68-70 st anns road, harrow london, ha1 1jx · london, ha1 1jx open market letting in 2012 let to...

4
Prime London Retail Investment For Sale 68-70 St Anns Road, Harrow London, HA1 1JX Open market letting in 2012 Let to BrightHouse (Net Assets £108m) £1,970,000, subject to contract Net initial yield 6.0%

Upload: others

Post on 24-Jan-2021

2 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: 68-70 St Anns Road, Harrow London, HA1 1JX · London, HA1 1JX Open market letting in 2012 Let to BrightHouse (Net Assets £108m) £1,970,000, subject to contract Net initial yield

Prime London Retail Investment For Sale

68-70 St Anns Road, HarrowLondon, HA1 1JX

Open market letting in 2012

Let to BrightHouse (Net Assets £108m)

£1,970,000, subject to contract

Net initial yield 6.0%

Page 2: 68-70 St Anns Road, Harrow London, HA1 1JX · London, HA1 1JX Open market letting in 2012 Let to BrightHouse (Net Assets £108m) £1,970,000, subject to contract Net initial yield

Harrow is located approximately 16 km (10 miles) north west of CentralLondon, 10 km (6 miles) south west of Watford and 3 km (2 miles) northwest of Wembley. The town benefits from good road communicationsbeing situated approximately 6 km (4 miles) west of Junctions 1 and 2of the M1 Motorway. The A40 dual carriageway is approximately 5 km(3 miles) to the south and provides direct access to the M40 and M25Motorways.

In addition, Harrow is connected to the national railway network with afastest journey time to London Euston of 14 minutes. Harrow-on-the-Hill(Metropolitan line) and Harrow & Wealdstone (Bakerloo line) UndergroundStations offer rapid access to all of Central London. Heathrow airport isapproximately 14 kms (9 miles) to the south west and Luton airport issome 34 kms (21 miles) to the north.

The subject property occupies a 100% prime retailing pitch on the northside of St Anns Road, the town’s principal pedestrianised retailthoroughfare. The St Anns Shopping Centre is directly opposite totallingapproximately 25,800 sq m (278,000 sq ft) and home to over 40 highstreet brands including H&M, Primark, Marks & Spencer, BHS, RiverIsland along with a dedicated food court and 940 car parking spaces.

The St George’s Shopping Centre is immediately to the west and extendsto approximately 20,000 sq m (215,000 sq ft). The Centre comprisesover 30 stores offering a combination of retail and leisure with tenantssuch as T Mobile, Vision Express, Boots, TK Maxx, Pizza Express, Prezzoand Starbucks as well as a Vue Cinema, a Fitness First and Toni & Guyhairdressers.

Other surrounding occupiers include Mothercare, Next, CarphoneWarehouse, Body Shop, Argos and Santander. Harrow-on-the-HillStation is a short walking distance to the south. The property benefitsfrom a strong pedestrian footfall being located between the two mainshopping centres for the town.

Harrow Council is currently investing £2 million in the St Anns RoadRegeneration Project which includes new paving, lighting and trees alongthe length of St Anns Road, removing outdated street furniture andcreating an improved trading environment.

The property comprises a two storey storey, mid-terraced buildingarranged to provide a ground floor retail unit with first and second floorancillary accommodation. Internally, the property has been fitted out bythe tenant to their usual corporate style.

Situation

Location

Description

Page 3: 68-70 St Anns Road, Harrow London, HA1 1JX · London, HA1 1JX Open market letting in 2012 Let to BrightHouse (Net Assets £108m) £1,970,000, subject to contract Net initial yield

The property provides the following Net Internal Floor Areas:

Freehold

The property is let to Caversham Finance Limited (t/a BrightHouse), on afull repairing and insuring lease for a term of 10 years from 13th July 2012,expiring 12th July 2022.

The current passing rent is £60,000 per annum and the lease provides forthe following rental increments by way of a letting inducement as opposedto a rent free period:

The vendor will “top up” the rent payable to 13th July 2014. Therefore, aninvestor will benefit from an initial rental income of

The average rent over the first five years is £100,750 per annum whichequates to £74.00 Zone A applying a rate of £6.00 per sq ft on the firstfloor and £4.00 per sq ft on the second floor ancillary accommodation.The lease is subject to an upwards only rent review on 13th July 2017 andis capped at £156,000 per annum.

The tenant has been permitted to pay rent monthly.

There is an entranceway staircase and corridor at the ground and first floorlevels at the property which exclusively serves 72-74 St Anns Road (JDSports unit next door). This area is leased to the owners of 72-74 for a termof 999 years from 15th July 2004 at a peppercorn rent which can bedetermined if either the property or 72-74 St Anns Road is to be developedand the JD Sports lease (or a related 1954 renewal lease) is no longer inexistence.

Caversham Finance Limited (Co. No. 0785922) has reported the followingfigures:

BrightHouse is the nation's leading rent-to-own retailer, providing top brandhousehold goods on low weekly, fortnightly or monthly payments and quick& simple credit. With over 275 stores, they serve over 200,000 customersacross the United Kingdom. The Company has earmarked 400 possiblenew locations across the UK and 25 new stores began trading in the lastfinancial year as part of an accelerated programme of store opening. Forfurther information please visit www.brighthouse.co.uk.

The property has been elected for VAT. It is anticipated that the sale of thisproperty will be treated as a Transfer of a Going Concern (TOGC).

Covenant

Tenure

Tenancy

13th July 2012 - 12th July 2013 £ 60,000 p.a.13th July 2013 - 12th July 2014 £ 61,250 p.a.13th July 2014 - 12th July 2015 £125,000 p.a.13th July 2015 - 12th July 2016 £127,500 p.a.Thereafter £130,000 p.a.

Year Ending 31st March 2012 31st March 2011Revenue £262,328,000 £225,980,000Pre-Tax Profits £34,253,000 £13,107,000Net Assets £108,391,000 £129,281,000

Accommodation

Zone A 63.41 sq m 683 sq ftZone B 65.84 sq m 709 sq ftZone C 49.64 sq m 534 sq ftZone D 34.87 sq m 375 sq ftGround Floor Total 213.77 sq m 2,301 sq ftITZA 113.15 sq m 1,218 sq ft

First Floor Storage 121.95 sq m 1,313 sq ftSecond Floor Storage 51.28 sq m 552 sq ft

Total 387.03 sq m 4,166 sq ft

Value Added Tax

Page 4: 68-70 St Anns Road, Harrow London, HA1 1JX · London, HA1 1JX Open market letting in 2012 Let to BrightHouse (Net Assets £108m) £1,970,000, subject to contract Net initial yield

Misrepresentation Act 1967Singer Vielle for themselves and for the Vendors or Lessors of this property whose Agents they are give noticethat:1. 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 contract2. All descriptions, dimensions, references to condition and necessary permissions for use and occupation,and other details are given in good faith and are believed to be correct but any intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves byinspection or otherwise as to the correctness of each of them.3. No person in the employment of Singer Vielle has any authority to make or give any representation orwarranty whatever in relation to this property.4. All maps are for identification purposes only and should not be relied upon for accuracy.5. Unless otherwise stated, all prices and rentals quoted are exclusive of Value Added Tax to which they maybe subject.Under no circumstances shall Singer Vielle be liable to you for any direct, indirect, consequential, incidental orspecial damages arising out of your purchase or lease of any Property.Finance Act 1989Unless otherwise stated, all prices and rents are quoted exclusive of VAT.Property Misdescriptions Act 1991

These details are believed to be correct at the time of compilation, but may be subject to subsequent amend-ment.Concerning the Properties listed and/or appearing on the Site:1. Under no circumstances shall we be liable to you for any direct, indirect, consequential, incidental or spe-cial damages arising out of your purchase or lease of any Properties on the Site.2. Under no circumstances shall we be liable for any errors or incompleteness of the information relating toany Property listed on this Site or if any Property has been withdrawn from sale or lease nor shall we be re-sponsible for any inaccurate dimensions of any Properties or price listed.3. Our website service permits you to enquire about and to purchase or lease Properties appearing on or list-ed on this Site. Such enquiries, purchase or leasing can only be made and permitted strictly subject to theterms and conditions set out below.4. We do not accept responsibility or liability for the completeness or accuracy of information appearing onthis Site which is provided by the Vendors or Lessors of the Property concerned who are solely responsible forsuch information.5. Whilst we believe that the Properties listed are available for purchase or lease we make no guarantee thatthis is the case or that they have not been withdrawn by the Vendor or Lessor of the same. All Properties ap-pearing or listed on the Site are subject to changes, errors or omissions. We have not verified the accuracy ofthe information relating to the Properties or any dimensions which have been given by the Vendors or Lessors.6. All Properties are listed subject to contract and the prices shown are exclusive of VAT if applicable.

Subject to Contract & Exclusive of VAT

Singer Vielle94-96 Wigmore StreetLondon W1U 3RFTel: 020 7935 7200Fax: 020 7486 8511www.singerviellesales.com

[email protected]@singervielle.co.uk

[email protected]@singervielle.co.uk

[email protected]

Vendor’s Solicitor

Stephenson Harwood LLP1 Finsbury CircusLondon EC2M 7SHTel: 020 7809 2112

[email protected]

ProposalOur client is seeking offers in the region of (One Million, Nine Hundredand Seventy Thousand Pounds), subject to contract, reflecting a net initial yield of

and a guaranteed reversionary yield of in July 2015.

Investment Considerations

Contact