Prime London Mixed Use Investment

Home , Brixton Road, Brixton tube station

462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9

Prime London Mixed Use Investment with Development Potential 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 2 Prime London Mixed Use Investment with Development Potential

investment summary ·· The property is situated a prime retail trading position directly opposite Brixton tube station in the London Borough of Lambeth.

·· Freehold asset comprising six retail units, a college at first floor with seven residential units above. The buildings connect to form an ‘L’ shaped development fronting Brixton Road and the return on Tunstall Road.

·· Total retail accommodation of 13,492 sq ft, office/educational of 3,408 sq ft; together with a service yard to the rear the site extends to 0.43 acre.

·· The property is 100% let and produces £661,150 p.a. with 76% secured against the recently renewed The Body Shop and Poundland.

·· Potential to develop above the rear service yard, design options considered in detail by architects, 3DReid.

·· Leases structured to create the opportunity to gain vacant possession to enable development in the short to medium term.

·· We are inviting offers in excess of £12,300,000 subject to contract for the freehold interest. A purchase at this level reflects a Net Initial Yield of 5.0% after purchasers cost of 6.71%. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 3 Prime London Mixed Use Investment with Development Potential

Location

S T Brixton is a busy thriving community located in the London Borough OC RD D A WELL PK O of Lambeth approximately 3 miles south of Central London. K K OC R D ST E R A W I L YE EL H The vibrant mix of cultures and diverse range of retail and leisure S LL L T L I RO R W uses in and around central Brixton make for one of London’s O A A AD most exciting and desirable locations to live and work. D A ROAD 20 GRESHAM During the last 10 years substantial regeneration has 3 AD O R transformed the area which now offers a wide range of D IEL independent, diverse places to shop, eat, and enjoy the thriving LLEF PULROSS ROAD BE E live music and culture scene. B FERNDALE RD B C D G F H

AT D LA I A N BRIXTON T O I KEY C RO BRIXTON A D K ON R Brixton Academy T X J The Department Store E BRI N LA Conova Hall

IGTON TERRACE L M TM Maxx BR LD HARBOUR CO Sainsbury’s Local A S TL OM m&S N ANTIC ROAD ER LE Brixton Recreation Centre YT E LANE ON R POP Brixton CR SALTOUN ROAD A O A D Morleys A23

FFR Brixton Market ILL H

Brixton Village Market A

ON RO h&M IXT A RA Premier Inn D B BR T AYTR E T EE R R O A2 A Ritzy Cinema AD Y R 04 O A D 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 4 Prime London Mixed Use Investment with Development Potential

HYDE PARK VICTORIA VAUXHALL THE OVAL CITY OF LONDON CANARY WHARF

BLUESTAR HOUSE

INTERNATIONAL HOUSE

THE DEPARTMENT STORE

POP BRIXTON

BRIXTON RAIL STATION SUBJECT PROPERTY

MORLEYS BRIXTON TUBE BRIXTON MARKET BRIXTON VILLAGE 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 5 Prime London Mixed Use Investment with Development Potential

National Rail Willesden Watford Willesden Junction CONNECTIVITY London Overground West Ruislip Uxbridge Junction Junction Webmley Central Uxbridge Wembley Park Victoria Line Brixton Station is the most southerly station for the Victoria line,

Paddington Marylebone one of the fastest lines on the undergroundDistrict network Line reaching

King’s Cross central London in less than 20 minutes.Piccadilly Brixton Line Station also Farringdon runs on the overground network with South-eastern services Edgware Liverpool Street Hammersmith and City Line Road Baker towards London Victoria (9 minutes) and Orpington (30 minutes). Euston Circle Line Street Additionally, Brixton is serviced by a multitude of different Crossrail (Under Construction) Bond London bus routes to the West End. Shepherd’s Street Slough Bush Bank Several major roads run through central Brixton, the A203, A20 Liverpool Street Ealing Broadway West North Oxford Circus and A2217 links Brixton to Vauxhall bridge and the A23 (Brixton Acton Acton road) London to Brighton road is the main north to south Acton Shepherd’s Green Park Central Bush Market High Street thoroughfare. Ealing Common Kensington King’s Cross Kensington Piccadilly South Olympia Circus Knightsbridge Acton Acton UNDERGROUND NATIONAL RAIL South Ealing Town Hammersmith Blackfriars Vauxhall 4 mins Herne Hill 2 mins Northﬁelds Tower Hill Chiswick Turnham Ravenscourt West Earl’s South Victoria Westminster Victoria 7 mins Victoria 7 mins Park Green Park Kensington Court Kensington Green Park 9 mins Beckenham Junction 14 mins Heathrow West Terminals Brompton Oxford Circus 11 mins Clapham Junction 18 mins Fulham River Thames Kew Gunnersbury Broadway London Bridge 13 mins Wimbledon 26 mins Bridge Euston 14 mins Gatwick Airport 41 mins Chiswick Canary Brentford Bank (DLR) 15 mins Vauxhall Waterloo Wharf King’s Cross 16 mins Staines Kew Gardens TWO WHEELS Windsor Ascot Barnes Bond Street (Crossrail) 17 mins Bridge Lambeth North Victoria 20 mins Reading Thames North Canary Wharf 24 mins Battersea Park 20 mins River Sheen Barnes Stockwell Elephant & Castle Heathrow Airport 46 mins London Bridge 22 mins Richmond Mortlake Wandsworth Town Clapham St. Margarets National Rail Juction BRIXTON Borough Market 23 mins Willesden Watford Willesden Junction London Overground West Ruislip Uxbridge Junction Junction Webmley Central Uxbridge Wembley Park City of London 24 mins Victoria Line Wimbledon Park Hyde Park 24 mins Paddington District Line Wimbledon Marylebone Beckenham Junction Covent Garden 25 mins King’s Cross National Rail Piccadilly Line Orpington Farringdon Willesden Watford Willesden Junction Sevenoaks Edgware Liverpool Street London Overground Hammersmith and City Line West Ruislip Uxbridge Junction Junction Webmley Central Uxbridge Wembley Park Road Baker Guildford Street Euston Victoria Line Circle Line Dorking

Paddington Marylebone District Line Crossrail (Under Construction) Bond Shepherd’s King’s StreetCross Piccadilly Line Slough Bush Bank Farringdon Liverpool Street Edgware Liverpool Street Hammersmith and City Line West North Oxford Circus Ealing Broadway Road Baker Acton Acton Street Euston Circle Line Acton Shepherd’s Green Park Central Bush Market High Street Crossrail (Under Construction) Bond King’s Cross Ealing Common Kensington Piccadilly Shepherd’s Kensington Street Slough SouthBush Olympia Bank Circus Knightsbridge Acton Liverpool Street West North Acton Oxford Circus Ealing Broadway South Ealing Hammersmith Acton Acton Town Blackfriars Acton Shepherd’s Northﬁelds Green Park Bush Market Tower Hill Central Chiswick Turnham RavenscourtHigh Street West South King’s CrossWestminster Ealing Common Kensington Earl’s Piccadilly Victoria Park KensingtonGreen Park Kensington Court Kensington South Olympia Circus Knightsbridge ActonHeathrow West Acton Terminals Brompton South Ealing Town Hammersmith Fulham River Thames Gunnersbury Blackfriars Northﬁelds Kew Broadway Tower Hill Chiswick Turnham RavenscourtBridge West Earl’s South Victoria Westminster Park Green Park Kensington Kensington ChiswickCourt Canary Brentford Vauxhall Heathrow West Waterloo Wharf Terminals Brompton Staines Kew Gardens Windsor Fulham River Thames Barnes Kew AscotGunnersbury Broadway Bridge Lambeth North Bridge Reading Thames North Chiswick River Sheen Barnes Stockwell Elephant & Castle Brentford Canary Vauxhall Waterloo Wharf Richmond Mortlake Wandsworth Clapham Staines Kew GardensSt. Margarets Town Windsor Juction Ascot Barnes BRIXTON Bridge Lambeth North Reading Thames North Wimbledon Park

River Sheen Barnes WimbledonStockwell Elephant & Castle Beckenham Junction Richmond Mortlake Wandsworth Orpington Town Clapham St. Margarets Juction Sevenoaks Guildford BRIXTON Dorking Wimbledon Park Wimbledon Beckenham Junction Orpington Sevenoaks Guildford Dorking 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 6 Prime London Mixed Use Investment with Development Potential

SMALL WORLD MONEY TRANSFER

SITUATION

The property lies in a highly prominent, 100% prime retail trading

position directly opposite Brixton Underground station. This pitch VACANT gains maximum exposure to passing footfall due to the proximity MONEY to the station as well as the pelican crossing that leads to the TRANSFER SHOP pedestrianised Tunstall Road that boarders the site to the south. VACANT

VAPE CBD LONDON

VACANT

SAMS MOROCCAN CENTRE CAFE

OTHER SIDE FRIED MAX’S CAFE

BEAUTIFUL BOOKS

VACANT

CARPHONE WAREHOUSE LADIES CLOTHING WOW

VACANT

TUNSTALL ROAD

VACANT

AM LUGGAGE & FURNITURE & LUGGAGE AM

VACANT

50 metres OAD NE R A40 LEBO A11 MARY LIVERPOOL 40 A Y STREET COMMERCIAL STREET W ST W A E PADDINGTON EDGWARE ROAD FITZROVIA BARBICAN

WHITE CHAPEL ROAD 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 7 Prime London Mixed Use Investment with Development Potential SOHO WHITECHAPEL BAYSWATER TEMPLE WHITE CITY COVENT PARK LANE GARDEN MAYFAIR CANNON STREET THE HIGHWAY ACTON CHARING CROSS CITY OF Kensington Gardens LONDON Hyde Park DEMOGRAPHICS River T SHEPHERD’S hames BUSH CANARY WHARF Green Park WATERLOO

TOWER BRIDGE E G BRID The demographics of Brixton reflect a vibrant, urban population IGHTS KN St James's Park

GROSVENOR PLACE Buckingham

KENSINGTON LONDON BRIDGE

Palace with a high proportion of young working age people and a strong KNIGHTSBRIDGE H WESTMINSTER O L SOUTHWARK L D A A N O D R

multicultural sense of community. It is one of the most densely R E 0 A G D BROMPTON ROAD ID R ISLE OF DOGS B R CROMWELL ROAD E populated places in the country, with over 100 people living in NEW KENT ROAD W VAUXHALL BRIDGE ROAD TO BELGRAVIA VICTORIA each hectare, more than twice the London population density. MILL BANK LAMBETH HAMMERSMITH

The health and beauty conscious young workforce are A4 OLD KENT ROAD

accustomed to the wide range of lifestyle retailers and gourmet WARWICK ROAD FULHAM ROAD CHISWELL CHELSEA PIMLICO KENNINGTON LANE AD G R RO ROSVENO

food options. This is apparent in the national retailer lineup

CHELSEA EMBANKMENT

hames er T KENNINGTON PARK ROAD Riv A2 and numerous independent restaurant and hot food takeaway The Oval Burgess Park

E Kennington N S BATTERSEA BRIDGE ROAD A operators. This demographic also visit Brixton’s go-to night S L O Park

M U EL E T

Battersea Park N H NI CAMBERWELL NEW ROAD L

A haunts which cater for rockers, clubbers and artistic types alike. M B E T H R CLAPHAM ROAD GREENWICH The town is a cultural centre filled with a sense of community, O FULHAM A KEW D highly evident on Electric Avenue or around Brixton Village and CAMBERWELL PECKHAM ROAD BATTERSEA PARK ROAD BATTERSEA D A O AD R STOCKWELL ROAD Market Row. RO RK N A PA RSE W TE O T BATTERSEA BRIDGE ROAD T PECKHAM A B S N E E U Q Lambeth’s population is projected to grow by around 1% per BRIXTON ROAD

CLAPHAM year for the next ten years. The borough will continue to have a JUNCTION CLAPHAM YORK ROAD majority of young working age people (20-44) with around 65% CLAPHAM HIGH STREET 5 min 15 min 30 min BRIXTON of households living within rented accommodation and a third A3 BATTERSEA RISE

Clapham Common who own their own home. There has been a large influx of young HERNE HILL EAST Peckham Rye Parkand WANDSWORTH HIGH STREET DULWICH Common THE AVENUE professionals and highly skilled commuters into SW9 which has A3 TRINITY ROAD increased residential development to keep up with demand. In BRIXTON HILL A3 addition, there is a wide range of Victorian housing in Brixton CLAPHAM COMMON SOUTH SIDE

Brockwell Park which caters for the housing needs of families. DULWICH VILLAGE BALHAM

D A O R Dulwich Park H G I H A2 05 ON Richmond Park M C MM LAMBETH A HR CO H IST ICH 44% L CH LW A U DU YOUNG ADULTS B RC H RO 4 A 2 D (20-39YRS) A Wimbledon and Putney L NATIONAL EARLSFIELD L 27% Commons I H

A E

R T PERRY VALE S

LAMBETH 3 2

14% A MIDDLE AGED Tooting Bec WEST NORWOODSYDENHAM (50-64YRS) Common A 214 NATIONAL TOOT ING B 18% EC RO WALKING DISTANCE population AD STREATHAM TOOTING WEST NORWOOD 8% LAMBETH LOWER OLDER 5 minutes walk c. 80,000 SYDENHAM (OVER 65) 18% NATIONAL 15 minutes walk c. 350,000 Streatham Crystal Common Palace Park 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 30 minutes walk c. 1,000,000 Beckenham Place Park WIMBLEDON CRYSTAL PALACE COLLIERS WOOD PENGE NORBURY CHISLEHURST

BECKENHAM BROMLEY

MITCHAM POLLARDS HILL

THORNTON

MORDEN MOROCCAN CAFE

OTHER DORRELL PLACE SIDE FRIED 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 8 Prime London Mixed Use Investment with Development Potential SUPERDRUG THE PERFUME SHOP

VACANT DESCRIPTION

The asset comprises three distinct elements, each connected to COSTA COFFEE form an ‘L’ shaped development fronting Brixton Road and Tunstall Road. CARPHONE WAREHOUSE

462 The two buildings fronting Brixton Road date back to Victorian FLATS 1-3 ENT. times and provide retail accommodation at ground and basement with a combination of office, educational and residential SERVICE YARD

accommodation in the three storeys above. Access to the upper 468-470 parts above The Body Shop and Poundland is provided off Tunstall 8 6 2-4 Road, access to the upper parts above WOW is accessed from 10

464-466 BRIXTON ROAD Brixton Road. TUNSTALL ROAD The Tunstall Road building is of three storey 1980’s construction and provides retail accommodation at ground and basement with ancillary storage accommodation at first and part second floors MORLEYS respectively. VACANT The site is broadly rectangular, extends to 0.43 acres and includes a large service yard (c. 0.21 acre) to the rear accessed from Tunstall Road. We believe that the yard provides opportunity to develop above a retained access and service area; the approximate yard dimensions are 31m x 23m.

VACANT 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 9 Prime London Mixed Use Investment with Development Potential

Tenancy TENURE

The retail element is current let to 6 tenants; The Body Shop, Poundland and a temporary retailer fronting Brixton Road. The Body Shop and The property is held Freehold. Poundland comprise 76% of the total rent. The weighted average unexpired lease term to break is 3.1 yrs and 4.6 yrs to expiry (exc. LLH tenants).

Unit Tenant AREA sqm sqft Lease Start Break Option rent Review Lease Expiry rent p.a/z.a 1954 Act comments GROUND & Unit 1 - 470 The Body Shop Ground Sales: 1,345 262.64 2,827 20/12/2019 - - 19/12/2024 £240,000 in Lease renewal in 2019; tenant in occ. since 1989. Brixton Rd international Limited Basement: 1,429 / £261 Previous rent £185,000 p.a. 1 car space. ANCILARY ITZA: 910 RETAIL Unit 2 - 466 Poundland Limited Ground Sales: 2,993 397.25 4,276 01/07/2020 01/07/2023 01/07/2022 30/06/2025 £260,000 in Lease renewal in 2020; tenant in occ. since 2008. A breakdown of Brixton Rd Basement: 1,003 / £245 Previous rent £286,500 p.a. ITZA: 1,322 the zoned retail accommodation Unit 3 - 462 vanhelsem Property Ground Sales: 1,049 208.38 2,243 17/08/2020 3 mth rolling - 16/08/2021 £36,000 out 12 month short form FR&I lease. Rolling break after Brixton Rd management Ltd (temp) Basement: 1,086 3 months on 1 months notice, 6 weeks rent free. can be provided t/a Wow 1st: 108 (Market rent c.£125,000 p.a./£195 z.a.) on request. ITZA: 617 6 Tunstall Rd Kanuh Quang Che Ground Sales: 327 90.77 977 16/12/2011 - - 15/12/2021 £35,000 out - t/a Nail Bar Basement: 349 1st Floor: 301

8 Tunstall Rd Brixton Blend Ltd Ground Sales: 344 93.83 1,010 22/09/2016 rolling 22/09/2021 21/09/2026 £26,000 out mutual break terminable on 6 months notice. t/a Brixton Blend Basement: 366 1st Floor: 300

10 Tunstall Rd Brix Subs Limited Ground Sales: 677 200.58 2,159 09/08/2019 01/12/2021 09/08/2024 08/08/2029 £55,000 out mutual Break. £25,000 p.a. Yr 1; £27,500 p.a. Yr 2; t/a Subway Basement: 831 £55,000 p.a Yr 3. To be topped up to £55,000 p.a. 1st Floor: 651

Retail sub total: 1,253.45 13,492 £652,000

EDUCATIONAL First Floor - Educational Use: First floor - located above THE Body shop and Poundland USE Unit A - C Champort Services (UK) Limited Approx. 316.60 3,408 25/03/1989 - - 25/03/2114 £300 t/a Madalah College

RESIDENTIAL 462 Brixton Road - First to Third floor Residential USE Flats A-C 3 x Residential Tenants Approx. 178.78 1,924 25/03/1990 - - 24/03/2115 £450 £150 per flat, increasing by £75 per flat every 25 yrs

464-470 Brixton Road Live Work Studio’s : Second & Third floor Residential - located above THE Body shop & POUNDLAND

Studios 1-4 4 x Residential Tenants Approx. 498.04 5,360 25/03/1989 - - 25/03/2114 £400 £100 per studio, rent doubles every 25 years.

Residential sub total: 676.82 7,284 £850

CAR PARKING Car Parking - 18 car spaces, some leased with retail accommodation some held on licences with rolling LL breaks 7 Spaces various rolling licence renewals with LL&T breaks ongoing £8,000

Car Parking sub total: £8,000

Total 2,246.88 24,185 £661,150 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 10 Prime London Mixed Use Investment with Development Potential

Covenant

The Body Shop International (01284170)

The Body Shop, is a cosmetic, skin care and perfume company which is a subsidiary of Brazilian company Natura & Co. Based upon a Creditsafe check the company’s latest industry classification scores 100, placing the company in the upper 25% of 2,732 companies sampled from the same industry.

Pre-Tax Shareholder’s YEAR to Date Turnover Profit Funds

31/12/2018 £806,000,000 £20,000,000 £351,000,000

31/12/2017 £797,000,000 £27,000,000 £272,000,000

31/12/2016 £794,000,000 £19,000,000 £262,000,000

Poundland Limited (02495645)

Poundland’s principle activity is a value retailer, selling most items at the single price of £1, including items and proprietary brands. Based upon a Creditsafe check the company’s latest industry classification score 100, placing the company in the upper 25% of 16,532 companies sampled from the same industry.

Pre-Tax Shareholder’s YEAR to Date Turnover Profit Funds

29/09/2019 £1,543,234,000 £18,465,000 £129,419,000

30/09/2018 £1,522,633,000 £15,290,000 £122,344,000

01/10/2017 £2,245,804,000 -£127,838,000 -£22,598,000

SERVICE CHARGE

The service charge covers the whole asset and is split into two schedules, 462 Brixton Road and 464-470 Brixton Road together with 6-12 Tunstall Road. Further detailed information can be found on the data site supporting the sale. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 11 Prime London Mixed Use Investment with Development Potential

DEVELOPMENT POTENTIAL RESIDENTIAL SCHEME The residential scheme could provide 40 units across 7 floors, with a total GIA of 35,377 sqft (3,286.70 sqm) and a total NIA of Architectural practice 3DReid have worked with the vendor 28,805 sqft (2,609.20 sqm), providing a mix of two and three bed and their professional team to create various scheme options flats at an average unit size of 641 sqft. to develop above the existing service yard. Scheme design and viability has been assessed following informal discussions with Floor Units GIA NIA Lambeth Council planning department. Ground Retail 234.90 2,528 226.10 2,434 Ground 0 167.10 1,799 - -

3DReid’s latest scheme provides two options, a 6-storey office First 8 559.30 6,020 488.70 5,260 podium and a 7-storey residential tower both positioned Second 8 559.30 6,020 488.70 5,260 towards the middle of the site above a reconfigured service yard. Third 8 559.30 6,020 488.70 5,260 Both schemes include a new entrance off Tunstall Road, the Fourth 4 301.70 3,247 223.10 2,401 reconfiguration of the three existing retail units into two new Fifth 4 301.70 3,247 231.30 2,490 larger ground floor units, and a re-design of the service area to Sixth 4 301.70 3,247 231.30 2,490 the rear of The Body Shop unit and the Poundland unit. Seventh 4 301.70 3,247 231.30 2,490 Planning, scheme massing, design, structural engineering and TotalS (excluding basement) 40 3,286.70 35,377 2,609.20 28,805 occupational market advice have all been considered, further information is provided on the data site supporting the sale. OFFICE SCHEME The office scheme could provide in the region of 28,107 sqft of net internal accommodation with flexible floor plates ranging from 5,899 sqft to 2,661 sqft. EXISTING Floor GIA NIA

Ground Retail 273.90 2,948 265.10 2,854

Ground 122.50 1,319 - -

First 610.40 6,570 508.50 5,473

Second 610.40 6,570 548.00 5,899

Third 610.40 6,570 548.00 5,899

Fourth 309.60 3,333 247.20 2,661

Fifth 309.60 3,333 247.20 2,661

Sixth 309.60 3,333 247.20 2,661

TotalS (excluding basement) 3,156.40 33,975 2,611.20 28,107

RETAIL

The retail accommodation fronting Tunstall Road can be The service yard can be reconfigured to allow retail servicing and a reconfigured to provide two more regular shaped units parking provision to continue post development; the rear anciliary suitable for a variety of acquisitive A3/A4 occupiers keen to accommodation of The Body Shop and Poundland can be redesigned have presence in central Brixton. to facilitate a new service corridor to the rear. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 12 Prime London Mixed Use Investment with Development Potential

PROPOSED FLOOR PLANS

OPTION 1: RESIDENTIAL SCHEME

Proposed Ground Floor Typical Layout First Proposed 4th - 7th Floor to Third Floors

OPTION 2: OFFICE SCHEME

Proposed Ground Floor Typical Layout First Proposed 4th - 6th Floor to Third Floors LOUGHBOROUGH

462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 13 Prime London Mixed Use Investment with Development Potential

ROAD planning Background

The property is located in London Borough of Lambeth (LBL) in S T OC RD D Brixton Conservation Area and is not Listed. The permitted use A ELL PK O K KW OC R D ST E of the ground and basement floors and first floors are now within R A W I L YE EL H S LL L T L the new Use Class E, with C1 residential use across various I RO R W O A AD elements of the upper parts. D

A ROAD 20 GRESHAM E LBL’s Local Plan is currently being reviewed and is expected to 3 N A L be adopted in 2021. The new London Plan is also currently being D ROAD PULROSS ROAD EFIEL 2 updated and will continue to support development in Brixton, LL BE FERNDALE R DHARBOUR with a focus on development policies regarding affordable D OL C workspace, urban greening and sustainability.

D CBRE Planning completed an appraisal of the site in October ROA FERNDALE ROAD BRIXTON STATION 2020. The report concludes that the site offers a prime AT D A23 LA A N BRIXTON development opportunity that would support either office or T O IC MOORLAND RO residential development opportunities to the rear of the existing BRIXTON A 1 ON R D buildings. The report comments that LBL could be particularly T X R O A E A2217 D supportive of an office led scheme to tie in with the aspirations BRI N LA

of the Brixton Creative Enterprise Zone which looks to develop LDHARBOUR CO spaces for creative industries in the Borough. BRIGTON TERRACE

CONCANON ROAD A TL S The report advises that due to the scale of surrounding ANTIC ROAD OM 4

ER developments there is potential for a taller building on the site, E L E E LAN SALTOUN ROAD YT subject to high quality design, detailed townscape and daylight/ ACR ON RO

A23 A sunlight assessments and a strong planning benefits case. D

FFR D ILL A H O A full copy of the report can be accessed on the data site, access R PARK A

details can be provided on request. 3 ON R O

IXT A

BR SHAKESPEARE

BAYTREEE ROAD A2 LOUGHBOROUGH RA

T 04 T R REGENERATION MASTERPLAN KEY AREAS A Y R O A Brixton Central 9.5 HA D

high Street 9.5 HA

Town Hall 10.4 HA

Somerleyton Road 16.8 HA 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 14 Prime London Mixed Use Investment with Development Potential

all images taken august 2020

Retail & Leisure

Brixton has a lively traditional high street pitch but also has a unique mix of market stalls and specialist stores that mirror the various ethnic communities that give Brixton its cultural ‘buzz’. Brixton Village and Market Row are prime examples of the market stalls that sell multicultural produce that underpins Brixton’s diversity. Coldharbour Lane provides a more ‘traditional’ supply of pubs, restaurants and bars whereas Pop Brixton is a community project, event venue and home to independent retailers, restaurants, street food start-ups and social enterprises. A recent addition to Brixton’s retail offering is The Department Store, a revival of a local landmark providing a hub of creativity, retail and community uses.

Prime Zone A rents in Brixton reached £295 ZA in 2017 when deals were agreed at this level directly opposite the property on Brixton Road.

The most relevant evidence within Brixton comes for the two recently agreed lease renewals at the property. The Body Shop lease renewal of December 2019 breaks back to a Zone A rate of £261, and the Poundland lease renewal of July 2020 breaks back to a Zone A rate of £245.

Further details can be provided upon request. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 15 Prime London Mixed Use Investment with Development Potential

BRIXTON OFFICES PIANO HOUSE, BRIXTON CANTERBURY COURT, BRIXTON ROAD

Compared to the bustling retail and leisure offering, Brixton’s office market remains in relative infancy. The market is fairly fragmented with only a few buildings given over exclusively to office use.

International House c.65,000 sqft, former Council offices still owned by the Council and run by 3Space as an entrepreneur / start up hub in parallel with a Council initiative.

Bluestar House c.53,600 sqft a short distance north of the property, was bought in January 2020 by Derwent London for £38.1m - £770 per sqft CV. We understand Derwent plan to carry out a redevelopment of the building to provide a mix of restaurant and grade A office accommodation.

Piano House Brixton a short distance south of the property, was one of the first true co-working offices in South London. Acquired by TCN in 2007 and refurbished to create stripped back exposed services and shared co-working accommodation THE DEPARTMENT STORE, FERNDALE ROAD BLUE STAR HOUSE, BRIXTON ahead of its time. Occupancy has remained very high since with rents established during the last 5 years at £45-£50 per sq ft.

Canterbury Court on Brixton Road which has traditionally been a key occupational sign-post for the local market. The development has attracted tenants such as White Stuff, Sport Pursuit and Lime Jump with rents being achieved at around £50 per sq ft.

The Department Store redevelopment in Ferndale Road is the most recent addition to the market, designed and occupied by Squire Architects as their HQ. The building provides a mix of office and leisure use including 51,312 sq ft (4,767 sq m) of new office accommodation.

In terms of supply, early plans have been drawn up by AG Hondo to create a mixed used scheme providing 200,000 sq ft of office space within a 19 storey tower, 20,000 sq ft of which is earmarked as flexi office space on Popes Road. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 16 Prime London Mixed Use Investment with Development Potential

BRIXTON RESIDENTIAL

Brixton has become a strong hold for those seeking an idyllic ‘work-life balance’. The long-standing residential neighbourhood has evolved to take advantage of its close proximity to central London and it’s distinctive, multi-cultural diversity, establishing itself as a hotspot for first time buyers, shared ownership schemes, buy-to-let investors and private landlords.

Growing demand for housing in Brixton has led to a surge in development both as new residential stock, as well as redevelopment and conversion of old and existing stock.

SOBRIXTON BRX

SOBrixton is located off the main pitch, North East of Brixton station along BRX is a 96-unit scheme developed by Network Homes. It is a mix of 1,2 and Barrington Road. The scheme includes 81 units, available as part of a shared 3 bed apartments and duplexes available for private sale and affordable ownership scheme or private purchase. housing. 80% have sold, prices range from £652 to £982 per sq ft.

NEW TOWN HALL

The £36 million ‘New Town Hall’ Development encompasses 2 redevelopments, Brook; previously Hambrook House, and Ivor House. Located on Brixton Road SOMERLEYTON ROAD and developed by Muse, marketed by Notting Hill Housing.

Somerleyton Road, SW9 is a community collaboration between a variety of key stakeholders. It is a consented scheme with the allocation of 300 homes, 50% affordable and 50% PRS. It won the best unbuilt housing scheme in 2016. Construction started in July 2019.

BRIXTON CENTRAL BROOK HOUSE IVOR HOUSE

Aptly named, Brixton Central is located adjacent to POP Brixton, behind Brook House completed late 2018 and sold for £833 per sqft. It provides 48 96% of units sold at Ivor House achieved £766 per sq ft. the Brixton Recreation Centre. It is a proposed 9 storey development affordable homes and 46 private apartments. housing 31 units, 5 of which are affordable.

FUTURE SCHEMES COMPLETED SCHEMES 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 17 Prime London Mixed Use Investment with Development Potential

BUILDING & ENVIRONMENTAL

Paragon Building Consultancy have provided a building survey report produced in October 2020 to support the sale. The report concludes that the property is not affected by any significant defects or issues relating to the structure of the property. Items of disrepair and decoration required are the tenant’s responsibilty and are covered under the service charge; there should not be any significant concerns preventing a purchaser proceeding with an acquisition.

In October 2020, CBRE Environmental produced an environmental report to support the sale. The report advises that there are no material environmental concerns which would affect an acquisition of the property. The property is considered to have a ‘low risk’ of land contamination, ‘very low risk’ of flooding and ‘low to medium risk’ with regards to Minimum Energy Efficiency Standards (MEES).

Full copies of the assignable Building and Environmental reports can be accessed on the data site, access details can be provided on request.

EPC

A copy of the EPC reports are available on the data site supporting the sale.

VAT

The property is elected for VAT and therefore VAT will be payable on the purchase price. It is anticipated that the sale will be structured as a Transfer of a Going Concern.

ANTI MONEY LAUNDERING

The purchaser will need to satisfy both the vendor and Clay Street’s AML policies. 462-470 Brixton Road & 2-10 Tunstall Road, Brixton, SW9 18 Prime London Mixed Use Investment with Development Potential

PROPOSAL

We are inviting offers in excess of £12,300,000 ‘subject to contract’ for the freehold interest.

A purchase at this level will reflect a Net Initial Yield of 5.0% after purchasers costs of 6.71%; this includes the inherent residual development value to build above the extensive service yard to the rear.

DATA SITE: A Data Site has been prepared to support the sale, access details can be provided on request.

FURTHER INFORMATION

Should you require further information or would like to arrange a viewing, please contact:

Chris Dickin Rob Atkins [email protected] [email protected] M: 07795 114 686 M: 07703 753 088

George Freeman Clark Davidson [email protected] [email protected] M: 07787 541 437 M: 07988 996 707

11 St. Christopher’s Place, London W1U 1NG T: 020 7935 2831 | www.claystreet.co.uk

IMPORTANT INFORMATION: 1. No description or information given by Clay Street Ltd whether or not in these Particulars and whether written or verbal (“information”) about the property or its condition or its value may be relied upon as a statement or representation of fact. Neither Clay Street Ltd (nor any joint agents) have any authority to make any representations and accordingly any information given is entirely without responsibility on the part of the agents or the seller. 2.These particulars do not constitute, nor constitute part of, an offer or contract, nor shall they merge in any offer or contract which may hereafter be made between the sellers or lessors and the recipient of the information. 3.The photographs show only certain parts of the property at the time they were taken. Any areas measurements or distances given are approximate only. 4. Any reference to alterations to or use of any part of the property is not a statement that any necessary planning, building regulations or other consent has been obtained.These matters must be verified by any intending buyer. 5. Any buyer must satisfy themselves by inspection or otherwise as to the correctness of any information given.

Designed and produced by Diablo: www.diablodesign.co.uk October 2020