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Prime Food Store Investment Opportunity Sutton , . HU7 0AH

Proposed Foodstore Development - Sutton Road, Hull Client:Project Coral Developments Date: 14/12/11 Job/Dwg: 11866-CGI 01A Scale: NTS www.harrispartnership.com 11866 Sutton Road CGI 01A 02A SUMMARY

Investment Summary

Prominent, standalone, freehold food store investment.

The transaction is to be structured by way of a forward commitment with practical completion in June 2014.

15,263 sq ft unit let to Aldi Stores Ltd (5A1) on a new 15 year (no breaks), full repairing insuring lease.

Initial rental income of £190,787 per annum (£12.50 per sq ft) with 5 yearly RPI increases (Collared and capped at 1 and 3%).

We are instructed to seek offers of £3,005,000 (Three Million and Five Thousand Pounds), subject to contract and exclusive of VAT.

A purchase at this level would reflect a net initial yield of 6%, assuming acquisition costs of 5.8%. LOCATION

Location

Kingston upon Hull is situated within the and Humber region and stands on the north bank of the Humber Estuary. The City has a resident population of 256,100 (2011) with the Larger Urban Zone population standing at 573,300.

Hull is linked by the /A63 road, which connects the east to west routes in northern and provides a link to the cities of (61 miles), Manchester (97 miles) and Liverpool. City Centre is situated approximately 38 miles away along the A1079 in a north westerly direction.

There are 7 daily train services to London Kings Cross, whilst a transpennine service links the city to Leeds and Manchester. Access to the east coast mainline is provided from Doncaster and York. SITUATION

Situation

The property is prominently situated on the busy intersection of Holwell Road/Sutton Road and fronts onto one of the main arterial routes travelling into Kingston upon Hull (Sutton Road - A1033), circa 2.7 miles north of the city centre. DESCRIPTION

Description

The property will comprise a newly, purpose built supermarket with ancillary car parking for 77 vehicles.

Construction is by way of a steel portal frame, under a pitched roof, with part brick and glass elevations.

Construction work will begin in November 2013 with practical completion in June 2014.

Please note all images contained within this brochure are indicative only.

Accommodation

The property will extend to approximately 15,263 sq ft (1,418 sq m). The site extends to approximately 1.32 acres (0.53 hectares). SPECIFICATION

Tenure Covenant Information

Freehold. Aldi Stores Limited (company number 02321869). A summary of their latest accounts are as follows:

Planning 31/12/2011 31/12/2010 31/12/2010 £ (000’s) £ (000’s) £ (000’s) TURNOVER 2,762,561 2,135,046 2,040,201 Planning consent was granted on 7th November 2013. Permission PROFIT 70,518 -56,869 -54,212 has been granted for an open A1 discount retail food store. A copy NET WORTH 1,510,238 1,335,251 1,329,969 of the descion notice is available upon request. Further information can be found at:

Tenancy Proposal

The property is subject to an agreement to lease dated 14th We are instructed to seek offers, on a forward commitment March 2013. The lease is drawn up on full repairing and insuring basis, of £3,005,000 (Three Million and Five Thousand Pounds) terms to Aldi Stores Limited for a term of 15 years, commencing subject to contract and exclusive of VAT. on practical completion. Rent review provisions are five yearly, on an upwards-only basis linked to annual RPI with a collar and A purchase at this level would reflect a net initial yield of 6%, cap of 1 and 3%. The initial rent passing is £190,787 per annum basedon acquisition costs of 5.8%. Assuming annual RPI increases which equates to a low base rent of £12.50 per sq ft. of 3%,compounded and payable every 5 years, the investment will generate the following yield profile:

VAT YEAR RUNNING YIELD (%)

5 6.96 The property is elected for VAT. 10 8.06 CONTACT

The Team

Ted Murray Darren Moorhouse Matthew Cox MRICS MRICS MRICS

MOBILE: TEL: MOBILE: TEL: MOBILE: TEL: 07766 00 33 22 0161 850 0497 07778 15 99 22 0161 850 7788 07788 99 99 11 0161 850 0498

EMAIL: EMAIL:

Connect with us

Address: Email: Tel: 41 South King Street. Manchester, M2 6DE 0161 234 0101

For further investments & lettings, please visit: Subject to Contract November 2013

MISREPRESENTATION ACT 1967 KING STREET COMMERCIAL, FOR ITSELF AND FOR THE VENDORS OF THIS PROPERTY, HEREBY GIVE NOTICE THAT: These particulars do not constitute, nor constitute any part of, an offer or contract. King Street Commercial Ltd and its members accept no legal responsibility for any statement or representation whether written, oral or implied or whether contained in any advertisement particulars or other matters issued or any correspondence entered into by them and whether made in any antecedent present or subsequent enquiries or negotiations. Neither King Street Commercial nor their principals, members, agents, servants or representatives have any authority whatsoever to make or give any representation or warranty whatsoever whether written or implied in relation to this property. Any intending purchaser must satisfy himself by inspection or otherwise as to the correctness of any antecedent present or subsequent statements or representations, and should not rely upon the same unless he has satisfied himself accordingly. Unless otherwise stated all prices and rents are quoted exclusive of Value Added Tax (VAT), any intending purchasers or lessees must satisfy themselves independently as to the incidence of vat in respect of any transaction. Designed by 90degrees Design and Marketing 0161 833 1890. November 2013