ST. JULIAN’S COURT ST. JULIAN’S AVENUE / ST. PETER PORT GUERNSEY WELL SECURED OFFICE INVESTMENT WELL SECURED OFFICE INVESTMENT INTRODUCTION St. Julian’s Court offers a unique opportunity to acquire a Grade A office building in Guernsey, let to Kleinwort Hambros and Rothschild & Co with 8.4 years term certain. ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 02 / 03 WELL SECURED OFFICE INVESTMENT KEY HIGHLIGHTS LET TO TWO OF 100% PRIME PITCH THE WORLD’S LEADING INVESTMENT BANKS HIGHLY SPECIFIED DIVISIBLE FLOOR PLATES AND RECENTLY UNDERGONE OFFERING ULTIMATE A ROLLING REFURBISHMENT LEASING FLEXIBILITY TERM CERTAIN LET AT A 36% DISCOUNT TO OF 8.4 YEARS GUERNSEY PRIME RENTS ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 04 / 05 WELL SECURED OFFICE INVESTMENT ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 06 / 07 WELL SECURED OFFICE INVESTMENT INVESTMENT SUMMARY • Guernsey is regarded as one of the world’s leading • The building provides 32,413 sq ft of Grade A office offshore centres with a Standard & Poor’s credit rating of accommodation with divisible floorplates offering AA-/A-A+ and an estimated GDP of £3.272 billion (2018). ultimate leasing flexibility. • Guernsey has excellent communications to the UK • Freehold. mainland, with an average flight time of 55 minutes to London and Europe is also easily accessible. • Fully let to two of the world’s leading investment banks, providing a secure long-term income. • St. Peter Port is the island’s capital and major commercial centre being home to numerous international businesses • Combined total income of £1,023,428 per annum. including Barclays, Deutsche Bank, Credit Suisse, BNP Paribas, PwC, EY, Investec, HSBC, Deloitte and KPMG. • Term certain of 8.4 years. • St. Julian’s Court is a highly specified headquarters building which has undergone a recent and high-quality rolling refurbishment. PROPOSAL We are instructed to seek offers in excess of £13,220,000 (Thirteen Million, Two Hundred and Twenty Thousand Pounds), subject to contract. A purchase at this level reflects an attractive net initial yield of 7.25% exclusive of purchaser’s costs of 6.78%. ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 08 / 09 WELL SECURED OFFICE INVESTMENT ONE OF THE WORLD’S PREMIER OFFSHORE CENTRES Leicester Wolverhampton GUERNSEY Coventry Peterborough ECONOMY Birmingham Cambridge Northampton Ipswich Milton Keynes Luton KEY BUSINESS SECTORS Insurance Swansea London Southend-on-Sea Guernsey is a leading international finance centre with over Guernsey’s insurance industry is renowned for its innovation Cardi Bristol Reading 50 years’ experience in servicing clients from around the and professionalism in providing a range of risk management Dover Calais world. The finance industry employs approximately 21% solutions. The industry comprises captive and commercial Southampton of the total workforce and represents a direct contribution insurers using flexible vehicles such as protected cell Portsmouth of 41% of Guernsey’s GDP. Guernsey’s status as a globally companies (PCCs) and incorporated cell companies (ICCs) Exeter Poole Brighton recognised offshore finance economy is predicated on the to write a huge variety of business. Guernsey is home to 835 Newquay Plymouth St. Sampson L’ Islet island’s internationally compliant low tax regime, world class international insurance entities (as at December 2017). Around Grandes Rocques ENGLISH CHANNEL professional services, highly skilled workforce and agile, pro- 20% of the UK FTSE 100 have captives domiciled in Guernsey. Albercq Le Bouet business government. There are four key pillars to Guernsey’s St. Peter Port Guernsey finance industry: St. Martin Pleinmont Le Bourg Guernsey Dielee Le Havre Banking COVID-19 Caen Banking in Guernsey is central to its reputation as a leading Guernsey’s successful handling of the COVID-19 global Jersey Paris international offshore finance centre. Guernsey’s mature pandemic meant it has managed to successfully eliminate St Malo banking sector is host to many branches and subsidiaries of the virus from its shores to become the first British place Saint-Brieuc international banks. There are 24 licensed banks in Guernsey to become COVID-free. As a result, the island has attained Brest with total deposits of £98.1 billion (as at March 2020). international acclaim as a global leader and underlined its strength as a secure and robust jurisdiction in which to live and do business. Investment Funds Guernsey forms part of the Channel Islands and is Guernsey is regarded as one of the world’s premier offshore Guernsey is a leading funds domicile with more than 50 In June 2020, the States of Guernsey launched an ambitious strategically positioned in the English Channel, approximately centres and is politically and economically robust, with a years’ experience in the formation, administration and cross- ‘Revive and Thrive’ recovery strategy to not only stimulate 75 miles south of Weymouth, England and 30 miles west of Standard & Poor’s credit rating of AA-/A-1+ and an estimated border distribution of investment funds. It has more than the economy, but to “improve on where it would have been” France’s Normandy Coast. Guernsey is part of the Bailiwick GDP of £3.272 billion (2018). 50 fund providers including experienced fund managers, without the coronavirus pandemic by as early as 2023. of Guernsey which incorporates the islands of Guernsey, administrators, custodians and excellent legal and fund Alderney, Sark and Herm. The island is a self-governing dependent territory of the British accounting services. The overall value of institutional and This high level strategy sets out a plan to achieve a £1.4 Crown. It is not represented in the UK Parliament but has its retail funds under management and administration in billion increase in the value of Guernsey’s economy between Guernsey is the second largest of the Channel Islands with own democratically elected parliament called the States of Guernsey stands at £264.6 billion (as at December 2019). 2021 and 2030, compared to the pre-COVID economic growth an area of 24 square miles and a population of approximately Deliberation. There are no political parties in Guernsey. projections. This will include major investment and capital 63,000 people. St. Peter Port, located on the eastern coast, is projects relating to upgrading the national infrastructure, the island’s capital and commercial centre. Wealth Management developing transport links, digital connectivity and the public Guernsey plays host to a wide range of fiduciary and realm, alongside an enhancement of the seafront. corporate service providers, ranging from subsidiaries of major global financial institutions to owner-managed independent trust companies. In total, there are more than 150 licensed fiduciaries in Guernsey. In addition, there are many licensed individuals who can act as trustees or directors. Guernsey’s branch of the Society of Trust and Estate Practitioners (STEP) has more than 700 members - one of the largest regional memberships in the world. ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 10 / 11 WELL SECURED OFFICE INVESTMENT GUERNSEY IS A LEADING INTERNATIONAL FINANCE CENTRE GUERNSEY HIGHLIGHTS ONE OF THE S&P RATING OF WORLD’S LEADING AA-/A-A+ WITH A OFFSHORE CENTRES STABLE OUTLOOK INCREASING GDP HOME TO NUMEROUS OF £3.272 BILLION MULTI-NATIONAL FINANCIAL (2018) SERVICES BUSINESSES £264.6 BILLION CENTRE OF EXCELLENCE FUNDS UNDER FOR PROFESSIONAL MANAGEMENT (2019) SERVICES SUPPLY IMBALANCE HEADLINE GRADE A EXPECTED TO DRIVE RENTS OF RENTAL GROWTH £43.50 PER SQ FT LOW GRADE A STRONG INVESTMENT VACANCY RATE FUNDAMENTALS FOR OF 2.3% LANDLORDS ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 12 / 13 WELL SECURED OFFICE INVESTMENT ADMIRAL PARK 4 3 C 2 A 1 1. Martello Court 4. Carey House 7. Royal Chambers 11. Cambridge House 15. Frances House Butterfield Bank Carey Olsen & The Rotunda Concept Group Equiom Intertrust Mourant Ozannes Zedra Bachmann & Co. B 5. Glategny Court Ernst & Young IQEQ El Sturdza 2. Dorey Court Guernsey Financial Apex Close Finance Royal Bank of Canada Services Commission Terra Firma 12. La Vieille Court A B&Q AON Collas Crill Babbe 16. Le Marchant JTC KPMG 8. Royal Bank Place Raven Russia House B The Energy Centre - Lancaster Trustees Investec Bank KPMG Barclays Guernsey Gas RBSI 13. Redwood House 3. Trafalgar Court 6. Regency Court Ogier 17. Lefebvre House C Waitrose Superstore Northern Trust Butterfield Bank 9. Holland House Grant Thornton Canaccord Deloitte BNP Paribas 14. Arnold House D Royal Gardens - Rawlinson Hunter Cazenove Capital HSBC 18. Lefebvre Court Residential Aztec 10. Hamilton House Bank Julius Baer Artemis Dadco Group Ltd E Royal Terrace - 19. Heritage Hall Residential & Retail Heritage Group F Queen Elizabeth II Marina G North Beach Public Car Park - 592 spaces 5 H The Harbour ST. JULIAN’S COURT 6 I Town Church D 7 8 GUERNSEY CBD 13 F E 14 16 10 9 11 15 12 G 19 PRIME RETAIL PITCH H 18 17 ST. JULIAN’S COURT / ST. JULIAN’S AVENUE / ST. PETER PORT / GUERNSEY 14 / 15 WELL SECURED OFFICE INVESTMENT GUERNSEY HAS EXCELLENT COMMUNICATIONS TO THE UK MAINLAND COMMUNICATIONS SITUATION Guernsey is serviced by regular air and St. Julian’s Court is situated in 100% prime pitch in the heart Numerous legal, financial and professional service occupiers sea links to both the UK and Europe. Daily of Guernsey’s financial district within the commercial centre of are located within close proximity, including EY, Mourant, PwC, flights operate from Guernsey airport to St. Peter Port. The property’s principal frontage is to St. Julian’s RBSI, KPMG, HSBC, Ogier, Deloitte, Barclays Wealth and BNP ST. JULIAN’S two London airports as well as principal Avenue with a secondary frontage to the rear onto Le Truchot.