Pavilion Shopping Centre High Street, Tonbridge, Tn9 1Te

PAVILION SHOPPING CENTRE HIGH STREET, TONBRIDGE, TN9 1TE

SHOPPING CENTRE INVESTMENT PAVILION SHOPPING CENTRE, HIGH STREET, TONBRIDGE, TN9 1TE SHOPPING CENTRE INVESTMENT

INVESTMENT CONSIDERATIONS PROPOSAL ■ Tonbridge is a charming historic and affluent town within the ■ Total contracted rent of £734,475 per annum ■ We are instructed to seek offers in excess of county of Kent ■ Net Operating Income of £652,968 per annum £6,600,000 (Six Million, Six Hundred Thousand ■ Pounds) subject to contract and exclusive of VAT. Tonbridge is prominently located within close proximity to the ■ WAULT of 5.36 years to expiry and 3.79 years to break M25 motorway and the affluent Royal Tunbridge Wells A purchase at this level reflects aTriple Net Initial ■ Short term asset management opportunities to implement lease Yield of 9.30% and a low capital rate of £122 psf, ■ The subject property comprises a shopping centre totalling renewals and rent reviews allowing for standard purchaser’s costs. 5,028.0 sq m (54,121 sq ft) providing 20 units ■ Potential first floor redevelopment to residential, STC ■ National tenants account for 72% of the income and include EE, Santander, Boots, Shoe Zone, The Works ■ Freehold and Card Factory A43 CAMBRIDGE NORTHAMPTON A428 M40 A11 IPSWICH A1

MILTON KEYNES M1 M11 A1(M) PAVILION SHOPPING CENTRE, HIGH STREET, TONBRIDGE, TN9 1TE SHOPPING CENTRE INVESTMENT

M40 M25

M25 SWINDON M4 READING LONDON M2 M26 M3 M25 M20

M23 TNI CRAWLEY ROYAL TUNBRIDGE FOLKESTONE THREE BRIDGES WELLS A21 A23 A26

7 2 2

A EASTBOURNE BRIGHTON TONBRIDGE GOLF CENTRE PORTSMOUTH BO

RD YK E

TONBRIDGE PARK RIVER MEDWAY

PLAYGROUND 0 6 2 2 B

RIVER MEDWAY

Y U S P O U V D E VA E R LE V IG R A D N

W AY

TONBRIDGE D R E 0 L A 6 V 2 2 B

LOCATION Tonbridge is an attractive historic commuter and market town within Tonbridge Railway Station lies at the southern end of High Street and the county of Kent, located approximately 33 miles (53 km) south east provides frequent services to London Bridge, Waterloo, Charing Cross M25 & M26 of London and surrounded by other major commuter towns such as and Cannon Street with fastest journey times of between 30-35 minutes 10 miles (16 km) Sevenoaks 7 miles (11 km) north, Maidstone 15 miles (24 km) north east and also Ashford International in 35 minutes. and Tunbridge Wells 5 miles (8 km) south. Gatwick Airport is located 24 miles (38 km) west. Additionally, numerous Tonbridge benefits from excellent road connections with the A21 bus routes run along High Street. The town centre benefits from plentiful providing direct access to Junction 5 of the M25 and M26, 10 miles (16 car parking facilities supporting the retail centre and commuter population. LONDON TERMINAL GATWICK AIRPORT km) north which closely intersects with the M20. The A26 connects the There are 5 public car parks directly accessed via the High Street and 19 35 minutes* 24 miles (38 km) town centre to Tunbridge Wells and the south coast. car parks centrally providing a total of 1,691 spaces.

Fastest journey time to London Bridge. Source: National Rail. PAVILION SHOPPING CENTRE, HIGH STREET, TONBRIDGE, TN9 1TE SHOPPING CENTRE INVESTMENT

SITUATION DESCRIPTION The retail offer in the town is linear in nature and stretches from Tonbridge Railway A dominant Community Shopping Centre providing purpose built mixed use accommodation totalling Station to the junction of High Street with the A227. The prime pitch is situated to 54,121 sq ft (5,028.0 sq m), arranged over ground and first floors. The ground floor retail accommodation the south of Castle Bridge where retailers such as WH Smith, Boots, EE, Caffè Nero, consists of 20 retail units arranged around a central mall and atrium with frontage on to High Street and Vodafone, Starbucks, Subway and the subject property are located. Angel Lane. The first floor ancillary and storage accommodation is predominantly accessed via two service There are two covered retail schemes in the town: Angel Walk Shopping Centre and yards, accessed to the rear of the property via Angel Lane. The Pavilion. Retailers in the Pavilion include Shoe Zone, Santander and F Hinds. The property is situated adjacent to a ground level car park providing 290 spaces, outside of the existing The Pavilion links the High Street through to Sainsbury’s and the Angel Walk ownership, Tonbridge Rail Station is situated 150m to the south west providing direct services to London car park. Occupiers within the Angel Walk Shopping Centre include Superdrug, Charing Cross, Hastings and Ashford International. Timpson and Holland & Barrett. The Shopping Centre has attracted a wide array of national multiples including Monsoon, Specsavers, Boots, Santander and The Works. PAVILION SHOPPING CENTRE, HIGH STREET, TONBRIDGE, TN9 1TE SHOPPING CENTRE INVESTMENT

FLOWERSMITHS

(230) (ESTIMATED)

ACCOMMODATION & TENANCY INFORMATION The scheme is let in accordance with the schedule of Accommodation and Tenancies to 18 individual tenants generating a contracted rent of £734,475 per annum, with a Weighted Average Unexpired Lease Term (WAULT) of 5.36 years to expiry, 3.79 years to break. In summary, the scheme provides the following annual rental profile:

CONTRACTED RENT £734,475 LANDLORD SERVICE CHARGE LIABILITY £39,415 LANDLORD RATES LIABILITY £18,396 SERVICE CHARGE TENURE LANDLORD INSURANCE LIABILITY £696 The Service Charge is apportioned on a weighted floor area basis and Freehold. Title Number K565512. NET OPERATING INCOME £652,968 is consistently maintained on a low and affordable basis, currently Please refer to the Allsop Marketing Data Room for supporting equating to £3.13 psf. documentation.

INCOME BY TENANT PROFILE INCOME BY TERM CERTAIN

NATIONAL LOCAL <1 YEARS 1-5 YEARS 5+ YEARS TENANCY SCHEDULE

UNIT TENANT TRADING ITZA GF SALES F1 ANC. TOTAL LEASE LEASE REVIEW BREAK WAULT WAULT NET CONTRACTED ZONE A CONTRACTED TOTAL COMMENTS NAME (SQ FT) (SQ FT) (SQ FT) AREA START EXPIRY (EXPIRY) (BREAK) OPERATING RENT (£ PA) RENT RENT LANDLORD INCOME (£ PSF) (£ PSF) LIABILITIES (£ PA) (£ PA)

Unit 1 Monsoon Monsoon 1,143 2,319 2,121 4,440 01/11/17 31/10/22 2.97 2.97 £63,500 £63,500 £49.99 £14.30 The lease is inside the Landlord and Tenant Act 1954. Accessorize Ladies Wear Limited & Accessories

Unit 2 Sportswift Limited Card Factory 521 917 692 1,609 01/04/16 31/03/21 1.38 1.38 £32,500 £32,500 £58.40 £20.20 The lease is inside the Landlord and Tenant Act 1954.

Unit 3 Specsavers Optical Specsavers 629 1,104 958 2,062 01/07/10 30/06/20 0.63 0.63 £37,750 £37,750 £55.45 £18.31 The lease is inside the Landlord and Tenant Act 1954. Superstores Opticians Limited

Unit 4 EE Limited EE Telephones 781 1,401 1,111 2,512 18/05/12 17/05/22 2.51 2.51 £50,000 £50,000 £59.75 £19.90 The lease is inside the Landlord and Tenant Act 1954.

Unit 5 Shoe Zone Shoe Zone 926 1,781 738 2,519 15/12/16 14/12/21 2.09 2.09 £48,250 £48,250 £49.72 £19.15 The lease is inside the Landlord and Tenant Act 1954. Retail Limited

Unit 6 Vacant 645 1,020 611 1,631 -£18,923 -£18,923

Unit 7 Guild 750 F Hinds 688 1,112 678 1,790 01/07/10 30/06/20 0.63 0.63 £29,600 £29,600 £40.07 £16.54 The lease is inside the Landlord and Tenant Act 1954. The Limited Jeweller rent review is an open market review but is not upwards only - minimum rent is to be £25,000 p.a.

Unit 8 M.F.D Tonbridge 664 1,082 675 1,757 25/09/17 24/09/32 25/09/22 25/09/27 12.87 7.85 £18,500 £18,500 £24.81 £10.53 The lease is outside the Landlord and Tenant Act 1954. There is Associates Gentle Dental 25/09/27 a second rent review on the 25th September 2027. The tenant Limited must give the landlord 6 months prior written notice to break.

Units 9 Sussex Beds Sussex Bed 2,276 3,883 2,398 6,281 15/11/17 14/11/27 15/11/22 8.01 8.01 £55,165 £60,000 £23.20 £9.55 -£4,835 The lease is inside the Landlord and Tenant Act 1954. & 10 (Tonbridge) Centre Service Charge cap of £12,393.99 (2020 budget) linked Limited to RPI and capped at 103% of the previous year.

Unit 11 Santander UK Plc Santander Bank 1,502 3,636 3,453 7,089 01/07/15 31/12/20 1.13 1.13 £80,000 £80,000 £46.37 £11.29 The lease is inside the Landlord and Tenant Act 1954.

Unit Sense, The Sense Charity 735 1,364 1,364 25/03/18 24/03/28 25/03/23 25/03/23 8.37 3.36 £25,000 £25,000 £34.01 £18.33 The lease is outside the Landlord and Tenant Act 1954. 11a National Deaf Shop The tenant must give the landlord 6 months prior written Blind & Rubella notice to break. Association

Unit 12 Scrivens Limited Scrivens 620 853 450 1,303 23/09/14 22/09/19 £16,133 £20,000 £30.08 £15.35 -£3,867 The lease is inside the Landlord and Tenant Act 1954. Opticians Service Charge cap of £4,500 (2020 budget).

Unit 13 Malpass Direct Malpass 620 852 435 1,287 13/08/14 12/08/24 13/08/19 4.75 4.75 -£17,624 £23,000 £34.99 £17.87 -£17,624 The lease is outside the Landlord and Tenant Act 1954. Limited Markets Tenant in administration and awaiting disclamation of the lease, Butcher NOI exclusive of the contracted rent. The tenant paid an initial rent deposit to the landlord of £5,750 plus an amount equal to VAT.

Unit 14 Robert Charles Flowersmiths 620 852 412 1,264 28/02/19 27/02/29 28/02/24 28/02/24 9.30 4.30 £15,000 £15,000 £22.20 £11.87 Rent for Year 1 £16,000 p.a., Year 2 £17,000 p.a., Year 3 Smith £18,000 p.a., Year 4 £19,000 p.a., Year 5 upwards only RPI rent review. Yearly rent reviews afterwards. The Lease is outside the landlord and tenants act 1954. The tenant must give the landlord 6 months prior written notice to break.

Unit 15 Thistle Enterprises Finch House 871 1,639 1,489 3,128 05/03/19 04/03/32 05/03/24 12.32 12.32 £53,543 £57,500 £60.89 £18.38 -£3,957 The lease is inside the Landlord and Tenant Act 1954. The Limited Café 05/03/29 service charge cap is subject to annual RPI increases. Guarantor - Darren Goldfinch. Guarantors liability stops 28th February 2022 and maximum liability is £28,750 plus VAT. There is a second rent review on the 5th March 2019. Service Charge cap of £9,605.10 (2020 budget). An initial rent deposit of £28,750 plus an amount equal to VAT was paid to the landlord.

Unit 16 The Works The Works 831 1,475 1,326 2,801 28/09/18 27/09/28 28/09/23 28/09/23 8.88 3.88 £50,000 £50,000 £55.38 £17.85 The lease is inside the Landlord and Tenant Act 1954. The tenant Stores Limited Books must give the landlord 6 months prior written notice to break. If the break option is not exercised, the tenant will benefit from a rent free period from 28 September 2023 to 27 December 2023.

Unit 17 Boots UK Limited Boots Chemist 1,870 4,888 2,311 7,199 14/12/17 13/12/27 14/12/22 14/12/22 8.09 3.09 £90,375 £90,375 £44.62 £12.55 The lease is inside the Landlord and Tenant Act 1954. The tenant must give the landlord 6 months prior written notice to break.

Florist Robert Charles Flowersmiths 01/05/19 30/04/24 01/05/20 01/05/19 4.47 4.47 £1,500 £1,500 The lease is outside the Landlord and Tenant Act 1954. Smith Yearly upwards only RPI rent reviews. Landlord only rolling break option - at least 30 days written notice. The lease will automatically terminate if the lease of unit 14 terminates. There is no service charge payable.

31 Ismini Phillips Ismini Philips 4,085 4,085 05/12/18 04/12/28 05/12/23 05/12/23 9.07 4.06 £22,699 £32,000 £7.83 -£9,301 Fixed rental increases to £32,000 p.a. (05/12/19), £33,000 Angel Studios Ltd Studios (05/12/20), £34,000 p.a. (05/12/21) & £35,000 p.a. Lane (05/12/22). Service Charge cap of £6,102 (2020 budget)

15,942 30,178 23,943 54,121 5.36 3.79 £652,968 £734,475 £13.57 -£58,507 PAVILION SHOPPING CENTRE, HIGH STREET, TONBRIDGE, TN9 1TE SHOPPING CENTRE INVESTMENT

EPC VAT AML Please refer to the Allsop Marketing Data Room We understand the property has been elected for A successful bidder will be required to provide for supporting documentation. VAT. It is anticipated that the sale will be treated as a information to satisfy the AML requirements when Transfer of Going Concern (TOGC). Head of Terms are agreed.

1ST FLOOR POTENTIAL REDEVELOPMENT DATAROOM The first floor could potentially be redeveloped to provide residential For access to the Allsop dataroom please use the following link: accommodation, subject to gaining the necessary consents. https://datarooms.allsop.co.uk/register/pavilionshoppingcentre

PROPOSAL We are instructed to seek offers in excess of £6,600,000 (Six Million, Six Hundred Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects aTriple Net Initial Yield of 9.30% and a low capital rate of £122 psf, allowing for standard purchaser’s costs.

For further information or to make arrangements for viewing please contact:

Tom Dales Jeremy Hodgson Gergo Petrovics 020 7543 6866 020 7543 6709 020 7543 6847 @allsop.co.uk [email protected] [email protected]

allsop.co.uk

Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandHQ.co.uk 11.19