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SECURE CONVENIENCE STORE INVESTMENT 71-81 BROADWAY GRINDON SUNDERLAND SR4 8NR 01 Aberdeen

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SECURE CONVENIENCE STORE INVESTMENT 71-81 BROADWAY GRINDON SUNDERLAND SR4 8NR 01 Aberdeen INVESTMENT HIGHLIGHTS LOCATION Fort William Sunderland is the largest city in the North □ Secure Convenience Store Investment let to East, with a population of 275,506 (2011 One Stop Stores Limited Census) and has a wider catchment of □ One Stop Stores Limited have Shareholder 420,268 (2011 Census). funds of £263m Dundee It is situated approximately 19 kilometres Oban Perth□ Long term tenant and let off a low rent (12 miles) south east of Newcastle upon Tyne and 40 kilometres (25 miles) north of □ Medium term value add opportunity Middlesbrough. M90□ One Stop Stores Limited is a wholly Sunderland benefits from excellent owned subsidiary of Tesco PLC transport links to the wider region with the M80 A19 and A1 running north and south. Grand Edinburgh central provides a fastest journey time by We are instructed to seek offers in excess of£400,000 which reflects rail to London of 3 hours 20 minutes. Glasgow a net initial yield of 7.02% after purchaser’s costs of 4.18%. Berwick -upon- M77 M74 Tweed ROKER A1(M) HYLTON Southwick CASTLE ESTATE Ind est Wessington Way Rd en’s Que A74(M) MONKWEARMOUTH CASTLETOWN Wear 8 A101 River A19 y M6 n Wa DEPTFORD gto Newcastle sin A1231 -upon- NORTH HYLTON Wes Pallion AYRE’S QUAY Dumfries Ind est PALLION A69 Tynee Sunderland Sunderland A1018 Carlisle SUNDERLAND CITY CENTRE Durhamam FORD ESTATE SOUTH HYLTON Sunderland Hartlepool Royal Hospital A690 A1 BISHOPWEARMOUTH 23 MiddlesbroughMiiddd l b h 1 A66 Darlington HYLTON THORNHILL LANE ESTATE A19 A1018 A1(M) PENNYWELL BARNES ASHBROOKE Northallerton OFFERTON HUMBLEDON HILL 0 TUNSTALL SPRINGWELL A69 Harrogate HASTINGS HILL GRINDON WEARSIDE Blackpool York 02 Hull GRANGETOWN Bradford Leeds M6 M1 M180 Doncaster Liverpool Manchester M62 Sheffield Chester Nottingham A1(M) Stafford Leicester Norwich M54 Peterborough Birmingham Cambridge Ipswich M5 M40 A1(M) Oxford M11 Swansea Swindon London M4 Cardiff Bristol Reading M25 Bath M3 M23 M20 M5 DESCRIPTION The property provides a traditional brick built premises over ground and 1st floor under a pitched tile roof. The ground floor has been extended to the rear to provide large open plan retail space. The extension is of brick construction under a flat felt roof. The first floor provides 2 flats with separate access. The property also has the benefit of a Post Office concession within the store. SITUATION The property is situated in a densely populated residential area to the west of the City Centre on the A183 (The Broadway) one of the main arterial roads linking the City Centre with the A19. 03 TENURE COVENANT CONTACT The property is freehold. One Stop Stores Limited Creditsafe Score 97/100 ACCOMMODATION Creditsafe Rating – A (Very Low Rating) The property has the following areas: One Stop is one of the country’s leading convenience retail brands and is a wholly owned subsidiary of Tesco PLC. They trade from 900 stores Unit Area Sq m Sq ft around the country employing over 10,000 staff. One Stop Stores Limited Retail Ground Floor 233.6 2,515 has an annual turnover in excess of £1bn and Shareholders funds of James Metcalf £263m. A summary of their last 3 years accounts is set out below: e: [email protected] Residential Flat 1 N/A N/A Flat 2 N/A N/A 27/2/2020 28/02/2019 22/02/2018 Simon Harland Turnover £1,175,302,000 £1,142,894,000 £1,011,260,000 e: [email protected] TENANCY INFORMATION Pre-tax Profit £27,614,000 £24,470,000 £20,141,000 t: 0191 255 7770 The property is let by way of a reversionary lease for 6 years from 29th Shareholder Funds £263,198,000 £250,933,000 £244,177,000 November 2020, expiring 28th November 2026 at a rent of £29,250 per 1st Floor West Wing, City Quadrant, Waterloo Square, Newcastle upon Tyne, NE1 4DP annum. There is a tenant’s option to break at the expiry of the 3rd year. EPC RATING RENTAL COMMENTARY & ASSET MANAGEMENT C-52. There are 2 flats included within the demise at present. Considerable value could be released by taking back the flats and letting directly PROPOSAL or selling off. There may also be sufficient height to carry out loft We are instructed to seek offers in excess of £400,000, which reflects a conversions within the residential. The retail space breaks back to only net initial yield of 7.02% after purchaser’s costs of 4.18%. £7.81per sq ft after assuming a deduction of £9,600per annum for the flats (£400pcm per flat) and therefore there is the scope to significantly increase the rent in the future. VAT The property is not elected for VAT and therefore there will no VAT The convenience sector is experiencing considerable rental growth at payable on the transaction. the moment and we would expect to see this property benefit from that Misrepresentation Act: These particulars shall in the future. not form part of any offer or contract and no guarantee is given as to the condition of the property or the accuracy of its description. An intending purchaser or tenant is not to rely on any representation made in these particulars Misrepresentationand Act: must These satisfy particulars himself as toshall their not accuracy form partby of any offer or contracthis own andinvestigation no guarantee before is givenentering as intoto the any condition of the contract.property July or the2020. accuracy of its description. An intending purchaser or tenant is not to rely on any representation made in these particulars and must satisfy Designed by white button himself as to their accuracy by his own investigation before entering into any contract. March 2021. Design by white button 04.
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