Freehold Multi-Let Office Investment For Sale 29 LONDON ROAD BROMLEY KENT BR1 1DG

Freehold Multi-Let Office Investment For Sale 29 LONDON ROAD BROMLEY KENT BR1 1DG

29 LONDON ROAD BROMLEY KENT BR1 1DG 2 INVESTMENT SUMMARY Well located freehold multi-let office investment in established location Attractive diversification of income spread across 11 tenants 17,232 Sq Ft N.I.A. Lettable Space 40 Car Parking Spaces - Favourable ratio of 1:430 Asset Management opportunities to improve income Quoting Terms O.I.E.O 4.95m to reflect an N.I.Y of 7.15% & Reversion of 8.69% in 2020

HIGH STREET 29 LONDON ROAD BROMLEY KENT BR1 1DG 3 Location Bromley is London s largest Borough. The town is situated on the A21 approximately 16 km (10 miles) south east of Central London, 41 km (25 miles) north of Gatwick Airport and 41 km (25 miles) east of Heathrow. The affluent South London Borough provides an attractive working and living environment and benefits from an excellent retail provision based around the centrally located Glades Shopping Centre. Bromley has excellent road communications being situated at the Junction of the A21, A222 and A2212 trunk roads, approximately 16 Km (10 miles) west of Junctions 3 and 4 of the M25 motorway. It is also served by a number of British Rail main line stations, with a fastest journey time from Bromley South to London Victoria of 17 minutes. BROMLEY SUBJECT PROPERTY LONDON ROAD A2212 COLLEGE RD RODWAY RD WEST ST HIGH STREET The Glades MURRAY AVE

29 LONDON ROAD BROMLEY KENT BR1 1DG 4 Situation The property occupies a prominent position in a cluster of office developments on the west side of the A21(London Road) opposite its junction with Tweedy Road. It is a short distance north of the town centre and approximately 10 minutes walk north from Bromley South station via Bromley High Street. The property can be accessed directly from London Road to the front and also from Blyth Road to the rear.

29 LONDON ROAD BROMLEY KENT BR1 1DG 5 Office market commentary The Bromley office market in common with other London suburbs has seen marked rental growth due to the impact upon supply of Permitted Development Rights allowing conversion of B1 offices to residential use. Although there is an Article 5 exemption covering this part of London Road, planning consent has been granted for change of use from B1 to residential in respect of numbers 9,11, 27 and 50 London Road. Office vacancy rates are low with only 113,000 sq ft available throughout the town, the majority of which (80,000 sq ft) relates to suites in excess of 3,000 sq ft. Suite sizes at 29 London Rd range from 674 sq ft to 2,924 sq ft. As a consequence of the diminished supply and healthy demand the property has experienced good rental growth over the last 2 years and as space has become available it has been quick to let either to local companies or existing tenants expanding their business within the building.

29 LONDON ROAD BROMLEY KENT BR1 1DG 6 Description The four-storey property comprises refurbished office accommodation arranged over ground and three upper floors. The common parts and a number of the suites have recently been refurbished by the current owners. The building is of concrete frame construction and is clad with a combination of concrete, brick and tiled panels under a flat asphalt covered roof. Windows throughout are of a single glazed, metal casement type. Internally the office benefits from excellent natural light and a generous floor to ceiling height. Each floor is fitted to a good specification having suspended ceilings, Category II lighting, painted plastered walls, carpeted solid floors, perimeter trunking and central heating. The building is serviced by a 9-person passenger lift. Female and male WC s are provided on each floor, with a disabled toilet facility provided on the first floor.

FRONT AREA 29 LONDON ROAD BROMLEY KENT BR1 1DG 7 Accommodation The property provides a total of approximately 1601 sq m (17,232 sq ft) N.I.A. of office accommodation over ground and three upper floors (See Tenancy Schedule for breakdown). The office core is located mid floor plate and as such the accommodation naturally divides to provide self-contained front and rear sections which can be further subdivided. The site area is approximately 0.47 acres, providing a low site density of approximately 32%. The property benefits from 40 car parking spaces, providing a favourable town centre parking ratio of 1:430 sq ft. Ground Floor First Floor Second Floor Third Floor LIFT LIFT LIFT LIFT PREMISES ENTRY FRONT AREA BUILDING ENTRY Plans for information only Do NOT Scale

Tenancy Schedule 8 Description Tenant Current passing rent* Lease Terms All O/S Act unless stated Lease Expiry Break Area Sq ft /sq ft passing ERV @ 25 ** Notes Part Ground Front Right Bromley Healthcare 28,575 New 5 yr lease 31st Mar 2017. Personal side letter reducing rent payable to 20,003 pa ( 17.50 psft) for duration of term. 31st Mar 2022 Mutual, 31st Mar 2020, 6 month notice 1,143 25.00 28,575 *Landlord to top up rent to 28,575 p.a. until 31st Mar 2020 Part Ground Front Left Sarah Buckley Therapies 20,000 New letting 17th Feb 2015, 10 yrs, 5 yr break, 5 yr RR. 16th Feb 2025 16th Feb 2020 1,363 14.67 34,075 1st Floor - Front 1st Floor - Rear 2nd Floor - Middle 2nd Floor - Front Left 2nd Floor - Rear 2nd Floor - Front Right 3rd Floor - Rear Left Gill Noble 34,000 Lease within L & T Act, new 5 yr lease 3rd Jul 2013. Rent deposit 15,414. 31st Jul 2018 2,924 11.63 73,100 S.25 Notice Served w.e.f 7th Aug 2018 76,524 ( 26.17 sq ft) Go Train 46,950 New 10 yr lease, 8th Sep 2016, 5 yr break. 7th Sep 2026 8th Sep 2021 1,878 25.00 46,950 Network Healthcare 17,524 5 yr lease 23rd Dec 2014. Rent deposit 3,904. 22nd Dec 2019 674 26.00 17,524 December 2017 Review agreed & documented at 26/Sq Ft. **ERV 26/sq ft. Go Train 24,900 New 10 yr lease, 8th Sep 2016, 5 yr break. 7th Sep 2026 8th Sep 2021 996 25.00 24,900 Just Groop 53,625 10 yrs, 28th Nov 2017, 24 months at 50% rent. Rent commencement 25th Dec 2017, 5 yr RR. Rent deposit 21,400 paid by installment. 27th Sep 2027 27th Sep 2022 2,145 25.00 53,625 Landlord to top up rent to 53,625 p.a. until rent free period expires. Vacant 1,108 0.00 27,700 Currently being refurbished by landlord 1st Avenue.co.uk 29,850 New Letting, 10 yrs, 8th Jul 2016. 7th Jul 2026 8th July 2021 1,180 25.30 29,850 **ERV = passing rent 3rd Floor - Front Left 3rd Floor - Front Right GDC Partnership 35,626 New letting, 10 yrs, 22nd Dec 2017. Rent commencement 1st Feb 2018. Rent reduced to 17,813 (50%) for 12 months to 31st Jan 2019. Rent deposit 8,906. Bromley Healthcare 35,825 New 5yr lease 31st Mar 2017. Personal side letter reducing rent payable to 25,078 pa ( 17.50 psft) for duration of term. 20th Dec 2027 T.O.B. 22nd Dec 2022 1,425 25.00 35,625 Landlord to top up rent to 35,626 p.a. until rent free period expires. 31st March 2022 Mutual After 3yrs 1,433 25.00 35,825 Landlord to top rent up to 35,825 p.a.until 31st Mar 2020 3rd Floor - Rear Right GDC Partnership 24,075 New letting, 10 years, 22nd Dec 2017. Rent commencement 1st Jan 2018. Rent reduced to 12,038 (50%) for 12 months to 31st Jan 2019. Rent deposit 6,018. T.O.B. 22nd Dec 2022 963 25.00 24,075 Landlord to top up rent to 24,075 p.a. until rent free period expires. Total offices 350,950 17,232 431,824 Roof 1 Orange 11,000 New 15yr lease 11th Oct 2013-check exact date. 11th Oct 2028 6 mths notice only required 0 11,000 Roof 2 O2 15,456 Extended term commenced 3rd Sep 2010-monthly. Monthly 0 15,456 Total 377,406 458,280

29 LONDON ROAD BROMLEY KENT BR1 1DG Service Charge All units are let on FRI leases with full service charge recovery including management fees. Total services charges have been 93,000 and 97,000 (2016 and 2017 December year end, respectively). The 2018 budget is 102,000 ( 5.90 sqft) which includes a sinking fund of 10,000. The sinking fund accumulated to December 2017 was been expended on common parts upgrading undertaken in that year. The current charge of 5.90 sq ft is lower than average in the market. Insurance is recovered through separate tenant invoicing. Asset Management Potential There is potential to improve the income by re-letting the vacant unit which is currently undergoing refurbishment and undertaking upcoming rent reviews and lease renewals. We are also of the opinion that there may be potential to further develop the rear of the site and add an extra floor subject to obtaining the necessary consents. Interested parties are advised to make their own enquiries with the Local Authority, London Borough of Bromley. EPC 9 Investment Proposal Our Client is seeking offers in excess of 4.95m Subject to Contract only for the benefit of the freehold interest. A purchase at this level would reflect a net initial yield of 7.15% based on the receivable income of 377,406 p.a. and a reversionary yield of 8.69% in February 2020 upon letting of the vacant unit and completion of rent reviews/ lease renewals assuming an ERV of 458,280, after allowing for purchasers costs of 6.58%. It reflects a Capital Value of 287/Sq Ft. All enquiries to be made via the vendor s Sole Retained Agents Sandover Molloy, please contact: Joe Molloy Tel: 07947 867 717 Email: joe@sandover.co.uk Notices Relating to the Misrepresentation Act and the Property Misdescriptions Act. Sandover Molloy for themselves and for the Vendors of this property whose Agents they are, give notice that:the particulars are set out as a general outline only for the guidance of intending purchases and do not constitute part of an offer or contract; All descriptions, dimensions, references to condition and necessary permissions for use and occupation and their details are given in good faith and are believed to be correct, but any intending purchasers should not rely on them as statements or representations of fact, but must satisfy themselves by inspection or otherwise as to the correctness of them; Unless otherwise stated, all prices, rents and other charges are quoted exclusive of Value Added Tax (VAT). Any intending purchasers or tenants must satisfy themselves independently as to the incidence of VAT in respect of any transaction; All plant, machinery, equipment, services and fixtures & fittings referred to in these particulars were present at the date of publication. They have not, however, been tested and therefore, we give absolutely no warranty as to their condition or operation; No person in the employment of Sandover Molloy has any authority to make or give any representations or warranty whatsoever in relation to this property or these particulars, nor enter into any contract on behalf of the Vendors; No responsibility can be accepted for any expenses incurred by intending purchasers in inspecting properties which have been sold or withdrawn; The date of publication is May 2018.