17092

H uns l e t

FREEHOLD DRIVE-THRU RESTAURANT INVESTMENT FOR SALE 5/18/04

10 Hunslet Green Retail Centre, TheOval, Hunslet, : 28

P age 1 DAVID BAROUKHASSOCIATES 17092 Hunslet 5/18/04 10:28 Page 2

Summary Tenure Investment Considerations

Purchase price in excess of £700,000, subject to contract. Freehold An opportunity to acquire a newly refurbished drive Net initial yield of 7.0%. thru restaurant. 15.25 years unexpired to Burger King Ltd. In addition, the demise includes the Lidl unit that has been sold off for 99 years from 3 February 1994 at a peppercorn Freehold. The investment is secured from Burger King Limited for to Lidl UK Properties BmbH. There are no reviews. Stamp duty exempt. 15.25 years unexpired on a lease with the benefit of Tenancy privity to contract. Burger King Ltd is a wholly Location & Communications owned subsidiary of Diageo plc who have net assets of approximately £16 billion. The is located in West . Major towns nearby include York located approximately 48.0 The drive-thru restaurant is let to Burger King Limited for kilometres (30.0 miles) to the north-east and located approximately 60.0 kilometres (37.0 miles) a term of 25 years from 10 October 1994 (approximately The property is well located in an established retail to the south west. London is approximately 314.0 kilometres (195.0 miles) to the south. 15.25 years unexpired). The current passing rent is £44,352 per annum equating to £19.68 per sq ft overall. area adjacent to Blockbuster and Lidl within the Hunslet Green Retail Centre. In addition, in the Road communications are provided by the M1, M621 and M62. Leeds Bradford International Airport is located immediate area, there is a large Morrison approximately 14.0 kilometres (9.0 miles) to the north west of the city. The rent is subject to the following fixed increases; supermarket within the Penny Hill Centre. Rail services to London Kings Cross run from Leeds mainline station with a journey time of approximately 2.5 October 2004 £45,552 The purchase price reflects a high net initial yield of hours. October 2005 £46,552 October 2006 £47,552 7.0%. Leeds has a resident district population of approximately 715,000 (2001 census). October 2007 £48,552 October 2008 £50,000 The investment benefits from a site area of 0.67 hectares (1.65 acres). Within the CACI Lifestyle Groups the category of wealthy achievers is 12.5% in Leeds as opposed to the Great Britain average of 15.0%. The lease is on full repairing and insuring terms and is subject to five-yearly upward only rent reviews following the Valuable reversion in 89 years from unit let to Lidl. Within the class groupings AB (high and intermediate managerial/ administrative/professional) the Leeds period of fixed increases. The next open market review is 10 From our enquiries, the investment is located in a district is 20.7% as opposed to the Great Britain average of 21.7% (2001). October 2009. stamp duty exempt area and therefore stamp duty Our client will supplement the rent to provide will not be payable on the purchase price. Situation £50,000 per annum from the date of completion of purchase until 10 October 2009. Contact Information Hunslet is a suburb of Leeds and is situated approximately 2.4 kilometres (1.5 miles) from Leeds town centre. David Baroukh/Alex Bard Telephone: 0207 323 1010 The property is situated in the eastern quadrant of Hunslet and is accessed via Junction 4 of the M621 to the The tenant has recently sub-let the premises to Definity David Baroukh Associates Facsimile: 0207 323 6600 west or the Hunslet Road (A61) to the east. Both roads provide access to Church Street from which The Oval Limited trading as Wok In who operate as a Chinese is accessed. restaurant. 6 Wimpole Street E-mail: [email protected] London W1G 8AL [email protected] The Hunslet Green Retail Centre is on the south west side of The Oval. The immediate surrounding area is a Covenant vibrant retail location. Directly opposite the centre, to the south east, is the Penny Hill Centre where a large Burger King Limited reported the following accounts; Morrison supermarket, Halifax bank and Post Office are located. Immediately to the south west is a Tate car showroom. 30 June 2003 Turnover £67.321m Within the Hunslet Green Retail Centre additional occupiers include Blockbuster Video and Lidl. Pre-tax loss £20.205m Net assets £23.416m

Description Burger King Limited is a wholly owned subsidiary of Diageo Plc. The accounts are as follows; The single storey building was constructed in the early 1990s of brick under a pitched roof 30 June 2003 finished with slate tiles. Turnover £ 9.44bn Pre-tax profit £ 654m The interior of the premises has recently been Net assets £ 16.679bn refurbished to provide improved kitchen facilities and restaurant sales area. The Stamp Duty Exempt property benefits from air conditioning. There are 2 customer toilets in the restaurant sales We have been informed that stamp duty is not payable on area and 2 staff toilets to the rear of the this property as the property qualifies for Disadvantaged premises. Area Stamp Duty Exemption. However, we do advise prospective purchasers to make their own enquiries. Site Price The site area is approximately 0.67 hectares (1.65 acres). The Freehold interest can be acquired for a price in excess of £700,000 (Seven Hundred Thousand Pounds) Accommodation reflecting a net initial yield of 7.0% (costs @ 1.7625%).

We have been advised that the gross internal Value Added Tax area of the property is 209.4 sq m (2,254 sq The property has been registered for VAT. It is anticipated ft). that the property will be treated as a transfer of a going concern (TOGC). The property benefits from car parking for Interior view approximately 20 vehicles. 17092 Hunslet 5/18/04 10:28 Page 4

DAVID BAROUKH ASSOCIATES 6 Wimpole Street London W1G 8AL Telephone: 020 7323 1010 Facsimile: 020 7323 6600

Misrepresentation Clause David Baroukh Associates for themselves and for the Vendor or Lessors of this property whose Agents they are give notice that the particulars are set out as a general outline only for the guidance of intending purchaser or lessee, and do not constitute, nor constitute part of, an offer or contract. All descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchaser or tenant should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the correctness of each of them. No person in the employment of David Baroukh Associates has any authority to make or give any representation or warranty whatever in relation to this property. All maps are for identification purposes only and should not be relied upon for accuracy. Subject to Contract May 2004