CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, , , BT27 5UN Prime Warehouse Investment Net Initial Yield 12%

www.savills.ie /PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 03

Investment Summary

• Located at Sprucefield Regional Centre, 2.5 miles South of Lisburn City Centre which is one of the constituent cities that make up the - corridor region with a population of just under 3 million.

• Prime single let retail warehouse investment situated in Sprucefield which is regarded as one of Northern ’s leading out-of-town retail destinations.

• Let to DSG Retail Limited t/a Currys/PC World on a full repairing and insuring lease from 11th November 2010 at a rent of £1,149,500 pa until 10th November 2025. We are instructed to seek offers in excess of • Unexpired lease term of 5.19 years. £8,980,000 (Eight Million, Nine Hundred and Eighty Thousand Pounds Sterling) for our client’s virtual • DSG Retail Limited has a Dun & Bradstreet credit rating of 5A1 representing an excellent covenant with secure freehold interest excluding VAT. A purchase at this financial strength and low overall business risk. level would reflect a net initial yield of 12.00% assuming purchasers’ costs of 6.68%. • The unit extends to 52,591 sq ft (4,885.85 sq m) GIA with 154 car parking spaces and was comprehensively refurbished in 2010.

• Site area of 3.21 acres (1.30 hectares).

• Held virtual freehold.

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 03

Location and Communications

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 04

Location and Communications

LOCATION COMMUNICATIONS

Lisburn is ’s third largest city with a population of ROAD 71,465 people (2011 Census) and Road Communication links to the property are excellent. The property is located 0.3 miles (0.48 km) east of the M1/A1 motorway junction the seventh largest on the Island A37 which is the main road linking Belfast (15 minute drive time) to Dublin (1 hour 30 minutes’ drive time) and the West of Northern Ireland. of Ireland. Lisburn is one of the Londonderry A26

Ballymena constituent cities that make up A6 the Dublin-Belfast corridor region RAIL which has a population of just Northern M22 M2 Ireland Bangor The property is 2.6 miles (4.2 km) south of Lisburn Railway Station under 3 million M3 providing direct links to Dublin city Centre (journey time of 1 hour A5 Belfast 45 minutes), Belfast city Centre (journey time of 20 minutes) and the The city also forms part of the Belfast M1 Lisburn Northern Ireland Railway Network Metropolitan Area with a total of 672,522 people accounting for 37% of Northern A1 A4 Ireland’s population and is the main employment centre within the Province AIRPORT (2011 cenus). The property is within close proximity to numerous airports providing Monaghan regular direct flights to the , Europe, and international Lisburn has excellent communication destinations. Belfast City Airport is located 14 miles (22.5 km) to the northeast, Belfast International Airport 16 miles (25.7 km) to the N2 Dundalk links being located on the main motorway northwest and Dublin Airport 88 miles (141.6 km) to the South. network. The M1 is the main arterial route between Belfast and the central and western Southern N1 areas of Northern Ireland while the A1 Ireland N4 provides motorway access to Dublin. Drogheda BUS The property and immediate area are well serviced by several bus routes. In addition, there is a Park and Ride located at Sprucefield Park.

N6 Dublin

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 05

Situation & Demographics

SITUATION DEMOGRAPHICS

The property forms part of Sprucefield Regional Centre which Lisburn attracts consumers from an extensive catchment that is situated 2.5 miles (4.0 km) south of Lisburn city centre with a includes much of County as well as large parts of County 5 minute drive time and 10 miles (16.0 km) due south of Belfast Armagh, and County . city centre with a 15 minute drive time at the junction of the M1 and A1 motorways. The wider Secondary and Tertiary catchments mark the full extent of Lisburn’s reach consisting of 248,000 and 798,000 people respectively. Meanwhile, the primary catchment describes the supply of consumers immediately surrounding Lisburn and The Sprucefield Regional Centre includes Sprucefield Park which is located to the consists of 71,465 people. This considerable consumer base results in a considerable north and Sprucefield Centre which is located to the south. The Currys site adjoins the pool of retail expenditure of more than £1.47bn, £4.66bn and £336m within these Sprucefield Centre with a gateway connecting the two parks internally. A brand new three catchments. Costa Coffee unit will be located adjacent to the Currys unit which shares an access road.

By 2023 the catchment population is estimated to increase by 2.5% (15 minute drive-time) with an increase of 4.8% estimated by 2028 (CACI Limited).

The immediate catchment boasts an affluent profile, with those categorised in the top Acorn Group ‘Affluent Achievers’ 14% above the UK average (within a 10 minute drive-time).

The catchment has an above average proportion of employees (55.4%) in either full-time or part-time employment compared to the national average (53.8%).

Sprucefield provides over half a million sq ft of prime food There is an above average representation of the population within the top two Social Grade categories (AB & C1), accounting for 53.5%. and core shopping provision

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 06

Site Plan

Lisburn (2.6 Miles)

M1 (10 Miles) Belfast Sprucefield Park & Ride West of N.Ireland West

Sprucefield Park

Sprucefield Centre

North Dublin (88 Miles)

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 07

Retailing at Sprucefield

The Sprucefield Regional Centre is regarded as one of the strongest out of town retail locations in Northern Ireland. Sprucefield comprises two elements; to the south of the Sprucefield roundabout is the Sprucefield Centre, which is owner occupied by Marks & Spencer and was opened in 1989. The Marks & Spencer store was extensively renovated and extended in 2007 to provide a major Marks & Spencer food and clothing store with a further furniture store and restaurant.

Adjacent to the Marks & Spencer is a retail parade occupied by Boots, Next and Pets at Home. In addition, located within the car park area is a stand-alone McDonald’s drive-through restaurant. The centre provides 1,500 free car parking spaces.

To the north of the Sprucefield roundabout is Sprucefield Park comprising 230,000 sq ft of retail warehousing accommodation which was opened in 2003. This is occupied by a major B&Q store, with units also let to B&M, Argos, Next Home, and a major Sainsbury’s food store.

The Sprucefield Regional Centre as a whole therefore has a particularly strong comparison goods offer, as well as some key fashion retailers, a strong home improvement retail offer along with grocery and complimentary food and drink leisure service outlets.

Sprucefield is considered Northern premier retail warehouse destination.

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 08

Property Description

The property was originally constructed in 1994 as two purpose built ACCOMMODATION retail warehouse units. However, the building was comprehensively The property has been measured in accordance with the RICS Code of Measuring refurbished in 2010 and merged into one single unit, following the Practice (6th Edition) and provides the following Gross Internal Area: merger of the two former tenants Currys and PC World. The property SITE AREA measures 52,591 sq ft (4,885.85 sq m) with 154 car parking spaces provided to the front and side of the unit. Use Sq Ft Sq M

The property is of steel frame construction with a concrete floor and half brick/half-clad Retail Warehouse 52,591 4,885.85 external walls with double height double glazing to the front entrance. All the retail accommodation is provided at ground level and internally the accommodation has Car Parking 154 Spaces been fitted out to incorporate Currys/PC World’s shop fitting and branding. The site extends to 3.21 The vehicular access to the property is from Hillsborough Road leading from the acres (1.30 hectares). The Sprucefield Centre roundabout and this is a shared access with the Costa Coffee unit. site is generally square in There is also an access from the subject property’s car park direct to the Sprucefield shape and flat in topography. Centre via an informal agreement.

PLANNING The unit was developed under planning consent S/1993/0666 granted on the 18th October 1993 and was refurbished in 2010 under planning reference S/2010/0133/F granted on the 19th April 2010. Planning currently permits the retail sale and ancillary storage of the following types of goods:

a. DIY materials, products and equipment; b. Garden materials, plant and equipment; c. Furniture and soft furnishings, carpets and floor coverings and electrical goods; d. Such other items as may be determined in writing by the Department as generally falling within the category of “bulky goods”.

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 09

Tenant Details

The property is let in its entirety to DSG Retail Limited under the below lease terms:

Tenant Start Date Review Date Expiry Date Rent (pa)

DSG Retail Limited 11/11/2010 11/11/2020 10/11/2025 £1,149,500

COVENANT STRENGTH

Dixons Carphone is one of the largest consumer electronics retailers in Europe employing over 42,000 people in 9 countries. In the UK and Ireland, the company operates 8 brands including Currys PC World, , Knowhow, Geek Squad and Travel.

DSG Retail Limited has a Dun & Bradstreet rating of ‘5A1’ representing an excellent covenant with secure financial strength and low overall business risk. Their accounts can be summarised as follows:

DSG Retail Limited YE 27/04/2019 YE 28/04/2018 YE 29/04/2017

Sales/Turnover £4,387,100,000 £4,344,000,000 £4,345,700,000

Gross Profit / (Loss) £311,000,000 £345,400,000 £408,100,000

Profit / (Loss) before Taxes £105,900,000 £142,900,000 £247,600,000

Net Profit / (Loss) £99,700,000 £132,400,000 £198,600,000

www.savills.ie CURRYS/PC WORLD | 153 HILLSBOROUGH ROAD, SPRUCEFIELD, LISBURN, BT27 5UN 10

We are instructed to seek offers in excess of £8,980,000 (Eight Million, Nine Hundred and Eighty Thousand Pounds Sterling) for our client’s virtual freehold interest excluding VAT. A purchase at this level would reflect a net initial yield of 12.00% assuming purchasers’ costs of 6.68%.

TENURE DATA SITE The property is held by way of a long leasehold of 10,000 years from 9th July 1993 at A secure website with additional supporting information is available in addition to the a ground rent of 5p per annum. The property benefits from a right of way connecting brochure and access will be granted via a request through the vendors agents. the site to the Sprucefield centre roundabout. VAT EPC The property has been elected for VAT. It is envisaged the The building has been rated (B47) under EPC regulations. transaction will be treated as a TOGC

More Energy Efficient

Net zero CO2 emissions A 0-25 This is how energy efficient B 26-50 47 the building is. C 51-75 D 76-100 E 101-125 F 126-150 G Over 150 Less Energy Efficient

CONTACT

Ben Turtle Megan Houston Landline: +44 (0)28 9026 8006 Landline: +44 (0)28 9026 7826 Mobile: +44 (0)78 9984 6717 Mobile: +44 (0)75 8309 7723

Email: [email protected] Email: [email protected] www.savills.ie