Alliance Retail Park WATER STREET, CHORLEY, LANCASHIRE, PR7 1EX

RETAIL WAREHOUSE INVESTMENT OPPORTUNITY

ENTER Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Investment • Chorley is a well located Lancashire market town, strategically situated between the M6 and M61. Highlights • The subject property is located in a prominent and highly visible position overlooking both the A6 and the B6229. • The property is located in the main retail warehouse location for the town, with overall provision being limited in Chorley. • The subject property provides an attractive and modern 2 unit scheme totalling 18,865 sq ft with 85 car parking spaces. • Let to national retailers Currys PC World and Carpetright, with an annual rent of £321,905 per annum (£17.06 per sq ft). • Open A1 (non-food) planning consent for retail warehousing. • There is significant asset management potential, including re-gearing the leases, or alternatively re-letting to one of the many retailers not represented within the town. • We are quoting offers in excess of £3,556,000, equating to a low capital value of just £188 per sq ft. This reflects an attractive net initial yield of 8.50% based on purchaser’s costs of 6.50%. Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

M6 Location Clitheroe Keighley Chorley is a market town in Lancashire, situated Junction 27 of the M6 is situated 7.6 miles to the Blackpool M55 approximately 28 miles north west of Manchester, south west, linking the town to Wigan, Liverpool, M65 Burnley BRADFORD PRESTON 12 miles south of Preston, 10 miles south west of Warrington and North Wales. Blackburn Blackburn and 9 miles north of Wigan. Halifax Leyland Chorley Railway Station offers an indirect link to Chorley The town benefits from excellent transport London, via Preston, with a fastest journey time of Southport Rochdale M62 Huddersﬁeld communications being strategically situated approximately 2 hours and 37 minutes. Services to A6 Bury M66 between 2 of the North West’s main motorways, Preston take 12 minutes. There are direct trains to Ormskirk M61 Bolton the M6 and M61. Junction 8 of the M61 is located Manchester (31 minutes). This line has been recently Wigan only 1 mile to the north east and offers a quick electrified providing quicker and more frequent Oldham M58 M60 link to Preston and the north, as well as Bolton, services. Crosby St Helens MANCHESTER Manchester and the M62 to the south. 4 Salford 7 M62 6 Wallasey LIVERPOOL A EUX Sale TON Stockport LA A Warrington NE 6 8 Birkenhead Widnes M56 Cheadle 4 Liverpool 67

M53 A W

Manchester O

Runcorn R

B5 U 252 EUXTO Ellesmere M56 N LANE B K

C Port A Northwich Macclesﬁeld A

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CHORLEY & M61 B

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HOSPITAL E

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LANE B6229 HARPERS B252 BALSHAW EUXTON LA N E Alliance E EUXTON N Retail Park A D L CRICKET A T O E S E

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ASTLEY PARK K R E A E

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8 S 5 NE T TUMP LA A S B R 52 A58 E 5 1 SOU E 1 THPO T F RT R OX OA H D T T STREE TREE O ION OWN S AD UN BR L LANCASHIRE RO E N’S QUEE S COLLEGE M61

R S ROAD O S T THOMAS’ A S H D E

D P CHORLEY

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R E R O AN S D S L D N S N O I LY 8 W W W 22 D A LGAR B6 T Y

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OD IN T E T G RO T GEORGE S A ON

S D N RO R A D A U L L B L BROOK STREET H O A LT K O S M N N C S T O A L Y L L 1 A C 5 O P L 2 L I 1 5 N G 5 W B 2 O O 5 D

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A D B O LT O N R O A D Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Demographics

Chorley has an extensive catchment population, totalling 82,268 people within a 10 minute drive time of the subject property, increasing substantially to 611,893 people within 20 minutes.

The 10 minute drive time population is considered to have above average affluence as demonstrated below:

CACI Affluence indicator Area UK Base Index % % Av = 100

Number of cars per household

1 car 42.60% 42.10% 101

2 cars 30.90% 24.40% 126

3 cars 5.70% 5.40% 106

4 cars + 2.00% 1.90% 104

Housing tenure

Houses owned 73.30% 64.10% 114

Situation Houses owned outright 32.60% 30.60% 106

Alliance Retail Park is situated in a prominent position at the intersection of the Houses with mortgage / loan 40.10% 32.80% 122 A6 and the B6229. The A6 is the main route through the town and also provides Economic activity access to the M61 to the north. Access and egress to the property is via the A6 for cars travelling south. The roundabout connecting the A6 and the B6229 is Economically active 72.20% 69.60% 104 a very short distance away, allowing those cars travelling north to turnaround so as to access the subject property. The adjacent All Seasons Leisure Centre Employee full time 43.60% 38.60% 113 shares the access. Occupation - managers / senior officials 10.80% 10.60% 103

The town centre is located 0.6 miles south of the subject property, where Elementary occupations 9.80% 11.20% 87 Market Walk is the main shopping centre. Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

EUX TON LA

NE 8

B5 U 252 EUXTO N LANE B K

A CHORLEY & M61 L B SOUTH RIBBLE HOSPITAL

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2 8 5 2 2 5 2 B 6 B

LANE B6229 HARPERS

EUXTON Alliance ALL SEASONS Retail Park LEISURE CENTRE E N

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W Retail Warehousing in Chorley ANE STUMP L B The property forms part of the dominant retail warehouse offer52 in the town, with B&Q, 51 Asda, Halfords, Farmfoods and Aldi all having representation in closeF proximity to the OX H T T STREE TREE subject property. With the exception of these occupiers, the surroundingO land uses are ION OWN S AD UN BR L LANCASHIRE RO E N’S predominantly residential. QUEE S COLLEGE M61

A MARKET WALK The only other retail warehousing in the town outside this pitch is a Wickes,D situated SHOPPING CENTRE

D CHORLEY approximately 0.9 miles south of the subject property on George Street which forms Chorley A O

R E Retail Park, where there are a number of smaller units let to the likes of Subway, KFC & O AN S S L D N

N O I 8 LY Domino’s. W W 22 D ALGA 6 RT B

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O COLLIN C R GW AR O R Market Walk Shopping Centre, in the town centre, is being extended with M&S Foodhall OD IN T T G RO T GEORGE S A ON S D RO reportedly signing up to take a store here, showing their confidence inR the development and AD U L B EET L O BROOK STR the town. Reel Cinemas will also be anchoring the development alongH with restaurant and A LT K O M N C S bar operators including Lounges. T A L L 1 A C 5 O P L 2 L I 1 5 N G 5 W B 2 O O 5 D

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D Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Description

Alliance Retail Park provides an attractive well presented scheme totalling 18,865 sq ft, arranged across 2 units. Currys PC World occupy 13,865 sq ft and Carpetright the adjoining unit of 5,000 sq ft. Both units benefit from excellent visibility from the A6 and the B6229.

The units are of a modern style, having been completed in 2006, and are of standard retail warehouse construction, with a steel portal frame with brickwork facade and metal profile sheet cladding above. The tenants’ signage is displayed clearly above the entrance features.

Internally, both units are fitted out to the tenants’ standard specification. The Currys PC World unit incorporates a storage mezzanine floor, and there is sufficient eaves height to install one within the Carpetright unit.

Car parking is located to the front of the units and to the side of the Currys PC World unit and totals 85 spaces. This equates to a ratio of 1:222 sq ft. Servicing is to the side and rear of the units within a dedicated service yard.

The site area totals 1.504 acres (0.609 ha), giving a low site cover of 28.8%. Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Superstore

M S 89.0m

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c 85.0m i

V TRAFAL

Tenancy Schedule GAR STREET

8 8

2 2

3 3

2 2

The property is let as follows:

1 1

7 7

Unit Tenant Area Lease Lease Rent Rent per 7

3 3

2 2

a a

2 2

2 2 2 Start Date End Date (p.a) sq ft 2 89.3m

WATERLO

O STREET 4 4 1

1 Shelter MP 0.75

2 2 3 1 DSG Retail Ltd t/a 13,865 27-Oct-2006 26-Oct-2021 £241,905 £17.45 3 Currys PC World 2 Carpetright Plc 5,000 27-Oct-2006 26-Oct-2021 £80,000 £16.00

9 13 29 T Total 18,865 £321,905 £17.06 E E

0 0 1 1 S

W El Sub Sta

Tenure Planning Consent 84.7m

SPORTS

The property is held freehold with the title The property benefits from having an open CENTRE

6 6

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6 6 2 delinated in red on the plan opposite. A1 non-food planning consent for retail 2

5 8 warehousing. 3 8

T 1 E 0m 10m 20m 308 m E R T S R E T A Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Value Enhancement Tenants’ Covenants

Both Carpetright and Currys PC World have lease expiries DSG Retail Ltd in October 2021 giving an incoming purchaser the DSG Retail Ltd operates the Currys and PC World brands, and the combined fascia Currys PC World. The parent company, opportunity to re-gear the leases with the respective Dixons Carphone, is one of the largest consumer electronics companies in Europe. In their most recent trading update, the tenants. We understand Currys PC World are happy with company reported a like for like sales increase of 2%. this store at present. However, their general strategy currently with regard to lease re-gears is to wait until close to lease expiry before entering into dialogue with landlords. Carpetright plc Carpetright is the leading floor coverings retailer in the UK, founded in 1988. Whilst the company has recently undertaken a The subject property was defined as a Category A store CVA, closing 92 stores and reducing rents on 113 others, out of its portfolio of over 418 stores, this has left the company in a within Carpetright’s CVA and therefore the rent remained good position, making its future more tenable, due to being released from legacy lease obligations. The company receives unchanged. These are generally stores where sales relatively little pressure from the rise of online retailing, and has received a cash injection of £60 million, which is being used average £22,500 a week and they make in excess of to invest in the business. The money will be spent on refurbishing and rebranding existing stores, improving their digital £150,000 profit a year. Therefore, this store is clearly a offer and improving customer service through further training of staff and improving the product offer. good trader for the retailer and as such they are likely to want to re-gear closer to lease expiry. Unit Tenant Year Sales Pre Tax Net D&B In addition, the scheme lends itself to being amalgamated Ending Turnover Profit / Loss Worth Rating to create a larger unit of circa 18,850 sq ft, which could (000’s) (£000’s) (£000’s) suit a discount retailer such as B&M, Home Bargains or A DSG Retail Ltd 29/04/2017 £4,345,700 £247,600 £477,700 5A1 Lidl, none of whom have out of town representation within Chorley. These retailers can offer attractive lease lengths 30/04/2016 £4,237,900 £63,000 £406,900 and strong covenants. B Carpetright Plc 29/04/2017 £457,600 £900 £20,700 4A4

30/04/2016 £456,800 £12,800 £16,900 Investment Location Situation & Retail Description Tenancy Schedule Value Enhancement EPC, VAT Contacts Highlights Demographics Warehousing Tenure Tenants’ Covenants & Proposal Alliance in Chorley Planning Consent Retail Park WATER STREET, CHORLEY, PR7 1EX

Contacts

Ellie Kirkby T: 020 7317 3790 M: 07764 241 898 E: [email protected]

Paul Wilkinson T: 020 7317 3799 M: 07770 585 313 E: [email protected]

EPC VAT

Unit A (Currys PC World) has an EPC rating of C68. The property is elected for VAT and we would expect the transaction to be treated as a Transfer of a Going Concern. Avison Young Unit B (Carpetright) has an EPC rating of B41. Heathcoat House Proposal 20 Savile Row Environmental London We are quoting offers in excess of £3,556,000, equating W1S 3PR An Environmental Report has been undertaken by CBRE, to a low capital value of just £188 per sq ft. This reflects an giving the site a low risk of flooding and contamination. attractive net initial yield of 8.50% based on purchaser’s www.avisonyoungretail.co.uk Further details are available on request. costs of 6.50%.

MISREPRESENTATION NOTICE. Avison Young give notice to anyone who may read these particulars as follows: 1. These particulars are prepared for the guidance only of prospective purchasers. They are intended to give a fair overall description of the property but are not intended to constitute part of an offer or contract. 2. Any information contained herein (whether in the text, plans or photographs) is given in good faith but should not be relied upon as being a statement of representation or fact. 3. Nothing in these particulars shall be deemed to be a statement that the property is in good condition or otherwise nor that any services or facilities are in good working order. 4. The photographs appearing in this brochure show only certain parts of the property at the time when the photographs were taken. Certain aspects may have changed since the photographs were taken and it should not be assumed that the property remains precisely as displayed in the photographs. Furthermore, no assumptions should be made in respect of parts of the property which are not shown in the photographs. 5. Any areas, measurements or distances referred to herein are approximate only. 6. Where there is reference in the particulars to the fact that alterations have been carried out or that a particular use is made of any part of the property, this is not intended to be a statement that any necessary planning, building regulations or other consents have been obtained and these matters must be verified by an intending purchaser. 7. Descriptions of the property are inevitably subjective and the descriptions contained herein are given in good faith as an opinion and not by way of statement of fact. Plans are published for convenience of identification only and although believed to be correct, their accuracy is not guaranteed and they do not form part of any contract. October 2018. Designed and produced by Creativeworld Tel: 01282 858200.