EARL GREY HOUSE 77-85 Grey Street NE1 6EF

FOR SALE - Prime Mixed Use Office Retailand Leisure Investment EARL GREY HOUSE Grey Street is said to be the most beautiful street in England. EARL GREY HOUSE

Investment Summary

• Prime multi-let office, leisure andretail opportunity extending to 58,853 sq ft • Landmark Grade II / Grade II* Listed Building – hence no empty rates • Freehold • Well let to a host of well-known covenants such as , Rathbone Brothers Plc, Grant Thornton, Handlesbanken and Nationwide • Total income of £956,639 per annum with a WAULT to breaks of 13.86 years and to lease expiry of 15.73 years • Offers in excess of £12,055,000 which represents an initial yield of 7.50% and a reversionary yield of 9.19% and a capital value per ft2 of £204

Harry’s Bar & Brasserie EARL GREY HOUSE

Scotland

Glasgow

Newcastle Sunderland Carlisle

Leeds

Manchester Millennium Bridge, Quayside Liverpool Nottingham Birmingham

Wales England

Newcastle upon Tyne Cardiff London Bristol Newcastle upon Tyne is the regional capital and principle focus of economic activity within the North East of England.

With a population of 280,177 people the City Newcastle has attracted many high Newcastle plays host to two leading universities their expertise around the world. The initiative is located 270 miles north of London and 105 profile occupiers with global, national and attracting over 50,000 students from more is driving development within the City Centre miles south of Edinburgh. regional occupiers in the area, many of which than 125 countries combined. The University of with a main focus on Science Central – a new have expanded or upgraded their existing Newcastle features in the top 20 of the majority landmark urban quarter for science, business, Newcastle is the largest employment centre in space. Companies include Bank Plc, of the UK rankings and is currently number 10 living and leisure. Tyne & Wear with 166,011 employees at 2011. PWC, Sage Group, Virgin Money and in the UK for overall student satisfaction. It is Newcastle has a demographic profile which is Procter & Gamble. a member of the Russell Group (an elite group Newcastle’s retail offerings serve as the attractive to the service sector being skewed of 24 of the country’s most highly regarded primary retail destination for over 600,000 towards younger and more highly educated The City is home to a wide range of important universities) and is ranked number one in this people making it the dominant retail centre workers. The service sector accounts for nearly public sector functions with not only local group for Graduate Employment. Northumbria in the North East. There is approximately 2.6 90% of employment in the City. The Financial and regional government operations, but University is located within a modern city centre million ft² of retail floorspace ranking the City & Business Services sector accounted for 25% national government departments based in the campus with an outstanding reputation as the sixth out of the 100 PROMIS Centres. of jobs at this level showing the strength of the area. The most significant are HM Revenue & largest university in the North East. The prime area is centred around Eldon Square office economy and office demand. Customs and the Department for Work Shopping Centre and Northumberland Street & Pensions. The importance of the contribution of the and is home to a number of national retailers The office market has been central to the universities to the City was recognised in 2005 including John Lewis, Marks & Spencer, growth of Newcastle as a City and since the Newcastle has historically had a high reliance when Newcastle was designated as one of six Fenwicks and Debenhams. In addition, the regeneration of the Quayside in the early on these public sector operations, but despite UK Science Cities following the world-class MetroCentre, one of the UK’s largest out of 1990’s, the market has continued to grow the recent financial crisis, and cut back in research undertaken by the universities and town shopping centres, is within 15 minutes’ and mature leading to increasingly high quality public services, the City Centre has continued to the potential of its science industry base. drive time. developments similar to those in competing attract new private sector companies including The Science City initiative aims to maximise the regional centres such as Leeds and Manchester. BSkyB, DAC Beachcroft Solicitors and Qubic Tax. City’s specific potential and raise awareness of EARL GREY HOUSE

Current Inward Investment

Science Central As part of Newcastle Science City (a partnership between Newcastle University and Newcastle City Council), Science Central will be a new urban quarter central to Newcastle’s economic future and a hub for the scientific growth of the City. The development will be located on the outskirts of the CBD on the site of the former Scottish & Newcastle Brewery. The masterplan includes a world class research facility as well as office and residential accommodation, retail offerings and a wealth of new landscaped public realm. In excess of £30 million of public funding has been secured to develop the initial phases of the site and it is expected that the benefits to the City’s economy will be vast in attracting innovative businesses as well as start-up companies and mobile businesses.

Northumbria Police Headquarters Northumbria Police Authority has recently refurbished the former Network Rail office adjacent to Central Station to create a new £37 million state of the art Policing facility. The project has provided significant regeneration utilising two existing buildings which now connect together via a new build Earl Grey House Reception element. The new Headquarters has replaced their former Market Street location.

Central Station East Coast and Network Rail have announced plans for a major transformation of Newcastle’s Central Station. The Grade I listed station has seen its iconic portico pedestrianized and glazed to create a new public space to house new retail and catering choices. Commercial space has doubled and will enhance the existing retail and leisure provisions at the station. The £8.6 million project demonstrates the importance of Newcastle’s Central Station as a gateway to the City and a major transport hub for the North East and the national rail network with 67 East Coast trains serving the station each week day.

EARL GREY EARL HOUSE NORTHUMBERLAND S GREY

JOHN DOBSON S

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ER P BA RR AC K St James’ Park Eldon Square RO T A Shopping Centre

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EE W BLACKETT STREET EL TR LINGT G A E LLOWGAT Grey’s ON S Monument T T S DIANA S T E TR Citygate MARK A167M EE EE Science G Theatre Royal P TR Central T R I E L G Y D R R S I A T M V CORPORATION ST R ST E E L T STOWELL S E U EE T O TR W B E STGA ’

TE ROAD S E ON S NEWCASTLE

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A CITY CENTRE J DEAN ST CLA

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S WE ST GRAINGER ST GAT E ROAD A167M

COLLINGWOOD ST Law Courts MILLENNIUM BRIDGE T REE ST LLE EVI The Baltic Centre N YSIDE for Contemporary Art W QUA ESTMO RLAND ROAD Central Station TYNE The Sage BRIDGE Centre SWING For Life Central Square BRIDGE

St James’ Gate HIGHE LEVEL FORTH BANKS BRIDGE

The Hilton Newcastle Gateshead

Situation Grey Street forms the very heart of the historic core of Newcastle upon Tyne and is home to many major occupiers including , Go Ahead Group, NEDL and Rathbones.

Grey Street is also a major cultural Grey Street is within Newcastle’s destination with a wide range of ‘’ which has one high quality bars and restaurants of the highest concentrations together with the Theatre Royal of listed buildings (244) outside which enjoys a national reputation Bath. With its gentle hill and and is the northern home of the graceful curve, Grey Street has Royal Shakespeare Company. received many accolades – Pevsner described it as ‘one of the finest Recent entrants onto Grey Street streets in England’ and in 2002 it include Las Iguanas, Carluccio’s, was voted the ‘Best Street in the Café Rouge, Browns Brasserie and UK’ by Radio 4 listeners. Harry’s Bar. EARL GREY HOUSE EARL GREY HOUSE EARL GREY HOUSE 11 Earl Grey House 18 2 Grey Street 6 32 Monument St James’ 7 4 Eldon Square 3 4 8 3 Haymarket Hub 5 Northumberland Street Central Station 20 2 Monument 5 1 64 Citygate 9 1 75 Centre For Life 86 Central Station 19 97 Copthorne Hotel

108 Hilton Newcastle Gateshead 10 Manors 119 Tyne Bridge 11 1012 The Sage Gateshead 13 1113 Law Courts 1214 Millennium Bridge 1315 Baltic 12

1416 Quayside 17 1517 Malmaison 14 1618 St James’ Park

1619 A167M Central Motorway 16 1620 Stephenson Quarter 15

SAT NAV: NE1 6EF EARL Second Floor GREY

HOUSE Grant Thornton

Ground Floor Office

Description HOIST MARKET STREET

EXISTING PARTITION WALLS TO BE CAREFULLY STRIPPED OUT Up

EXISTING SHOPFRONT COMPRISING TIMBER SHOPFRONT AND SECONDARY STONE HEADER TO BE CAREFULLY REMOVED. STONE STALL RISER IS TO BE RETAINED Female Toilets Female

UNIT 6 UPPER EXISTING NON-LOADBEARING PARTITION (EXISTING VACANT RETAIL) WALLS AND BOXING TO BE CAREFULLY STRIPPED OUT

NEW OPENING FORMED IN EXTERNAL WALL TO ALLOW FOR INSTALLING NEW OPENING FORMED IN EXISTING WALL Scott Wilson The property comprises a Grade II FOR NEW M&E DUCTWORK ROUTE, KITCHEN EXTRACT DUCT RUN WITH NEW LINTOLS INSTALLED AS UNIT 6 STR. ENGINEERS RECOMMENDATIONS EXISTING NON-LOADBEARING PARTITION (EXISTING VACANT RETAIL) WALLS TO BE STRIPPED OUT TOGETHER WITH ALL REDUNDANT FIXTURES & FITTINGS ASSOCIATED WITH PREVIOUS OCCUPANTS EXISTING TIMBER SHOPFRONT CAREFULLY REMOVED OPENING TO BE FORMED IN FLOOR SLAB (AREA SHOWN HATCHED) FOR INSTALLATION OF NEW STAIRCASE DURING FIT-OUT WORKS. Harry’s Bar

OPENING FORMED IN EXISTING WALL TO CREATE ACCESS TO LOWER STREE T

GROUND FLOOR LEVEL, WITH NEW E

LINTOLS INSTALLED AS STR. ENGINEERS N I L listed building dating from 1837. RECOMMENDATIONS UNIT 4 (EXISTING VACANT EXISTING STAIRCASE UP TO EXISTING PARTITION PARTY WALL REMOVED MARKE T

5 KER B MEZZANINE FLOOR LEVEL TO

TO EXPOSE EXISTING STRUCTURAL COLUMNS 2 RETAIL) BE STRIPPED OUT STREE T

REDUNDANT DOORS GREY STREET & FRAME REMOVED FIRST FLOOR GREY STREET Up Up MARKE T MEZZANINE EXISTING SHOPFRONT COMPRISING ALUMINIUM SHOPFRONT, ROLLER SHUTTER AND SECONDARY STONE HEADER TO BE CAREFULLY REMOVED. UNIT 5 STONE STALL RISER TO BE RETAINED (EXISTING VACANT RTAIL) Third Floor The property has been substantially refurbished and EXISTING NON-LOADBEARING PARTITION WALLS TO BE STRIPPED OUT TOGETHER WITH ALL REDUNDANT FIXTURES & FITTINGS OPENING FORMED IN EXISTING PARTY STREE T ASSOCIATED WITH PREVIOUS OCCUPANTS WALL TO CREATE ACCESS BETWEEN UNITS, WITH NEW LINTOLS INSTALLED AS STR. ENGINEERS RECOMMENDATIONS MARKE T

3 redeveloped, most recently in the 1990s, over the years and 2 Reception EXISTING STAIRCASE UP TO MEZZANINE FLOOR LEVEL TO OPENINGS FORMED IN EXISTING PARTY BE STRIPPED OUT WALL TO CREATE ACCESS BETWEEN UNITS, WITH NEW LINTOLS INSTALLED AS STR. EXISTING STAIRCASE UP TO FIRST STREE T ENGINEERS RECOMMENDATIONS EXISTING STAIRCASE UP TO FIRST FLOOR LEVEL TO BE STRIPPED OUT comprises retail and leisure on the ground floor and four FLOOR LEVEL TO BE STRIPPED OUT UNIT 4

MARKE T (EXISTING VACANT RETAIL)

1

UNIT 4 2 EXISTING SHOPFRONT COMPRISING (EXISTING VACANT RETAIL) ALUMINIUM SHOPFRONT AND SECONDARY EXISTING NON-LOADBEARING STONE HEADER TO BE CAREFULLY REMOVED. PARTITION WALLS TO BE STRIPPED EXISTING NON-LOADBEARING PARTITION STONE STALL RISER TO BE RETAINED OUT TOGETHER WITH ALL REDUNDANT EXISTING NON-LOADBEARING PARTITION WALLS TO BE STRIPPED OUT TOGETHER FIXTURES & FITTINGS ASSOCIATED WALLS TO BE STRIPPED OUT TOGETHER

WITH ALL REDUNDANT FIXTURES & FITTINGS SE R WITH PREVIOUS OCCUPANTS floors of offices above. I WITH ALL REDUNDANT FIXTURES & FITTINGS ASSOCIATED WITH PREVIOUS OCCUPANTS R

ASSOCIATED WITH PREVIOUS OCCUPANTS E Up Up C CAR PARK EXIT OFFICES FOYER

- NOT PART OF THIS SERV I APPLICATION UNIT 1 & 2 (EXISTING RETAIL) OPENING TO BE FORMED IN FLOOR SLAB FIRST FLOOR (AREA SHOWN HATCHED) FOR INSTALLATION The property is a combination of steel framed extension to the EXISTING STAIRCASE BETWEEN OF NEW STAIRCASE DURING FIT-OUT WORKS. BASEMENT & GROUND FLOOR Entrance LEVEL TO BE STRIPPED OUT LEGENDS UNIT OPENING TO BE FORMED IN FLOOR SLAB - NOT PART (AREA SHOWN HATCHED) FOR INSTALLATION OF THIS to Offices OF NEW ACCESS HATCH INTO BASEMENT AREA APPLICATION EXISTING FULLY GLAZED ENTRANCE COSTA UNIT rear of a listed sandstone fronted elevation built under a slate DOOR AND FRAME TO BE CAREFULLY - NOT PART OF THIS REMOVED Costa APPLICATION Vacant covered roof. Coffee 77 GREY STREET

EXISTING SHOPFRONT COMPRISING EXISTING STONE MID PILASTER TO FRAMELESS GLAZING AND SECONDARY BE RELOCATED TO ACHEIVE A WIDER STONE HEADER TO BE CAREFULLY REMOVED. ENTRANCE WIDTH STONE STALL RISER TO BE RETAINED GROUND FLOOR GREY STREETGREYS STREET Office

Office Content KERB LINE First Floor Internally Earl Grey House provides an impressive reception area which has recently been refurbished. MARKET STREET Male Toilets The property has two lifts which principally serve separate Vacant elements of the building. Lift 1 serves the Grey Street frontages and rear mezzanine levels while Lift 2 serves the Svenska Harry’s Bar Handelsbanken Market Street frontages. GREYGREY STREET STREET The offices wrap around a central atrium area which provides Fourth Floor extra additional natural light and benefit from a mix of raised floors, air conditioning and perimeter trunking. N+1 Singer

The common areas have recently been refurbished to provide a full redecoration of the reception area, including MARKET STREET new carpets and the installation of a new decking area Male Toilets Associated in the atrium. Property Adecco Investors UK Ltd Vacant

Ground Floor Bar & Grill GREYGREY STREET STREET

The ground floor was substantially reconfigured in 2013 and now provides a bar and restaurant area which appeals to both lunchtime and evening trade. MARKET STREET Female Toilets Female Harry’s Bar is now firmly established in the Newcastle nightlife Rathbone hierarchy and is a popular destination for the business Brothers plc community, young professionals and evening diners.

GREYGREY STREET STREET EARL GREY HOUSE

Newcastle Office Market

Take-up Activity was particularly strong on Grey Street with separate lettings to Gardiner & Theobald, Since the beginning of 2013 there has been Office Angels, Lambert Smith Hampton and a sense of renewed optimism within the Adecco (subject property)’ Newcastle office market with increasing levels of occupational activity. Occupier confidence is still high and the subject property is further endorsed by the City centre H2 2014 take-up totalled recent letting to Lambert Smith Hampton of 114,827 sq ft, which brought the annual 1,729 ft2 on the ground floor at £30,000 Earl Grey House - Handelsbanken figure to 183,721 ft2. This is 30% down on per annum which equates to £17.35 ft2. the preceding year, but against a backdrop of diminishing Grade A stock. Demand remains strong and there are currently Supply 17 known requirements for Grade A offices The largest letting deal of Q1 2015 is to in the City Centre totalling in excess of There is a limited supply of Grade A office space Iparadigms Europe Ltd, taking 19,904 ft2 at 120,000 ft2. in Newcastle City Centre. Wellbar Central, further restricting the city centre The supply of Grade A accommodation currently Grade A office supply. Take-up in the first half of stands at c. 91,700 ft2 as highlighted in the table 2015 was 100,000 ft2, spread over 33 deals. below:

Earl Grey House - Rathbone Brothers Plc BUILDING LOCALITY AVAILABILITY Wellbar Central Gallowgate 4,500 sq ft Time Central Gallowgate 8,000 sq ft Trinity Gardens Quayside 10,313 sq ft Central Square South Stephenson Quarter 32,240 sq ft 2 St James’ Gate City Fringe 36,639 sq ft Total 91,692 sq ft

This equates to a current supply timeline of only 6 months which bodes well for rental growth prospects. There are currently only two Grade A office buildings under construction being The Rocket at the Stephenson Quarter which is due to complete in Q3 2015 and LiveWorks offering 14,400 ft2 on the Quayside. The current interest is strong and the quoting rent is £23.00 per ft2 at The Rocket. EARL

GREY Rents HOUSE Prime headline rents in the City Centre stand at £21.50 per sq ft. Prime rents in 2007 reached £24 per ft2. City Centre incentives have fallen for the first time Newcastle Office Market in the last 12 months and now are down to 6 months for a 5 year term and 18 months’ rent free for a 10 year term. The Newcastle leisure sector and particularly Grey Street has enjoyed a buoyant uprising in recent years. The tone of rents on Grey Street is now at £30.00 per ft2 overall, as referenced by the below transactions: The current passing rent on Harry’s Bar equates to £29.90 ft2.

Earl Grey House When Harry’s Bar took occupation in 2013, there were a number of under-bidders for the lease, including All Bar One and Miller & Carter. Recent Letting Evidence

HEADLINE SIZE BUILDING DATE GRADE TENANT/NOTES ADDRESS TENANT DATE EVIDENCE RENT (PSF) (PSF) Ground floor suite New letting at £165,000 per annum Trinity Gardens Q2 2015 A £21.50 3,041 let to Allied Irish Bank Milburn House, Miller & Carter December equates to £27.50/ft2 on ground floor, 24-26 Mosley Street (Mitchells & Butler) 2013 £4.60/ft2 on basement and £13.75/ft2 5th and 7th floor suite Wellbar Central Q1 2015 A £21.50 19,904 on mezzanine. let to Iparadigms New letting at £210,000 per annum 4th floor suite Browns Brasserie April Central Square South Q4 2014 A £21.00 8,000 49-51 Grey Street which equates to £30.00/ft2 on ground let to Penspen Integrity (Mitchells & Butler) 2012 floor and £10.00/ft2 on the first floor. 7th floor suite Wellbar Central Q3 2014 A £21.50 5,300 let to Global Radio New letting at £75.00/ft2 Zone A and Lloyds Court, November 2 4th floor suite Las Iguanas equates to £44.00/ft overall with City Gate Q3 2014 A £21.39 11,187 74 Grey Street 2011 2 let to Ernst & Young LLP £10.00/ft on the basement.

Development Pipeline be underpinned by a 35 year non-occupational lease to Newcastle City Council. The scheme is Newcastle’s development pipeline is very limited expected to complete Q2 2015. with only two schemes on site, one of which, The Core at Science Central has been pre-let. Due to this limited development pipeline, it is expected occupiers will be forced to consider The second, Aviva’s ‘Rocket’ in the Stephenson secondary or refurbished Grade B space. Quarter is under construction and will include Occupier activity has significantly increased in 35,000 sq ft of office accommodation which will Newcastle City Centre and the outlook is positive.

Harry’s Bar EARL Harry’s Bar GREY HOUSE

Regional Office Investment Market

The regional office investment market has rebounded strongly since 2013 with a 250% increase in activity in the top 6 centres since 2012. Newcastle is once again established as an institutional destination and is highlighted by the below transactions:

ADDRESS TENANT AREA WAULT PRICE/YIELD DATE PURCHASER

Nexus House, £7,725,000 Tyneside Transport Service Ltd & EE 28,813 sq ft 11.25 years April 2015 Kames Newcastle upon Tyne 6.75%

Norfolk House, Countrywide, Co-op, Davidsons £3,600,000 17,842 sq ft 1 year October 2014 Kames Grey Street, Newcastle upon Tyne and Fat Hippo 6.70%

One St James Gate, £18,040,000 Watson Burton & Baker Tilly 61,651 sq ft 9 years August 2014 Aviva Newcastle upon Tyne 7.25%

52-60 Grey Street, £3,865,000 Fitzgeralds & NRG Ltd 16,493 sq ft 14.5 years April 2014 M&G Newcastle upon Tyne 6.96%

Central Square South, £21,500,000 PWC & Eversheds 86,819 sq ft 4.4 years January 2014 Standard Life Newcastle upon Tyne 7,61%

Time Central, £23,700,000 Brewin Dolphin Muckle LLP 83,436 sq ft 9.25 years November 2013 Orchard Street Newcastle upon Tyne 6.15% EARL GREY Tenure Tenancy Freehold. The property is let to 10 tenants including established names such as Svenska Handlesbanken, HOUSE Costa Coffee, Rathbone Brothers Plc and Grant Thornton UK LLP. The total passing rent is £956,639 per annum with a WAULT of 13.86 years to break and 15.73 years to expiry.

DEMISE TENANT FLOOR AREA (FT2) LEASE START LEASE EXPIRY BREAK OPTION NEXT REVIEW CURRENT RENT ERV COMMENTS

Basement Storage and Rental Guarantee 10,375 2 years from Practical - - - £103,750 £103,750 Vendor to provide a 2 year rent, rates potential Nightclub Completion (£10.00) and service charge guarantee.

Basement, Ground Endless Stretch Ltd t/a 10,037 35 years from 29.09.2012 28.09.2047 - 29.09.2017 £300,000 £300,000 Rent subject to 5 yearly upward only and First Floor Harry’s Bar & Grill Ltd (£29.89) reviews linked to RPI with a 2% collar and 4% cap.

Unit 3 Retail Costa Ltd 1,418 15 years from 07.12.2006 06.12.2021 - 07.12.2016 £68,900 £68,900

Ground Floor Offices Lambert Smith Hampton 1,694 5 years from 18.08.2014 17.08.2019 18.08.2017 - £30,000 £30,000 Tenant not currently in occupation. Group Ltd (£16.67) Break subject to 6 months’ notice. Includes one car parking space.

Part 1st Floor Offices NPlus1 Singer 1,843 5 years from 27.03.2013 26.03.2018 27.03.2016 - £31,185 £31,185 Break subject to 6 months’ notice. Advisory LLP (£16.92) Break not exercised and vendor to top-up rent free period.

Part 1st Floor Offices Nationwide Building 2,123 15 years from 14.03.2008 13.03.2023 14.03.2018 14.03.2018 £45,213 £45,213 Break subject to 6 months’ notice. (Theatre Royal Suite) Society sublet to (£21.30) Six month rent penalty if exercised. Associated Property Investors Ltd

Part 1st Floor Offices Svenska Handelsbanken 3,586 15 years from 29.10.2007 28.10.2022 - 29.10.2017 £66,000 £66,000 AB (Publ) (£18.40)

Part 2nd Floor Offices Scott Wilson 7,583 15 years from 08.09.2008 07.09.2023 08.09.2018 08.09.2018 £176,061 £176,061 Break subject to 12 months’ notice. Scotland Ltd (£23.22) Tenant not currently in occupation.

Part 2nd Floor Offices Grant Thornton UK LLP 1,861 10 years from 06.12.2006 05.12.2016 - 06.12.2011 £36,000 £36,000 Outstanding rent review from (Mezzanine) (£19.34) December 2011. Understood to be at a nil increase.

3rd Floor Offices Vacant 7,587 - - - - - £132,773 ERV £17.50

Part 3rd Floor Offices Vacant 1,986 - - - - - £34,755 ERV £17.50 (Mezzanine)

Part 4th Floor Offices Adecco UK Ltd 1,780 10 years from 30.06.2015 29.06.2025 30.06.2020 30.06.2020 £28,480 £28,480 Vendor to top-up the nine month rent (Mezzanine) (£16.00) free period. Newly refurbished.

Part 4th Floor Offices Rathbone Brothers plc 4,208 10 years from 20.11.2012 19.11.2022 20.11.2018 20.11.2017 £71,050 £71,050 Stepped rent increases to £71,050 pa (£16.05) from £35,525 pa 20.11.2015. Vendor to top up. Break subject to 6 months notice. If not exercised then tenant receives nine months at half rent. Includes two car parking spaces.

Part 4th Floor Offices Vacant 2,772 - - - - - £48,510 ERV £17.50

58,853 TOTAL RENT INCOME £956,639 £1,172,677 EARL Earl Grey House GREY HOUSE

Covenant Information

TENANT DATE TURNOVER PRE-TAX PROFIT SHAREHOLDERS’ FUNDS

Endless Stretch Ltd t/a Harry’s Bar & Grill Newly incorporated in December 2014 and therefore no trading figures are available

Costa Ltd 28.02.2014 £633,427,000 £100,449,000 £321,333,000

NPlus1 Singer Advisory LLP 31.12.2013 £8,021,000 N/A £6,246,000

API Limited 31.03.2014 £2,109,453 £74,319 £180,065

Svenska Handelsbanken AB (Publ) 31.12.2014 £308,283,127 £124,096,046 N/A

Scott Wilson Scotland Ltd 31.12.2013 £2,042,000 - -

Grant Thornton UK LLP 30.06.2013 £486,646,000 £73,283,000 £-72,610,000

Rathbone Brother PLC 31.12.2013 £186,951,000 £44,204,000 £251,000,000

Lambert Smith Hampton Group Limited 31.12.2014 £68,010,000 £6,993,000 £4,938,000

Adecco UK Ltd 31.12.2014 £448,028,000 £5,358,000 £42,324,000

Harry’s Bar EARL GREY HOUSE Covenant Information

Endless Stretch Ltd NPlus1 Singer Scott Wilson Scotland Ltd Lambert Smith Hampton Group Endless Stretch Ltd is a new company set up by NPlus1 Singer offers Broking and Corporate Scott Wilson Group plc was a global integrated Lambert Smith Hampton (LSH) is a national Joe Robertson, one of the most established and Advisory teams in the UK with 120 listed design and engineering consultancy bought by commercial property consultancy with a network recognised players in the Newcastle City Centre corporate clients, making markets in c. 700 the American firm URS Corporation in 2010. of offices across the UK and Ireland. LSH has leisure market. Harry’s Bar Newcastle has a very stocks and employing 100 people. After being Subsequently, in October 2014, URS were recently joined Countrywide Plc, which is the strong management team and is the latest in a established in 2006, NPlus1 Singer has grown to acquired by AECOM, which is a global provider UK’s largest estate agency group with a turnover long line of successful Newcastle leisure outlets become one of the top 5 corporate advisory and of professional technical and management of £685m in 2014. More recently, LSH acquired set up by Joe Robertson. He has been involved in broking businesses in the UK middle and small support services to a broad range of markets, ES Group in March 2015 and Tushingham 23 different ventures over the years, including a capital markets. including transportation, facilities, environmental, Moore in May 2015. further 10 outlets in London. Harry’s Bar is a energy, water and government. cocktail bar and restaurant serving breakfast, lunch, dinner and cocktails from 10.00am till 2.00am. The fit-out on Harry’s Bar has been reported in the press to amount to £3,500,000. See www.harrysbar.joerobertson.info www.harrysbarnewcastle.com Grant Thornton UK LLP Grant Thornton UK LLP is a firm of Chartered Adecco UK Ltd Associated Property Investors Ltd Accountants based in the UK within 25 offices API is a commercial property investment across the country, as well as presence in the Adecco UK Ltd is a national recruitment agency company, specialising in quality retail and leisure British Virgin Islands and the Cayman Islands. specialising in IT and Telecoms, Sales and Retail, buildings in the UK and Europe. They were Internationally, Grant Thornton has 600 offices Finance and Insurance and the Office sector. incorporated in 2004. in over 100 countries. Adecco UK is part of the Adecco group, which is the world’s leading provider of HR solutions with more than 31,000 employees in over 60 countries. Costa Coffee Costa Coffee was founded in London in 1971 Svenska Handlesbanken Rathbone Brother Plc and is a British multinational coffeehouse, and a wholly owned subsidiary of Whitbread, acquired Handelsbanken is a Swedish bank established in Rathbone Brothers Plc, founded in 1742, is a UK in 1995. It is the second largest coffeehouse 1871 with over 190 branches in Great Britain provider of personalised investment chain in the world behind , but the and a further 644 branches in another 24 management and wealth management services largest in the UK. The business has 1,755 UK countries. In Great Britain, Handelsbanken has for private investors and trustees. This includes restaurants, 3,500 vending facilities and 1,106 been ranked top for customer satisfaction and discretionary investment management, unit outlets overseas. loyalty for the last six years. trusts, tax planning, trust and company management, pension advice and banking services. Rathbone Brothers Plc is an independent FTSE 250 company. EARL GREY HOUSE For further information or to arrange a viewing, please contact:

Service Charge Proposal The service charge budget comprises two schedules. Dickon Wood e: [email protected] The first schedule relates to the whole building and the second Offers in excess of £12,055,000 which t: 0191 594 5036 schedule just to the upper parts. The 2015/16 budget for the m: 07966 023 924 two schedules combined is £209,350 per annum which is split represents an initial yield of 7.50% and as £0.49pence sq ft for the whole building and an additional Douglas Cranston £5.61sq ft on the offices. a reversionary yield of 9.19% and a e: [email protected] Further information is available in the data room. t: 0191 594 5023 capital value per ft2 of £204. m: 07867 001 380 Planning Adam Greenwood The property is a Grade II listed building. e: [email protected] t: 0191 594 5000 We understand the basement to have planning consent m: 07776 858 536 for use as a nightclub (Sui Generis) based on the application no. 1994/1277/01/DET. EPC The property has an EPC rating of E105. VAT The property has been elected for VAT and therefore VAT will be payable on the purchase price. It is envisaged the sale will Knight Frank LLP, St Ann’s Quay, be dealt with by way of a TOGC. 124 Quayside,Newcastle upon Tyne NE1 3BD

Misrep. Notice These particulars are not an offer or contract, nor part of one. You should not rely on statements by Knight Frank LLP in the particulars or by word of mouth or in writing (“information”) as being factually accurate about the property, its condition or its value. Neither Knight Frank LLP has any authority to make any representations about the property, and accordingly any information given is entirely without responsibility on the part of the agents, seller(s) or lessor(s). The photographs show only certain parts of the property as they appeared at the time they were taken. Areas, measurements and distances given are approximate only. Any reference to alterations to, or use of, any part of the property does not mean that any necessary planning, building regulations or other consent has been obtained. A buyer or lessee must find out by inspection or in other ways that these matters have been properly dealt with and that all information is correct. The VAT position relating to the property may change without notice. Knight Frank LLP is a limited liability partnership registered in England with registered number OC305934. Our registered office is 55 Baker Street, London W1U 8AN, where you may look at a list of members’ names. August 2015.

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