LEISURE@CWMBRAN GLYNDWR ROAD, CWMBRAN, TORFAEN NP44 1QS

LEISURE INVESTMENT OPPORTUNITY LEISURE@CWMBRAN

CWMBRÂN BUS STATION STATION LEISURE @ CWMBRAN

NEWPORT 6.5 MILES

A5401

TO THE A4042

ABERGAVENNY 14 MILES LEISURE@CWMBRAN

Investment Summary

• Popular leisure complex located in a strong • Vue cinema account for approximately 30% • Leisure @ Cwmbran provides the only leisure commercial centre in South Wales of the income complex in Cwmbran • Freehold • Long unexpired lease terms with an • Offers are sought in excess of £11,000,000 • Let to 9 tenants at a passing rent of £826,969 pa attractive AWULT of 13.43 years to expiry (Eleven Million Pounds), which reflects a net plus turnover rent of £36,067 (11.32 years to break) initial yield of 7% (net initial yield of 7.35% inc. the turnover rent) after the deduction of normal purchaser’s costs of 6.70%. LEISURE@CWMBRAN LEISURE@CWMBRAN provides the only leisure complex in Cwmbran.

LOCATION

Cwmbran is located in South Wales, approximately 6.5 miles North of Newport, 16 miles north east of Cardiff and 14 miles South of Abergavenny. Junctions 26 and 25a of the M4 motorway are approximately 4 miles to the south, with access being provided via the A4051 and A4042 respectively.

Cwmbran Railway Station is located within a 10 minutes walk of the complex and provides a regular and direct service to Cardiff and Newport with journey times approximately 30 minutes and 10 minutes respectively.

Cardiff airport is located 26 miles South West of the subject property and is accessible via the M4, Junction 33.

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Malvern

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A4

A44

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A4 Hereford

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1 Retailing in Cwmbran A41

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A4 r The town has a primary catchment population of approximately 146,000 i A4 A44 n M50 g A40 Brecon A4 A41 v a significantly above the PROMIS small town average. Cwmbran is the only l e d a A40 A40 o A45 Ross-on-Wye W R A

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o io W ns Nat GLOUCESTER o 5 Brecon Beaco location with a total working population of approximately 48,000. 1 Lesiure @ A40 A40 A4 Abergavenny an e st of D Cwmbran Fore The town provides a total of 780,000 sq ft of retail accommodation with a further A45 A4 A40 Glyndwr Road

310,000 sq ft of retail warehouse and leisure accommodation. Merthyr

A404

Tydfil

A4 Cwmbran Shopping Centre, situated adjacent to Leisure @ Cwmbran, provides Pontypool A45 A44 M4 CWMBRÂN M5 700,000 sq ft of retail accommodation and forms the 2nd largest shopping centre Neath Chepstow in Wales and the 29th largest in the UK. The shopping centre is anchored by House SWANSEA

M48

Port Talbot Pontypridd of Fraser (30,000 sq ft), Topshop (4,000 sq ft), Asda (90,000 sq ft) and Marks & A40 NEWPORT Caerphilly M4 A4

A40 Spencer (30,000 sq ft). There are 3,000 free car parking spaces in close proximity Chipping

M49

Sodbury

A48(M) A A40 A4

M4 to the leisure complex.

Avonmouth 4

M4 0

Pontshead M32 CARDIFF 5

A4 A4 1 A4 Cwmbran Retail Park is located on the outskirts of the town to the west of Leisure @ BRISTOL A40 Penarth M5 Cwmbran where occupiers include Next, Halfords, CarpetRight, TKMaxx and B&Q. A4 A A4 Barry y A e l A s e BATH L W l A d a Weston-super-Mare y r n t t S a r n a m e u R n e o v A a r d e k oc C According to the BFI Research and Statistics Unit, UK cinema admissions in 2015 were 9% higher than the same period in 2014. Total UK spend for film in 2015 was £1.236 billion; up 17% on the previous year. Cwmbran

SITUATION

Leisure @ Cwmbran is situated within the centre of LEISURE@CWMBRAN Cwmbran on Glyndwr Road adjacent to Cwmbran Shopping Centre.

Cwmbran town centre benefits from 3,000 free customer car parking spaces. Leisure @ Cwmbran is located directly between the town’s main bus and railway station. The railway station is linked directly to the scheme via a pedestrianised bridge; the link also connects to the Morrison supermarket to the east of the leisure complex.

The property provides a frontage onto a pedestrianised walkway leading to Morrisons supermarket from where Frankie and Benny’s, Tiffins, Bowlplex, Vue, and Harvester can be accessed.

Lollypops & Ladybirds Ltd and Bay Leisure have frontages onto Glyndwr Road.

DESCRIPTION CINEMA SUPPLY

The property was constructed in 2008 and comprises Major cinema supply within a 20 mile radius: Experian Goad Plan Created: 04/11/2015 a purpose built leisure complex arranged over ground 50 metres NEWPORT - 6 MILES and first floor. The property provides a range of Created By: Allsop Cineword (Spytty Park) - 13 screens complementary uses with six A3 units, a cinema, Copyright and confidentiality Experian, 2015. © Crown copyright and database For more information on our products and services: bowling alley, gym and a trampoline centre. Cineworldrights 2015 (Friars Ordnance Walk) - 8Survey screens 100017316 www.experian.co.uk/goad | [email protected] | 0845 601 6011

The property is anchored by Vue cinema comprising CARDIFF – 16 MILES 8 screens, including 2 digital 3D screens over Cineworld - 15 screens 20,000 sq ft of ground and first floor. Odeon - 18 screens Vue - 14 screens Bowlplex comprises a 20 lane bowling complex with a late night licensed bar. NANTGARW – 20 MILES Showcase - 12 screens LEISURE@CWMBRAN

TENANCY SCHEDULE

Unit Tenant Use Area Area Lease Start Lease Break Lease Review Rent Rent Comments (Sq m) (Sq ft) Expiry Term (£p.a) (£psf)

1A Lollypops & A3 132.76 1,429 11/10/2013 11/10/2018 5 N/A £17,000 £11.90 Ladybirds Limited 1B Kaspa’s Cwmbran Ltd A3 191.66 2,063 25/05/2016 25/05/2026 10 25/05/2021 £40,000 £19.39 Lease subject to guarantee from Kaspas Distribution Limited.

2 City Centre Restaurants Restaurant 369.29 3,975 27/07/2009 27/09/2034 27/07/2019 25 27/07/2019 £70,000 £17.61 5 yearly upwards only reviews to (UK) Limited (The Restaurant (Frankie and 27/07/2024 Open Market Rental Value. Group (UK) Limited) Bennys)/A3 27/07/2029

3A & 3B To be Gareth and A3 318.29 3,426 03/01/2017 02/01/2019 2 £55,000 £16.05 In solicitor’s hands and due to complete shortly. Heather Lee t/a Restaurant

4 Precision Trade Europe Restaurant/A3 300.54 3,235 04/08/2008 03/08/2033 25 04/08/2018 £66,000 £20.40 5 yearly upwards only reviews to the higher of RPI Limited (Tiffins) 04/08/2023 or Open Market Rental Value. 04/08/2028

5 Mitchells & Butler Retail Restaurant/A3 438.04 4,715 14/07/2011 14/07/2036 14/07/2026 25 14/07/2021 £66,819 £14.17 RPI Linked increases. (No2) Limited Harvester 14/07/2026 14/07/2031

Cinema Vue Entertainment Limited Cinema 1,969.52 21,200 18/12/2008 17/12/2028 10 18/12/2018 £243,800 £11.50 5 yearly upwards only reviews to Open Market Value. 18/12/2023

Bowling Bowlplex Limited Ten Pin 2,781.52 29,940 15/03/2012 03/08/2033 21 14/03/2022 £170,000 £5.68 Bowlex Limited has recently been acquired by Hollywood Bowl. Bowling Centre 14/03/2027 £36,067(1) Turnover Rent - 12.5% of any turnover over £1m. 14/03/2032 2014 - £10,842, 2015 - £27,020, 2016 - £36,067.(1) Turnover Rent terminates on 15/03/2022. 5 yearly upwards only reviews to Open Market Rental Value.

Unit 6&7 Simply Leisure Ltd guarantee GYM/D2 811.42 8,734 02/11/2015 02/11/2030 15 02/11/2020 £47,850 £5.48 5 yearly linked to RPI. by Bay Leisure Limited 02/11/2025

Unit 81 Euphoria (Cwmbran) Ltd Salon/A1 181.16 1,950 04/05/2016 03/05/2019 04/05/2017 3 £8,000 £4.10 Rent increases 03/05/2017 to £10,000, 04/05/2018 - £12,000

Unit 82 Bounce Zone SA1 Ltd Trampoline 924.03 9,946 03/01/2017 02/01/2027 10 03/01/2022 £42,500 £4.27 In solicitor’s hands. Rent for 1st year is £20,000 and Play Area £42,500 for years 2-5. Vendor to top-up or guarantee 1st year rent.

Total 8,418.23 90,613 £826,969 COVENANT STRENGTH

Vue Entertainment Ltd Bowlplex Limited Mitchells & Butler Plc The Restaurant Group Plc (Parent Company of City Centre Restaurants (UK) Ltd)

29 Nov 2012 28 Nov 2013 27 Nov 2014 28 April 2013 27 April 2014 26 April 2015 29 Sept 2012 28 Sept 2013 27 Sept 2014 30 Dec 2012 29 Dec 2013 28 Dec 2014

Turnover 257,952,000 258,111,000 244,899,000 Turnover 23,665,000 23,893,000 25,339,000 Turnover 1,889,000,000 1,895,000,000 1,970,000,000 Turnover 532,541,000 579,589,000 635,225,000

Pre-Tax Profit 28,893,000 28,034,000 17,888,000 Pre-Tax Profit -16,000 -122,000 409,000 Pre-Tax Profit 83,000,000 150,000,000 123,000,000 Pre-Tax Profit 64,561,000 72,685,000 84,927,000

Shareholders Funds 168,258,000 188,736,000 294,137,000 Shareholders Funds 6,298,000 6,427,000 6,741,000 Shareholders Funds 1,088,000,000 1,219,000,000 1,185,000,000 Shareholders Funds 183,848,000 215,965,000 244,524,000

Vue International is the largest cinema group in the The company was founded in 1976 and comprises 17 Mitchells and Butlers is the largest operator of managed The Restaurant Group plc operates over 470 restaurants world outside of the US and a leader in the premium family entertainment centres across England, Scotland restaurants and pubs in the UK. Principal brands include, and pub restaurants. Principal brands include, Frankie and entertainment cinema sector. Vue has 84 state of the and Wales. These centres comprise ten-pin bowling, late All Bar One, Browns, Harvester, Toby Carvery and Vintage Benny’s, Chiquito, Coast to Coast and Garfunkel’s. Total art multiplex cinemas throughout the UK and Ireland night licensed bars, video arcades and American pool. Inns. Mitchells and Butlers employ approximately 43,000 revenue increased 8% from Q1 to Q2 2015 and with 7 cinemas in Wales. people and operate from c. 1,800 predominantly UK The Restaurant Group expect to open 43 – 48 new sites managed pubs. Harvester account for 213 of those sites. in 2015.

Tenure VAT EPC’s DATAROOM Freehold The property is elected for VAT and therefore it is Further information is available upon For access to the Allsop Dataroom please use the following link: https://datarooms.allsop.co.uk/register/leisurecwmbran anticipated that the sale will be treated as a TOGC. request or within the dataroom. Existing users can log in to the dataroom site and register using access code: leisurecwmbran Proposal Offers are sought in excess of £11,000,000 (Eleven Million Pounds), which reflects a net initial yield of 7% (net initial yield of 7.35% inc. the turnover rent) after the deduction of normal purchaser’s costs of 6.70%. For further information or to make arrangements for viewing please contact:

Jeremy Hodgson Lottie Hayward Tom Dales 020 7543 6709 020 7543 6750 020 7543 6866 [email protected] [email protected] [email protected]

www.allsop.co.uk

Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design: CommandD www.commandHQ.co.uk 11.16