High Yielding Retail & Office Investment NU House, High Street, Huddersfield HD1 2LR NU NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 1
GLASGOW A1 INVESTMENT SUMMARY M8 EDINBURGH Refurbished Mixed-Use Retail & Office Investment M74 A702 rominent location on High Street & Market Street within Huddersfield s City Centre; A1 37,340 Sq Ft (3,469 Sq m) NIA Virtual Freehold - lease expiring 3909 A68 Leased to 10 tenants Total Net Rent of 312,331 per annum 3.8 years WAULT (2.8 years WAULT to breaks) Asset management opportunities to increase the income Offers in excess of 2,460,000 NEWCASTLE SUNDERLAND Net Initial Yield 12.00% 66 Capital Value per sq ft CARLISLE A74M M6 M6 A1(M) A1(M) MIDDLESBROUGH LOCATION Huddersfield is a large market town, the 11th largest town in the UK. Although predominantly a manufacturing town, the largest employer is The University of Huddersfield with some 21,000 students. Huddersfield is situated approximately 21 miles (34 kilometres) south west of Leeds, 31 miles (50 kilometres) north west of Sheffield and 25 miles (40 kilometres) north east of Manchester. Junction 23 of the M62 is located approximately 2 miles (3 kilometres) west of the town centre, whilst Junction 34 of the M1 motorway is approximately 5 miles (8 kilometres) to the east of the town. Huddersfield enjoys frequent rail services to Leeds, Sheffield, Manchester and to London (via Wakefield) with approximate journey times of 19 minutes, 1 hour 15 minutes, 30 minutes and 2 hours and 50 minutes, respectively. HUDDERSFIELD WAKEFIELD DEMOGRAHICS Huddersfield has a primary catchment population of 313,000 (MA, 2014) and a total population of 1,063,420 living within a 13 mile (20 kilometres) radius. The average retail expenditure per capita in Huddersfield is higher than the national average (MA, 2014) and there is a current need for an additional 46,000 households in the area by 2033 reflecting the town s future growth. NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 2
SITUATION The roperty has excellent prominence within the town centre benefiting from frontage to both the High Street and Market Street. Opposite the roperty lies Huddersfield Magistrates Court, situated to the south of Market Street. Market Street also provides direct access to Huddersfield s ring road, the located approximately 110 yards (100 metres) from NU House. Situated within the main retail and business district of the town the roperty is within easy walking distance of the central train station, Kirklees College and the University of Huddersfield. FITZWILLIAM STREET A641 VIADUCT STREET OXFORD ST THGATE LEEDS ROAD A640 9 CASTLEGATE DUNDAS ST Bus Station Railway Station HIGH RAILWAY ST WESTGATE MARKET STREET STREET 16 ALBION STREET STATION ST JOHN WILLIAM STREET NU Magistrates Court CHANCERY LA NORTHUMBERLAND ST MARKET L EEL ST ALFRED ST ST ETER S STREET VICTORIA LANE KIRKGATE A641 SOUTHGATE Kingsgate Shopping Centre QUEEN STREET KING STREET Q UEENSGATE ZETLAND ST University BROAD CANAL 9 WAKEFIELD RD DESCRITION The roperty comprises 5 retail units on ground floor with 4 storeys of offices to the upper floors. The office component benefits from a prominent entrance/reception situated at the corner of the roperty at the High Street/Market Street intersection. 22 Car spaces are located to the rear of the property, via a secure access off Market Street, providing a ratio of 1:1,400 sq ft. NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 3
SECIFICATION Newly refurbished Slim-line 3-compartment perimeter trunking Integrated LG7 lighting with energy efficient controls Ceiling mounted comfort cooling Solar reflective window blinds 8 person passenger lift Male and female W/C s on alternate half landings Disabled W/C on the 2nd floor Market Street ACCOMMODATION The property comprises a total Net Internal Area of 37,340 sq ft which includes 6,520 sq ft of retail space and 30,820 sq ft of offices. FLOOR/UNIT USER AREAS NIA sq m NIA sq ft ITZA 18 20 High Street Retail 197.32 2,124 803 22 High Street Retail 48.12 518 518 24 High Street (GF & 1st Floor) Retail/ Offices 429.96 4,628 1,518 43 Market Street Retail 93.46 1,006 737 45 & 47 Market Street (GF & 1st Floor) Retail/ Offices 220.92 2,378 1,354 Typical office floor plan SUB TOTAL 989.78 10,654 4,930 art 1st Floor Office 169.83 1,828.00 2nd Floor Office 741.03 7,975 High Street 3rd Floor Office 715.94 7,705 4th Floor Office 769.04 8,278 5th Floor Office 83.61 900 SUB TOTAL 2,479.19 26,686 TOTAL 3,469.21 37,340 4,930 The property occupies a site of approximately 0.38 acres (0.15 ha). TENURE The property is held Long Leasehold from 1 May 1909 expiring 30 April 3909 at a ground rent of 14 per annum. NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 4
TENANCIES The property is let to 10 tenants on 11 occupational Leases, as per the tenancy schedule below. FLOOR TENANT NIA (SQ FT) ITZA (SQ FT) LEASE DATES NET RENT 1954 ACT START EXIRY BREAK ( A) ( SF) 18 20 High Street Jark lc 2,124 803 14/06/2007 13/06/2017-25,000.00 31.13 Outside 22 High Street Shabana Siddique* 518 518 07/06/2012 06/06/2022 07/06/2017 16,000.00 30.89 Inside 24 High Street (includes 1st floor offices) Calderdale & Kirklees Careers Services Ltd 4,628 1,518 01/04/2000 31/03/2015-47,125.00 31.04 Inside 43 Market Street Caffe Venecia Ltd* 1,006 737 24/09/2013 23/09/2023 24/09/2016 9,750.00 13.23 Outside 45 & 47 Market Street (includes 1st floor offices) Lloyds harmacy Ltd 2,378 1,354 01/01/2005 31/12/2014-44,000.00 32.50 Inside art 1st Floor Brantwood Financial lanning Ltd 1,128-28/03/2012 27/03/2022 28/03/2017 9,000.00 7.98 Inside art 1st Floor Ingeus Uk Limited 700-01/01/2015 13/09/2016 31/12/2015 7,606.00 10.87 Outside art 2nd Floor Interserve 3,300-20/07/2011 19/07/2017 20/10/2015 25,680.00 7.78 Outside art 2nd Floor Ingeus 4,675-14/09/2011 30/09/2018 30/09/2017 39,400.00 8.43 Outside art 3rd Floor Optical Express 1,686-17/05/2013 16/05/2018-13,760.00 8.16 Outside art 3rd Floor Vacant 6,019 - - - - - - - 4th & 5th Floor AHR Architects Ltd 9,178-04/05/2012 03/05/2022-75,000.00 8.17 Inside Substation Northern owergrid (Yorkshire) plc - 01/08/1960 31/07/2020-10 - Inside 37,340 312,331 The above was correct at the time of marketing. * Shabana Siddique lease is subject to stepped rent reviews rising to 20,000 pa on 07/06/2020 * Caffe Venecia Ltd lease is subject to stepped rent reviews rising to 15,000 pa on 24/09/2017 NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 5
ASSET MANAGEMENT The majority of Tenants at the roperty have indicated their intention to remain at the roperty presenting the opportunity to re-gear and extend Leases. The retail component is fully leased with approximately 17% of the offices currently vacant. Longterm development opportunities include conversion to student accommodation or residential, subject to planning. The substation on site is subject to a Lease which expires in 6 years time. Vacancy rates for retail currently stand at approximately 4.1%, a decrease of 38.6% since 2013 reflecting the economic growth of the town. With low vacancy rates the prospect of future rental growth is extremely good. NU House, High Street, Huddersfield - High Yielding Retail & Office Investment 6
VAT The property is elected for VAT and it is envisaged that the sale will be structured as a TOGC. ROOSAL We are instructed to seek offers in excess of 2,460,000 (two million four hundred and sixty thousand pounds) subject to contract and exclusive of VAT. A purchase at this level would reflect a Net Initial Yield of 12.00%, after deducting usual purchaser s costs of 5.80%. The Capital Value equates to 66 psf. CONTACT For further information or to arrange an inspection, please contact: Jed Wolfe 0113 237 6658 jed.wolfe@bnpparibas.com James arkinson 0113 237 6655 james.parkinson@bnpparibas.com Richard Talbot-Williams 0207 338 4244 richard.talbot-williams@bnpparibas.com MISRERESENTATION ACT: BN aribas Real Estate for themselves and for the vendors or lessors of this property, whose agents they are give notice that: a) all particulars are set out as general outline only for the guidance of intending purchasers or lessees, and do not comprise part of an offer or contract: b) all descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believe to be correct but 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. c) no person in the employment of BN aribas Real Estate has any authority to make any representation of warranty whatsoever in relation to this property. Design and roduction DS.EMOTION.COM MAR 2014. 289 7