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WEST STAND LEYTON ORIENT FOOTBALL CLUB OLIVER ROAD, LONDON E10 5NF

VIRTUAL FREEHOLD, PRIMARY CARE TRUST INVESTMENT OPPORTUNITY

INVESTMENT CONSIDERATIONS

DESCRIPTIONThe property comprises a 56,000 sq ft (5,202 sq m) medical polyclinic and pharmacy within a purpose built football stand constructed in 2005.

SECURE INCOMEThe investment provides a very secure income of £581,678 pa with 89% of rent being guaranteed by the NHS.

GUARANTEED RENTAL GROWTHThe majority of income benefits from an upwards only rent review in 2021 linked to RPI uncapped.

LOCATIONLeyton is an established suburb and commercial centre located in the London Borough of Waltham Forest 8 miles north east of Central London.

TUBE SERVICE & CROSS RAILLeyton Underground via the Central Line is 13 minutes to Liverpool Street and 22 minutes to the West End. The full Crossrail service will commence in 2019 providing 12 trains per hour from and towards central London.

OVER 8 YEARS OF INCOMEThe property offers a WAULT of c.8 years to expiry.

TENUREHeld Virtual Freehold of 999 years from 2004 at a peppercorn rent.

WEST STAND, LEYTON ORIENT FOOTBALL CLUB, OLIVER ROAD, LONDON E10 5NF VIRTUAL FREEHOLD, PRIMARY CARE TRUST INVESTMENT OPPORTUNITY

B165 Plashet RoadB165 Portway

B167 Gre

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Street

Wa

ter Lane

Vic

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La

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Forest Lane

B112 Homerton Road

Temple Mill Lane

Lake

Hou

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Cann Hall Road

Crownfield Road

Leyt

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Hig

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Le

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A11

99

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Hill

A112 H

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Hig

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12

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Leyton M

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B lackhorse Rd

A1006 M

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A104 Le

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A106 Ruckholt

Road

Vic

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Park

A1006 C

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Oliver Road

Church Ln

Cambridge Park

A1008 B

lake

Ha

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Romford Road A118

Cranbrook R0a

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123

Gre

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A11

High

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Bro

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A112 West H

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A116 Aldersbrook Road

Forest Dr

Statio

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117 A

117 H

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Stree

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A406

A406 North C

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A12 Eastern Avenue

A1400 Woodford Ave

A12

East C

ross Ro

ute

A12

Ea

st Cross

Lea Bri

dge

A114 Whipps Cross Road

A12

A12

A12

StratfordInternational

StratfordHigh Street

PuddingMill Lane

Abbey Road

WoodgrangePark

WansteadPark

LeytonstoneHigh Road

LeytonMidlandRoad

WalthamstowQueens Road

HackneyWick

Redbridge Gants Hill

Wanstead

Leytonstone

Leyton

East Ham

Upton Park

Snaresbrook

WalthamstowCentral

St James Street

Stratford

Maryland

West Ham

Forest Gate

Manor Park

Ilford

EppingForest

HackneyMarsh

OlympicStadium

Queen ElizabethOlympic Park

LOCATIONLeyton Orient Football Club is located in Leyton, an established suburb and commercial centre in the Lower Lea Valley located approximately 7.5 miles north east of Central London, 1 mile north of Stratford and 3 miles north east of Hackney, in the East London Borough of Waltham Forest.

Leyton benefits from excellent road communications with the A12 trunk road situated 1 mile to the south providing direct access to the North Circular (A406) approximately 3 miles to the east and access to the M25 (J28) approximately 13 miles to the east. The A10 is situated approximately 2.5 miles to the west and provides access to the City of London 6 miles to the south and access to the M25 (J25) 10 miles to the north. The M11 (J4) is 5 miles to the north east providing access to East Anglia and the wider national motorway network.

The area benefits from very good railway communications with Leyton Underground Station linking the area directly (via the central line) with Liverpool Street Station and the West End in an approximate journey time of 13 minutes and 22 minutes respectively. When the full Crossrail service commences in 2019, Crossrail will provide 12 trains per hour from and towards central London during peak periods.

SITUATIONThe property is situated on the east side of Oliver Road just north of the street’s junction with Ruckholt Road, which links with the A12 to the south. Leyton’s High Road is located 0.3 miles to the north east and Leyton underground station is located 0.5 miles to the south.

The immediate area is predominately of residential use with local leisure facilities which serve the local authority. The area would be described as densely populated with circa 70 people per hectare with a high demand for NHS Healthcare across the suburb.

There have been a number of notable developments in recent years in close proximity to the subject property; these include the ‘Feel Too Good’ sports centre at Ives Farm, a 116 unit residential development on Ruckholt Road and The Exchange, a 62 unit residential development located on the corner of High Road Leyton and Hainault Road.

There are also initial public consultations taking place regarding a redevelopment of the Score Centre facility to provide up to 550 homes, alongside complementary retail and community space.


Leyton Orient Football Club

Waltham Forest PCT

Leyton Orient Dispensary Ltd

5TH FLOOR• Leyton Orient Football Club (including Plant).

4TH FLOOR• Polyclinic: GP Surgery currently benefiting from c.14,000 patients

(excluding ‘Specialist Services’). The GP’s surgery currently has 8 permanent GPs, 3 nurses and administrative support staff.

3RD FLOOR• Leyton Orient Football Club.

2ND FLOOR• Pharmacy - Leyton Orient Dispensary Ltd

• Leyton Orient Football Club.

1ST FLOOR• Polyclinic: Walk-In Surgery and GP Practice

(Currently with c.8,000 patients).

• Leyton Orient Football Club.

UPPER GROUND FLOOR• Polyclinic: Clinic - not currently in use.

• Leyton Orient Football Club Access Level (including shop and ticket office).

LOWER GROUND FLOOR• Entrance to Polyclinic.

• Leyton Orient Football Club Parking – 19 spaces (including 5 for PCT).


Waltham Forest PCT

Leyton Orient Dispensary Ltd

DESCRIPTIONThe property comprises a polyclinic, pharmacy and football stand arranged over 7 floors totalling approximately 56,000 sq ft. The stand was built in 2005 and is of steel frame construction with brick elevations and metal sheet cladding. Due to the topography of Oliver Road the stand benefits from parking at lower ground floor level which is accessed via the southern end of the building.

The layout of the building is best demonstrated using the image to the right and comprises a Polyclinic arranged over part upper ground floor, part first floor and the entirety of the fourth floor, the Pharmacy is arranged over part second floor only. The football club’s accommodation is arranged over the remaining floors and has been sold off to the club. The Polyclinic and the Pharmacy are accessed via the main entrance on Oliver Road at lower ground level, whilst the football club’s accommodation is accessed from the northern end of the building.

The polyclinic’s accommodation is arranged across a mixture of offices, examination rooms, staff accommodation, reception and patient W/Cs. The Pharmacy provides a large retail unit comprising sales space, examination rooms, a pharmaceutical preparation and storage area and staff accommodation. The property’s accommodation benefits from a combination of carpet and linoleum flooring, suspended ceilings, fluorescent lighting and ceiling mounted air conditioning. There is lift and stair access to all floors.

The West Stand provides seating for approximately 2,900 spectators.


TENANCY SCHEDULE

Tenant Area Sq Ft Area Sq M Lease Start

Rent Review Lease Expiry

Current Rent (pa)

Predicted Rent at Review(1)

Rent £ psft

Comments

Waltham Forest Primary Care Trust

16,696 sq ft 1,551 sq m 5th May 2006 5 yearly 2021 4th May 2026 £524,858 £611,640 £31.44 Review linked to uncapped RPI.

Strandhaven Limited (Pharmacy)

1,960 sq ft 182 sq m 25th July 2007 5 yearly 2022 24th July 2027 £56,820 £65,812 £28.99 Review is linked to RPI with a cap and collar (1.5% & 3.5%).


c.(37,749 sq ft†) c.3,507 sq m 19 car parking spaces

9th August 2004

n/a 2nd August 3003

Peppercorn N/A

56,405 sq ft 5,240 sq m £581,678 £677,452

1) Based on RPI being 2.9% pa in 2019, 2020 & 2021.

TENUREThe property is held on two 999 year leases from Leyton Orient Football Club at a Peppercorn from 9 August 2004.

SERVICE CHARGEThe service charge budget for the Polyclinic and Pharmacy for the Period 01/04/2018 - 31/03/2019 is £62,430 pa which equates to £3.35 per sq ft.

COVENANTSNational Health Service (NHS)

The NHS is a free health care service within the UK and one of the largest employers in the world. In April 2013 Primary Care Trusts (PCT) and Strategic Health Authorities were abolished and responsibility for primary care contracting was passed solely to NHS England. As of March 2017 the NHS employed 106,430 doctors, 285,893 nurses and health visitors, 21,597 midwives, 132,673 scientific, therapeutic and technical staff.

Strandhaven Limited

Strandhaven Limited is a private limited Retail Chemist company established in February 1979. They have an Experian credit rating of 99, representing a ‘Very Low Risk. They had net current assets of £5,536,225 and a turnover of £14,711,875 as of 31 July 2017.


Medical Centre

RF

4F

3F

2F

1F

UGL

LGL

Executive Club

Pharmacy Match Day

Function Room

Medical Centre & LO Ticket

Office / Shop

Medical Centre

Basement Car Park Playing Staff Facilites

Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandHQ.co.uk 01.19

Liam Stray020 7543 [email protected]

Andrew Lister020 7543 [email protected]

For further information or to make arrangements for viewing please contact:

Alex Butler020 7543 [email protected] allsop.co.uk

ProposalWe are instructed to seek offers in excess of £7,750,000 (Seven Million Seven Hundred and Fifty Thousand Pounds) subject to contract and exclusive of VAT. This equates to an attractive net initial yield of 7.04% with a reversionary yield in 2021 of 8.09% and 2022 of 8.20%, allowing for purchaser’s costs of 6.66%.

VATThe property has been elected for VAT and we would expect the transaction to be treated as a Transfer of a Going Concern (TOGC).

EPCCan be provided upon request.

DATAROOMFor access to the Allsop dataroom please use the following link: https://datarooms.allsop.co.uk/register/LeytonOrient

west stand - allsop€¦ · investment opportunity. investment considerations description the...

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