New England House Northumberland Road, Newcastle Upon Tyne NE1 8JW > CENTRALLY LOCATED RETAIL AND OFFICE INVESTMENT New England House Northumberland Road, Newcastle Upon Tyne NE1 8JW INVESTMENT SUMMARY • Well located city centre office and retail building situated immediately off Newcastle’s prime retail thoroughfare and close to the Haymarket Metro and University campuses. • The building was constructed in the early 1980’s and subsequently refurbished, extending to a total of net internal area 21,339 sq ft over ground and 4 upper floors. • The property features modernised common areas, refurbished offices and WC’s, 2 passenger lifts and an attractive central courtyard. • Multi let to 6 tenants including Secretary of State for Defence and Reed Employment Ltd with an average weighted unexpired lease term to expiry of 2.93 years and to break options of 2.33 years. • Producing a gross income of £237,868 p.a. or after deductions for ground rent and void costs including empty rates charges, service charge and insurance shortfall, £111,309 p.a. Fully let estimated rental value £289,830 p.a. • Long leasehold for 127 years from the 14 March 1980 at a passing rent of £20,800 p.a. subject to review. • Opportunity to enhance value through restructuring leases and letting vacant space. • Value underpinned by conversion of upper floors to student or private residential accommodation, subject to obtaining necessary consents. • Offers sought of £2.1M (Two million, one hundred thousand pounds) reflecting a gross yield of 10.8% or triple net initial yield of 5.04%. The reversionary yield on letting the vacant offices is approximately 13.0%. CENTRALLY LOCATED RETAIL AND OFFICE INVESTMENT A9 A882 (A9) (A895) A9 A99 STORNOWAY A9 A9 A835 Fraserburgh (A92) Elgin A98 A90 BENBECULA A87 A9 (A856) A96 A941 INVERNESS Peterhead Inverness A90(A952) A9 A82 A95 A96 (A850) A87 A87 ABERDEEN A887 A9 Aberdeen BARRA A87 A93 A93 A90 A86 A830 A82 Fort William A92 A9 A93 A90 Montrose A82 Forfar A90 Arbroath A92 Dundee A90 DUNDEE A85 A85 Perth 11 10 A92 9 (A914) A91 St Andrews M90 A84 A9 A91 8 7 6 Glenrothes 11 A91 A82 Buckhaven 5 A83 10 A977 Alloa 4 Stirling A92 Kirkcaldy A811 M9 8 Cowdenbeath Dunfermline 3 3 A985 M90 Helensburgh 8 7 2 M80 2 Grangemouth 1 5 6 Bo'ness Dunoon Alexandria 5 Gourock 4 Falkirk 4 M9 3 Dumbarton 2 A1 A80 Cumbernauld Greenock 1 EDINBURGH EDINBURGH Port Kirkintilloch 31 1 Glasgow 1 Clydebank 3 2 Musselburgh 30 3 3 Livingston M80 M73 Dalkeith GLASGOW 26 A78 15 11 29 27 25 Airdrie 4 Johnstone 24 20 GLASGOW 5 Bonnyrigg M8 1 6 M8 Paisley A8 A71 A68 5 Hamilton Motherwell A702 6 A73 East Kilbride A703 A7 Berwick-upon-Tweed Larkhall 7 A737 A77 Carluke A83 8 A697 Kilwinning M74 Ardrossan A721 9 10 Kilmarnock Irvine A72 Galashiels A1 A71 A71 11 A78 12 A702 Troon A76 PRESTWICK Prestwick 13 Ayr A74(M) 14 A70 14 A68 New England House A77 A697 Northumberland Road, Newcastle Upon Tyne NE1 8JW A74 A1068 A1 A7 A77 16 A701 Morpeth A76 17 A696 A1 Blyth 18 A68 Dumfries A74(M) 19 NEWCASTLE 20 Ponteland A19 Whitley Bay Gosforth Tynemouth A75 NEWCASTLE South Shields LOCATION A69 A69 Jarrow CARLISLE Gateshead Newcastle upon Tyne is the regional capital of the North East located A689 Stranraer A75 44 A68 A75 A1 SUNDERLAND 105 miles (168km) south of Edinburgh and 85 miles (137km) north of 43 Carlisle A963 65 Washington York. The city has a population of approximately 280,000 and forms A692 64 42 Consett Stanley 63 Houghton le Spring the heart of the wider Tyneside conurbation with a population A691 extending to in excess of 1,075,000. A19 A596 62 Durham Peterlee The city is the largest retailing, leisure and office centre in the Brandon A167 M6 61 North East and has an international draw as a business, education A68 and tourism centre. Major occupiers in the city include Sage Group, 41 Hartlepool A66 Spennymoor A1(M) Npower, Barclays Bank, BskyB and Procter & Gamble. Workington Penrith 40 Bishop Auckland A689 60 A19 A689 Appleby-in- Redcar Westmorland The city is also a major public sector hub, not just for local and 59 MIDDLESBROUGH regional government but also for national operations including, most Whitehaven A688 notably, the Department for Work and Pensions and HM Revenue & Darlington Customs. TEESSIDE 57 Whitby A591 A66 56 A19 The city is served by excellent road communications with easy A685 A595 38 access to the A1M and A19 main dualled carriageways serving the A172 region and linking to the national road network. A171 Northallerton Kendal 37 A1 Newcastle is situated on the main East Coast line with fastest Scarborough journey times to London Kings Cross of 2 hours 37 minutes and to M6 Edinburgh of 1 hour 25 minutes. The Tyne & Wear conurbation is also A170 36 served by the Tyne & Wear Metro system, Newcastle being the only A590 A170 Ulverston city outside London to benefit from an underground rail network. A165 A590 A65 60 stations connect Sunderland to the south east and Newcastle A168 A19 Ripon Airport to the north west via all major suburbs. 35 Barrow-in-Furness A64 Bridlington Morecambe Newcastle Airport is situated 7 miles to the north west of the city 34 A683 A61 A1(M) (A166) Heysham Lancaster centre and deals with in excess of 4.46M passengers annually A614 Knaresborough A165 travelling to 74 destinations. Airlines serving the airport include British A166 M6 A65 Harrogate A59 Airways, Air France, FlyBe, EasyJet and Emirates. United Airlines have 33 A59 2 8 Skipton A6 York recently confirmed direct flights will commence to New York from Ilkley A59 Fleetwood A614 May 2015. A61 A64 Otley (A163) A65 A6068 LEEDS & A1035 Tadcaster A19 Yeadon BRADFORD A58 A585 Clitheroe Keighley A650 14 Bingley A1079 Beverley A165 13 Colne 12 Nelson Shipley Blackpool A59 3 32 Padiham LEEDS Garforth 4 M55 1 Selby A614 CENTRALLY LOCATED RETAIL AND OFFICE INVESTMENT 10 BRADFORD M621 A164 Preston M65 8 Burnley A63 A63 HULL 1 47 A1 38 31 7 43 A 1 6 Accrington 0 M62 Blackburn 4 27 1 A63 30 Halifax 26 Castleford 37 Lytham St Anne's Todmorden A646 30 A59 29 9 Batley M62 41 A645 Leyland 28 Dewsbury 31 32 36 Goole Darwen Rawtenstall Brighouse 25 33 34 8 24 40 Wakefield Pontefract Southport 23 A58 M18 M6 A15 A160 A570 Chorley Rochdale 39 1 22 M62 Huddersfield Hemsworth A638 6 Immingham A59 38 Thorne Bury M66 21 M181 A61 Grimsby 27 M61 Bolton 2 A62 5 Scunthorpe 5 Ormskirk 20 1 A565 19 38 Skelmersdale 6 A58 3 2 M180 Standish M1 M180 3 Cleethorpes Formby 5 37 4 4 A58 4 4 3 5 3 17 37 M58 Wigan M6015 1 14 25 36 36 A46 7 Kirkby 24 3 6 23 A159 5 MANCHESTER 35 1 3 4 A1(M) A15 22 M62 6 Rotherham A16 LIVERPOOL 3 11 A631 2 9 1 A631 1 9 34 4 5 M62 34 2 7 M60 33 32 34 Gainsborough 5 SHEFFIELD Louth 3 20 6 Holyhead Prestatyn Bebington 7 31 A41 A6 Rhyl 4 MANCHESTER Llandudno 11 M5610 Colwyn Bay M53 Retford A46 12 19 M1 5 A156 A16 Conwy 8 A61 A1 9 Abergele Ellesmere 30 A57 A158 A5 A55 Port 10 14 Flint A34 Buxton 16 Chesterfield Bangor A55 M6 Macclesfield Lincoln 12 A470 18 29 A523 A53 A515 A158 A5 Chester A6 A55 17 Mansfield Matlock A494 Crewe Leek 28 A15 Newark- A17 A52 A483 16 A500 on-Trent A5 Nantwich A38 27 STOKE-ON-TRENT A470 A607 A52 Ashbourne A46 A17 Newcastle- 26 A1121 Boston A487 15 Under-Lyme A52 A1 A52 A5 A50 NOTTINGHAM A53 A34 A52 A16 A148 A5 Uttoxeter DERBY 25 Grantham A52 A470 A494 A17 A15 Oswestry A50 A607 A51 24 A148 14 EAST A151 A515 MIDLANDS Spalding Stafford King's A140 A38 A17 A5 Lynn A1101 A470 23 Newport 13 A42 A47 East A607 A606 A458 M6 M1 A1 A16 Dereham A1065 NORWICH A5 A47 22 A16 A47 7 6 5 12 Cannock 11 Stamford A10 A458 Wisbech Norwich Downham Swaffham Great Yarmouth M54 11 A606 A1139 A1122Market 2 M42 LEICESTER A146 A487 A483 M6(T) A47 A470 A47 A6003 21 A47 Peterborough WOLVERHAMPTON 10 March A143 M69 A43 A11 A6 A489 8 7 A134 9 2 Lowestoft M6 1 1 6 5 8 A140 M1 Market A10 2 A427 A605 Harborough Corby A141 A143 A470 BIRMINGHAM A6116 3 A487 20 3 BIRMINGHAM Thetford A44 6 2 A1066 A1165 Aberystwyth A1 M6 Ely A483 M42 1 Kettering A142 5 19 A11 M5 COVENTRY A508 4 4 A43 A470 Huntingdon Mildenhall A143 2 18 A14 Stourport- 1 3 A45 on-Severn Bromsgrove A448 16 St Ives M42 M45 17 A10 A449 M40 Leamington Wellingborough Rushden A14 A14 5 Warwick Spa A12 Redditch A140 A6 A441 A435 A14 Newmarket 15 14 Northampton A44 Droitwich 13 Daventry A45 A428 14 Bury M5 16 St Neots 13 St Edmunds A44 A428 Cambridge A483 6 12 Stowmarket A442 A46 Worcester 12 15 A14 Stratford A43 A428 11 7 A11 A134 A487 upon Avon A429 Bedford A4112 A4103 M1 M11 A509 A470 A508 A46 A5 10 A483 Great A10 A438 A438 Newport Biggleswade Haverhill Ipswich Malvern A44 Banbury A6 Evesham Pagnell A505 9 A438 11 Sudbury 14 A14 A43 Milton A1 Royston A134 Hereford 8 A422 A421 Saffron 1 A44 Keynes 13 Walden A12 10 A505 A46 Letchworth A131 Felixstowe A470 2 9 A40 A479 A465 Tewkesbury A43 9 Harwich M50 Leighton 12 Hitchin M5 10 A5 A120 A44 Buzzard 8 A120 A49 4 3 10 M1 Braintree A40 A40 GLOUCESTERSHIRE M40 A1(M) Stevenage STANSTED Luton Colchester Carmarthen Cheltenham Dunstable 11 7 A602 A133 A40 11 Bicester 8 Gloucester A41 Bishop's A120 A40 9 A483 A48 10 A10 A34 LUTON Welwyn Stortford A130 A40 A40 A470 Abergavenny A40 A436 Garden A131 9 6 Aylesbury City Ware Witham A12 Clacton-on-Sea A417 A40 Kidlington 5 A465 Witney Tring Hertford M11 Merthyr A429 Hemel A4076 Ammanford 12 St Milford A40 A41 4 Harlow A477 Tydfil A40 Hempstead A4042 Oxford 8 Albans Hatfield Maldon Haven A413 Chelmsford 49 13 Stroud A40 M10 3 Hoddesdon 7 Berkhamsted 7 A478 A48 1 2 A465 Aberdare 8 A418 Thame A414 48 M5 A419 Cirencester 7 A4010 22 Pontypool A449 A477 Amersham 20 M4 24 25 26 A12 A130 Llanelli 47 46 45 19 M25 Pembroke A420 5 44 Neath Abingdon High