Long Income National Distribution & Headquarters Investment Opportunity

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LONG INCOME NATIONAL DISTRIBUTION & HEADQUARTERS INVESTMENT OPPORTUNITY

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EXECUTIVE SUMMARY

Rare opportunity to acquire a major high-street retailer’s sole UK distribution centre and national headquarters

Prime distribution unit located on Brookfields Park, Rotherham in the heart of the Dearne Valley Triangle, close to the M1, A1(M) and M18 Motorways and major conurbations such as Sheffield, Leeds, Barnsley and Wakefield

Highly specified, modern head office and distribution facility, built in 2007 and extending to 198,272 sq ft (18,420 sq m).

The unit has 12m eaves, 50m yard, 80kN/sq m floor loading, 1:10,500 sq ft loading provision and 80 car spaces. To enable additional parking, the tenant has inserted a temporary barrier in the yard to provide a further 50 spaces for van and back office staff parking

Let to Maplin Electronics Limited for a term of 25 years expiring 19th December 2032 providing 15.2 years unexpired term

Current passing rent of £1,006,000 per annum equating to a low £5.07 per sq ft (£54.57 per sq m)

With 217 stores, Maplin operates an extensive store replenishment and multi- channel distribution platform from the unit via their established online, telephone, and mail order sales service

Other high-profile occupiers nearby include Next, ASOS, Symphony Group, Royal Mail, Pegler, Capita, RBS Lombard and Cepac

We are instructed to seek offers in excess of£16,830,000 (Sixteen Million, Eight Hundred and Thirty Thousand Pounds) reflecting aNet Initial Yield of 5.60% (allowing for purchaser’s costs of 6.76%) and a capital value of £85 per sq ft (£914 per sq m).

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CEPAC

Garnett Dickenson

Brookfields Way Thetford

Pegler Yorkshire Capita

A6023 / Manvers Way

3 connecting brilliant ideas Harrogate YORK Skipton A1(M)

Leeds Bradford International LEEDS M1 KINGSTON LOCATION BRADFORD M621 UPON HULL The Property is well located on the established Location Distance (miles) BLACKBURN M606 M65 Brookfields Park, Rotherham. The park is M62 R Humber Bridge I Goole V M1 Junction 36 7 E prominent in the Dearne Valley region which M62 R H Wakeﬁeld U A1 M itself is formed by the triangle connecting A1(M) Junction 37 8 B E Barnsley, Doncaster and Rotherham. R M18 Junction 1 9 M62 M18 Immingham Approximately 80% of the UK population can be M66 M1 A19 A18 Scunthorpe accessed in a 4.5 hour HGV drive time. Barnsley 6 Bolton A18 M181 A627(M) M180 GRIMSBY A629 A614 Doncaster 10 M61 Barnsley A635 The Rotherham and Doncaster area play an Sheffield 13 A628 J36 important distribution function within the J3 Leeds 30 MANCHESTER J35/2 Robin Hood densely populated South Yorkshire region, A638 Airport M67 ROTHERHAM approximately 13 miles (21 km) north east of Manchester 40 M60 M18 A1(M) Bawtry Sheffield, 30 miles (48 km) south east of Leeds A61 J34 Birmingham 85 J33 A631 and 155 miles (248 km) north of London. J32 A630 London 155 J31 M56 Manchester A1 Airport SHEFFIELD A57 M1 Worksop Liverpool A619 Macclesﬁeld Buxton A61 Lincoln A619 M6 Road Rail Air Port Located in the heart of the UK’s motorway The area benefits from excellent rail access Rotherham is served by Doncaster Robin Hood The port of Hull is 60 miles (97 km) to the north network the Property benefits from excellent at Doncaster - a major station on the East Airport at Finningley, approximately 15 miles east, with unencumbered access from the Newark-on-Trent access to the M1 Motorway at Junction 36 Coast Main Line providing direct rail services (24 km) south east, which provides flights to subject property via the M18/M62, handling to the west and the A1 (M) at Junction 37 to London King’s Cross with a journey time of domestic and international destinations and over 12 million tonnes of cargo each year. It is NEWCASTLE UNDER LYME to the east. This in turn links with the M18 approximately 1 hour 29 minutes. can also handle the largest cargo planes. the fourth largest in Northern Europe, providing Motorway at Junction 1, 9 miles (14 km) to vital links with mainland Europe, Scandinavia the south, providing easy access to the wider Doncaster International Railport, run by Manchester Airport is located at Ringway, and the Baltic NOStatesTTINGHA for bothM passenger and UK motorway network. Major cities such as Freightliner Group, is located 11 miles (18 km) 50 miles (80 km) south west of the subject cargo vessels. Grantham M6 DERBY Sheffield, Leeds and Manchester are within 35, east of the property. The rail freight terminal property. It is the third largest airport in the UK 50 and 85 minutes’ drive time respectively. currently handles 37,000 deep-sea containers providing flights to over 200 destinations. The a year. airport is also the fourth busiest UK airport for M1 freight handling. Staord LOUGHBOROUGH

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Leeds 47 A 6 3 3 A610 SITUATION 46 A63 M621 45 A1(M) BARNSLEY Situated on44 Brookfields Way and accessed via the A6195, the property is 7.5 miles (12 km) east Barnsley Road A635

B Salt of Junction 36 of the M1 and 8 miles (13 km) west of Junctions 36 and 37 of the A1 (M) both a ers Doncaster Roa r bro d ley Road 37 28 n ok Barns 29 30 s Ro le ad A63 M62 y R 5 taking approximately 15 minutes’ drive time. oa 32a d 31 A6 32 A633 35 M1 5 33 9 1 6 The area is very popular with both manufacturing and distribution companies. Given the Va A A1(M) lle

y Wa abundance of suitably skilled low cost labour, notable occupiers include ASOS, Symphony, y

M a n v Next, Royal Mail, Pegler, Morphy Richards, Garnett Dickinson, RBS Lombard, Cepac and Capita. e rkway 5 A rs A628 Pa A619 6195 W A1 alley ay

V A6023

e G

rn o

a l

e d

D e Edinburgh n Glasgow

W 36 S a m th 38 M8 R i 36 t oa h d ad i Ro e D ster A1 s onca

L A6 a 02 n A 3 38 e 602 2 M1 35 Barnsley A1(M)M74 37 2 A635 37 35a A69 Newcastle Carlisle A695 M1 36 36 A616 A633 A1(M) 35 A74(M) M18 A630 A6 M18 29 3 35 Drive Times U 2

p 1 A Rotherham p 6 e 6 1 hour r A W 1 A629 o 2 A65 rt 3 2 hours ley Ro Rotherham ad 34 3 hours Leeds Hull 4 hours ROTHERHAM M1 Immingham M62 M180 Manchester Grimsby A A57 60 M18 SHEFFIELD 21 Liverpool M56 Sheffield A635

M6 A6 A46 M1 A1 Employment by Occupation Gross Weekly Pay A5 Norwich Leicester M54 Peterborough A47 £550 A43 A10 £541 Birmingham 8.1% £540 A49 Corby Manufacturing A14 A11 £530 A43 11.5% Northampton Cambridge £520 Ipswich A487 M1 A12 £510 Milton 6.3% £498 M40 A1(M) M11 Process plant and A40 Keynes A40 Colchester (£) £500 machine operatives 10.9% £485 M5 £490 London Gateway Reading £480 M4 LONDON M4 Elementary 10.7% Cardiff Bristol M2 £470 A34 occupations M25 M3 M20 Dover 11.8% £460 M23

Workforce Gross Weekly Wage Wage Weekly Gross Workforce A3 Folkestone £450 A303 A23 M27 A27 0% 2% 4% 6% 8% 10% 12% 14% Rotherham Yorkshire & Great Britain A27 Southampton Brighton The Humber A35 UK Average Rotherham Exeter

Plymouth

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DESCRIPTION

Constructed in 2007, the Property comprises a high-quality, modern, detached two-bay steel portal frame distribution warehouse with ancillary office accommodation totalling 198,272 sq ft (18,420 sq m). In addition, the Property is built to the following specification:

Steel portal frame construction Clear working eaves height of 12m 17 dock level loading doors 2 level access doors High floor loading capacity of 80KN/sq m Heating and lighting system Sprinkler system 88 car parking spaces Unrestricted 24-hour use CCTV system 50m yard with additional 31 trailer spaces 2-storey offices with air-conditioning, suspended ceilings, recessed lighting and perimeter trunking

ACCOMMODATION

The Property has been measured in accordance with the RICS Code of Measuring Practice (Seventh Edition) on a Gross Internal Area (GIA) basis, and provides the following approximate areas:

Floor Use Area (sq m) Area (sq ft) Ground Warehouse 15,800 170,070 Ground Office 1,310 14,101 First Office 1,310 14,101 Total 18,420 198,272

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SITE TENANCY

The site extends to 8.48 acres (3.43 hectares). The Property is let to Maplin Electronics Limited for a term of 25 years, from 20th December 2007 and expiring 19th December 2032, providing approximately 15.2 years term certain.

TENURE The current rent passing of £1,006,000 per annum equates to £5.07 per sq ft (£54.57 per sq m).

The Property is held Freehold. The Full Repairing and Insuring lease is subject to 5 yearly upwards only open market rent reviews.

Tenant sq ft Lease Start Lease End Rent Review Rent pa Rent psf

Maplin Electronics 198,272 20/12/2007 19/12/2032 20/12/2017 £1.006m £5.07 Limited

COVENANT INFORMATION

Founded in 1972 Maplin Electronics Limited, trading name ‘Maplin’, are a leading consumer electronics specialist with over 3,200 employees operating in 217 retail stores across the UK and Ireland specialising in the sale of electronic goods. They also operate an extensive online, telephone and mail-order sales service. Maplin has a huge range of over 15,000 products with over 800 different categories of technology.

Maplin Electronics Limited (01264385) last three years of available accounts are as follows:

19/03/2016 21/03/2015 22/03/2014

Turnover £234,550,000 £236,252,000 £269,227,000

Pre-tax Profit (Loss) (£2,068,000) £13,254,000 £13,351,000

Net Assets £20,084,000 £28,917,000 £166,106,000

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INVESTMENT MARKET COMPARABLES OCCUPATIONAL MARKET

There are three comparable buildings in the region at Europort Wakefield and Doncaster iPort Area Capital AWULT Date Address Purchase Price NIY Purchaser all of which have quoting rents in excess of £5.57 per sq ft (£61.89 per sq m). Over the past (sq ft) Value psf (years) 12 months Yorkshire and the North East has witnessed five key lettings totalling 2.74m sq ft Aim Aviation, (254,550 sq m). The 470,000 sq ft (43,665 sq m) of available accommodation translates into Jul-17 £10,650,000 4.96% 71,551 £149 17 KFIM Byfleet 3 months of Grade A supply based on historic take up levels.

K&N, Prime headline rents for the region stand at £5.75 per sq ft (£61.98 per sq m) the lowest Jul–17 £38,750,000 4.50% 215,300 £180 12 Equites Coventry average headline rents in all the six core UK regions. With the North West achieving in excess of £6.00 per sq ft (£64.58 per sq m) there is genuine rental pressure on the North East Market. For occupiers it provides a lower cost alternative and hence excellent tenant DHL, Jun-17 £28,100,000 4.37% 159,693 £176 20 BlackRock retention prospects. Avonmouth Average headline rental growth over the past 5 years has been 4.31% per annum. Aston Manor, Jun–17 £11,100,000 4.80% 89,129 £125 15 CBRE GI Birmingham

HiB, Aberdeen May-17 £10,000,000 5.06% 80,210 £125 15 Tamworth AM

DPD, Local Mar-17 £8,200,000 4.85% 42,548 £193 16.75 Northampton Authority

Molson Coors, Private Jan-17 Burton upon £33,400,000 5.01% 484,716 £95 20 Investor Trent

Next Group, Dec-16 £24,437,000 4.80% 263,624 £93 20 BlackRock Doncaster

The Works, Royal Nov-16 £22,320,000 4.85% 183,436 £122 20 Hams Hall London

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EPC

The Energy Performance Certificate is available on request. PROPOSAL

We are instructed to seek offers in excess of£16,830,000 (Sixteen Million, Eight VAT Hundred and Thirty Thousand Pounds) which reflects anet initial yield of 5.60% (allowing for purchaser’s costs of 6.76%) and a capital value of £85 per sq ft. The property has been elected for VAT and therefore it is envisaged that the sale will be treated as a Transfer of a Going Concern (TOGC).

CONTACT

Edward Spooner Richard Moffitt Patrick Windle Will McGahey 0203 889 1018 0203 889 1012 0203 889 1014 0203 889 1016 07976 902 450 07836 325 863 07714 145 931 07930 616 011 [email protected] [email protected] [email protected] [email protected]

SUBJECT TO CONTRACT – Important Notice October 2017 M1 Agency LLP, their clients and any joint agents give notice that: 1. They are not authorised to make or give any representations or warranties in relation to the property either here or elsewhere, either on their own behalf or on behalf of their client or otherwise. They assume no responsibility for any statement that may be made in these particulars. These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. 2. Any areas, measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. It should not be assumed that the property has all necessary planning, building regulation or other consents and M1 Agency LLP have not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise. October 2017.