FREEHOLD RETAIL INVESTMENT OPPORTUNITY WITH DEVELOPMENT POTENTIAL

RICHMOND 12-14 HILL STREET RICHMOND, TW9 1TN INVESTMENT SUMMARY

Richmond upon Thames is a highly affluent London Borough with strong residential values.

The town has excellent connectivity with a London Underground service to Victoria (30 Kew Gardens mins), a mainline service to Waterloo (19 mins) Royal Mid Surrey Golf Club and a London Overground service to Stratford River Thames Old Deer Park (60 mins).

The property consists of two highly prominent units on Hill Street with vacant upper floors. Twickenham Bridge (A316) Richmond Richmond Green Underground & Train Station Nearby retailers and restaurants include The Ivy, Whistles, Maxmara, L.K Bennett, Waterstones and Cote. Richmond Riverside House of Fraser The Quadrant George Street The ground and basement floors are let to Aromi Corporation Island Whole Foods Ivy Café & Piaceri Ltd & Kymata Hair Spa Ltd with an AWULT of 9.3 years to expiry and 7.0 years to ebay UK HQ break.

Total rental income of £65,000 per annum.

Richmond Bridge Asset management potential to convert the upper floors to residential subject to planning. 12-14 HILL STREET

Freehold. Hill Street

Offers are sought in excess of £2,000,000 (Two Million Pounds), subject to contract and exclusive of VAT.

Petersham Rd A purchase at this price would reflect an attractive net initial yield of 5.00% based on the retail income (including rental top up) and £625 per sq ft on the vacant upper floors creating a blended yield of 3.06% after allowing for Hill Rise purchaser’s costs of 6.27%.

RICHMOND 12-14 HILL STREET, RICHMOND, TW9 1TN UXBRIDGE STKING’S PANCRAS CROSSA10 REGENTS INTERNATIONALISLINGTON GREENFORD A40 PARK EUSTON SHOREDITCH MAIDA VALE A5 STATIONCLERKENWELLA1 LOCATION A501 BLOOMSBURY MOORGATE CENTRAL Richmond Upon Thames is a highly affluent suburban town located in an attractive area of south west HAYES A40 COVENT GASTRDEN PAULS M25 LONDON THE CITY EALING A219 HYDE PARK London adjacent the River Thames. Central London is easily accessible being located 8 miles (12.9 km) ACTON Zone 1 SOTHALL WATERLOO WEST DRAYTON A40 to the east and Kingston 4 miles (6.4 km) to the south. A315 GUNNERSBURY HAMMERSMITH A302 15 M4 4 PARK 3 2 LAMBETHELEPHANT OSTERLEY 1 A4 CHELSEA & CASTLE The town benefits from a mainline railway service providing direct services to London Waterloo (20 mins) M4 PARK A4 A3 A4 CHISWICK VAUXHALL A4 A315 via Clapham Junction (10 mins). A205 A316 FULHAM Kew Gardens M25 PUTNEY BATTERSEA KEW A308 STOCKWELL GARDENS Royal Mid Surrey Golf Club 14 Zone 2 A3 Richmond also has a London Underground service (District Line) providing a direct link to London HEATHROW River Thames Old Deer Park Victoria (30 mins) and a London Overground service to Stratford via Willesden (60 mins). A315 HOUNSLOW A306 WANDSWORTH A30 A316 RICHMOND By road Richmond has excellent communications benefitting from direct access to the M3 and on to PARK 13 A30 FELTHAM TWICKENHAM the M25 (junction 12) via the A316. The M4 can also be easily accessed via Kew Bridge at junction 2. A30 RICHMOND A3 Twickenham Bridge (A316) Richmond Zone 3 Richmond Green Underground Heathrow airport (the busiest airport in Europe) is located approximately 12 miles (19.3 km) west and STAINES & Train Station M25 1 City airport is located approximately 10 miles (16.1 km) east. TEDDINGTON WIMBLEDON KINGSTON M3 UPON THAMES Zone 4 Richmond Riverside House of Fraser The Quadrant Zone 5 12 George Street DEMOGRAPHICS Zone 6 Corporation Island Whole Foods MARYLEBONE BAKER STREET Ivy Café The London Borough of Richmond Upon Thames has a prosperous population of approximately EUSTON

PADDINGTON KING’S CROSS 187,000 (Census 2011) of which 80% are regarded as being within the most affluent AB and C1 EDGWARE ST PANCRAS ebay UK HQ ROAD REGENT’S WARREN demographic groupings in comparison to the UK average of 53%. PARK STREET EALING BROADWAY BOND OXFORD WHITE SHEPHERD’S STREET CIRCUS CITY BUSH

TOWARDS Average house prices in Richmond upon Thames in Oct 2016 were recorded at £647,029 almost triple HEATHROW NOTTING TOTTENHAM HOLBORN WOOD HILL GATE MARBLE AIRPORT AND ARCH COURT READING LANE ROAD the UK national average of £216,545. Upwards pressure on house prices is driven by factors including HIGH STREET KENSINGTON GREEN PARK LEICESTER SQUARE Richmond Bridge EALING COMMON KENSINGTON the town’s proximity to Central London, its picturesque setting, array of open space and good schools. (OLYMPIA) PICCADILLY CIRCUS KNIGHTSBRIDGE CHARING EARL’S CROSS 12-14 HILL STREET HAMMERSMITH COURT SLOANE The Borough is also a thriving tourist and retail destination with key London attractions including SQUARE WESTMINSTER

CHISWICK VICTORIA EMBANKMENT Richmond Park, Kew Gardens, Twickenham Stadium, The Riverside, Hampton Court Palace and PARK STAMFORD WEST SOUTH BROOK KENSINGTON KENSINGTON Hill Street Richmond town centre itself. GUNNERSBURY LONDON WATERLOO BRIDGE TOWARDS HEATHROW AIRPORT

VAUXHALL ELEPHANT & CASTLE KEW GARDENS Petersham Rd

NORTH SHEEN STOCKWELL

MORTLAKE PUTNEY ST. MARGARETS RICHMOND CLAPHAM JUNCTION TOWARDS WINDSOR AND ASCOT TWICKENHAM BRIXTON TOWARDS DORKING AND Hill Rise FELTHAM WIMBLEDON MARYLEBONE BAKER STREET BRIGHTON STRAWBERRY EUSTON HILL TOWARDS PADDINGTON KING’S CROSS Bakerloo Jubilee London Overground SHEPPERTON EDGWARE ST PANCRAS REGENT’S ROAD WARREN Central Metropolitan Gatwick Express PARK STREET

EALING Circle Northern Southern HAMPTONBROADWAY FULWELL TEDDINGTON HAMPTON KINGSTON BOND OXFORD TOWARDS TOWARDS WHITE SHEPHERD’S STREET CIRCUS District Piccadilly CITYWICK BUSH HAMPTON COURT, CHESSINGTON SOUTH, South West Trains TOWARDS WOKING AND GUILDFORD EPSOM AND DORKING Elizabeth Line (opening 2018) Victoria HEATHROW NOTTING TOTTENHAM HOLBORN WOOD HILL GATE MARBLE AIRPORT AND ARCH COURT READING LANE ROAD Hammersmith & City Waterloo & City HIGH STREET KENSINGTON GREEN PARK LEICESTER SQUARE EALING COMMON KENSINGTON (OLYMPIA) PICCADILLY CIRCUS KNIGHTSBRIDGE CHARING EARL’S CROSS HAMMERSMITH COURT SLOANE SQUARE WESTMINSTER

CHISWICK FREEHOLD RETAIL INVESTMENT OPPORTUNITY WITH DEVELOPMENT POTENTIAL SITUATION The subject property is located in a prime retail position with frontage to Hill Street. The property is located within walking distance of Richmond Station.

The building is located on the east side of Hill Street, opposite the Richmond Riverside development and within close proximity to the Odeon cinema.

Major retailers and restaurants within the area include Whistles, Maxmara, L.K Bennett, Waterstones, The Ivy, Jackson & Rye and Cote.

RICHMOND 12-14 HILL STREET, RICHMOND, TW9 1TN DESCRIPTION The subject property is a Grade II listed three storey building in a prime retailing position providing 2,216 sq ft (206.0 sq m) of accommodation, which forms part of a terrace of retail units.

12 and 14 Hill street comprises two separate ground floor retail units totalling 979 sq ft (90.95 sq m). The units benefit from storage/staff accommodation to the rear and ancillary basement space. Both units have attractive glazed frontages to Hill Street.

Above the retail units are two floors of vacant accommodation with separate access from Hill Street totalling 1,237 sq ft (115.0 sq m). The consented use for these floors is D1 (non-residential).

EPC EPCs for the retail units are available upon request.

FREEHOLD RETAIL INVESTMENT OPPORTUNITY WITH DEVELOPMENT POTENTIAL TENURE COVENANT INFORMATION Freehold. Aromi & Piaceri Ltd Aromi & Piaceri is a gourmet Italian delicatessen supplying luxury fine foods and authentic Italian specialities including gourmet chocolate, coffee, pasta and olive oil. TENANCY SCHEDULE Kymata Hair Spa Ltd The property is fully let as set out in the below tenancy schedule providing a total income of Kymata Hair Spa is a local up market hair dressing salon. There is a personal guarantee in place to £65,000 per annum and an AWULT of 9.3 years to expiry 7.0 years to break. Dorian Pina.

Demise Floor Area Tenant Passing Lease Start Lease Expiry Rent Review Break Clause Comments Rent Sq M Sq Ft

12 Hill Street (Ground 42.0 452 Aromi & Piaceri Ltd £35,000 30/09/2016 29/09/2026 30/09/2021 - Effective FRI lease terms. Upwards only rent review to OMRV. Floor & Basement) Guarantor of Paul Carnero. A rent deposit of £8,750 + VAT is held. 14 Hill Street (Ground 49.0 527 Kymata Hair Spa Ltd £30,000 16/05/2017 15/05/2027 16/05/2022 16/05/2022 Effective FRI lease terms. Half rent (£15,000) until 15/01/2018 Floor & Basement) to be topped up by vendor. Upwards only rent review to OMRV. Tenant break option with 6 months notice. Guarantor of D.Pina. A rent deposit of £7,500 + VAT is held. 12/14 Hill Street 60.0 645 Vacant - - - - - (1st Floor) 12/14 Hill Street 55.0 592 Vacant - - - - - (2nd Floor) Total 206.0 2,216 £65,000

The retail units have been measured on a NIA basis and the residential on a GIA basis, in accordance with the RICS Code of Measuring Practice (6th Edition).

RICHMOND 12-14 HILL STREET, RICHMOND, TW9 1TN DEVELOPMENT POTENTIAL Planning permission/listed building consent will be required for any potential change of use of the property due to it being Grade II listed and located within the Central Richmond conservation area (an Article 4 area), which prevents change of use through permitted development rights.

We have been advised that planning permission is achievable in the short term if various tests are satisfied as set out below.

Policy DM EM2 of the adopted Development Management Plan protects existing employment uses, however if the below criteria are satisfied, change of use is possible:

Criteria 1 – demonstrate 2 years’ worth of unsuccessful marketing for employment uses.

Criteria 2 - demonstrate that a sequential approach has been applied, which reviews the suitability of the site for solely employment-based redevelopment over a mixed-use or alternative use where employment floor space is retained. SECOND FLOOR Criteria 3 - demonstrate that the location has such exceptionally severe site restrictions due to poor access and servicing arrangements that its continued employment use would be inappropriate.

We have been advised that due to the inability to let the upper floors for commercial uses for over 10 years, Criteria 1 should be easily satisfied. Criteria 2 and 3 can also be satisfied due to access arrangements to the upper floors being prohibitive for employment uses suggesting this as an inappropriate use going forward.

If the policy ‘tests’ associated with Policy DM EM2 can be addressed, residential uses are permitted in town centre under Development Management Plan policy DM TC1 and are supported in the NPPF.

We are aware that the Council have permitted 1 or 2 bed units in similar town centre locations and that the Mayoral Housing SPG states that listed buildings may require sensitivity/flexibility and in same circumstances it may be justified to not apply certain standards’ when considering their redevelopment. FIRST FLOOR A planning note from GVA is available on request setting out the above. FIRST FLOOR

STRUCTURAL ENGINEERS REPORT Our clients have commissioned an engineers report (available on request), which concludes that the property is fundamentally sound but approximately £30,000 needs to be spent on the structure over and above standard refurbishment costs.

FREEHOLD RETAIL INVESTMENT OPPORTUNITY WITH DEVELOPMENT POTENTIAL VAT The property is elected for VAT and it is anticipated the sale will be treated as a TOGC.

DATA ROOM There is a Lewis Ellis data room for the property containing key tenancy information, title documents, planning reports, structural engineers report and EPC certificates; access available upon request.

PROPOSAL Offers are sought in excess of £2,000,000 (Two Million Pounds), subject to contract and exclusive of VAT.

A purchase at this price would reflect an attractive net initial yield of 5.00% based on the retail income (including rental top up) and £625 per sq ft on the vacant upper floors creating a blended yield of 3.06% after allowing for purchaser’s costs of 6.27%.

FURTHER INFORMATION Should you require further information or wish to view the property, please contact either: Tony Burling James Elkington Tel: 020 7493 3330 Tel: 020 7493 3330 Mob: 07860 555 769 Mob: 07810 722 459 Email: [email protected] Email: [email protected]

Fred Daeche-Marshall Tel: 020 7493 3330 Mob: 07785 741 700 Email: [email protected]

RICHMOND 12-14 HILL STREET, RICHMOND, TW9 1TN

Lewis Ellis LLP for themselves or nominees or lessors of this property whose agents they give notice that: (1) the particulars are set out as a general outline only for the guidance of the intending purchasers or lessees, and do not constitute part of an offer or contract; (2) all descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct, but any intending purchasers or tenants should not rely on them as statements or representations of fact but satisfy themselves by inspection or otherwise as to the correctness of each of them; (3) no person in the employment of Lewis Ellis LLP has any authority to make or give any representation or warranty whatever in relation to the property. Designed and Produced by Creativeworld. Tel: 01282 858200. October 2017.