PRIME CITY CENTRE RETAIL INVESTMENT Major Asset Management Upside Potential TESCO 15 PARKER STREET LIVERPOOL INVESTMENT SUMMARY LOCATION Central Business District; and Liverpool ONE, one of Liverpool is the commercial and administrative capital Europe’s leading retail and leisure destinations. of Merseyside and the fifth largest city in England, with over 1.5 million people living within 30 minutes’ drive of DESCRIPTION the city centre and 5 million within a one hour drive. The 15 Parker Street comprises an imposing former city is located approximately 56 km (35 miles) west of department store arranged over basement, ground and Manchester; 157 km (98 miles) north west of Birmingham seven upper floors and provides one of the largest, and 349 km (218 miles) north west of London. best configured units in the city centre, extending to 12,539.20 sq. m (134,972 sq. ft.) in total. The property ECONOMY is arranged to provide a ground floor and basement Liverpool is the second largest city in the North West of retail unit occupied by Tesco Metro; a first and second England, the country’s largest economic region outside floor retail unit with escalator access occupied by Sports London and the South East, with the Merseyside Direct; with the remaining 66,192 sq. ft. of upper floor economy alone worth over £20 billion and home to accommodation unoccupied. 252,000 businesses. In addition, Liverpool and the surrounding region is the number one recipient of foreign TENURE direct investment in the UK, outside of London and the Virtual Freehold – 999 years from 1st January 1924 at a South East, contributing to an economic renaissance fixed, peppercorn rent. over the past 15 years which has returned the city to prosperity and provided a strong base for future growth. Liverpool is also one of the most popular retail and tourism destinations in the UK, with a shopping population of over 680,000 and a tourism industry which is the 5th largest in the UK, contributing an estimated £3.8 billion to the local economy each year and bringing both economic and reputational advantages to the City Region. SITUATION 15 Parker Street occupies an extremely prominent corner position in the heart of the city centre, positioned at the junction of pedestrianised Parker Street and Houghton Street, directly opposite both Clayton Square and St John’s Shopping Centres and within 40m of Church Street, Liverpool’s prime retail pitch. In addition, the property occupies an excellent strategic position between Liverpool Lime Street rail station; the city’s TENANCY VAT The entire property is let on an overiding lease to The above property has been elected for VAT and it is Tesco Stores Ltd by way of 25 year FRI lease from 17th anticipated that the sale will be structured as a Transfer of November 1993, with an unexpired term of over 3 years. a Going Concern (TOGC). PASSING RENT PROPOSAL The property currently produces a total net rental income We are seeking offers in excessive of £13,840,000 of £1,463,700 per annum. (Thirteen Million, Eight Hundred and Forty Thousand Pounds). An acquisition at this level will MAJOR ASSET MANAGEMENT POTENTIAL provide a purchaser with an attractive net initial yield of On lease expiry, this substantial property has the 10%, after deduction of purchaser’s costs at 5.75%, or a potential to be redeveloped to provide prime shop units capital value of only £102 psf. at ground and first floor levels, whilst unlocking the potential of the upper floors for alternative uses such as private residential; hotel; leisure; office and student accommodation LIVERPOOL Liverpool is the commercial and administrative capital terminal, capable of handling 95% of the world’s of Merseyside serving an urban area population of container vessels. Over the next decade Liverpool will approximately 470,000, with over 1.5 million people living deliver some of the UK’s largest and most ambitious within 30 minutes’ drive of the city centre and 5 million development and infrastructure schemes including Pall within a one hour drive. The city is located approximately Mall (a £90m “Gateway” project); New Royal Liverpool 56 km (35 miles) west of Manchester; 157 km (98 miles) University Hospital; Alder Hey Children’s Hospital and north west of Birmingham and 349 km (218 miles) north Liverpool University’s Bio Innovation Campus. west of London. In addition to the port and these future regeneration Liverpool is the sixth largest city in the United Kingdom projects, the wider Liverpool economy has also and the second largest in the North West, the country’s undergone one of the most remarkable transformations largest economic region outside London and the South of any European city over the past decade. Over £5 East. Historically, Liverpool’s economy was built on its billion of inward investment has been delivered through port, which at one stage was the largest international port public and private partnership, providing a much wider in the world. The Port continues to be a significant driver and sustainable base worth more than £20 billion in behind the city’s economy with one of the most ambitious total and home to 252,000 businesses. Liverpool and regeneration projects in the UK, Liverpool Waters, set the surrounding region is also the number one recipient to extend over 60 hectares of historic dockland to of foreign investment in the UK after London and the deliver over 1.3 million sq. m of mixed use space, the South East, which has resulted in over 3,000 companies creation of 15,000 new jobs within the site and a further choosing the area as their base of operations. 22,000 jobs across the Liverpool region over the next 30 years. In addition, Liverpool2, a £300m project by The city is the third largest wealth management centre Peel Holdings, is due to complete later this year and in the UK and home to a number of major financial will provide the UK’s most central deep water container institutions; public bodies and manufacturing and service sector employers including:- ■ Barclaycard ■ Maersk (UK HQ) ■ HM Revenue & Customs ■ Sony ■ Liverpool Victoria ■ Ford ■ Royal Sun Alliance ■ Jaguar Land Rover ■ Deutsche Bank ■ Unilever ■ NYK (UK HQ) ■ Eli Lily Liverpool is also a former European Capital of Culture and benefits from a substantial tourism, sporting and cultural economy. Key attractions include Liverpool and Everton football clubs; the Grade II Listed Albert Dock; the Three Graces (UNESCO World Heritage Site); Echo Arena; Royal Liverpool Philharmonic; The Grand National; Tate Liverpool; Cavern Walks (birthplace of The Beatles) and the largest Anglican Cathedral in the world; all contributing an estimated £3.8 billion to the economy each year. The city is also home to four universities; The University of Liverpool; Liverpool John Moore’s University; Liverpool Hope University and Sir Paul McCartney’s Liverpool Institute of Performing Arts; producing around 18,000 graduates each year and an annual student population of approximately 50,000. CLAYTON SQUARE SHOPPING CENTRE MUSEUM OF LIVERPOOL ECHO ARENA & ALBERT DOCK CONFERENCE CENTRE LIVERPOOL ONE PRIME CHURCH STREET CENTRAL STATION ADELPHI HOTEL CRUISE TERMINAL MUSEUM OF LIVERPOOL WATERS LIVERPOOL THREE GRACES ST GEORGE’S HALL PRIME CHURCH STREET ST JOHN’S SHOPPING CENTRE & BEACON ADELPHI HOTEL LIME STREET STATION COMMUNICATIONS Road - Liverpool benefits from an excellent and highly developed transport infrastructure, being served by the M62, M58 and M57 motorways, which provide easy access to the M6, approximately 19 km (12 miles) to the east and the national motorway network beyond. In addition, the Mersey Tunnels provide access to Junction 1 of the M53, approximately 5.6km (3.5 miles) to the west of the city centre, which offers Wirral, Chester and North Wales based residents a motorway link into Liverpool City Centre. Rail - Liverpool Lime Street Station provides a regular, daily service to London Euston (fastest journey time of 2 hours 4 minutes) and Manchester (32 minutes). In addition, the Merseyrail Loop system connects Liverpool to the Merseyside suburbs, the Wirral and Chester. Air - Liverpool John Lennon Airport is located 9 km (5.5 miles) south east of the property and is one of the UK’s and Europe’s fastest growing regional airports with 5.3 million passengers annually. The airport offers 10 daily flights to London Heathrow with regular daily flights to Paris (8 flights per day); Amsterdam (10); New York (6) and Toronto (1); in addition to budget flights to a variety of European destinations. Manchester Airport is also 57 km (36 miles) to the east of the city and is the UK’s third largest airport. Sea - Mersey Ferries operate regular cross river services 7 days a week between Pier Head and Seacombe (Wirral) with a journey time of 10 minutes. P&O and Norfolkline Irish Ferries also offer daily services to Dublin; Belfast and the Isle of Man. In addition, Liverpool Cruise Terminal opened in 2007 and regular lines to dock include Cunard; Celebrity and Princes with over 80,000 passengers visiting the city each year. The Port of Liverpool is also the Global Logistics hub for Northern UK and Ireland and is the largest west coast container port, offering air freight opportunities through Liverpool John Lennon Airport. R S E G C 8 E O 3 N T 0 T M6 L 5 R A O A N A D D 5 E R A 6 N O 5 5 V A 0 ST A A N BURLINGTO L 3 D A 6 E V U A T KINGSWAY W O E 5 MERSEY L A X E 9 TUNNEL T R E 2 ENTRANCE T H R 8 S L 1 A O D 5 O R Y A B S W L G I N A K R B DUNDEE W O L 5 O A 1 H D L E 8 N N T U 2 T A Y B A R D W E A S N P G R N T A I