GVA James Barr

139 & 139a Prime High Street Princes Street, Retail Investment Edinburgh EH2 4BL

gva.co.uk/8930 gva.co.uk/8930

Investment Summary • Prime city centre retail investment. • Princes Street is Edinburgh’s prime retailing thoroughfare with exceptional public transport links. • Category A listed building comprising 2 retail units. • Let to Matchurban and The Edinburgh Woollen Mill on leases expiring on the 30th July 2020 and 31st January 2018 respectively. • Dun & Bradstreet Ratings of 2A1 (Matchurban) and 5A1 (Edinburgh Woollen Mill). • Current total annual rent of £320,750. • Offers in excess of £4,171,000, a purchase at this level would reflect a net initial yield of 7.25% assuming LBTT.

139 & 139a Princes Street, Edinburgh EH2 4BL gva.co.uk/8930

Location Edinburgh is Scotland’s capital city, it has a population of approximately 490,000 people, predicted to increase to 600,000 people by 2033 with a regional catchment of 1.6 million. The city is recognised for its strength in banking, investment management and asset services and is home to financial institutions such as Scottish Widows, Standard Life Investments, 139 & Royal Bank of Scotland, Bank of Scotland, Virgin Money and 139a Tesco Bank. Edinburgh The city also has a strong educational heritage, boasting 4 Castle universities. Edinburgh is a global tourist destination and is the second most visited city in the UK after London, attracting 4 million tourists per year. Edinburgh benefits from a world class transport infrastructure. Edinburgh Airport serves over 10 million passengers per year with over 40 airlines offering travellers links to more than 100 worldwide destinations. The city has 2 main railway stations, Waverley and Haymarket, which provide connections to all the major UK cities and the new tram system provides a direct connection between Edinburgh Airport and York Place via Princes Street. Edinburgh also benefits from excellent road communications with the M8 and M9 providing access to the west, the M90 from the north and the A1/A7 from the south/south-east. Situation The property occupies a prime location at the west end of Princes Street looking directly on to Edinburgh Castle. The property is located in a strong retailing location with surrounding occupiers such as House of Fraser, Royal Bank of Scotland, Tesco, McDonald’s, O2 and Santander. Princes Street is Edinburgh’s prime retailing thoroughfare with exceptional public transport links including numerous bus and tram stops very close to the property and both railway stations within short walking distance.

139 & 139a Princes Street, Edinburgh EH2 4BL gva.co.uk/8930

Frederick Street 8

Hanover Street

Castle Street George Street 9

Princes Street

2 4

139 & 139a

1 West End Shandwick Place 2 Charlotte Square 3 Exchange District 4 Princes Street Gardens Lothian Road 5 Edinburgh Castle 3 6 St Andrew Square 7 St James Shopping Centre 8 Waverley Station 9 Royal Mile

139 & 139a Princes Street, Edinburgh EH2 4BL gva.co.uk/8930

Accommodation

139 Princes Street – Matchurban 139a Princes Street – The Edinburgh Woollen Mill Ltd Floor sq ft sq m Floor sq ft sq m Basement 1,690 157.01 Basement 1,605 149.11 Ground 1,883 174.97 Ground 1,873 173.96 First Rear 860 79.87 Mezzanine 322 29.91 Second Rear 717 66.60 Total 3,799 352.98 Third Rear 725 67.36 ITZA 1120 Total 5,875 545.80 ITZA 1128 Tenancy

Passing Rent Passing Rent Unit Tenant Floor Area (sq ft) Lease Start Lease Expiry (£pa) (£psf)

Ground, Basement 1,128 sq ft £155.81 sq ft 139 Matchurban £175,750 31/07/2005 30/07/2020 Description and Rear Uppers ITZA ITZA The Edinburgh 1,120 sq ft £129.46 sq ft The property comprises 2 Grade A Listed, period sandstone 139a Ground & Basement £145,000 01/02/2008 31/01/2018 buildings constructed over basement, ground and 3 upper Woollen Mill Ltd ITZA ITZA floors under slate covered pitched roofs. One building fronts Total Princes Street and the other Hope Street Lane. The buildings are £320,750 connected front to back at ground floor and basement levels Tenant Covenants thus providing 2 retail units with barrel vaulted roofs at ground floor. Matchurban The Edinburgh Woollen Mill Limited The upper floors are constructed in 2 sections. The front section D&B Rating – 2A1 D&B Rating – 5A1 overlooking Princes Street (in separate ownership) is accessed Representing a minimum risk of business failure Representing a minimum risk of business failure through an entrance to the left of the subject property. The rear section is accessed through the retail unit at 139 Princes Street 31 October 2013 31 October 2012 1 March 2014 1 March 2013 Year Year and via Hope Street Lane. (000’s) (000’s) (000’s) (000’s) No. 139 Princes Street benefits from a Sui Generis planning Turnover – 4,613 Turnover 168,462 169,713 consent (amusement arcade – currently operating under a Pre- Tax Profit/(Loss) (19) 2,645 Pre- Tax Profit/(Loss) 26,219 23,130 temporary Class 1 Retail consent which was renewed by City of Net Worth 2,095 2,114 Net Worth 105,227 187,301 Edinburgh Council for a further 5 years in July 2014) whilst 139a benefits from a Class 1 Retail consent. Net Current Assets 2,095 2,114 Net Current Assets 105,709 188,661

Matchurban is a wholly owned subsidiary of the Noble Gaming and Amusement Organisation. The Edinburgh Woollen Mill (Group) Ltd is now the holding company for three core brands: Edinburgh Woollen Mill, Jane Norman & Peacocks. The group owns 314 stores in the UK, comprising 192 Edinburgh Woolen Mill Stores.

139 & 139a Princes Street, Edinburgh EH2 4BL gva.co.uk/8930

Tenure Heritable Interest. EPC EPC ratings are provided below. Copies of the EPC certificates can be provided on request.

Property EPC Rating 139 Princes Street G 139a Princes Street G

VAT The property has been elected for VAT and therefore VAT will be payable on the purchase price, however, it is anticipated that the sale will be treated as a Transfer Of a Going Concern (TOGC). Proposal We are instructed to seek offers in excess of £4,171,000 subject to contract and exclusive of VAT. A purchase at this level would reflect an attractive net initial yield of 7.25% assuming standard purchaser’s costs and LBTT at the prevailing rate (approx. 6.07%).

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Bilfinger GVA is the trading name of GVA Grimley Limited and is a principal shareholder of GVA Worldwide Limited, an independent partnership of property advisers operating globally. Bilfinger GVA is a Bilfinger Real Estate company.

Further information Viewing is by appointment only. For further information regarding this opportunity please contact. Jamie Thain [email protected] 0131 469 6011 07798 647 620

Will Sandwell [email protected] 0131 469 6016 07801 266 373

Disclaimer Notice: The accuracy of any description, dimensions, references to condition, necessary permissions for the use and occupation and other details contained herein is not guaranteed and is for general guidance only. Prospective purchasers or tenants must not rely on them as statements of fact and must satisfy themselves as to their accuracy. 0131 255 8000 Neither GVA James Barr nor any of their employees, nor their joint Agents has any authority to make or give representation or warranty or enter into any contract whatever in relation to the property. Rents or Prices quoted in these particulars may be subject to VAT in addition. The information provided is presumed to be correct at the time of print – June 2015. gva.co.uk/8930 10429