INVESTMENT SUMMARY 128 KING HENRY’S ROAD, LONDON NW3 3ST UNIQUE CENTRAL LONDON FREEHOLD INTEREST 128 King Henry’s Road London NW3 3ST 1.76 ACRES IN PRIME CENTRAL LONDON INVESTMENT SUMMARY 128 KING HENRY’S ROAD, LONDON NW3 3ST 128 KING HENRY’S ROAD › Prime location in one of London’s most affluent areas adjacent to St John’s Wood, Swiss Cottage and in close proximity to Regent’s Park. › The subject property comprises a 304 bed 4 star hotel situated on a prominent site at the junction of King Henry’s Road, Harley Road & Adelaide Road. › The site totals 1.76 acres (0.712 hectares). › We understand that the total gross internal area is 221,781 sq ft (20,604 m2). › Freehold Interest. › The hotel is let on a full repairing and insuring lease expiring on the 23rd June 2064 at a rent £33,735 per annum. An additional £24,250 per annum will be received from two separate telecom mast leases. Therefore the total contracted rent will be £57,985 per annum. › The rent rises to £41,500 per annum in June 2035. › We understand the lessee benefits from a management agreement with Marriott Hotels expiring in 2036. › A significant reversion in 2064 offering potential purchasers a very prominent re-development site to alternative uses (stp). › Offers are invited for the freehold interest subject to contract and exclusive of VAT. › Opportunity to purchase the Gibraltar based SPV. LOCATION 128 KING HENRY’S ROAD, LONDON NW3 3ST SITUATED IN THE HEART OF ONE OF Regent’s Park, is one of the Royal Parks of London. It lies within inner North West London, partly in HAMPSTEAD HEATH LONDON’S MOST AFFLUENT AREAS, HAMPSTEAD the City of Westminster and partly in the London HAMPSTEAD JUST NORTH OF REGENT’S PARK. R OS HEATH Borough of Camden. SL YN H I A41 F LL I T The 158 hectares (395 acres) park is mainly open Z J Swiss Cottage is located on the northern side F O I N H A503 parkland which enjoys a wide range of facilities and C 128 King Henry’s Road N H ’ of Regent’s Park in Central London. It is one of L S E H Regents Park A Y A amenities including gardens, a lake with waterfowl FINCHLEY ROAD BELSIZE V R V E London, NW3 3ST D E R the most exclusive residential areas in London & FROGNAL PARK S A400 N and boating area, sports pitches, and children’s TO U C adjacent to St John’s Wood and is home to E K H playgrounds. The northern side of the park is the IL SWISS L D many prominent residents. R COTTAGE N home of London Zoo and the headquarters of the WEST FINCHLEY E D HAMPSTEAD ROAD M The concentrated residential area around A Zoological Society of London. C A502 CHALK The Marriott Hotel consists mainly of Victorian FARM CAMDEN TOWN terraces. SOUTH C PRIMROSE A A HAMPSTEAD VE M N HILL D A41 UE E R N O D ST JOHN’S A T R H D BER A5 AL IG WOOD E NC H I F PR S I T N C KING’S CROSS H L E ST PANCRAS M Y A R ID D A V A501 A L E REGENTS PARK EUSTON MAIDA VALE RD N BAKER TO E EUS D STREET GWA MARYLEBONE R A501 E R D D NE R GREAT YLEBO MAR PORTLAND A40 STREET TOTTENHAM PADDINGTON COURT ROAD OXFORD CIRCUS A40 T RD S R FO E OX G E N PICCADILLY T MARBLE BOND STREET A402 S CIRCUS D D ARCH T AN TER R TR AYSWA S B HYDE PARK Regent’s Park Swiss Cottage Underground Primrose Hill Regent’s Park Swiss Cottage Library ZSL London Zoo SITUATION 128 KING HENRY’S ROAD, LONDON NW3 3ST THE PROPERTY IS SITUATED ON A PROMINENT SITE AT 128 King Henry’s Road Regents Park THE JUNCTION OF KING HENRY’S ROAD, HARLEY ROAD & London, NW3 3ST ADELAIDE ROAD. SWISS COT TAGE Finchley Road (A41) situated 200m to the west provides a direct link to both the North Circular Road (A406) and the M1. ADELAIDE RD WINCHESTER RD B509 Hampstead Village, 0.9 miles (1.45 km) to the north and St. John’s Wood, 0.59 miles (0.95 km) to the south, provide a wide range of ADELAIDE RD shops, restaurants, cafes and bars. Hampstead Heath, Regents Park and Primrose Hill are all within a mile (1.61 km) of the property. P GLOUCESTER AVE R I KING HENRY’S RD M R Immediately adjacent to the property is the recently built UCL O S Academy. Close by is Hampstead Theatre and Swiss Cottage Leisure E H IL Centre set in a public square creating excellent amenity space. L RD ELSWORTHY RD FINCHLEY RD A41 PRIMROSE ST JOHN’SWOOD PARK HILL B525 ORDNANCE HILL RD RT A41 BE AL INCE ST JOHN’S PR WOOD REGENTS PARK Car Park at the Rear of the Marriott Hotel Swiss Cottage Leisure Centre Avenue Road UCL Academy 128 KING HENRY’S ROAD, LONDON NW3 3ST The Roundhouse Canary City of The London Oxford Regents Swiss Lords Cricket theartre Wharf London Shard Zoo Street Park Cottage Ground Library St John’s Primrose Post Office London Wood High Hyde Earls Hill Tower Eye Street Park Court Hamstead Swiss Theatre Cottage Station COMMUNICATION 128 KING HENRY’S ROAD, LONDON NW3 3ST THE PROPERTY BENEFITS FROM EXCELLENT TRANSPORT LINKS WITH SWISS COTTAGE PROVIDING JUBILEE LINE SERVICES DIRECT TO THE WEST END (BOND STREET) IN 7 MINUTES, WATERLOO IN 13 MINUTES AND CANARY WHARF IN 23 MINUTES. Jubilee Line Jubilee Line BONSTREET WATERLOO CANARY WHARF SWISS ST JOHNS WOOD BAKER STREET SOUTHWARK LONDON BRIDGE BERMONDSEY 25 MINS FINCHLEY ROAD COTTAGE 7MINS GREEN PARK WESTMINISTER 13MINS CANADA WATER DLR CENTRAL LINE NORTHEN LINE METROPOLITAN LINE BAKERLOO LINES HAMMERSMITH & CITY NORTHEN, BAKERLOO & CIRCLE & DISTRICT LINES LONDON UNDERGROUND CIRCLE, METROPOLITAN & PICCADILLY & VICTORIA LINES WATERLOO & CITY LINES LINES DESCRIPTION THE PROPERTY WAS CONSTRUCTED CIRCA 1970 AND COMPRISES A 304 ROOM 4 STAR HOTEL WITH UNDERGROUND PARKING, LEISURE AND CONFERENCE FACILITIES WITH BOTH RESTAURANT AND BAR. We understand that the total gross internal area is 221,781 sq ft (20,604 m2). The Hotel has the following amenities:- › 7 floors › 301 rooms › 3 suites › 8 meeting rooms – totalling 5,425 sq ft › 1 concierge level › 3 x restaurants › Fitness Centre › Indoor swimming pool The site totals approximately 1.76 acres (0.712 hectares). 128 KING HENRY’S ROAD, LONDON NW3 3ST COVENANT STRENGTH TENURE the income from the telecom mast licence. Gold Diamond D Regent’s Park 2005 Ltd are In addition the lessee is close to signing an ultimately owned by the Abu Dhabi Investment Freehold additional telecoms mast lease agreement Authority (ADIA). Further information can be with Vodafone at a passing rent of £25,000 found at www.adia.ae per annum, the freeholder will be entitled TENANCIES The last three years accounts for the tenant are to 50% of this rent. The property is let to Golden Diamond D shown below: Regents Park 2005 Ltd on a lease for a term The total contracted rent will therefore be of 99 years from 23rd January 1974. The £57,985 per annum. 2014 2013 2012 lease is full repairing and insuring. Turnover £15,968,802 £14,961,550 £15,990,024 The passing rent is £33,735 per annum, and MARRIOTT MANAGEMENT Operating £2,212,573 £1,927,099 £2,694,669 is subject to a fixed increase on the 24th AGREEMENT Profit June 2035 rising to £41,500 per annum. The lessee has the benefit of a Net Assets £34.741,637 £18,273,659 -£376,478 management agreement in place dated There is additional income from a telecoms 21st April 2006 for a term of 30 years to mast which is let to Everything Everywhere Marriott Hotels Limited with an additional Ltd until 28th July 2024. The lessor receives extension of 10 years. EBITDA in 2014 £11,750 per annum which reflects 50% of was £4.6m. 128 KING HENRY’S ROAD, LONDON NW3 3ST VAT We understand that the property is elected for the purposes of VAT. It is proposed that the transaction will be structured by way of a transfer of a going concern. EPC An EPC is available upon request. DEVELOPMENT POTENTIAL The site offers significant long term redevelopment potential. Assuming a redevelopment working within the parameters of the existing site of around 220,000 sq ft GIA you could potentially create a net saleable area of around 165,000 sq ft, subject to the necessary consents. For brand new fully serviced apartment blocks in this location average prices have achieved £2,500 on a capital value per sq ft basis. PROPOSAL Offers are invited for the freehold interest subject to contract and exclusive of VAT. COMPANY PURCHASE The property is held in an off shore spv which is available to purchase. Additional information is available on request. John Reavley Andy Barrs Will Wynn-Williams T: 020 3667 8404 T: 020 3667 8408 T: 020 3667 8410 M: 07899 841 312 M: 07909 522 151 M: 07581 544 726 [email protected] [email protected] [email protected] Misrepresentation Act: These particulars are issued, without responsibility on the part of the vendor, BCMRE and Somerford Investment Partners Ltd, or any of their respective employees or agents and serve only as an introductory guide to the premises. No part of them constitutes a term of a contract or a statement or representation upon which any reliance can be placed.