welwyn garden city â 35-47 howardsgate unbroken retail ... - Realla
WELWYN GARDEN CITY – 35-47 HOWARDSGATE UNBROKEN RETAIL PARADE INVESTMENT Sat Nav Ref: AL8 6AP
INVESTMENT SUMMARY • Welwyn Garden City is a highly affluent London commuter town in Hertfordshire • The property occupies a 100% prime trading position on Howardsgate, directly between the Howard Centre and John Lewis • The property comprises a prominent, fully-let retail parade comprising seven well configured units, with tenants include Halfords, CEX and Martin McColl • 87% of the income is secured to national retailers • WAULT of 7.5 years to expiry (4.6 years to break) • Freehold • Total current income: £293,515 per annum • Price: £3,940,000 • Attractive Net Initial Yield: 7.00%
2 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
A505
A1 A1 A10 A505
A4146
A505
Welwyn Garden City is a highly affluent London commuter town in Hertfordshire
A5 A10 A505 A120
A120
A418 A602
A5
Welwyn
A41
A10
A12 A413
LOCATION
A414 A41
A414
A414
A413 A130 A12 A10 A355
A12
Welwyn Garden City is an affluent and contemporary town, strategically located approximately 22 miles north of central London, 14 miles south east of Luton and 8 miles south of Stevenage.
A12 A404
A127
A503 A406
A12
A1
A40 A40
LONDON
A13
A13
A4
A13 A102
The town benefits from excellent road communications, being conveniently located adjacent to the A1(M), providing direct access to London and the north east of England. Junction 4 and Junction 6 of the A1(M) are both located 3 miles from the town centre, with J23 of the M25 located just 10 miles from the centre. Welwyn Garden City railway station provides regular services to London (Kings Cross and Moorgate) with a fastest journey time of 20 minutes, affirming the towns reputation as a popular commuter town. The nearest international airport is Luton, which is situated approximately 13 miles north west of the town.
DEMOGRAPHICS Welwyn Garden City is situated in Welwyn Hatfield, in the county of Hertfordshire. Hertfordshire has a resident population of approximately 1,140,000 people, which has increased by 5% since the 2011 census; this is among the largest estimated increases in the UK.
3 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
RETAILING IN WELWYN GARDEN CITY
SITUATION
Welwyn Garden City has an estimated shopping population of 80,000 people and a town centre retail provision of approximately 520,000 sq ft. The Howard Shopping Centre which provides 230,000 sq ft of retail space with retailers including Boots, Next and Marks & Spencer.
The property occupies a prominent position within the prime retailing area of the town, on the northern side of Howardsgate, between Wigmores North and Stonehills. Howardsgate is a highly attractive public square and hosts notable occupiers including
Outside the centre, stores are more focused on a convenience based offering with tenants including Costa, Lloyds Bank, Halifax and Vision Express. Debenhams department store is located on Stonehills and the John Lewis department store lies behind the subject property on Wigmores North.
80,000
520,000 sq ft
approximate shopping population population
approximate town centre retail floor space
4 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
The property is conveniently situated in between the Howard Shopping Centre and the John Lewis department store, and thus benefits from excellent pedestrian footfall.
DESCRIPTION The property comprises seven well configured and flexbile retail units, with residential accommodation above, which has been sold off on a long lease. Each retail unit provides ground floor retail space with rear storage. Unit 35/37 also contains first floor storage. The property also benefits from a very large service yard to the rear held under a seperate title.
Retail property expertise
TENANCY & ACCOMMODATION Unit
Tenant
Floor Areas (sq ft)
Lease start
Lease end (break)
28/02/2010
27/02/2020
Rent Review
Passing Rent
Zone A Rate
£91,000
£57.44
Less 5% for shape Less 5% for quantum
Comments
35-37
Halfords Ltd
GF – 2,694 ITZA – 1,635.5 GF Anc – 789 FF – 879
39a
Acuchina Ltd
ITZA – 227 GF Anc - 285
04/11/2015
03/11/2025
04/11/2020
£18,500
£75.86
OML
39b
Annsaa Ltd
ITZA -214.75 GF Anc - 264
15/12/2014
14/12/2024 (15/12/2019)
15/12/2019
£18,500
£80.00
OML
41
CEX (Franchising) Ltd
GF – 1,701 ITZA – 834.9
22/02/2016
21/02/2026 (21/02/2021)
22/02/2021
£50,000
£58.90
OML - CEX took the old Country Casuals out of their CVA
43
Martin McColl Limited
ITZA – 817.5 GF Anc - 184
15/12/2016
14/12/2026 (14/12/2021)
15/12/2021
£47,300
£57.42
Recently renewed on a new five year term.
45
Greys Hairdressing
GF – 1,735 ITZA – 854.5
29/09/2010
28/09/2025 (29/09/2020)
£48,750
£59.13
Rent memo signed by tenant and with LL to increase rent from £45k to £48,750.
47
Scrivens ltd
ITZA - 301
01/06/2016
31/05/2021
£19,215
£63.83
Recently renewed on a new five year term.
Car Park License
Mr Andreas Savva
22/01/2013
31/12/2099
£0
Car Park License
Wrights of Welwyn Garden City Ltd
22/01/2013
31/12/2099
£0
Residential
Seasonvale Ltd
29/09/2004
28/09/2129
£250 Total
£293,515
*We have relied upon third party area
5 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
87% of the income is secured to national retailers TENURE Freehold
COVENANT INFORMATION CEX Limited
30/06/2015
30/06/2014
30/06/2013
Turnover
£136,787,157
£119,462,711
£100,317,844
Pre Tax Profit
£833,137
£137,811
£264,367
Net Worth
£142,390
£173,417
£705,252
Dillons Stores Limited Turnover Pre Tax Profit Net Worth
Halfords Limited Turnover Pre Tax Profit Net Worth
29/11/2015
31/11/2014
24/11/2013
£72,028,000
£74,621,000
£71,553,000
£1,642,000
£2,835,000
£2,629,000
£44,191,000
£42,203,000
£39,227,000
01/04/2016
03/04/2015
28/03/2014
£866,100,000
£872,700,000
£803,100,000
£86,200,000
£89,000,000
£86,200,000
£655,900,000
£590,800,000
£548,000,000
RENTAL COMMENTARY Applying a Zone A rate of £58.90 on the rest of the block based on the most recent OML letting to CEX, this provides an estimated rental value (ERV) of £296,260 per annum which demonstrates the rent is reversionary. The recent lease renewal to Scrivens represents a rental of £63.83 Zone A.
6 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
INVESTMENT COMPARABLES We consider the subject property offers an attractive opportunity to purchase a highly secure, long term year income stream in a dominant retailing centre at a price which compares favourably with similar recent market transactions. These include: Town
Address
Tenant
Sale Date
WAULT
Price
NIY
Hertford
24-28 Birchley Green
Greggs, TUI, WHSmith etc
Aug 2016
5.5 yrs
£5,625,000
6.82%
Welwyn Garden City
28-40 Stonehills
Greggs, Subway etc
May 2016
4.5 yrs
£2,418,000
6.70%
Welwyn Garden City
20-24 Howardsgate
HSBC, Age UK, Superdrug etc
Jan 2016
8.6 yrs
£5,000,000
6.50%
Berkhamsted
221-233 High Street
Coral, Hamiltons etc
Jun 2015
7.3 yrs
£4,000,000
6.37%
7 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
EPC A full copy of the EPC’s are available upon request.
VAT The property has been elected for VAT purposes. It is anticipated that the sale will be structured as a Transfer of a Going Concern.
PROPOSAL We are instructed to seek offers in excess of £3,940,000 (Three Million Nine Hundred and Forty Thousand Pounds) subject to contract and exclusive of VAT, for our clients freehold interest in the subject property. A purchase at this level would reflect a net initial yield of 7.00%, assuming purchasers costs of 6.53%.
FURTHER INFORMATION For further information or to arrange an inspection, please contact the sole agent: James Mead 020 7182 7481 07919 622 542 [email protected]
Joe Baio 020 7182 7489 07515 889 649 [email protected] www.fawcettmead.co.uk
For indicative purposes only. Title plan available upon request.
Misrepresentation Act: The particulars in this brochure are believed to be correct, but accuracy cannot be guaranteed and they are expressly excluded from any contract. Designed by Graphic Outlines Ltd 2017 SUBJECT TO CONTRACT
INVESTMENT SUMMARY • Welwyn Garden City is a highly affluent London commuter town in Hertfordshire • The property occupies a 100% prime trading position on Howardsgate, directly between the Howard Centre and John Lewis • The property comprises a prominent, fully-let retail parade comprising seven well configured units, with tenants include Halfords, CEX and Martin McColl • 87% of the income is secured to national retailers • WAULT of 7.5 years to expiry (4.6 years to break) • Freehold • Total current income: £293,515 per annum • Price: £3,940,000 • Attractive Net Initial Yield: 7.00%
2 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
A505
A1 A1 A10 A505
A4146
A505
Welwyn Garden City is a highly affluent London commuter town in Hertfordshire
A5 A10 A505 A120
A120
A418 A602
A5
Welwyn
A41
A10
A12 A413
LOCATION
A414 A41
A414
A414
A413 A130 A12 A10 A355
A12
Welwyn Garden City is an affluent and contemporary town, strategically located approximately 22 miles north of central London, 14 miles south east of Luton and 8 miles south of Stevenage.
A12 A404
A127
A503 A406
A12
A1
A40 A40
LONDON
A13
A13
A4
A13 A102
The town benefits from excellent road communications, being conveniently located adjacent to the A1(M), providing direct access to London and the north east of England. Junction 4 and Junction 6 of the A1(M) are both located 3 miles from the town centre, with J23 of the M25 located just 10 miles from the centre. Welwyn Garden City railway station provides regular services to London (Kings Cross and Moorgate) with a fastest journey time of 20 minutes, affirming the towns reputation as a popular commuter town. The nearest international airport is Luton, which is situated approximately 13 miles north west of the town.
DEMOGRAPHICS Welwyn Garden City is situated in Welwyn Hatfield, in the county of Hertfordshire. Hertfordshire has a resident population of approximately 1,140,000 people, which has increased by 5% since the 2011 census; this is among the largest estimated increases in the UK.
3 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
RETAILING IN WELWYN GARDEN CITY
SITUATION
Welwyn Garden City has an estimated shopping population of 80,000 people and a town centre retail provision of approximately 520,000 sq ft. The Howard Shopping Centre which provides 230,000 sq ft of retail space with retailers including Boots, Next and Marks & Spencer.
The property occupies a prominent position within the prime retailing area of the town, on the northern side of Howardsgate, between Wigmores North and Stonehills. Howardsgate is a highly attractive public square and hosts notable occupiers including
Outside the centre, stores are more focused on a convenience based offering with tenants including Costa, Lloyds Bank, Halifax and Vision Express. Debenhams department store is located on Stonehills and the John Lewis department store lies behind the subject property on Wigmores North.
80,000
520,000 sq ft
approximate shopping population population
approximate town centre retail floor space
4 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
The property is conveniently situated in between the Howard Shopping Centre and the John Lewis department store, and thus benefits from excellent pedestrian footfall.
DESCRIPTION The property comprises seven well configured and flexbile retail units, with residential accommodation above, which has been sold off on a long lease. Each retail unit provides ground floor retail space with rear storage. Unit 35/37 also contains first floor storage. The property also benefits from a very large service yard to the rear held under a seperate title.
Retail property expertise
TENANCY & ACCOMMODATION Unit
Tenant
Floor Areas (sq ft)
Lease start
Lease end (break)
28/02/2010
27/02/2020
Rent Review
Passing Rent
Zone A Rate
£91,000
£57.44
Less 5% for shape Less 5% for quantum
Comments
35-37
Halfords Ltd
GF – 2,694 ITZA – 1,635.5 GF Anc – 789 FF – 879
39a
Acuchina Ltd
ITZA – 227 GF Anc - 285
04/11/2015
03/11/2025
04/11/2020
£18,500
£75.86
OML
39b
Annsaa Ltd
ITZA -214.75 GF Anc - 264
15/12/2014
14/12/2024 (15/12/2019)
15/12/2019
£18,500
£80.00
OML
41
CEX (Franchising) Ltd
GF – 1,701 ITZA – 834.9
22/02/2016
21/02/2026 (21/02/2021)
22/02/2021
£50,000
£58.90
OML - CEX took the old Country Casuals out of their CVA
43
Martin McColl Limited
ITZA – 817.5 GF Anc - 184
15/12/2016
14/12/2026 (14/12/2021)
15/12/2021
£47,300
£57.42
Recently renewed on a new five year term.
45
Greys Hairdressing
GF – 1,735 ITZA – 854.5
29/09/2010
28/09/2025 (29/09/2020)
£48,750
£59.13
Rent memo signed by tenant and with LL to increase rent from £45k to £48,750.
47
Scrivens ltd
ITZA - 301
01/06/2016
31/05/2021
£19,215
£63.83
Recently renewed on a new five year term.
Car Park License
Mr Andreas Savva
22/01/2013
31/12/2099
£0
Car Park License
Wrights of Welwyn Garden City Ltd
22/01/2013
31/12/2099
£0
Residential
Seasonvale Ltd
29/09/2004
28/09/2129
£250 Total
£293,515
*We have relied upon third party area
5 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
87% of the income is secured to national retailers TENURE Freehold
COVENANT INFORMATION CEX Limited
30/06/2015
30/06/2014
30/06/2013
Turnover
£136,787,157
£119,462,711
£100,317,844
Pre Tax Profit
£833,137
£137,811
£264,367
Net Worth
£142,390
£173,417
£705,252
Dillons Stores Limited Turnover Pre Tax Profit Net Worth
Halfords Limited Turnover Pre Tax Profit Net Worth
29/11/2015
31/11/2014
24/11/2013
£72,028,000
£74,621,000
£71,553,000
£1,642,000
£2,835,000
£2,629,000
£44,191,000
£42,203,000
£39,227,000
01/04/2016
03/04/2015
28/03/2014
£866,100,000
£872,700,000
£803,100,000
£86,200,000
£89,000,000
£86,200,000
£655,900,000
£590,800,000
£548,000,000
RENTAL COMMENTARY Applying a Zone A rate of £58.90 on the rest of the block based on the most recent OML letting to CEX, this provides an estimated rental value (ERV) of £296,260 per annum which demonstrates the rent is reversionary. The recent lease renewal to Scrivens represents a rental of £63.83 Zone A.
6 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
INVESTMENT COMPARABLES We consider the subject property offers an attractive opportunity to purchase a highly secure, long term year income stream in a dominant retailing centre at a price which compares favourably with similar recent market transactions. These include: Town
Address
Tenant
Sale Date
WAULT
Price
NIY
Hertford
24-28 Birchley Green
Greggs, TUI, WHSmith etc
Aug 2016
5.5 yrs
£5,625,000
6.82%
Welwyn Garden City
28-40 Stonehills
Greggs, Subway etc
May 2016
4.5 yrs
£2,418,000
6.70%
Welwyn Garden City
20-24 Howardsgate
HSBC, Age UK, Superdrug etc
Jan 2016
8.6 yrs
£5,000,000
6.50%
Berkhamsted
221-233 High Street
Coral, Hamiltons etc
Jun 2015
7.3 yrs
£4,000,000
6.37%
7 | Fawcett Mead Welwyn Garden City – 35-47 Howardsgate
Retail property expertise
EPC A full copy of the EPC’s are available upon request.
VAT The property has been elected for VAT purposes. It is anticipated that the sale will be structured as a Transfer of a Going Concern.
PROPOSAL We are instructed to seek offers in excess of £3,940,000 (Three Million Nine Hundred and Forty Thousand Pounds) subject to contract and exclusive of VAT, for our clients freehold interest in the subject property. A purchase at this level would reflect a net initial yield of 7.00%, assuming purchasers costs of 6.53%.
FURTHER INFORMATION For further information or to arrange an inspection, please contact the sole agent: James Mead 020 7182 7481 07919 622 542 [email protected]
Joe Baio 020 7182 7489 07515 889 649 [email protected] www.fawcettmead.co.uk
For indicative purposes only. Title plan available upon request.
Misrepresentation Act: The particulars in this brochure are believed to be correct, but accuracy cannot be guaranteed and they are expressly excluded from any contract. Designed by Graphic Outlines Ltd 2017 SUBJECT TO CONTRACT
