury A1 (the largest book wholesaler in the UK), Veritek Global (a world leader in digital technology), and Jones Bootmakers Oxford are all headquartered in the town. Colchester Stansted 1 Chelmsford M40 High Wycombe Swansea Southend-on-Sea Swindon Cardiff Reading Bristol M4 London M25 Ramsgate Bath Weston-super-Mare A2 M3 Basingstoke Guildford Winchester Salisbury Maidstone M23 Dover M20 Royal Tunbridge Wells Folkestone Crawley Taunton A21 Southampton A22 A27 Portsmouth Exeter Bournemouth Newport Not to scale. For illustrative purposes only Brighton Hastings EASTBOURNE
7 54d 54a 48 37 28 14 4 4 Prime Mixed Use Investment Opportunity 5 Prime Mixed Use Investment Opportunity DESCRIPTION TENANCY DETAILS Downs Court is a freehold development comprising a double fronted supermarket with basement and residential accommodation on the four upper floors. The development is of brick construction under a mansard roof and is part modern and part conversion. The development was completed in 2009. In total the site area extends to 0.17 hectares (0.41 acres). The majority of the apartments benefit from a mix of terraces and balconies. Four apartments (17,18,19 & 20) on the top floor of the development benefit from sun rooms, as well as extensive balconies with views towards the sea to the south and west and the South Downs to north and east. Apartments 1 and 2 on the ground floor have private gardens. There are 22 residential apartments within the development (2 x 1 beds and 20 x 2 beds). 21 apartments are let on Assured Shorthold Tenancies, whilst Apartment 9 has been sold off on a long lease for a term of 125 years commencing on 19th February 2010 at an annual ground rent of 250 per annum. The residential accommodation is accessed via a single entrance at the rear of the development with a lift and staircase serving the upper residential floors. The development includes 23 parking spaces to the rear of the property. 1 of these spaces has been allocated to Apartment 9 sold off on a long lease. The remaining 21 apartments are served by 22 parking spaces, 12 of which are covered. 12 THE VILLAGE 16 10 18 21 18a The Bungalow 48a The retail unit provides a well configured ground floor shop with storage at basement level. The space is let to Tesco Stores Limited on a 15 year fully repairing and insuring lease from 2nd July 2010 at a current rent of 51,350 per annum. The lease is subject to 5 yearly upward only rent reviews which are RPI linked, the next rent review is due on 2nd July 2015. The lease requires the tenant to contribute to the service charge. LEGAL The property is owned freehold. Apartment 9 is subject to a long lease for a term of 125 years commencing on 19th February 2010. The lease is subject to a ground rent of 250 per annum. The ground rent doubles on the 25th anniversary of the term commencement date. A service charge contribution of 4.47% of the total charge is required to be paid by the leaseholder. The freeholders of the garage and residential block situated to the rear of the development have a right of access across the car park of the subject property. 46 44 42 40 40.2m 27 29 2a 2 DERWENT ROAD 9 15 Apartment Floor Floor area sq ft GIA Bedrooms Bathrooms Amenity space Current Passing Rent PCM Current Rent PA ERV PCM ERV PA Type Start Date End Date 1 Ground 1019 2 2 Garden 900 10,800 975 11,700 AST 18/08/2010 17/08/2011 Holding Over 2 Ground 993 2 2 Garden 850 10,200 925 11,100 AST 19/12/2014 19/06/2015 6 month AST 3 First 947 2 2 Balcony 850 10,200 950 11,400 AST 12/10/2012 11/10/2013 Holding Over 4 First 898 2 2 Terrace 900 10,800 950 11,400 AST 17/09/2010 16/09/2011 Holding Over 5 First 1024 2 2 Terrace 795 9,540 950 11,400 AST 06/12/2013 05/12/2014 Holding Over 6 First 1088 2 2 Balcony 895 10,740 950 11,400 AST 28/03/2012 27/03/2013 Holding Over 7 First 948 2 2 850 10,200 950 11,400 AST 13/01/2012 12/01/2013 Holding Over 8 First 1146 2 2 Balcony 900 10,800 975 11,700 AST 20/10/2011 19/10/2012 Holding Over 9 First 958 2 2 Balcony 20.8 250 20.8 250 Long leasehold Status Sold on 125 year lease 10 Second 971 2 2 Balcony 795 9,540 925 11,100 AST 21/05/2013 20/05/2014 Holding Over 11 Second 838 1 1 625 7,500 700 8,400 AST 08/01/2013 07/01/2014 Holding Over 12 Second 1036 2 2 Balcony 795 9,540 900 10,800 AST 22/02/2014 21/02/2015 Holding Over 13 Second 1018 2 2 Balcony 900 10,800 950 11,400 AST 23/07/2009 22/07/2010 Holding Over 14 Second 948 2 2 795 9,540 900 10,800 AST 01/02/2014 31/01/2015 Holding Over 15 Second 1024 2 2 800 9,600 950 11,400 AST 31/10/2013 30/10/2014 Holding Over 16 Second 958 2 2 Balcony 795 9,540 900 10,800 AST 01/08/2013 31/07/2014 Holding Over 17 Third 916 2 2 Sunroom 1,000 12,000 1,000 12,000 AST 17/02/2012 16/02/2013 Holding Over 18 Third 747 1 2 Sunroom 750 9,000 800 9,600 AST 22/12/2014 22/06/2015 6 month AST 19 Third 989 2 2 Sunroom 925 11,100 1,000 12,000 AST 13/07/2013 12/07/2014 Holding Over 20 Third 983 2 2 Sunroom 950 11,400 1,000 12,000 AST 01/01/2014 31/12/2014 Holding Over 21 Third 970 2 2 Terrace 895 10,740 1,000 12,000 AST 20/01/2012 19/01/2013 Holding Over 22 Third 1026 2 2 Terrace 950 11,400 1,000 12,000 AST 22/10/2010 21/10/2011 Holding Over Total 21,446 17,936 215,230 19,671 236,050 54 LB 54c 33 The Ship Inn Downs Court 56 to 64 El Sub Sta MEADS STREET 35 38.4m 41 (PH) 24 19 21 27 19 17 15 Meads Gate 1 to 12 35 33 31 29 70 68 DARLEY ROAD 4 NOTE:- Reproduced from the Ordnance Survey Map with the permission of the Controller of H.M. Stationery Office. Crown copyright licence number 100024244 Savills (UK) Ltd. NOTE:- Published for the purposes of identification only and although believed to be correct accuracy is not guaranteed. 38.9m Darley Gate TCB 20 24 26 45
6 Prime Mixed Use Investment Opportunity 7 Prime Mixed Use Investment Opportunity SERVICES We have been advised that mains water, electricity and drainage are available. There is no gas is connection to the property. SERVICE CHARGE The service charge is managed by Sanders Property Management Limited on behalf of Downs Court Management Company. The total service charge budget for the period 01/01/15 31/12/15 is 21,837. The service charge payable in respect of the 21 apartments totals 16,503.35. This excludes the contribution paid by the leaseholder of Apartment 9, Tesco Stores Limited and a landlord contribution to the insurance. A breakdown of the expenditure is provided in the dataroom. ENERGY PERFORMANCE CERTIFICATES EPCs for the residential apartments are contained within the data room. PLANNING Downs Court is situated within the Meads Conservation area. The development was granted consent in April 2006 (Ref:EB/2006/0097). FURTHER INFORMATION A data room is available at: www.savills.co.uk/downscourt containing the following information: EPCs Photographs Example AST Floor plans Commercial lease to Tesco Stores Limited schedule Land Registry information Premier Guarantees 2015 service charge budget Lease Apartment 9 VAT The property (including both retail and residential elements) is elected for VAT. GUIDE PRICE Offers are sought in excess of 5,000,000, subject to contract and existing tenancies. VIEWINGS The property can be viewed externally. Internal inspections will be conducted on specific viewing days. Please contact Savills for details and to arrange an inspection. WARRANTIES Premier Guarantee Certificates of Insurance (defects and structural) are in place for all 22 apartments. These expire on 22nd December 2019. These are subject to the terms and conditions of the Premier Guarantee New Homes policy. Copies of these are provided within the dataroom. LOCAL AUTHORITY Eastbourne Borough Council, 1 Grove Road, Eastbourne, East Sussex, BN21 4TW. METHOD OF SALE The property is being offered for sale by way of private treaty. Offers are sought for the freehold interest subject to contract and the existing tenancies. Should a closing date be set for the submission of offers, all parties will be informed in due course.
8 Prime Mixed Use Investment Opportunity CONTACTS For further information please contact: Savills Residential Capital Markets - London 33 Margaret Street W1G 0JD George Hepburne Scott +44 (0) 20 7016 3761 ghscott@savills.com Savills - Sevenoaks 74 High Street Sevenoaks, Kent TN13 1JR Sam Kirkaldy +44 (0) 173278 9783 skirkaldy@savills.com Matthew McBride +44 (0) 207 409 5990 mmcbride@savills.com www.savills.co.uk/resiinvestment Important Notice Savills, their clients and any joint agents give notice that: 1. They are not authorised to make or give any representations or warranties in relation to the property either here or elsewhere, either on their own behalf or on behalf of their client or otherwise. They assume no responsibility for any statement that may be made in these particulars. These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. 2. Any areas, measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. It should not be assumed that the property has all necessary planning, building regulation or other consents and Savills have not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise. Designed and Produced by Savills Marketing: 020 7499 8644 June 2015