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The Birr Castle Retreat And © Copyright TREDIC Corporation 2018 irish birr capital limited A TREDIC Corporation project SPV The Birr Castle Retreat and Spa Securing and persevering the Birr Estate for the next generation A corporate stakeholder introduction to the Birr Castle Estate and the Birr Castle Retreat and Spa project. Q4 2018 Image © copyright Schletterer Consult GmbH CORPORATION TREDIC Corporation Tel: +44 (0) 208 849 5646 Fax: +44 (0) 208 899 6001 Building 3, Chiswick Park, 566 Chiswick High Road, Chiswick, Email: [email protected] London W4 5YA, United Kingdom. Web: www.trediccorporation.com www.trediccorporation.com © Copyright TREDIC Corporation 2018 irish Oxmantown Settlement Trust birr capital Birr Scientific and Heritage Foundation limited Hello, and welcome to our presentation. I warmly welcome our Stakeholder Groups, and I look forward to presenting our vision for the future of the Birr Castle Estate to you in this information memorandum. Birr, like so many other magnificent country estates in the U.K. and Ireland, proves extremely expensive to preserve, to maintain and to run on day to day basis. Successful efforts have been made to date to ensure revenue is being generated through the estate to cover our basic cash flow requirements. To date, increasing annual visitors to the estate, a thriving museum and science centre, the development of the LOFAR Programme within the grounds, a retail shop with growing sales, and one of the most successful food and beverage offerings in Birr are all testament to the progress that continues to be made. But are we going far enough? And can we go further? Are we seeking to survive, and to maintain, or are we seeking to grow and to thrive? Are we seeking to look backwards and capitalise on our past, or dare we seek to look forward and capitalise on our future potential? Do we want to be seen as the historic heart of science and discovery in Ireland, or do we want to be seen as the present and future of science and discovery in Ireland? We can choose to stagnate, we can choose to maintain the status quo and slowly evolve, or we can choose to take decisive action right now through a concerted team effort to generate the capital to we require to not only preserve the historic buildings and wider public and private realm, but to create a real future for the estate that can be cherished and protected by the family, and enjoyed and celebrated by the local community, the people of Ireland, and our increasing number of international visitors. Our family has a long history and tradition within the local community but also with science, astronomy, discovery and botany. These facets maintain the basis from which we must progress. The world class team that we have assembled led our joint venture development and financing partner TREDIC Corporation from London, aims to capture the very essence of these traditions and to drive the estate forward not only monetarily, but culturally, scientifically and with great vision for a long term sustainable future at its very heart. At the heart of our strategy is the development of a luxury spa hotel and ‘retreat’ but it would be a fundamental mistake to simply view this as just another luxury hotel offering a range of spa treatments. It is far more than that. It is a destination development and the centrepiece of a far wider long term sustainable development strategy that we wish to deploy throughout the estate, both in the short term and over the years to come. It is an establishment that captures the very essence of what Birr is about. Health, wellness, a sense of mind, body and spirit. Irish Culture, Irish Heritage, Irish Cuisine and traditional Irish fair. A veritable Eden in the centre of Ireland. Walking through the gates at Birr one gets a sense of going back in time, of relaxation, tranquillity and genuine peace of mind. Attributes that cannot be created, cannot be purchased and cannot be forged in new build developments, yet we have them in natural abundance at Birr. One cannot put a price or value on this. Our development will integrate and pay homage to its natural surroundings and the history and heritage of the estate. The rarity of such a project is its ability to naturally sell itself through its surroundings, its history and culture and its inherent botanical beauty. 2 © Copyright TREDIC Corporation 2018 The Birr Castle Retreat and Spa will therefore be a destination resort for all. A retreat, complete with a world class health and wellness facility, the very best mixture of F&B and with accommodation that will be split between a diverse mix of bedrooms and villas in different styles & themes, under a carefully crafted phasing strategy and with a density and massing sensitive to the estate, its history, surroundings and the local planning conditions. Under the present strategy, we have 76 bedrooms and 30 villas, but this may change slightly as we progress into the architecture design phase. We use the word ‘destination’ rather deliberately and rather aptly and it is the destination nature of the retreat that is key to the success of this development and to the long term financial security of the wider estate. A destination development by its very nature is a development that attracts visitors, guests and consumers from a wide market. The market study contained within this memorandum demonstrates the insatiable appetite for health and wellness, the fastest growing market sector within global hospitality by far, in a location just a short two hour drive from all the major conurbations in Ireland, from Dublin Airport and from a City in Dublin that is fastly on the rise in terms of its global commercial standing. But what is our differentiating factor? What will make the proposed Birr Castle Retreat and Spa development a true destination, what will make it unique, what will make it a successful destination and a financially viable destination? The answer lies in the nature of the development strategy, the asset class, the breakdown of use, attraction, facility and its quality of management and operation. Most importantly, it lies in the nature of the anchor tenant, the hotel itself, complimented by the long term development and investment strategy for the wider estate. In this memorandum and presentation, we talk about the Retreat and Spa as the anchor of wider destination development; but we also talk about the future of the estate, the potential for organic growth over a number of years. Two years ago, we received a funding offer from a Forbes global top 50 Billionaire from the USA. We declined. We went ready for such investment and we weren’t able to concede freehold ownership of the development land. The last 24 months post this offer have seen us strategize an investor offering that permits my family, in joint venture partnership with TREDIC Corporation, to both raise the capital necessary to progress and to keep control of the project on a long term leasehold interest from the Trust that oversees and has ultimate responsibility for all lands and buildings at Birr; and this is where we stand today, ready to proceed with a turnkey development strategy that stands to full scrutiny. Under our relationship with current developer and financier TREDIC Corporation from London we have found a company uniquely positioned to understand the financial and technical execution of the project strategy and development as well as the requirements of the Estate, the Trust and the Family. They are a partner that only requires a 125-year institutional grade lease in order to proceed and not a partner that requires freehold ownership. TREDIC have financed the project to date and they are a partner that will further commit ground rent payments to the Trust, throughout the life of the project something hugely important to the management cash flow of the wider estate. TREDIC fundamentally understand what we as a family need and are empathetic to the requirements of the Trust. Not only have they invested heavily to date, but they have been willing to do so on terms in keeping with our history and tradition, and it is this trait that we shall seek in our future financing partners also. We look forward to representing our thoughts and strategies to you in this memorandum, explaining the unique benefits to the estate, the risk management tools that will be deployed to protect the trust and the financing plan we have in place to bring the project to life, as well as the unique financial benefits for the Trust and the Birr Scientific and Heritage Foundation. Lord Oxmantown Laurence Patrick Parsons Director & Equity Partner - Irish Birr Capital Ltd 3 © Copyright TREDIC Corporation 2018 Contents Page 1. Introduction to the Birr Castle Estate 5 2. The Project & Proposed Development 9 3. The Location 20 4. The Current Status & Next Steps 24 5. The Business Case 27 6. Financing Strategy and Financial Analysis 30 7. The Market 37 8. The Developer 58 9. The Operators 61 10. The Executive Team Board 66 11. The Estate’s Future Potential 82 12. Conclusions 84 13. Contact page 86 14. Appendix 88 CORPORATION Image © copyright Schletterer Consult GmbH 4 © Copyright TREDIC Corporation 2018 irish birr capital limited 1.0 Introduction to the Birr Castle Estate CORPORATION 5 © Copyright TREDIC Corporation 2018 Please visit: www.birrcastle.com 1.0 Birr Castle Introduction: Birr Castle (Irish: Caisleán Bhiorra) is a large castle and 1,000 Hct estate telescope station IE613 was constructed in the grounds of the castle in the town of Birr in County Offaly and County Tipperary, Ireland.
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