45-49 Clarence Street Cheltenham GL50 3JS - KBW Chartered ...
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45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Investment For Sale
Ground Floor & Basement 351.31 sq m (3,781 sq ft)
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Location
Description
With a population of around 120,000, Cheltenham is an important regional shopping location serving an extensive catchment area. The town is renowned for its range and quality of shopping and its various festivals attract many visitors throughout the year.
The accommodation comprises the ground floor and basement and part of the upper floors of a Grade II listed building which has been interconnected across no.45 and nos.47-49 Clarence Street. The accommodation includes an upper ground floor section raised approximately 0.82 metres above the ground floor. The ground and upper ground floors are currently utilised for seating and a bar area, with the basement configured as ancillary storage, commercial kitchen and male and female WC’s.
The subject premises occupy a prominent position opposite Crescent Place on Clarence Street within approx 50 metres of the inner ring road system. The subject premises adjoin the town’s art gallery and museum, known as The Wilson and the central library within Cheltenham’s ‘cultural quarter’. The area is also populated with numerous restaurateurs, including The Stable, The Mayflower and Cheltenham’s new Wagamama’s (opening summer 2017).
Accommodation The approximate net internal floor areas are as follows: Ground floor Upper ground floor Basement
172.23 sq m (1,854 sq ft) 89.73 sq m (965 sq ft) 89.35 sq m (962 sq ft)
First, Second & Third Floors
Not measured.
Planning A change of use of the ground and lower ground floors from Class A1 (Retail) to Class A3 (Restaurant), including alterations to the street level frontage was permitted in 2012 in accordance with application 12/01940/LBC. A copy of
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
the consent is available via the Cheltenham Borough Council planning portal on its website.
Tenancy The ground floor and basement is let to The Boston Tea Party Group Limited for a term of 15 years from 20.12.2013 until 19.12.2028, without break, at a current rent of £40,000 per annum exclusive. The rent is subject to 5 yearly upward only rent reviews with the first review date on 20.12.2018. The lease is drawn on effectively full repairing and insuring terms with external common areas controlled by a service charge.
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
The upper floors of nos. 45-47 Clarence Street are subject to two long leases expiring 13th March 3001 at fixed ground rents of £100 per annum for each. The total rent passing therefore is £40,200 per annum exclusive.
Covenant The Boston Tea Party Group Limited is registered at 75 Park Street, Bristol, BS1 5PF under registration number 05302325. Dun and Bradstreet gives a company rating of 1A2 with a tangible net worth of £1,208,093 and a risk indicator of 2, representing a lower than average risk of business failure.
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw According to recently filed accounts for The Boston Tea Party Group Limited, turnover rose from £14.9 million in the year ending 19th October 2016, up from £12.2 million in 2014/15. Total sales increased by 22% during the period while the chains existing state generated like for like sales growth of 5.9%. The company opened new venues in Stratford upon Avon and Bath during this period with a further site in Bristol opened just after the year end, taking the total number of restaurants to 20 across the south west and Midlands (covenant information obtained from Dun & Bradstreet and South West Insider).
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Price £860,000 for the freehold interest in nos.45-47 and the long leasehold interest in the ground floor and basement of no.49, expiring 13th March 3001, with the benefit of the single lease to The Boston Tea Party Group Limited which (combined with the ground rents on the upper floors) represents an initial yield of 4.43%. We believe the rent passing is significantly below the current estimated rental value, and hence the price reflects an attractive reversionary yield.
Rates
VAT
Rateable Value: £29,250
VAT is applicable on the purchase price and/or any other charges or payments detailed. All figures quoted are exclusive of VAT and intending lessees must satisfy themselves as to the VAT position by taking appropriate professional advice.
The above information was obtained from the Valuation Office website. Interested parties should make their own enquiries of the billing authority Cheltenham Borough Council (01242 262626) to verify the current rates payable.
EPC
Legal Costs Each party to bear its own legal costs in connection with the transaction.
Exempt, as the property is a listed building.
Viewings Strictly by prior appointment with the sole agent KBW. Ref: 716070
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs 45-49 Clarence Street, Cheltenham
RESTA OPEN URANT ING S OON
-4
5
WAGAMAMA
TH
ES TAB
LE
VAC AN
T
49
50 metres
Experian Goad Plan Created: 14/06/2017 Created By: KBW Property
Copyright and confidentiality Experian, 2017. © Crown copyright and For more information on our products and services: database rights 2017. OS 100019885 www.experian.co.uk/goad | [email protected] | 0845 601 6011
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Investment For Sale
Ground Floor & Basement 351.31 sq m (3,781 sq ft)
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Location
Description
With a population of around 120,000, Cheltenham is an important regional shopping location serving an extensive catchment area. The town is renowned for its range and quality of shopping and its various festivals attract many visitors throughout the year.
The accommodation comprises the ground floor and basement and part of the upper floors of a Grade II listed building which has been interconnected across no.45 and nos.47-49 Clarence Street. The accommodation includes an upper ground floor section raised approximately 0.82 metres above the ground floor. The ground and upper ground floors are currently utilised for seating and a bar area, with the basement configured as ancillary storage, commercial kitchen and male and female WC’s.
The subject premises occupy a prominent position opposite Crescent Place on Clarence Street within approx 50 metres of the inner ring road system. The subject premises adjoin the town’s art gallery and museum, known as The Wilson and the central library within Cheltenham’s ‘cultural quarter’. The area is also populated with numerous restaurateurs, including The Stable, The Mayflower and Cheltenham’s new Wagamama’s (opening summer 2017).
Accommodation The approximate net internal floor areas are as follows: Ground floor Upper ground floor Basement
172.23 sq m (1,854 sq ft) 89.73 sq m (965 sq ft) 89.35 sq m (962 sq ft)
First, Second & Third Floors
Not measured.
Planning A change of use of the ground and lower ground floors from Class A1 (Retail) to Class A3 (Restaurant), including alterations to the street level frontage was permitted in 2012 in accordance with application 12/01940/LBC. A copy of
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
the consent is available via the Cheltenham Borough Council planning portal on its website.
Tenancy The ground floor and basement is let to The Boston Tea Party Group Limited for a term of 15 years from 20.12.2013 until 19.12.2028, without break, at a current rent of £40,000 per annum exclusive. The rent is subject to 5 yearly upward only rent reviews with the first review date on 20.12.2018. The lease is drawn on effectively full repairing and insuring terms with external common areas controlled by a service charge.
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
The upper floors of nos. 45-47 Clarence Street are subject to two long leases expiring 13th March 3001 at fixed ground rents of £100 per annum for each. The total rent passing therefore is £40,200 per annum exclusive.
Covenant The Boston Tea Party Group Limited is registered at 75 Park Street, Bristol, BS1 5PF under registration number 05302325. Dun and Bradstreet gives a company rating of 1A2 with a tangible net worth of £1,208,093 and a risk indicator of 2, representing a lower than average risk of business failure.
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw According to recently filed accounts for The Boston Tea Party Group Limited, turnover rose from £14.9 million in the year ending 19th October 2016, up from £12.2 million in 2014/15. Total sales increased by 22% during the period while the chains existing state generated like for like sales growth of 5.9%. The company opened new venues in Stratford upon Avon and Bath during this period with a further site in Bristol opened just after the year end, taking the total number of restaurants to 20 across the south west and Midlands (covenant information obtained from Dun & Bradstreet and South West Insider).
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs
Price £860,000 for the freehold interest in nos.45-47 and the long leasehold interest in the ground floor and basement of no.49, expiring 13th March 3001, with the benefit of the single lease to The Boston Tea Party Group Limited which (combined with the ground rents on the upper floors) represents an initial yield of 4.43%. We believe the rent passing is significantly below the current estimated rental value, and hence the price reflects an attractive reversionary yield.
Rates
VAT
Rateable Value: £29,250
VAT is applicable on the purchase price and/or any other charges or payments detailed. All figures quoted are exclusive of VAT and intending lessees must satisfy themselves as to the VAT position by taking appropriate professional advice.
The above information was obtained from the Valuation Office website. Interested parties should make their own enquiries of the billing authority Cheltenham Borough Council (01242 262626) to verify the current rates payable.
EPC
Legal Costs Each party to bear its own legal costs in connection with the transaction.
Exempt, as the property is a listed building.
Viewings Strictly by prior appointment with the sole agent KBW. Ref: 716070
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
kbw
45-49 Clarence Street Cheltenham GL50 3JS • Investment opportunity • Let to The Boston Tea Party Group Limited until 2028 without break • Current rent of £40,200 per annum exclusive (including ground rents) • NIY of 4.43% after costs 45-49 Clarence Street, Cheltenham
RESTA OPEN URANT ING S OON
-4
5
WAGAMAMA
TH
ES TAB
LE
VAC AN
T
49
50 metres
Experian Goad Plan Created: 14/06/2017 Created By: KBW Property
Copyright and confidentiality Experian, 2017. © Crown copyright and For more information on our products and services: database rights 2017. OS 100019885 www.experian.co.uk/goad | [email protected] | 0845 601 6011
Disclaimer: KBW Chartered Surveyors for themselves and for the clients of this property for whom they represent give notice that: a) the particulars are for guidance only and do not constitute an offer or contract. b) all descriptions, dimensions, areas, comments on condition and references to planning consents and permitted uses, and other details referred to are given without responsibility and intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves as to their correctness by inspection or otherwise. c) no person employed by kbw Chartered Surveyors has any authority to make any representation of warranty whatsoever in relation to this property.
T. 01242 244744 E. [email protected] W. www.kbw.co.uk
