Lawnswood Business Park, LS16 6QY

Prestigious Freehold Multi Let Business Park Investment Richmond 1 House

Mayesbrook House

Peter Bennett House Victoria House Alpha House Caledonia House

Alexandra House Gladstone House RING ROAD WEST PARK A6120 Business Park, Leeds LS16 6QY 2

Investment Summary

• Modern, high quality multi-let business park in a popular north Leeds location. • Prominent position fronting the (A6120) and located only 4 miles (7 km) from . • 8 detached office buildings totalling 147,355 sq ft in an attractive landscaped environment. • 34% of income secured to undoubted Government covenant. • 63% of income secured to tenants with a low risk Experian rating. Caledonia • 4 occupational transactions on the Park within the last year. House • Excellent car parking ratio of 1:252 sq ft. • Freehold. • Strong Asset Management opportunities. • Total income of £1,818,317 per annum. • Offers are invited in excess of £18,250,000 (Eighteen Million Two Hundred and Fifty Thousand Pounds) subject to contract and exclusive of VAT for the freehold interest in this property. This reflects an attractive net initial yield of 9.41% after allowing for full purchaser’s costs of 5.8%. A purchase at this level represents a capital value of £124 per sq ft.

3 e

t e v iv i Dr n n Location r eso u Iv

D

o

l

l e i

M

n

A658 M a d O r e L Leeds is the major commercial and financial centre for and the k an t

l l i o l L l f a e

it e S y d p H s d e O o o North East of . The city is approximately 35 miles (55 km) north of A660 A B H l s d

p R w

h e i o t c a Sheffield, 40 miles (65 km) north east of Manchester and 190 miles (300 km) a a o d N Harrogate l r p A1 L p e S a A north of London. v 14.8 Miles i n lk i n r M e so D i ad e ll n Ro v n o I W Ives The city has direct access to the M1 and M62 motorways, lying 7 miles (11 o

A61 a s

y e O

v I t Leeds cent L le km) north of the intersection of the M1 (J42) and M62 (J29) motorways. The es u y r tt C r O e I l v l d M1 is directly accessed from the city centre by the M621 which in turn links n l e ey Road

Airport o C R l

s s o t

h r

e o a

c e v O I d n

with the A1(M). J45 a s S c e

o ilk

r M R ill e

A660A6 p Way n i n a

p A s t S s L A e A64 p p ill e e Leeds City Railway Station has recently been through a major refurbishment n A658 M n n lk e A6120 Si M n ou p i nt L th programme at a cost of £245 million. It is the busiest rail station outside Lawnswood u S o tt r re n A1(M) ll e Business Park P

Central London with over 900 trains and 50,000 passengers using it each l. A

v A6120 e

day. Services to London Kings Cross run every 30 minutes with a fastest n Iv u O

e e son t Driv le journey time of 2 hours. There is also a regular service to Manchester, 44/48 e y O A660 J47 ld Liverpool, York and Newcastle. t R n o A647 u a o rive d Bradford Lawnswood rne D M Sp nitho Leeds Bradford International Airport is situated 8 miles (12.5 km) north west Leeds en J46 e Business Park n o t of the city centre and only a 10 minute drive from Lawnswood Business Park. e s J3J3 e n J2A e k a r u J2 c L A63 P n e a is The airport provides daily flights to major UK and European destinations. a a rd R J4 e J45 r r nfo k P n y r J1 M1 st v W o e n e

e A p

J5 G T e r J6 o S u ve d

J7 r n e

C o

f v J44 l

Local Economy n a A

A650 y y M621 d t o R r ed W n v o J43 er Parkstone f s W n M606 y Leeds is the second largest metropolitan district in England with an urban C o

J27 lose o W W York d yn population of circa 715,000 persons and a catchment population of 2.5 fo M62 Morley R rd 26.6 Miles i M s o J26 e unt million persons in the Urban Area (2001 census). J28 Wynford 29/42 J30 Ring R Grove A6120 oad W A6120 As the largest banking and financial centre outside London, Leeds has est P ark J41 M62 developed into one of the UK’s premier business cities and has the largest A653 L Castleford re V o Latchme iew J3J31 w

employed population in the Yorkshire region. It is anticipated that Leeds will L J32 a w M1 n ie s A6120 provide one quarter of the region’s additional jobs in the decade to 2020. e V hmere Drive re atc J25 e L M The financial services and business sectors employ approximately 122,000 m o Otley Roa h or G ra Garden c ng Dewsbury Wakefield t e D a rive ol L o people accounting for 1:4 jobs. J40 od Sch awnswo Spen L A644 A638 Bradford F rm Dr ill fa ive ing ld 7.6 Miles fi O w e d r ere Road n D m e e h i ri tc a v d e a V L L a e r L n W g es a a e t Sat Nav: LS16L 6QY t n P c p Pa o a ra h r S h d w e t m G r

L r o e d S a o r N a p

n e o We h s o e

e t P c a n D M rk R D r a ri R iv ve h o o g e r i a A660 p e d l oad p A R r A e nc sh lif d n fe A l a R m o e r L ad i a f n ill Road H e mf her ld utc O p Leeds B ho S T 4 Miles But cher Hill We lbur n Av enue

Lawnswood Business Park Redvers Close Leeds LS16 6QY

Lawnswood Business Park, Leeds LS16 6QY 4 e

t e v iv i Dr n n r eso Communications u Iv

D

o

l

l e i

M

n

A658 M a d O r e L k an t

l l i o l L l f a e

it e S y d p H s d e O Road Otley o o A660 A B H l s d

p R w

h e i o t c a a a o d N Harrogate Road communications to Lawnswood Business Park are excellent. The Park l r p A1 L p e S a A v 14.8 Miles i n lk i n r M e so fronts the Leeds outer ring road (A6120) and is also very well positioned D i ad e ll n Ro v n o I W Ives o

A61 a s

y e O for both the A660 and A65 northern arterial routes leading out of Leeds.

v I t Leeds cent L le es u y r tt Bradford C r O e I l This in turn provides good connections to the regional motorway network of v l d n l e ey Road

Airport o C R l

s s o t

h r

e o a

c e v O I d n

J45 a s S c e the M1, M621, M62 motorways and A1 (M) via the ring road and A65. The

o ilk

r M R ill e

A660A6 p Way n i n a

p A s t S s L A e A64 p p ill e e A658 M n n n property is only 4 miles (7 km) from Leeds city centre. lk e Horsforth A6120 Si M n ou p i nt L th Lawnswood u S o tt r re n A1(M) ll e

Business Park P

l. A v

A6120 e Rail n

Iv u O

e e son t Driv le 44/48 e y Lawnswood Business Park is only 2 miles (3.5 km) from Horsforth railway O A660 J47 ld t R n o station, which has direct links to Leeds City Centre Railway Station with a A647 u a o rive d Bradford Lawnswood rne D M Sp nitho Leeds en J46 e journey time of approximately 11 minutes. There are 6 trains per hour to the Pudsey Business Park n Garforth o

t e

s J3J3 e n J2A e k a r u J2 c city centre at peak times and 3 trains per hour during off peak hours. From L A63 P n e a is a a rd R J4 e J45 r r nfo k P n y r J1 M1 st v W o e n e

e A p

J5 G T e r Leeds city centre there are regular train services to London Kings Cross with J6 o S u ve d

J7 r n e

C o

f v J44 l

a n A the fastest journey time of 2 hours.

A650 y y M621 d t o R r ed W n v o J43 er Parkstone f s W n M606 y C o

J27 lose o W W York d yn fo M62 Morley R rd 26.6 Miles Airport i M s o J26 e unt J28 Wynford 29/42 J30 Ring R Grove The Park is extremely well positioned for access to Leeds Bradford A6120 oad W A6120 est P ark J41 M62 International Airport as it is only a 10 minute drive. There are regular direct A653 L Castleford re V o Latchme iew J3J31 w J32 flights to over 70 international destinations and daily flights throughout the L a w M1 n ie s A6120 e V hmere Drive re atc UK. J25 e L M m o Otley Roa h or G ra Garden c ng Dewsbury Wakefield t e D a rive ol L o J40 od Sch awnswo Spen L A644 A638 Bradford F rm Dr ill fa ive Bus ing ld 7.6 Miles fi O w e d r ere Road n D m e e h i riv tc a e a V d L L a The Park is very well served by regular bus services and various bus routes e r L n W g es a a e t Sat Nav: LS16L 6QY t n P c p Pa o a ra h r S h d w e t m to and from the city centre which stop at the Park entrance approximately G r

L r o e d S a o r N a p

n e o We h s o e

e t P c a n D M rk R every 10 minutes during working hours. D r a ri R iv ve h o d o g e r i a A660 p e d l oa p A R r A e nc sh lif d n fe A l a R m o e r L ad i a f n ill Road Weetwood H e mf her ld utc O p Leeds B ho S T 4 Miles But cher Hill We lbur n Av enue

Lawnswood Business Park Redvers Close Leeds LS16 6QY 5 Lawnswood Business Park, Leeds LS16 6QY

Situation Lawnswood Business Park is very prominently located, fronting the Leeds outer ring road (A6120) approximately 4 miles (7 km) north west of the city centre. The ring road provides excellent links to the national motorway network of the M1, M621, M62 motorways and the A1(M). Richmond House The Park is extremely well positioned for both the A660 and A65 northern arterial routes which provide access into Leeds city centre. The North Leeds area is recognised as one of the most affluent parts of the City and Lawnswood Business Park benefits from a consistent level of interest from individuals and companies located N in the area. Mayesbrook The Park also enjoys excellent accessibility to Leeds and Bradford House Airport which is only a 10 minute drive from the Park. Victoria House

Peter Bennett House

Alpha House

Gladstone se House

o

Avenue Parkstone

vers Cl

Red Alexandra House Caledonia House

Mayesbrook House

Ring Road West Park A6120 6

Alpha House 7

Description Accommodation Lawnswood Business Park is a prestigious, high quality office Demise Floor Area (sq ft) park, located within the popular northern outer suburbs of Leeds. It provides 8 detached office buildings totalling 147,355 sq ft set Peter Bennett House Ground 5,393 within an attractive landscaped environment. The Park was built First 11,109 in a number of phases starting in 1989 and provides a mixture of 2 Second 12,170 and 3 storey buildings and 1 4 storey building. 3 Third 9,047 37,719 The Park benefits from 585 car parking spaces, providing an excellent car parking ratio of 1:252 sq ft. Caledonia House Ground 7,575 First 7,577 A number of high quality government and corporate tenants have 15,152 Victoria House space on the Park including, The Secretary of State, BUPA Care Alpha House Ground 4,703 Homes, Zurich Assurance Limited, The British Medical Association, First 4,735 Lloyds TSB and Royal and Sun Alliance Insurance. Second 4,738 The offices are of steel framed construction behind brick 14,176 elevations surmounted by a pitched roof and provide the following Gladstone House Ground 4,178 specification: First 4,245 - Raised access flooring with clear 150mm void. 8,423 - Suspended ceilings with recessed lighting. Alexandra House Ground 6,304 - Good floor to ceiling heights of between 2.6m - 2.8m. First 6,353 - Lifts to all floors in each building. Second 6,367 - Gas fired heating via perimeter radiators. 19,024 - Comfort cooling to some buildings. Victoria House Ground 4,702 Mayesbrook House - On-site security. First 4,695 - Male & female WC’s on each floor and disabled WC provision in Second 4,702 each building. 14,106 - Double glazed aluminium framed windows. Richmond House Ground 4,691 First 4,691 Tenure Second 4,695 14,077 The property is held freehold. Mayesbrook House Ground 8,309 First 8,207 Second 8,236 24,752 TOTAL 147,355 Richmond House Lawnswood Business Park, Leeds LS16 6QY 8

Typical floor plans

Victoria House

Mayesbrook House Victoria House

Mayesbrook House

Mayesbrook House

Victoria House Richmond House For indicative purposes only. Not to scale. 9

Tenancies

Unit Tenant Area Lease Start Expiry Date Current Income Rent Passing Comments (NIA sq ft) Date (Break) (£ per annum) (£ per sq ft)

Peter Bennett House Secretary Of State 37,719 01/05/1993 30/04/2018 £500,000 £13.26 Rent review 01/05/2013. Whole (HM Customs & Excise)

Caledonia House Aramark Limited 15,152 01/07/1992 30/06/2017 £246,400 £16.26 Comfort cooled. Whole Rent review 01/07/2012.

Alpha House Lloyds TSB General 14,176 04/12/1989 23/12/2014 £214,000 £15.10 Tenant not in occupation. Whole Insurance Holdings Limited Rent review 04/12/2014.

Gladstone House British Medical 2,101 25/04/2009 24/04/2014 £32,520 £15.48 - Part Ground Association

Gladstone House Foursoft Limited 2,077 17/01/2011 16/01/2016 £32,333 £15.57 Foursoft moved from space in Part Ground (17/01/2014) Mayesbrook House.

Gladstone House Penna Plc 2,284 14/12/2003 13/12/2013 £35,371 £15.59 Part First Floor

Gladstone House Penna Management 1,961 10/11/1993 09/11/2018 £29,900 £15.37 Rent review 10/11/2013. Part First Floor Services Plc

Alexandra House Secretary of State 6,304 16/07/1990 15/07/2015 £95,617 £15.17 Ground Floor for the Environment

Alexandra House United Dominions Trust 6,353 23/09/1991 22/09/2016 £97,700 £15.38 Tenant not in occupation. First Floor Limited Mediclaw Ltd have underlease of 550 sq ft.

Alexandra House Fuel Card Services Limited 6,367 11/06/1990 10/06/2015 £96,800 £15.20 Second Floor

Victoria House Royal & Sun Alliance 4,702 21/06/1991 20/06/2016 £72,000 £15.31 Tenant not in occupation. Ground Floor Insurance Plc

Victoria House Henderson Employee 4,695 30/07/2010 29/07/2015 £72,850 £15.52 Tenant break on 6 months notice. First Floor Benefits Limited (30/07/2013)

Victoria House Vacant 4,709 - - - - - Second Floor Lawnswood Business Park, Leeds LS16 6QY 10

Unit Tenant Area Lease Start Expiry Date Current Income Rent Passing Comments (NIA sq ft) Date (Break) (£ per annum) (£ per sq ft)

Richmond House BUPA Care Homes 9,382 16/02/2012 15/02/2017 £145,651 £15.52 Comfort cooled. 3 months break penalty. Ground Floor (CFH Care) Limited (15/02/2015) The tenant is split over 2 floors on two separate First Floor leases.

Richmond House Zurich Assurance Limited 4,695 13/09/1991 12/09/2016 £71,500 £15.23 Subtenant - Oracle Corporation UK Ltd. Second Floor Rent review 13/09/2011.

Mayesbrook House BWD Limited 1,900 14/03//2011 13/03/2021 £28,425 £14.96 Tenant paying half rent until 18/03/2013. Part Ground Floor (14/03/2016) 12 months rent free if tenant does not break. Rent increases to higher of OMV or £15.50 at review.

Mayesbrook House Vacant 1,302 - - - - Refurbished space. Part Ground Floor

Mayesbrook House Vacant 5,107 - - - - Refurbished space. Part Ground Floor

Mayesbrook House Vacant 5,111 - - - - Refurbished space. Part First Floor

Mayesbrook House Computer Systems 3,059 29/09/2011 28/09/2016 £47,250 £15.45 Lease renewal agreed to start 29/09/2011. Part First Floor Integration Limited 9 months rent free, to be topped up by vendor.

Mayesbrook House Vacant 3,067 - - - - Refurbished space. Part Second Floor

Mayesbrook House Vacant 5,132 - - - - Refurbished space. Part Second Floor

Total 147,355 £1,818,317 11 Lawnswood Business Park, Leeds LS16 6QY

Covenant Information

Tenant Business Activity % of Experian Rating Tenant Business Activity % of Experian Rating Income Income

Secretary of State Government. 34% Undoubted British Medical Independent trade union and 2% 100/100 for Environment & Government Association professional association for HM Customs & Excise Covenant doctors and medical students.

Aramark Limited Food service partner. 14% 78/100 Foursoft Limited Integrated software solutions for 2% 100/100 the freight and logistics industries. Lloyds TSB Banking Services. 12% Banking covenant Brownlee Walker Recruitment solutions. 2% 85/100 United Dominions Financial Services, part of 6% 86/100 Davies (BWD) Trust Limited Lloyds Bank. Search and Selection Limited Fuel Card Services Independent agents of fuel cards. 5% 88/100 Limited Kuehne and Nagel Logistics company. 1% 55/100 Limited BUPA Care Homes Bupa offers expert residential, 4% 100/100 Limited respite and nursing care.

Zurich Assurance Insurance Business. 4% 94/100 Limited Tenant Income Analysis and Covenant Strength

Royal & Sun Alliance Insurance Group. 4% 100/100 Insurance Other Low Risk 3% Experian Rating Denney O’Hara Ltd Leeds based insurance brokers. 4% 94/100 Acquired by Henderson Insurance 34% Brokers in 2010. 100 Experian Rating 12% Penna Plc Fully integrated HR Consultancy 4% 64/100 Group.

Computer Systems Business system integrators. 3% 80/100 Integration Banking Government income income 17% 34% 12

Richmond House Richmond House

Alexandra House Alexandra House 13 Lawnswood Business Park, Leeds LS16 6QY

Market Commentary In 2010, out-of-town office take-up in Leeds was 252,000 sq ft compared to the 10 year average take-up of 400,000 sq ft per annum. Approximately 48,000 sq ft of this was for Grade A space and the remainder was secondhand, Grade B space. Take up in the first quarter of 2011 was 53,000 sq ft. Despite this low figure, a number of occupational transactions have occured at Lawnswood Business Park, illustrating the demand for space at the Park and its popularity with occupiers. These lettings are outlined below:

Date Building Tenant Size Rent Comments (Floor) (sq ft) (£ per sq ft)

June Mayesbrook House Computer Systems 3,046 £15.51 5 year lease renewal. 2011 (Part first floor) Integrated Limited 9 months rent free.

March Mayesbrook House BWD Limited 1,895 £15.00 10 year lease with 5 year break. 2011 (Part ground floor) Higher of OMV or £15.50 per sq ft at review.

January Gladstone House Foursoft Limited 2,086 £15.50 5 year lease with 3 year break. 2011 (Part ground floor)

July Victoria House Denney O’Hara 4,659 £15.64 5 year lease with break at year 3. 2010 (Part first floor) Limited

Gladstone House Gladstone House 14

Alexandra House 15 Lawnswood Business Park, Leeds LS16 6QY

Service Charge Based on the 2011 service charge budget, the current service charge is circa £3.50 per sq ft. The tenants also contribute to a Park estate charge which is circa £1.30 per sq ft. Further details are available on request. Asset Management Opportunities There are a number of asset management opportunities at Lawnswood Business Park as follows: • Let the remaining vacant space on the Park which currently totals 24,428 sq ft (17%). • Explore potential lease re-gears with the current tenants. • Investigate the potential of installing comfort cooling to further raise the rental level. • Potential to subdivide the vacant space to provide smaller suites, catering for local demand.

• Possible surrender and re-letting opportunities where tenants are not in occupation. • Appraise the possibility of selling buildings individually.

Caledonia House Peter Bennett House 16

Peter Bennett House 17 Lawnswood Business Park, Leeds LS16 6QY 18

VAT We understand that the property is elected for VAT, although it is anticipated that the sale will be treated as a Transfer of a Going Concern (TOGC). Proposal We are instructed to seek offers in excess of £18,250,000 (Eighteen Million Two Hundred and Fifty Thousand Pounds) subject to contract and exclusive of VAT for the freehold interest in this property. This reflects an attractive net initial yield of 9.41% after allowing for full purchaser’s costs of 5.8%. A purchase at this level represents a capital value of £124 per sq ft.

Further Information Contacts If you require any further information on this opportunity, wish to organise an inspection or would like access to the online data site then please contact:

Carolyn Clark Alex Whiting [email protected] [email protected] 020 7182 2392 0113 394 8810

James Vivian Robin Bullas [email protected] [email protected] 020 7182 2810 0113 394 8817 Caledonia House

CBRE Limited Henrietta House Henrietta Place London W1G 0NB Lawnswood Business Park, Leeds LS16 6QY

CBRE Limited Henrietta House Henrietta Place London W1G 0NB

Disclaimer CB Richard Ellis Limited for itself and for the vendor/lessor as agents for the vendor/lessor give notice that: 1. We provide the information contained in these particulars for guidance to intending purchasers, licensees or any other third parties and they are for your general information only and will be used at your own risk. 2. We will use all reasonable endeavours to ensure the accuracy of information, however, we do not guarantee or warrant the accuracy or completeness, factual correctness or reliability of any information in the particulars (especially as the information may have been obtained from third parties) and do not accept any liability for any errors or omission including any inaccuracies or typographical errors. 3. Any interested purchasers, licensees or any other third parties should not view the information in the particulars as statements or representations of fact and should satisfy themselves that the facts and specific details in the particulars are correct and accurate especially in relation to floor areas and other measurements through inspection or other means, as appropriate, and will be responsible for taking independent surveys or valuations before entering into any legally binding transaction in respect of the property or premises that is the subject matter of these particulars. 4. We have not made any investigations or otherwise of any issues concerning pollution and potential land, building, air or water contamination. Prospective purchasers, licensees or any other third parties must undertake their own enquiries and satisfy themselves in this regard. 5. Unless otherwise stated, all prices and rents are quoted exclusive of VAT. March 2012.