v4 draft beales department store...2020/02/13 · a purchase at this level reflects a net initial...

BEALES DEPARTMENT STORE36 / 42 Old Christchurch Road, Bournemouth, BH1 1LJ

Exciting Repositioning Opportunity in Bournemouth Town Centre

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INVESTMENT SUMMARY• The property is prominently situated in the

heart of Bournemouth town centre.

• Comprises 147,404 sq ft GIA of retail and ancillary accommodation arranged over lower ground, ground, mezzanine and six upper floors.

• Freehold.

• The property is let entirely to J E Beale Plc on a FRI lease until 20 January 2023.

• The current passing rent is £911,000 pa.

• The tenant has recently gone into administration, which provides an opportunity to negotiate an early surrender of the lease.

• Potential to reposition the property to create a landmark development, subject to planning.

• Seeking offers in excess of £11,000,000 (Eleven Million Pounds), subject to contract and exclusive of VAT.

• A purchase at this level reflects a net initial yield of 7.76%, after assuming purchaser’s costs of 6.70%, and a low capital value of £75 per sq ft.

2BEALES DEPARTMENT STORE ~ 36 Old Christchurch Rd, Bournemouth BH1 1LJ

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Bournemouth Pier

Bournemouth International centre

Sandbanks

A338

Bh2 Leisure

Beales


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LocationBournemouth is an attractive coastal town, approximately 100 miles south west of London and 22 miles south west of Southampton.

The town is a major conference venue and also plays an important role as a back office location for a number of international firms including Standard Life and JP Morgan Chase.

Bournemouth is also home to two universities, Bournemouth University and Arts University Bournemouth, and has a growing student population in excess of 17,000 students.

Tourism is an important contributor to Bournemouth’s economy, with approximately 5.6 million people visiting the town every year.

Prime retailing in Bournemouth is focused on the pedestrianised thoroughfares of Commercial Road and Old Christchurch Road. In addition to this there are three managed shopping centres in the town, namely: Richmond Gardens, The Avenue and St Peter’s Quarter.

The retail provision in the town centre has recently been significantly enhanced by the development of a £50 million leisure scheme, known as Bh2. The 120,000 sq ft regeneration scheme, which was developed by Legal & General, comprises a 10 screen Odeon cinema and 14 restaurants.

Bristol Int'l

Bournemouth Int'l

Cardiff

Cardiff

Southampton Int'l

London Luton

London Gatwick

London Heathrow

M3

M27

M25

M40

M4

M5

A31

A35

A36

A23

A27

A3

A34

A303

A338

A346

Seve

rn

Thames

Southampton

Weymouth

WinchesterSalisbury

Swindon

Bristol

Bournemouth

Swansea

Southend-on-Sea

Reading

Bath

Exeter

Penzance

Plymouth

Ipswich

Brighton

Oxford

Luton

Portsmouth

Isle ofWight

Dover

Dieppe

Cardiff London

CommunicationsThe town benefits from excellent road communications with the A338 within 2 miles of the town centre, which connects to both the M27 and M3.

There are also frequent rail services to London Waterloo, with a fastest journey time of 1 hour 45 minutes.

Additionally, Bournemouth International Airport is located approximately 4 miles north of the town centre, and Southampton International Airport is located approximately 33 miles to the north east.


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Brai

dley

Roa

d

Bourne Avenue

St Michael's Road

St Stephen's Road

West Hill Road

Avenue Road

Grove Road

Gervis Road

Beacon Road

Cranborne Road

Commercial Road

Cen

tral

Driv

e

Bodorgan Road Madeira Road

Westover Road

Lorne Park Road

Staff

ord

Road

Wootton Mount

Richmond Gardens

Dean Park Roadj

j

j

Lower Gardens

Central Gardens

Bh2Leisure

Bournemouth International Centre

Bournemouth Pavilion Theatre

Bournemouth Pier Beach

A347

A338

Undercliff Drive

Hinton Road

West Undercliff Promenade

Terrace Road

Exeter Road

Rich

mo

nd

Hil

l

Bou

rnem

ou

th Pier

East Cliff Slope

English Channel

Old Christ

church Rd

St Peter's Road

B3 066 Bath RoadB306 6 Bath Road

B3066 B

ath Road

BOURNEMOUTH

Beales

BEALE PLACE

SituationThe subject property is located at the junction of the prime Old Christchurch Road and Hinton Road. The main access to the store is from Old Christchurch Road, with a secondary entrance off Gervis Place. There is a service entrance to the store from Beale Place.

The property occupies a 100% prime location on Bournemouth’s principal retailing thoroughfare, adjacent to major national high street retailers including Topshop, Superdry, Holland & Barrett, Ernest Jones and Pandora.

For indicative purposes only. Title plan available upon request


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Beale Place

Gervis Plac

e

Old

Ch

ristchu

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oad

DescriptionThe property comprises a prominent department store totalling approximately 147,404 sq ft, arranged over basement, lower ground, ground mezzanine and six upper floors.

The store provides retail accommodation on the ground, mezzanine and six upper floors, with a restaurant area at the fifth floor. The basement and lower ground floors provide ancillary accommodation for the retail trading accommodation above.

The upper sales floors are served by escalators, sales stairs and a customer lift.

AccommodationThe property provides the following approximate floor areas;

36/42 Old Christchurch RoadFloor Area GIA (sq ft)Basement 16,112Lower Ground 16,570Ground 15,487Mezzanine 3,0981st 15,3742nd 15,2303rd 15,7044th 15,5065th 13,2136th 11,576Roof Plant 1,098Sub-Total 138,968

St Peter’s Chambers, Gervis PlaceFloor Area GIA (sq ft)Lower Ground 2,276Ground 2,1761st 2,0672nd 1,917Sub-Total 8,436

Total 147,404Beale Place

Gervis Plac

e

Old

Ch

ristchu

rch R

oad

Typical Upper Floor

Ground Floor

Plans not to scale and for indicative purposes only.


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TenureThe property is held Freehold.

TenancyThe property is entirely let to J E Beale Plc on a lease expiring 20 January 2023 on Full Repairing and Insuring Terms. The current passing rent is £911,000 pa.

The tenant has recently gone into administration, which provides an opportunity to negotiate an early surrender of the lease.

Future Redevelopment and Asset Management InitiativesThe administration of the tenant provides a purchaser with a chance to reposition the existing property to create a new landmark development in the heart of Bournemouth town centre, subject to gaining the necessary consents.

This scheme could accommodate a number of different uses including residential, serviced apartments, student accommodation, hotel, apart-hotel, retail, leisure and office uses, subject to planning.

A planning application has previously been submitted (Ref: 7-2016-726-AH) for a change of use of the 3rd, 4th, 5th and 6th floors from retail and ancillary uses (Class A1) to 76 residential apartments (Class C3). This application was subsequently refused, but further information is available upon request..


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VATThe purchase of the property will be subject to VAT. We understand that the sale can be treated as a Transfer of a Going Concern for VAT purposes.

EPCA copy of the EPC rating and recommendation report is available on request.

ProposalWe are instructed to seek offers in excess of £11,000,000 (Eleven Million Pounds), subject to contract and exclusive of VAT.

A purchase at this level reflects a net initial yield of 7.76%, after assuming purchaser’s costs of 6.70%, and a low capital value of £75 per sq ft.

Further InformationFor further information or to arrange an inspection, please contact: -

Ben Goodberry

Tel: +44 (0) 207 495 5550 Mob: +44 (0) 7799 038 391 Email: [email protected]

Hugh Faith

Tel: +44 (0) 207 495 5550 Mob: +44 (0) 7824 810 910 Email: [email protected]


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Notices Relating to the Misrepresentation Act. TT&G Partners LLP 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 TT&G Partners LLP 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 February 2020.

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v4 draft beales department store...2020/02/13 · a purchase at this level reflects a net initial...

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