121-139 QUEEN STREET & 40 WINDSOR PLACE, CF10 2BJ

PRIME HIGH STREET RETAIL PARADE & OFFICE INVESTMENT ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION Investment Considerations

• Attractive detached city centre mixed use parade providing • There are 2,456 professionally managed short stay parking spaces • Over 50% of the income is secured to 5A1 covenants approximately 54,122 sq ft of accommodation across 5 car parks located within 5 minutes creating significant • AWULT of 6.3 years to expiry, 4.72 years to break • Located on the attractive pedestrianised pitch of Queen Street additional footfall past the property • Longer term asset management opportunities including • The property benefits from substantial footfall due to a highly • The property comprises four well proportioned retail units anchored refurbishment of the office space and increasing the site density prominent position at the junction of Queen Street and the A4161 by a highly prominent Sainsbury’s supermarket with return frontage by adding storeys above, subject to the necessary consents Dumfries Place, a key entry point into the office and retail core and three floors of modern office accommodation located above Poundland • Situated 100m from Queen Street Station, an extremely busy • Freehold commuter station (the second busiest in ) • The retail units are let to Sainsbury’s Supermarkets Ltd, Starbucks Coffee Company (UK) Limited, Poundland Limited • Offers sought in excess of £18,920,000 (Nineteen Million and Fifty • The major east/west arterial A4161 & Dumfries Place provides and Demipower (2017) Ltd t/a KFC Thousand Pounds) subject to contract and exclusive of VAT. 9 busy bus stops within 100m of the property generating This equates to an attractive net initial yield of 6.75% after considerable footfall past the parade throughout the day • Income of £1,375,741 per annum allowing for purchaser’s costs of 7.69%. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

M50 A10 M1 LOCATION A465 A44 LUTON A1(M) A41 As the capital of Wales, Cardiff is a popular tourist and shopping GLOUCHESTER destination with approximately 18 million visitors each year. Cardiff is M11 A40 strategically located approximately 150 miles (240 km) west of London, A429 43 miles (69 km) west of Bristol and 42 miles (68 km) east of Swansea. M5 OXFORD

Cardiff benefits from excellent road and rail communications with the A449 M40 M4 (Junctions 29,30 and 32) 5 miles (8km) to the north linking Cardiff A419 A34 M25 to Bristol and London to the east. M1 M11 NEWPORT M25 The two busiest railway stations in Wales are Cardiff Central and Queen DIDCOT A429 SWINDON Street serving almost 12.5 million passengers a year. Cardiff Central is a M4 M49 M4 mainline rail station with regular services to Bristol Temple Meads, London M4 A13 Paddington and Birmingham New Street with fastest journey times of M32 M32 A4 LONDON 48 minutes, 2 hours 5 minutes and 2 hours respectively. Cardiff Queen CARDIFF BRISTOL CHIPPENHAM READING Street Station provides regular services throughout Wales.

A33 Cardiff Airport is located to the south west and provides access to a M20 M25 A3 M25 number of national and international destinations. Since 2015, Cardiff BATH Airport has seen almost a 50% growth in passenger numbers; in 2017 it handled approximately 1.46 million passengers. Qatar Airways are M3 A21 launching a daily service to the Gulf from May 1st 2018. A303 A22 A361 A31 M23

GLASTONBURY A34 A350 CRAWLEY

M5 A3 A303 A23

YEOVIL A303 M27 A26 SOUTHAMPTON A3(M)

A37 M27

PORTSMOUTH BRIGHTON

ROAD RAIL AIR SWANSEA - 42 MILES BRISTOL TEMPLE MEADS - 48 MINUTES CARDIFF AIRPORT - 12.8 MILES BRISTOL - 43 MILES BIRMINGHAM NEW STREET - 2 HOURS LONDON - 150 MILES LONDON PADDINGTON - 2 HOURS 3 MINUTES

THE CITY OF CARDIFF HAS A CATCHMENT POPULATION OF APPROXIMATELY 1.6 MILLION WITHIN A 45 MINUTE DRIVE • CARDIFF IS CONTINUING TO BENEFIT FROM CONSIDERABLE UK GOVERNMENT & INVESTMENT • THE CITY IS HOME TO APPROXIMATELY 80,000 STUDENT ACROSS 3 UNIVERSITIES • CARDIFF IS A TOP 10 PROMIS RETAILING CENTRE. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

DEMOGRAPHICS • The total population within the Cardiff primary catchment area is 1,280,000 ranking the City 6th out of the PROMIS centres. • The estimated shopping population is 592,000 ranking the city 8th of the PROMIS centres • Cardiff is expected to grow faster than any other UK City in terms of population • The City is an important tourist destination with more than 18 million people visiting the city each year and contributing an estimated spend of £1.2 billion to the local economy supporting approximately 14,000 jobs in the City. • Large student population within the City with approximately 80,000 students across three universities resulting in a strong retention of students and as such a particularly educated workforce.

© Copyright Rightacres Property.

CARDIFF REGENERATION AND INVESTMENT Cardiff has been the subject of significant CENTRAL SQUARE – Funded by Legal and General, METRO CENTRAL TRANSPORT HUB – There are plans regeneration and investment in the last decade Central Square will become a new gateway to in place for a £180m Metro Central transport hub to and there are numerous large scale projects Cardiff, situated directly opposite Cardiff Central include new Metro and coach stations, as well as a planned for the near future. station. The £400 million development will provide new bus station which has already been planned. The Cardiff Capital Region City Deal is an circa 885,000 sq ft of office accommodation, agreement between the UK Government, the a new transport hub and retail, commercial ATLANTIC WHARF ARENA – have Welsh Government and the ten local authorities and residential above. No1 Central Square was announced plans to build a new £110m 15,000 that comprise the Cardiff Capital Region providing completed in Q1 2016 and has achieved rents seater indoor arena helping to attract more events a £1.2 billion investment in Cardiff’s infrastructure of up to £25 psf. to the city and bring hundreds of thousands of through a 20 year investment fund. The main high spending visitors to the city. economic objectives of the deal are to create CENTRAL QUAY – a redevelopment of the Brains 25,000 new jobs and leverage £4 billion in private Brewery site to provide more than 2.5m sq ft of sector investment. development with potential for 1,000 apartments, Some of the major regeneration projects include: 50 bars and restaurants, 1.5m sq ft of new office Central Square, Central Quay, Metro Central space and a 300,000sq ft new university campus. Transport Hub and Atlantic Wharf Area. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

RETAILING IN CARDIFF CARDIFF OFFICE OCCUPATIONAL MARKET The core shopping area in Cardiff includes the In respect of convenience food retailing in Cardiff In 2017 take up in Cardiff reached 703,926 sqft, a 3% rise year on year, of which 85% pedestrianised Queen Street, High Street/St Mary city centre the provision is minimal with a Tesco was recorded in the City Centre. This was the highest recorded annual take up for the Street and . The three main shopping Metro and Sainsbury’s local on St Mary Street. , boosted by the 260,000 sqft letting to GPU at Central Square. Supply centres in the City include the St David’s Centre, The large format supermarkets within the City Centre has continued to fall and is currently at its lowest level since 2007 with only 1 million Queens Arcade and the Capitol Centre. are limited to an M&S food hall within St David’s sqft available. Prime rents have remained at £25 psf. There is approximately 167,000 The owners of the Capitol Centre are in a pre- Centre, a Tesco Metro (10,593 sq ft) at the Capitol sqft being speculatively developed by JR Smart. These are 3 and 4 Capital Quarter application consultation with the City of Cardiff Centre and the Sainsbury’s at the subject property. which total 77,000 sq ft and 90,000 sq ft respectively. The offices at the subject property Council with a view to a major redevelopment of As a result the eastern end of Queen Street has a provide modern refurbished offices close to public transport and tenant amenity and the Capitol Centre. The Centre is situated directly strong food offer. have consistently let well. opposite the subject property and the plans are to Prime rents in the City are now estimated to be at revive the centre as a mixed use retail and leisure £265 psf Zone A. destination with 100 apartments above. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

SITUATION The property is situated on the northern side of the Cardiff Queen Street Station is a short walk (100m) to the pedestrianised Queen Street between Windsor Place and south of the property and sees circa 2.8 million people Dumfries Place (A4161). The main entrance to the Capitol pass through per year. This is in addition to the captive Shopping Centre is situated directly opposite the property. student residences, busy bus stops and 2,476 parking Queen Street is made up of mainly national multiple spaces at this end of Queen Street, which makes this occupiers including O2, JD Sports, River Island, Zara, parade perfectly positioned for discount, fast food and Topshop and Nationwide. food retailers.

WINDSOR PLACE

PLANS TO BE REDEVELOPED

© Crown Copyright, ES 100004106. For identification purposes only. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

A DENSELY POPULATED STUDENT AREA, WITH SIGNIFICANT TRANSPORT HUBS IN CLOSE PROXIMITY AND HIGH COMMUTER FOOTFALL

Cardiff Central Station

Cardiff Castle Motorpoint Arena

Park & Ride No.6 Arterial bus route pick up and drop off point

Queen Street Cardiff Crown Court

Capitol Centre (subject to redevelopment)

Cardiff City Hall

A4161

SUBJECT PROPERTY No.6 Arterial bus route National Museum Queen Street Station 9 Bus Stops

A4161

Main University 5 minute walk >>>

Site outlines for identification purposes only. Capitol Centre Car Park Dumfries Place Greyfriars Car Parks Office Accommodation University Buildings Student Accommodation (388 spaces) (957 spaces) (244 spaces) 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

DESCRIPTION The property comprises an attractive detached building of four retail units with three floors of offices above Poundland providing a total of approximately 54,122 sq ft. There is a service road to the rear of the property, accessed from Windsor Lane, which provides access for deliveries for the retail units. 121-139 QUEEN STREET Sainsbury’s is arranged over ground and two upper floors providing trading at ground floor level and storage at part first floor. Their main storage facility and bakery are located at the second floor. There is a service lift that provides access to all floors. KFC is arranged over ground and two upper floors providing trading at ground and first floors, with staff accommodation at second floor level including a KFC training facility for staff that work in the Cardiff region. Starbucks is arranged over ground and two upper floors providing trading at ground and first floors, with staff accommodation at second floor level. 40 WINDSOR PLACE Poundland is arranged over ground floor and basement providing trading at ground and storage at basement level. There are three floors of office accommodation situated above the Poundland unit that are accessed via a self-contained secure entrance on Windsor Place. The office accommodation has been recently refurbished and provides the following specification: • Comfort cooling/heating • Carpeted raised access floor • Suspended ceiling with recessed lighting • Lift access • Double glazed windows • Male, female and Disabled WC’s

TENURE Freehold. 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

TENANCY DETAILS

Address Tenant Floor Area Area Annual Rent Zone A Start Expiry Next Rent Break Comments (sqft) (sqm) (psf) Rent (psf) Review Option Unit 1 - Starbucks Coffee Company (UK) Ground 1,739 163.3 £97,500 £105.05 24/06/2015 23/06/2025 24/06/2020 23/06/2020 125-139 Queen Street Limited ITZA 752 69.9 First 1,758 163.0 Second 1,764 163.9 Total 5,261 488.7 Unit 2 - Demipower (2017) Ltd Ground 2,997 278.5 £279,750 £175.14 25/03/2000 24/03/2020 Guarantor - New Demipower Limited 125-139 Queen Street t/a KFC AGA - KFC (GB) Limited ITZA 1,318 122.4 First 2,735 254.1 Second 2,850 264.8 Total 8,582 797.4 Unit 3 - Sainsbury's Supermarkets Ltd Ground 9,709 902.0 £580,000 £102.44 24/06/2000 23/06/2025 24/06/2020 125-139 Queen Street (£31.01) ITZA 5,261 488.8 First 977 90.8 Second 8,018 744.9 Total 18,704 1,737.7 121-123 Queen Street Poundland Limited Ground 5,131 476.8 £240,000 £73.03 22/02/2013 21/02/2028 22/02/2023 22/02/2023 ITZA 3,123 290.1 Basement 3,270 303.8 Total 8,401 780.6 40 Windsor Place Vacant 1st Floor Front 2,539 235.9 £38,085 Vendor will top up rent, rates and service charge for 12 months. Office (£15.00) 40 Windsor Place Purcell Miller Triton LLP 1st Floor Rear 1,604 149.0 £21,750 10/07/2015 09/07/2020 10/07/2018 The tenant has activated their break option and has vacated the property. Office (£13.56) 40 Windsor Place Instant Managed Offices Limited Second Floor 4,781 444.2 £66,598 07/09/2017 06/09/2022 07/09/2019 Fixed Rent increase to £71,355pa at 7/09/19. 1 month rent free if Tenant break underlet to Capita Business Office (£13.93) option not exercised. Penalty payment of £11,100 + VAT to be paid by the Services Limited tenant if they exercise their break option. Photographic Schedule of Condition attached to lease. IMO are outside the protection of the Landlord and Tenant Act 1954. Service Charge Cap of £30,920.50 pa. 40 Windsor Place EIP Europe LLP Third Floor Office 4,250 394.8 £52,058 29/04/2014 28/04/2024 28/04/2019 28/04/2020 4 NCP passes provided to Tenant at Landlord expense. Rent free period from (£12.25) 28/4/20 to 28/10/20 if break option not exercised. Electricity Sub Station South Wales Electricity plc Peppercorn 25/03/2000 24/03/2099 Situated on Dumfries Place to the rear of Sainsbury’s.

Total 54,122 5,028 £1,375,741 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

COVENANT INFORMATION Starbucks Coffee Company (UK) Limited - D&B Rated 5A1 Sainsbury’s Supermarkets Ltd - D&B Rated 5A1 Poundland Limited - D&B Rated 4A3 Starbucks is an American coffee company and coffeehouse Sainsbury’s is one of the top supermarket operators in the Poundland was established in 1990 and is chain founded in Seattle, Washington in 1971. As of 2017 there UK and currently has approximately 15.8% of the total market share. Sainsbury’s considered to be the leading discount retailer in the UK. Since establishing were 27,339 Starbucks stores around the world with 868 stores in trade from 605 supermarkets and 807 convenience store, also servicing in 1990 over 700 stores have been opened in the UK and over 60 in the the UK. approximately 250,000 online orders each week. Republic of Ireland. Starbucks Coffee Company (UK) Limited reported the following figures for Sainsbury’s Supermarkets Ltd reported the following figures for the the past 3 years: past 3 years: Poundland Limited reported the following figures for the past 3 years:

28 Sep 2014 27 Sep 2015 02 Oct 2016 14 Mar 2015 12 Mar 2016 11 Mar 2017 30 Mar 2014 29 Mar 2015 27 Mar 2016 Turnover £408,721,070 £405,641,634 £379,863,586 Turnover (000’s) £23,443,000 £23,168,000 £23,234,000 Turnover (000’s) £997,803 £1,111,526 £1,214,818 Pre-tax Profit £1,056,196 £34,216,739 £13,382,364 Pre-tax Profit (000’s) (£206,000) £406,000 £342,000 Pre-tax Profit (000’s) £41,017 £45,922 £34,653 Total Net Worth £35,513,082 £57,705,649 £66,198,800 Total Net Worth (000’s) £4,224,000 £4,458,000 £4,353,000 Total Net Worth (000’s) £96,235 £93,866 £20,520

Demipower (2017) Ltd - D&B Rated 03 Instant Managed Offices Limited- D&B Rated 3A1 EIP Europe LLP - D&B Rated N3

Demipower are a franchisee of Kentucky Fried Chicken. ® Instant Managed Offices Limited have an arrangement EIP is a specialist IP firm with practising offices in the US and Europe, capable of filing and prosecuting patent, The first restaurant was opened under the name Kentucky Fried whereby they act as property manager for Capita at the trademark and design applications. Chicken in 1952. In 2017, the chicken restaurant chain had a offices. Capita Business Services Limited use the offices brand value of 13.52 billion U.S. dollars, the fourth largest fast food as a disability assessment centre. brand in the world. The guarantor, New Demipower Limited reported the following figures for the Instant Managed Offices Limited reported the following figures for the past 3 years: past 3 years: EIP Europe LLP reported the following figures for the past 3 years:

31 Oct 2014 31 Oct 2015 31 Oct 2016 31 Jul 2015 31 Jul 2016 31 Jul 2017 31 Mar 2015 31 Mar 2016 31 Mar 2017 Turnover £40,851,528 £57,540,345 £60,720,664 Turnover £34,047,000 £46,089,000 £54,486,000 Turnover £19,345,945 £26,293,000 £18,609,000 Pre-tax Profit £820,703 £1,763,930 £1,801,568 Pre-tax Profit £1,598,000 £4,535,000 £4,568,000 Pre-tax Profit £3,909,737 £4,913,000 £2,023,000 Total Net Worth £886,500 £681,779 £2,112,138 Total Net Worth (£2,262,000) £3,956,000 £10,385,000 Total Net Worth £4,185,636 £5,500,000 £3,149,000 121-139 QUEEN STREET & PRIME HIGH STREET RETAIL PARADE AND OFFICE INVESTMENT OPPORTUNITY 40 WINDSOR PLACE, CARDIFF CF10 2BJ ANCHORED BY A SAINSBURY’S SUPERMARKET IN A HIGH FOOTFALL LOCATION

SERVICE CHARGE VAT PROPOSAL The budgeted service charge for 121-139 The property has been elected for VAT Queen Street & 40 Windsor Place for the year and as such it is anticipated that the ending 31/12/2018 is £67,479. Additional transaction will be treated as a Offers sought in excess of £18,920,000 (Nineteen Million and information is available in the dataroom. Transfer of a Going Concern (TOGC). Fifty Thousand Pounds) subject to contract and exclusive of VAT. This equates to an attractive net initial yield of 6.75% after allowing DATAROOM for purchaser’s costs of 7.69%. For access to the Allsop dataroom please use the following link: https://datarooms.allsop.co.uk/register/Cardiff For further information or to make arrangements for viewing please contact:

Andy Pointon Richard Lea Lottie Hayward 020 7543 6720 020 7543 6832 020 7543 6750 [email protected] [email protected] [email protected] www.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 04.18