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Wickes Bentonfor Park Road, South SALE Gosforth, Newcastle Upon Tyne, NE7 7LX

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INVESTMENT OPPORTUNITY Wickes BentonFOR Park Road, South SALE Gosforth, Newcastle upon Tyne, NE7 7LX Open A1 Food Retail Warehouse Investment - Significant Asset Management Potential INVESTMENT SUMMARY • South Gosforth is a popular and affluent suburb • The property occupies a circa 2.1 acre site with of Newcastle upon Tyne. extensive frontage onto Benton Park Road (A191). • Modern, purpose built retail warehouse totalling • Planning permission in place for open A1 food retail, 31,434 sq ft with dedicated loading and storage yards following 2014 widening of planning consent. and 126 space surface car park. • Significant asset management potential. • Single let to Wickes Building Supplies Limited on a • Offers in excess of £4,144,000 which reflects an new 3 year lease from 20th January 2016 (c. 2.5 years attractive Net Initial Yield of 8.70% after standard unexpired) at a passing rent of £384,000 per annum purchaser’s costs at 6.55%. (£12.22 psf). BLYTH Morpeth Drive Time A192 LOCATION Manor Walks 5 Minute 10 Minute 15 Minute NE7 7LX Shopping & Leisure A7068 CRAMLINGTON A1172 Seaton Sluice A1 A189 Hospital Otterburn A190 5 Minute A192 Ponteland A19 Situation10 Minute A696 ABERDEEN Newcastle Whitley Bay Scotland International Airport A189 15 Minute A1056 The property is situated 2.5 miles north east of Killingworth A191 NewcastleNE7 7LX city centre on Benton Park Road (A191) A1 GLASGOW EDINBURGH A191 Tynemouth in South Gosforth, which is one of the city’s most Kingston A189 Silverlink A1 Park Retail GOSFORTH M6 popular and affluent suburbs. Benton Park Road CARLISLE A69 A1058 NEWCASTLE South Gosforth A66 A1058 North Shields is in close proximity to the popular residential A19 Hexham A69 A1(M) YORK Wallsend suburbs of Gosforth and High Heaton and is a LEEDS South Shields MANCHESTER TYNE TUNNEL M1 A193 LIVERPOOL SHEFFIELD NEWCASTLE main arterial route between Newcastle city centre A1018 M1 Central Station M6 Jarrow and the commuter district of Longbenton. A1(M) BIRMINGHAM A184 England RIVER TYNE Wales M1 A1(M) The surrounding area is primarily residential in M40 M11 Metrocentre GATESHEAD BRISTOL A184 M4 LONDON nature with Promis identifying Gosforth as a A694 A184 A19 pocket of affluence on Newcastle’s northern fringe. A1 Nearby occupiers include Majestic Wine and A692 A194(M) Sainsbury’s Local. Consett A1231 South Gosforth and Longbenton Metro stations SUNDERLAND Location A1(M) Washington are both within 10 minutes walking distance Durham Teesside providing rail links to Newcastle city centre and Newcastle upon Tyne is lies on the north bank of the and 30 minutes& South between Newcastle& South CentralA690 Station the rest of the North East. River Tyne and is the regional capital of the North East and London King’s Cross. of England. The city itself has a resident population of In addition to the over ground rail connections, 280,200 which when combined with Gateshead, North Northumberland West Newcastle is the only city in England, (outside of Airport Bank Foot Fawdon Regent Centre Longbenton Benton Park Monkseaton Four Lane Ends Palmersville Shiremoor Monkseaton Callerton Kingston Wansbeck South Gosforth Tyneside, South Tyneside and Sunderland forms the Parkway Park Road Whitley Bay London) to benefit from an underground rail network. Ilford Road West Jesmond Cullercoats Tyne and Wear conurbation with a population of some Jesmond The Tyne & Wear Metro is run by Nexus and totals Haymarket Chillingham Meadow Tynemouth Newcastle City Centre Monument Road Wallsend Howdon Well 1.1 million (2011 Census). St James Manors Byker Walkergate Hadrian Road Percy Main North Shields 60 stations linked into the National Rail network via Central Station River Tyne Gateshead Felling Pelaw Jarrow Simonside Chichester Hebburn Bede Tyne Dock South Newcastle is located 270 miles north of London, 103 Central Station and connecting the wider conurbation Gateshead Heworth Shields Stadium Brockley Whins miles north of Leeds and 120 miles south of Edinburgh, including Sunderland to the South East, Newcastle Fellgate East Boldon Seaburn Stadium of Light St Peter’s and benefits from excellent road communications. The Airport to the North West and all major suburbs. River Wear Sunderland City Centre Sunderland Pallion University A1 (M) and A19 provide rapid access to both the north South Hylton Millfield Park Lane Newcastle International Airport is located 6 miles Main Bus Interchange and south, and the A69 links Newcastle with Cumbria Rail Interchange north-west of the city centre and services 4.6 million Ferry (only A+B+C tick ets valid) and the M6 to the west. Airport passengers annually as well as flying to 80 destinations Park and Ride The city has excellent transport links with the East directly including London, New York, Paris, Rome, Coast mainline providing a journey time of 2 hours Berlin and Dubai. CATCHMENT – SOUTH GOSFORTH Very Low Weekly Spend per Household on Comparison Goods A1056 Low B1505 Medium Killingworth High North Gosforth Stephenson Industrial Est Very high East Brunton Palmersville Catchment - South Gosforth Forest Hall B1318 A189 Wickes A191 Grange Park Longbenton South Gosforth High Heaton A188 A1058 West Jesmond Heaton A391 Spital Tongues Jesmond Population Weekly Food Spend 43,815 £2,319,058 within a 5 minute drive time. spend within a 5 minute drive time. 196,360 £10,074,908 within a 10 minute drive time. spend within a 10 minute drive time. Weekly Retail Spend £2,667,341 spend within a 5 minute drive time. £11,018,379 spend within a 10 minute drive time. DESCRIPTION The property comprises a modern purpose built retail warehouse with dedicated loading yard, storage yard and 126 space surface carpark. The unit was constructed in 1989 and occupies a circa 2.1 acre (0.84 ha) site with extensive frontage to the A191 Benton Park Road. The title includes an unused and overgrown section of land to the west. This portion of the site has been subject to an approach by the Local Council who would like to acquire part of it with a view to widening Killingworth Road. Indicative title boundary ACCOMMODATION Ground Floor First Floor Retail Warehouse ancillary Total 2,782.74 sq m 137.56 sq m 2,920.3 sq m 29,953 sq ft 1,481 sq ft 31,434 sq ft Parking provision: Standard Disabled spaces spaces 123 3 OPEN A1 FOOD RETAIL PLANNING CONSENT TENANCY Let to Wickes Building Supplies Limited on a 3 year FRI lease Wickes has a from 20 January 2016 and thereby providing an unexpired D&B rating of 5A1 term of 2.5 years at £384,000 per annum (£12.22psf). The lease is excluded from the “Security of Tenure” provisions of the representing a Landlord and Tenant Act 1954. minimal risk of failure Covenant Summary Wickes Building Supplies Ltd – Company Number (01840419) Turnover Pre Tax Profit Shareholder’s Funds Year (£’000) (£’000) (£’000) 27.12.2014 £1,039,986 £68,731 £364,680 28.12.2013 £972,038 £49,441 £309,079 29.12.2012 £976,136 £55,770 £269,214 Wickes opened its first store in Manchester in 1972 and now is one of the UK’s leading DIY home improvements and building supplies retailers with a portfolio of circa 230 stores. The business was acquired by Travis Perkins plc and is now one of 20 brands within the Travis Perkins Group. Wickes has a D&B rating of 5A1 representing a minimal risk of failure. Planning The property benefits from Open A1 Food Retail consent. Planning consent was granted under application reference DET/01/1042/89 which was recently varied by application reference 1989/1042/04/RVC. Tenure Freehold We set out below recent transactional evidence nationwide Lease Expiry Address Tenant Date Size Price Yield Rent Rent psf (WAULT) Dec 2020 Cardiff Wickes 2016 25,000 sq ft £3,000,000 7.00% £225,000 £9.00 (c. 4.5 years) May 2036 Grimsby Wickes 2016 21,500 sq ft £4,000,000 6.68% £284,875 £13.25 (c. 20 years) Apr 2033 Chatham Wickes 2016 26,357 sq ft £6,900,000 5.60% £415,000 £15.74 (c. 17.3 years) March 2029 Bracknell Wickes 2016 40,205 sq ft £14,940,000 5.73% £904,545 £22.49 (c. 13 years) March 2021 Stirling Wickes 2015 28,446 sq ft £4,830,000 7.93% £406,125 £14.28 (c. 6 years) B&M/ £8.01 / 2021 / 2039 Darlington 2015 29,073 sq ft £4,000,000 6.77% £286,641 McDonalds £21.02 (c. 12.4 years) Sept 2020 Bridgend Wickes 2014 24,600 sq ft £4,100,000 7.50% £326,550 £12.50 (c. 6 years) Dec 2020 Sealford Homebase 2014 26,430 sq ft £3,425,000 7.59% £275,000 £10.40 (c. 6.84 years) Nov 2016 Bristol Wickes 2014 24,107 sq ft £7,220,000 7.20% £554,000 £22.98 (c. 2.7 years) June 2024 Stockton Magnet 2014 27,117 sq ft £1,480,000 7.67% £120,000 £5.68 (c. 10 years) INVESTMENT EVIDENCE DEDICATED LOADING AND STORAGE YARDS PROPOSAL We are instructed to seek offers in excess of £4,144,000 which reflects an attractive Net Initial Yield of 8.70% after standard purchaser’s costs at 6.55%. VAT EPC The property is elected for VAT. The property has the following EPC rating: B(43) Further Information available upon request. OUR TEAM Peter Atkinson Richard Turner Gagan Jagpal Maxwell Wilson Associate Director Senior Director Graduate Surveyor Associate Director Tel: 0191 223 5715 Tel: 0191 223 5720 Tel: 0191 223 5709 Tel: 020 7152 5745 Email: [email protected] Email: [email protected] Email: [email protected] Email: [email protected] DTZ Debenham Tie Leung Limited (the “Agents”) give notice to anyone who may read these particulars as follows: (1) These particulars are prepared for the guidance only of prospective purchasers.
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