Prime city centre retail/leisure investment opportunity sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
Investment Summary
• York is a thriving commercial centre benefi ng from a strong catchment popula on boosted by approximately 23,900 students and 6.9m visitors annually.
• Impressive and historic grade II listed building on the pedestrian area of High Ousegate nearby to Fat Face, Urban Ou i ers, Byron’s Restaurant, Nando’s, M&S etc
• Two prime retail units let on FRI leases to the strong covenants of Ann Summers and Luxury Leisure with long unexpired lease terms.
• The 2016 rent review of number 20/21 High Ousegate is outstanding and we believe the rent is reversionary offering the purchaser an opportunity to enhance the income.
• Total current income of £228,000 pax.
• Offers invited in the region of £3,900,000 plus vat represen ng a net ini al yield of 5.49% aer costs at 6.53%.
sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
Scarborough A169
A1 Loca on A61
A165 The historic cathedral city of York is the county town of Yorkshire and boasts A64 a thriving economy and rich heritage. Major employers include Aviva, Network Rail, the Department for Environment, Food and Rural Affairs, Nestle etc. Boroughbridge A19 A1(M) A64 Located approximately 190 miles north of London, 26 miles to the east of A61 Leeds and 85 miles south of Newcastle communica ons are excellent. Trains direct to London take as li le as one hour fiy minutes and Newcastle in just A166 under an hour. The Transpenine Express provides a cross country link from A59 Harrogate Scarborough through York to Leeds, Manchester and Liverpool. A1(M) York A165 A64 The A1M is approximately 12 miles to the east linking to the M1 and M62 A614 A164 A1079 and the na onal road network. A65 A61 York has a popula on of approximately 207,000 with an es mated primary A1035 A19 catchment of some 488,000 (PROMIS). The city’s two universi es, York St Johns and York University have a combined 23,900 students. LEEDS A64 A1034 BRADFORD M1 Selby York is one of the most important tourist des na ons in the UK with a A63 reported 6.9m visitors to the city each year. Renowned for its architecture M62 A63 major visitor a rac ons include the Minster, Cliffords Tower, the City Walls, Halifax M62 the Yorvik Centre and a number of medieval shopping streets such as the Goole M62 Wakefield Shambles. In recent years it has also become a major centre for high quality food and drink. With numerous bars and restaurants ranging from the world famous Be ys Café Tea Rooms to the modern des na ons such as the Star Inn the City, Jamies Italian, Carluccios and many more.
sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
Retail Market in York
The retail market in York has remained one of the strongest in the region during recent years. It benefits from great variety with the prime trading areas of Coney Street, Davygate, High Ousegate and Parliament Street complimen ng the tourist streets of Stonegate, Low Petergate and the Shambles. Towards the southern end of the city centre is The Coppergate Centre, Yorks only in town shopping centre. This is anchored by Fenwicks and Primark and the highly acclaimed Yorvik Centre. It is also the loca on for one of the city’s main car parks.
Situa on
High Ousegate is one of the principal pedestrian areas of the city centre linking Spurriergate/Coney Street to Parliament Street and the Coppergate Centre. Adjacent to the proper es are Levi’s, Urban Ou i ers and Fat Face with others nearby including H&M, Zara, Lakeland and Marks & Spencer. The street has also become an important leisure des na on with Byron’s and Nando’s immediately opposite.
sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
Descrip on
The property comprises two grade II listed retail units and is situated within a conserva on area. Number 19 is occupied by Ann Summers and is planned on Ground, First and Second Floors. Number 20/21, Luxury leisure, is a double unit with the benefit of a rear frontage to Coppergate. In addi on there is a further retail unit to Coppergate which, whilst under lease to the main tenant, has been sublet in the past. In addi on there is further accommoda on at First, Second and Third floors.
Accommoda on Schedule
19 High Ousegate Sq Sq m 20/21 High Ousegate Sq Sq m Ground Floor Sales 1,010 93.83 Ground Floor Sales 2,473 229.75 ITZA 541.75 50.33 ITZA (inc 10% return g) 1,043 96.89 Ground Floor Stock 90 8.36 Ground Floor Stock 99 9.19 First Floor Sales 676 62.80 First Floor Stock 1,760 163.51 First Floor Stock 361 33.54 Second Floor Stock 1,278 118.73 Second Floor Stock 764 70.98 Third Floor Stock 938 87.14 Total 2,901 269.51 Total 6,548 608.32 These areas were agreed at the last rent review. These areas have been scaled from plans and are subject to verifica on.
17 Coppergate Sq Sq m Ground Floor Sales 159 14.77 First Floor Stock 190 17.65 Total 349 32.42 These areas have been scaled from plans and are subject to verifica on.
sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
Tenure & Tenancies Covenant Informa on
The property is being offered Freehold subject to the exis ng tenancies. Ann Summers Limited 19 High Ousegate: Ann Summers Limited is a wholly owned subsidiary of Gold Group Interna onal Limited and is a well known high street lingerie retailer. Ini ally established in 1972 the company Let to Ann Summers Limited on a 10 year full repairing and insuring lease from the now trades from 138 stores and has a well-established mul -channel business. 29th September 2016 to expire on the 28th September 2026 with a 5th year rent review. The tenant has a single break clause on 28th September 2021. Creditsafe gives the company a low risk credit ra ng of 59 and provides the following informa on. The current passing rent is £81,500 pax which was agreed at the 2016 lease renewal. We es mate that this equates to approximately £129 zone A. Year to Date Turnover Pre-tax Profit Shareholder’s Funds 25/06/2016 £101,542,868 £1,041,385 £48,730,215 20/21 High Ousegate & 17 Coppergate: 27/06/2015 £104,818,310 £1,025,990 £47,844,808 Let to Luxury Leisure on a 17 year full repairing and insuring lease from the 11th April 2014 to 28/06/2014 £101,212,066 -£3,928,273 £46,975,132 expire on the 25th December 2031. The December 2016 rent review has not been ins gated and is s ll outstanding. There are no break clauses in the lease. We es mate that the passing rent equates to approximately £125 zone A offering the purchaser Luxury Leisure an opportunity to enhance the rental income. Formerly owned by the Noble Organisa on Luxury Leisure became part of its ul mate Address Tenant Passing ZA Rate Lease Lease Next Break holding company, Novoma c UK, in 2014. It has 82 trading adult amusement centres along Rent Start Expiry Review with 45 Kwik Tan Centres and 10 Coffee Trader cafes. 19 High Ann £81,500 £129.00 29/09/2016 28/09/2026 29/09/2021 29/09/2021 The Novoma c Group of Companies have also recently purchased the business of RAL Ousegate Summers (Rank Amusements) and are now the clear market leading provider of slots and gaming entertainment in the UK trading from over 200 units na onwide. A programme of 20/21 High Luxury £146,500 £125.00 11/04/2014 25/12/2031 25/12/2016 none rebranding under Novoma cs trading name, Admiral, is well underway. Ousegate Leisure Creditsafe give the company a very low risk credit ra ng of 92 and provides the following Total £228,000 informa on. Year to Date Turnover Pre-tax Profit Shareholder’s Funds
31/12/2016 ** * 31/12/2015 £53,544,645 £6,668,056 £13,656,183 31/12/2014 £57,455,528 £2,168,830 £9,380,596 *The accounts to 31 December 2016 have not yet been published.
sw.co.uk 19 and 20/21 High Ousegate and 17 Coppergate, York, YO1 8RX
VAT
The property is registered for Vat which will be payable on the purchase.
Energy Performance Cer ficates
As both the proper es are grade II listed we are informed that they do not require Energy Performance Cer ficates.
Proposal
We are instructed to invite offers in the region of £3,900,000 reflec ng a net ini al yield of 5.49% assuming purchasers costs of 6.53%.
Contact Informa on
For further informa on please contact the following: Sanderson Weatherall Contact: Peter Heron Email: [email protected] Phone: 0113 221 6140
Misrepresenta on Act 1967: Messrs Sanderson Weatherall LLP for itself and for the vendor(s) or lessor(s) of this property whose agents they are, give no ce that: 1) These par culars do not cons tute any part of an offer or contract; 2) None of the statements contained in these par culars as to the proper es are to be relied on as statements of representa ons of fact; 3) Any intending purchasers must sa sfy themselves by inspec on or otherwise as to the correctness of each of the statements contained in these par culars; 4) The vendor(s) or lessor(s) do not make or give and neither Messrs Sanderson Weatherall LLP nor any person in their employment has any authority to make or give any representa on or warranty whatsoever in rela on to this property; 5) None of the building’s services or service installa ons (whether these be the specific responsibility of the freeholder, lessor or lessee) have been tested and are not warranted to be in working order. Finance Act 1989: Unless otherwise stated all prices and rents are quoted exclusive of VAT. Consumer Protec on from Unfair Trading Regula ons 2008 and Business Protec on from Misleading Marke ng Regula ons 2008; Every reasonable effort has been made by Sanderson Weatherall to ensure accuracy and to check the facts contained in these par culars are complete. Interested par es are strongly advised to take appropriate steps to verify by independent inspec on or enquiry all informa on for themselves and to take appropriate professional advice. Designed and produced by www.thedesignexchange.co.uk Tel: 01943 604500. September 2017. Sanderson Weatherall LLP Registered in England company number OC 344 770 Registered Office 25 Wellington Street Leeds LS1 4WG
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