Buckingham, Chandos Road, MK18 1AL Well Secured Prominent Freehold Convenience Store Investment Sainsbury’s Local A82

A9

Dundee

Perth

Stirling M90

M9 Edinburgh M8 Glasgow M8

M74

A74 (M)

A69 Newcastle Upon Tyne Stranraer A75 Carlisle Sunderland

M6 Middlesbrough A66 A1(M) A595

Kendal Scarborough

A1(M)

York

Leeds Preston Hull M62

M6 M62 Huddersfield M1 M18 Liverpool Manchester Holyhead A1(M) Sheffield M1 A55 Chesterfield A158 Peak District Lincoln Mansfield

Wrexham M6 Stoke-on-Trent Newark-on-Trent Nottingham Buckingham, Chandos Road, MK18 1AL Derby

Well Secured Prominent FreeholdShrewsbury Convenience Store InvestmentM1 | Sainsbury’s Local

M54 GreatrYa mouth Leicester Wolverhampton Norwich A487 A49 BUCKINGHAM Birmingham M69 Peterborough TOWN CENTRE M1 AberystwytINVESTMENTh A1(M) CONSIDERATIONS Coventry Southwold Bury St Edmunds M40 ■ Northampton Buckingham A487 is an affluent and attractive Cambridge university town in Buckinghamshire Banbury Buckingham ■ Highly prominent trading location in a densely Milton Keynes Ipswich Brecon M50 Carmarthenpopulated area STANSTED Cheltenham Bicester AIRPORT Gloucester M1 ■ Well secured to Sainsbury’sMerthyr Supermarkets Tydfil Limited Colchester A1(M) M11 Pembroke ■ RPI linked rent reviews Oxford A34 M40 High Wycombe ■ Offers Swansea in excess of £1,475,000 M48 M4 Swindon ■ Cardiff HEATHROW M25 A purchase at this level will show a net initial yield M4 Reading AIRPORT LONDON Bristol M4 of 5.5% on the anticipated reviewed rent after M4 Margate M5 normal purchaser’s costs Croydon M2 Basingstoke M3 Ilfracombe A34 Canterbury

Guildford A303 M23 Dover GATWICK M3 AIRPORT Taunton Winchester A272 Over the last 20 years theS’HAMPT averageON house values in Buckingham A39BUCKINGHAM AIRPORT TENURE A303 have increasedSouthampton by over 230% (Zoopla). Buckingham is an affluent and attractiveM5 university town in M27 The property is held freehold. Buckinghamshire. Buckingham lies approximately 61 miles north Hastings west of London, 30 miles north east of Oxford, 21 milesA35 south of LOCATION Brighton Launceston A30 Portsmouth Northampton and 13 Exetermiles west of Milton Keynes. ACCOMMODATION A39 BournemouthThe property is situated in a highly prominent corner location at Isle of Wight The town benefits from excellent road communications located on the junction of London Road and Chandos Road. London Road The property has the following dimensions and gross internal the A421 linking the town directly to the A3 and M40 to the west, is a main arterial route into Buckingham leading from the A421 floor areas: into the centre of the town. The surrounding area is dominated Newquay and the A5 and M1 to the east. Torquay by residential dwellings as well as the George Grenville Academy, Gross Frontage 29 ft 7 ins 9.01 m BuckinghamshirePlymout hash a resident population of approximately Buckingham School and Buckingham University. Truro 506,000 people. This is expected to rise by approximately 10% by 2026. 66% of the population of Buckinghamshire are classed as Ground Floor 4,528 sq ft 420.66 sq m being within the most affluent AB and C1 social classes, well above DESCRIPTION Falmouth Total 4,528 sq ft 420.66 sq m the UK average (ONS). The property comprises a purpose built single story unit of portal Buckingham University was awarded the Times University of the Year frame construction with brick elevations under a pitched roof. for Teaching Quality in 2016 and is ranked 38 overall out of all 129 UK The premises comprise a ground floor supermarket with a 15 universities. It boasts over 2,500 students and was ranked 1st out space car park. of 129 universities for student satisfaction in 2018 (The Complete University Guide). Buckingham, Chandos Road, MK18 1AL Well Secured Prominent Freehold Convenience Store Investment | Sainsbury’s Local

TENANCY COVENANT INFORMATION ASSET MANAGEMENT The entire property is let to Sainsbury’s Supermarkets Limited Sainsbury’s is one of the UK’s leading food store operators currently (t/a Sainsbury’s Local) on a 15 year full repairing and insuring lease accounting for approximately 15.4% of the UK’s total grocery OPPORTUNITIES from 16th June 2014 (approximately 10.25 years unexpired) at a market (Kantar – Oct 18). The company was founded in 1869 and We understand that Sainsbury’s trade well from this store. There current rent of £77,000 per annum. currently trades from over 1,200 supermarkets and convenience may therefore be a future opportunity to extend the lease term and stores through out the country and employs around 161,000 people. The lease is subject to five yearly RPI based upward only rent possibly remove the 2024 break clause. reviews capped and collared at 4% and 1%, with the next review Sainsbury’s Supermarkets Limited (company number: 3261722) There may also be the opportunity in the future to further develop due on 16th June 2019. reported the last three years results: the site, enhancing the retail offer and perhaps adding residential Based on the most recent RPI forecast we estimate that the accommodation (subject to the relevant permissions). reviewed rent will increase to approximately £86,285 per annum 10/03/2018 11/03/2017 12/03/2016 (Oxford Economics). Our clients will ‘top up’ the rent to this rate from completion until the rent review on 16th June 2019. Turnover £23,606,000,000 £23,234,000,000 £23,168,000,000 VAT The property is elected for VAT. There is a tenant only break in the 10th year subject to 6 months Pre Tax Profit £187,000,000 £342,000,000 £406,000,000 prior written notice. Shareholder Funds £4,712,000,000 £4,498,000,000 £4,608,000,000 EPC Full details are available on the website. Sainsbury’s Supermarkets Limited have a Creditsafe rating of “73/100” – indicating a “Very Low Risk” of business failure. Buckingham, Chandos Road, MK18 1AL Well Secured Prominent Freehold Convenience Store Investment | Sainsbury’s Local

RETAIL RENTAL VALUE INVESTMENT COMPARABLES The anticipated reversionary rent of £86,285 per annum equates to a rate of approximately £19 psf Please see below some recent convenience store investment comparables: GIA. This sits at a discount to other comparable stores, presenting the investment as revisionary, even following the forthcoming rent review. Please see the rental schedule below:

Address Date Tenant Rent Rent psf Location Tenant Term Certain Tenure Yield Date

Weymouth, 67 Portland Road, Wyke Regis 2018 Tesco £85,000 £21.43 Wraysbury COOP 15 years F/H 5.12% Feb 2019

Chistlehurst, White Horse Hill April 2017 Co-op £94,000 £25.76 Clapham North Sainsbury’s 11 years L/LH 4% Dec 2018

Loughton, Church Hill Jun-16 Sainsburys £90,000 £23.87 Catford Sainsbury’s 15 years L/LH 4.5% Sept 2018

Iver, 9 High Street Nov-15 Co-op £100,000 £30.36 Weymouth COOP + Papa John’s 15 years F/H 5.58% Oct 2018

Shepherds Bush, 258-264 Goldhawk Road Jul- 15 Co-op £135,000 £34.22 Sainsbury’s plus Farnham Common 5 years F/H 5.35% May 2018 Milton Keynes, Willen Centre Apr- 15 Sainsburys £95,000 £20.72 office above Buckingham, Chandos Road, MK18 1AL Well Secured Prominent Freehold Convenience Store Investment Sainsbury’s Local

PROPOSAL BUCKINGHAM Offers in excess of £1,475,000 (one million, four hundred and seventy five thousand pounds) are sought TOWN CENTRE for the freehold interest. A purchase at this level will reflect anet initial yield of 5.5% assuming the rent rises to £86,285 per annum following the June rent review (Oxford Economics), after allowing for normal purchaser’s costs. Please note that all prospective purchasers will need to be verified for anti-money laundering purposes prior to a sale contract being agreed. CONTACTS To view copies of the lease, information on title, the EPC and other information please visit our web site www.hrhretail.com/property/buckingham

To register interest and to carry out an internal inspection please contact:

Jeremy Lovell Jack Brown [email protected] [email protected] T 020 7908 7037 T 020 7908 7032 M 07949 619657 M 07969 291660

HRH Retail Portland House 4 Great Portland Street, London W1W 8QJ T: 020 7499 5399 | F: 020 7580 6291 | www.hrhretail.com SAINSBURY’S

DISCLAIMER NOTICE: Whilst every care is taken in the preparation of these particulars Harmer Ray Hoffbrand LLP, any joint agents involved and the vendor take no responsibility for any error, mis-statement or omission in these details. Measurements are approximate and for guidance only. These particulars do not constitute an offer or contract and members of the Agent’s firm have no authority to make any representation or warranty in relation to the property. April 2019.

Plan shown for indicative purposes only