Innovative Landlords Boost Town Centres
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GCW Newsletter September 2017 www.gcw.co.uk BIG IN RETAIL INNOVATIVE LANDLORDS ALTERNATIVES TEAM MOVES INTO BOOST TOWN CENTRES NEW MARKETS Vibrant shopping centres can help to transform towns p4 GCW’s Alternative Sectors team celebrates EALING SALES SECURED BARGATE QUARTER LAUNCH debut investment deal GCW completes successful GCW market Southampton’s and care home regeneration project p2 newest shopping scheme p2 purchase p3 GCW_Sept2017_all copy.indd 1 8/15/17 9:56 AM WWW.GCW.CO.UK GCW secures duo of Ealing retail investment sales INVESTMENT short-term leases or leases station,” says Marc Mogull, ■ GCW has secured the sale with landlord redevelopment Managing Partner at Benson of two prime retail-led sites in breaks. GCW and Strutt & Elliot. Ealing town centre for Benson Parker acted jointly, marketing In a second deal in Ealing, Elliot. to a selected short-list of GCW acted for Benson Elliot In the first sale, British potential purchasers and to sell Central Buildings for £7 Land has purchased 10-40 subsequently agreeing terms million to Centrica Pension The Broadway, a freehold with British Land. Fund managed by LaSalle 70,000 sq ft site adjacent to Asset Management. Central the new Crossrail station, for “GCW has played Buildings is located next to £49 million. It comprises 21 10-40 The Broadway and high street retail units and a major role in the opposite Ealing Broadway borders British Land’s Ealing steady transformation station. GCW advised Benson Broadway W5 local retail Elliot on the purchase in involvement in the steady centre. The site was previously of Ealing town centre” 2014 and since then has transformation of Ealing town subject to a residential-led significantly improved the centre. planning application which “Having taken stewardship tenant line-up of the eight GCW was initially has now been withdrawn of the important Arcadia retail units with offices above. appointed by administrator enabling British Land to portfolio some four years ago, Lettings to retailers, including Grant Thornton to work on evaluate future opportunities. we’ve delivered a successful Five Guys, Starbucks and both the Arcadia Centre and GCW worked with Benson first phase of development Supercuts, have helped move 10-40 The Broadway alongside Elliot to prepare the parade of and identified the opportunity Zone A rents form £90 to London & Associated shops on 10-40 The Broadway on the Broadway site to create £175. Properties. Their brief as for redevelopment and at the a vibrant mixed use scheme These two significant sales letting agents and asset time of sale most are held on adjacent to the new Crossrail are the culmination of GCW’s managers was to add value so Southampton launches UBS sells in Swansea shopping centre revamp INVESTMENT ■ GCW have sold a prime city SHOPPING CENTRES centre retail block in Swansea ■ Bargate Quarter, a brand on behalf of UBS Asset new shopping scheme in Management’s Triton Fund. Southampton, has won the Edinburgh House go-ahead from planners and purchased the asset for £17.75 English Heritage. million, reflecting a net initial The redevelopment is yield of 9.5%. on the site of the former The 108,599 sq ft block sits Bargate Shopping Centre at the heart of Swansea city and GCW is now working centre’s prime retail pitch. It is with owner Tellon Capital to made up of 26 well-configured help deliver the 400,000 sq ft retail units with a hotel facing development which includes Oxford Street, Whitewalls and 70,000 sq ft of retail and Union Street. leisure space. With a current ground rent The design of the scheme of £200,618 pa, the retail involves opening up the retailing environment. positioned alongside the block will bring the new owner historic town walls and will GCW is marketing Bargate restored town wall. a net income of £1,803,006 include retail and restaurants Quarter and hopes to agree GCW acted for Tellon pa. Tenants include national at ground floor street level, as prelets in 2017 with the Capital on the purchase of the multiples and 17% of income well as apartments and student scheme due to open in Southampton site and also is secured to Lloyds TSB Bank accommodation at upper floor Summer 2019. It is aiming to acts as its letting agent on and Whitbread Properties for levels. A vibrant public realm attract aspirational brands Bedford’s Harper Centre. over 40 years. and retail pavilions will open focussed on fashion and up access to the town walls lifestyle to the 24 retail units MORE INFORMATION FROM MORE INFORMATION FROM [email protected] [email protected] creating an attractive including five retail pavilions 2 GCW ■ SEPTEMBER 2017 GCW_Sept2017_all copy.indd 2 8/15/17 9:42 AM BIG IN RETAIL GCW delivers big store rent DEALS rise in Brighton PROFEssIONAL ■ GCW has used its market expertise and local knowledge to achieve a rental increase at rent review on a big store in Brighton. The store on Weston Road is let to New Look and has seen a rent increase Steam Rock Capital has sold for a property let to Wilko £600,000 to £617,500 pa. GCW and Argos on Market Drayton’s Frogmore Road for £3.595 negotiated with the tenant, million with an initial yield of 9.75 %. The two retail units acting for Royal London Asset are let to Argos and Wilko with leases expiring in 2021 and Management in the rent review 2026 respectively. GCW achieved a strong sale by pricing that the sites could be sold. with 10 years left on the lease. the investment attractively and creating a competitive The sale of both properties to “The rental uplift was bidding situation. Benson Elliot were concluded achieved through our ongoing late in 2012. work in Brighton. The increase JoJo Maman Bebe continues its steady expansion with GCW then acted for Benson is important for the landlord the opening of a 1,000 sq ft ground floor store in Whitely. Elliot on the redevelopment in the long-term and delivered Other new openings for the GCW client include Lymington of the Arcadia Centre and its a significant uplift in capital in 1,000 sq ft ground floor at £33,000 pa; Wanstead High subsequent sale to Pramerica value,” says GCW director Street at £37,000 pa in 1,200 sq ft; and Morningside, for £37.4 million. Clive Gillingwater. Edinburgh at £21,500 pa in a 700 sq ft ground floor unit. MORE INFORMATION FROM MORE INFORMATION FROM All stores are on 10 year leases. [email protected] [email protected] The Cornish Bakery opens in three new tourist-focussed locations including Totnes in a 1,400 sq ft ground floor unit on a 10 year lease at £38,500 pa, in West Bay in a 1,300 sq ft store with the assignment of a new reversionary lease at £15,000 pa and in Bude where it takes the assignment of a lease in a 1,200 sq ft store at £20,000 pa. GCW agreed the purchase of a prime retail investment in Bury St Edmunds for a private investor at £2.2 million reflecting a net initial yield of 7.05%. The property on Buttermarket is let to Holland & Barrett and Shoe Zone GCW secures healthcare site with a WAULT of 5 years. ALTERNatIVE SECTORS residential developers,” says A prime property in central Ashford, Kent has been ■ GCW’s Alternative Sectors GCW associate director Tim purchased by a GCW client for £2.85 million reflecting a team has acquired its first Ashe. net initial yield of 6.60%. The well-configured 27,000 sq healthcare site for Hamberley GCW has also agreed ft store occupies a prominent corner position on the High Developments. terms on a second site for Street and is let to Boots the Chemist until October 2025 Hamberley acquired the Hamberley in Basingstoke. at a rebased rent. 0.9 acre site on the Orpington The deal is subject to Bypass in Sevenoaks. The planning consent for a care Sticky Sisters is the latest operator to open on the site was previously occupied home and retirement living leisure-focussed, first floor of the Harvey Centre in by a car showroom. It has scheme. Harlow. GCW agreed the letting of a 2,500 sq ft unit in a obtained consent to build a GCW is working with prime location opposite Cineworld at £50,000 pa on a 15 60 bed private care home at Hamberley Development year lease. the site. across the South East to “We are pleased to find sites of 0.9 to 3 acres in Long-standing GCW client Specsavers takes a new store complete this first acquisition affluent suburbs with road on Central Road, Worcester Park on a 10 year lease with for Hamberley. It is difficult frontages. a tenant break in the fifth year. The 1,500 sq ft ground to secure sites in the South floor unit is let at £25,000 pa with a capital contribution. East with a shortage of land MORE INFORMATION FROM [email protected] of £15,000. and stiff competition from GCW ■ SEPTEMBER 2017 3 GCW_Sept2017_all copy.indd 3 8/15/17 9:45 AM OPINION mproving town centres is all about creating a sense of place so that the community has ownership over where CREATING it lives, works and spends its leisure time. It’s all based on the simple dynamic that if a town centre is more VIBRANT TOWN attractiveI and vibrant then people will visit more, hang around more and shop more.