A&BA&B UNITS - Jackson Criss
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
UNITS
A&B 110
H I G H S T R E E T, E S H E R
S U R R E Y K T 10 9 Q J
PRIME RETAIL / RESTAURANT INVESTMENT FOR SALE
IN AFFLUENT SURREY COMMUTER TOWN
110 HIGH STREET | ESHER
INVESTMENT
SUMMARY
z Esher is a leading affluent commuter town in Surrey, 15 miles
South West of Central London. Sandown Racecourse is in
the town near the train station.
z Freehold.
z Partly rebased retail and restaurant investment, occupying
a prominent position on the High Street opposite Waitrose.
z Let to Martin Moore Ltd and Mountrow Trading Ltd t/a
Pounding Heart Cocktail Bar & Restaurant with a WAULT
of 5.96 years to expiry.
z The Martin Moore showroom underwent a major refurbishment
in 2019, whilst the restaurant has recently opened.
z The current overall rent passing is £115,000 per annum
exclusive and is let off realistic rents.
z Seeking offers in excess of £1,600,000 (One Million Six
Hundred Thousand Pounds), subject to contract
and exclusive of VAT. A purchase at this level would
reflect a net initial yield of 6.81% allowing for standard
purchaser’s costs.
110 HIGH STREET | ESHER
LONDON u
J1
A308 Kingston
M25 upon
M3 Thames
J12 M3
Walton-on-Thames
J11 A309
Weybridge Esher
Addlestone
M25
A3
A243
A3
Oxshott
Cobham
J10
A3 J9
M25 M25
M25 M25 LOCATION
M4
Esher is located approximately 15 miles South West of Central London, 14 miles North
East of Guildford and 4 miles South West of Kingston-Upon-Thames. It is an outlying
suburb of London, within the Borough of Elmbridge and in the County of Surrey.
M3
Esher M25 The town is well located just to the North of the A3 trunk road, which leads into
Central London to the North East and provides direct access to junction 10 of the
A3
M25 (London orbital) approximately 6 miles to the South West.
Esher benefits from a mainline railway station with regular services to London
Waterloo with a journey time of approximately 30 minutes.
Esher is approximately 11 miles from Heathrow Airport and 24 miles from Gatwick.
110 HIGH STREET | ESHER
DEMOGRAPHICS
In the 2011 census the population of Esher was 50,904 (UK Office for
National Statistics) with the average age believed to be 40.
Esher, with an overall average price of £944,574 was more expensive
than nearby Claygate (£857,789), Hinchley Wood (£784,790) and
Thames Ditton (£779,619). During the last year, sold prices in Esher
were 9% up on the previous year and 4% up on the 2017 peak
(Rightmove, 2021).
There is a strong demand for houses in Esher, aided by the good
choice of state and private schools that the area has to offer. Esher
is also home to Elmbridge Borough Council’s offices. Sandown Park
Racecourse is a racecourse and leisure venue in Esher. Claygate,
Oxshott and Cobham are nearby villages, the latter being home to
Chelsea FC’s training ground.
110 HIGH STREET | ESHER RETAILING IN ESHER Esher has an estimated retail floor space of 174,269 sq ft which extends the length of the High Street and is anchored by a Waitrose supermarket. The prime retailing is located on the High Street and includes national retailers such as Tesco, Boots, Farrow & Ball, Barclays, Hulsta Furniture, Costa Coffee, Café Nero and Headmasters. The High Street offers a strong commercial leisure offer, including a number of restaurants and pubs including Pizza Express, Good Earth, The Albert, The Wheatsheaf and the Giggling Squid. Esher is also one of only two centres in the Borough to have a cinema thanks to the opening of an Everyman Cinema, who purchased the former Odeon in 2015. Furthermore, Esher boasts a number of high end fashion boutiques, including Bernard Boutique, Blink, Funkiheels and furniture shops including Martin Moore, Turner & Foye and Bruce Sizeland.
110 HIGH STREET | ESHER
(BE
ST
KE
BA
B&
BU BE
RG
ER ST
HO
US
K
E)
NORTH
OH
TH
ÉR
MI
AP
IE
NA
ILS
SITUATION
The property is situated in a prominent trading
location within the town centre, overlooking the
High Street (A307). The immediate area is dominated
by a mixture of restaurant, office and retail occupiers
and private residential accommodation.
CH ATE
ES ENT
UR
AG
T
CH
OD
S
The property is situated diagonally opposite the
CL
Waitrose Food Store which is also served by a 150
UB
8B
AR
BE
RS
space car park and is one of the main draws for
NO ND T
LO TLE
RD ON
OU
IC
ST
YL
visitors to the town.
E
PO
DESCRIPTION
RE U
ST H NDI
AU EA NG
RA RT
/B NT
AR
CR ESIG
OU N
D
CH S
The property is of a brick construction and
comprises two self-contained commercial units
TH HER
ES
EW
arranged over ground floor and basement. There are
AT
E
RG
AL
LE
RY
VA
CA
NT
/R
EM
10 flats on the upper floors which have been sold off
OD
EL
on a long lease. The subject property is serviced via
the rear, accessed from the High Street and benefits
from 4 car parking spaces which are let to the
tenants as part of the occupational lease.
For Identification purposes only
110 HIGH STREET | ESHER ACCOMMODATION The property comprises the following approximate areas: - Unit A (Martin Moore Ltd) Ground Floor Sales 1,755 sq ft 163.04 sq m Ground Floor ITZA 1,091 Units Basement Sales/Ancillary 1,135 sq ft 105.44 sq m Total 2,890 sq ft 268.48 sq m Unit B (Mountrow Trading Ltd) Ground Floor Sales 1,999 sq ft 185.71 sq m Basement Ancillary 1,795 sq ft 166.75 sq m Total 3,794 sq ft 352.46 sq m The total floor area is 6,684 sq ft ( 620.94 sq m) TENURE Freehold.
110 HIGH STREET | ESHER
TENANCY
The property is let on three separate tenancies. There is a tenants option to break on 1st February 2026
on 3 months notice. The lease benefits from a personal
Unit A is let to Martin Moore Ltd (Company No. 03958298) on
guarantee in the names of Ajay and Sujata Patel.
an effectively Full Repairing and Insuring lease, for a term of
20 years from 11th August 2004, expiring 10th August 2024, at The property has the benefit of a premises license that allows
a current rent of £65,000 pa. The unit benefitted from a major the sale of alcohol from 9am to 11:30pm Monday-Wednesday,
refurbishment at the beginning of 2019. 9am to 1am Thursday, 9am to 1:30am Friday-Saturday
and 9am to 10:30pm on Sundays.
Unit B is let to Mountrow Trading Ltd (company no: 06839997) t/a
Pounding Heart, on an effectively full repairing and insuring lease Part of the ground, first, second and third floor (residential
for a term of 10 years from 1st February 2021 at a current rent of accommodation) is let to Asprey Homes Limited on a
£25,000 pa increasing to £50,000 pa from 1st February 2022 with 999 year effectively full repairing and insuring lease from
a further increase to £60,000 pa from 1st February 2024. There is 25th March 2004 at a peppercorn rent.
an upwards only rent review on 1st February 2026.
The vendor will top up the rent on Unit B to £50,000 pa
resulting in a total passing income of £115,000 pa. The vendor
holds a deposit of £17,500 +VAT on Unit B which will be assigned
to the purchaser.
RENTAL VALUE
The rent at Unit A (Martin Moore) devalues to a Zone A rate of Both units are let off low rents when compared against the Côte
£54 per sq ft, valuing half of the basement at A/10, half at A/20 restaurant rent payable at 102/106 High Street which reflects
and applying £750 to each car parking space. The topped rent at £38.10 per sq ft.
Unit B (Pounding Heart) of £50,000 pa reflects an overall rate of
48 High Street was let in March 2021 to Tesco on a new 15-year
£16.75 per sq ft, valuing the basement at half rate and applying
lease with a tenant break option after 10 years on 6 months’ notice,
£750 to each car parking space.
at a rent of £105,000 pa which reflected a headline Zone A rent of
£96.42 psf.
110 HIGH STREET | ESHER
COVENANT STRENGTH
Martin Moore Ltd
Martin Moore Ltd is a subsidiary of Martin Moore Furniture Ltd and is a high-end manufacturer
specialising in the design and sale of kitchen furniture with stores and factories throughout the UK.
The company, which prides itself as being one of the original British handmade kitchen furniture
companies, was founded in 1975.
The summary account information can be highlighted as follows:
31/103/2018 31/03/2019 31/03/2020 Experian Score
Date of Account
£000 £000 £000 out of 100
Turnover - - -
Pre Tax Profit - - - 96
Total Net Worth £1,250,454 £1,327,065 £1,296,495
Mountrow Trading Ltd
Mountrow Trading Ltd’s Pounding Heart serves a delicious Pan Asian cuisine and is home to a
cocktail bar that serves cocktails and artesian spirits. The kitchen offers Chinese and Indian food at
both lunch and dinner.
The restaurant boasts a 5.6/6 rating on Just Eat showing its popularity in Esher.
VAT EPC
We understand that the property is The property has the following EPC ratings:
elected for VAT and therefore VAT will 110 High Street, Unit A – C51
be payable on the purchase price. It is 110 High Street, Unit B – C53
envisaged that the sale will be dealt with A copy of the EPC certificate and report is
as a Transfer Of a Going Concern (TOGC). available from this office.
110 HIGH STREET | ESHER
PROPOSAL
We are instructed to seek offers for the freehold interest in excess of £1,600,000 (One Million Six
Hundred Thousand Pounds), subject to contract and exclusive of VAT. A purchase at this level would
reflect a net initial yield of 6.81%, increasing to 7.40% in February 2024, after allowing for standard
purchaser costs of 6.12%.
The sale price reflects a low capital value of c.£239 per sq ft.
The principal comparable evidence can be set out below: -
52/56 High Street, Esher (Vacant)
Freehold vacant retail property sold in March 2020 for £1,635,000 which reflected a capital value
of £364 per sq ft. The property comprises a 3 storey build with potential to convert upper floors to
residential, subject to planning.
19/23 High Street Esher (Boots & McColl’s)
Freehold retail investment let to Boots and McColl’s with a wault to expiry of c.4.16 years and
a wault to break of 3.29 years. The property is under offer at a price in excess of c.£2.5m, which
reflects a net initial yield of c. 5.75%.
102/106 High Street, Esher (Côte)
Freehold restaurant investment sold to Mayfair Capital in August 2017 for £2.25m which
reflected a net initial yield of 5%. The property comprised a ground floor and basement demise
held on a 999 year lease at a peppercorn rent. The lease was held by Côte Restaurants Limited
for a term to expire 23/10/2036 at a rent of £122,500 pa, which devalued to an overall rate of
£38.10 per sq ft. The purchaser was Mayfair Capital.
IDENTITY CHECKS
In order to comply with anti-money laundering legislation, the successful purchaser will be required to
provide certain identification checks. The required documents will be confirmed and requested from the
successful purchaser at the relevant time.For further information or to arrange an inspection of the property, please contact:
Philip Hay BSc (Hons) MRICS Jake Berry BSc MSc
020 7637 7100 07590 961110
phay@jacksoncriss.co.uk jakeb@jacksoncriss.co.uk
Messrs. Jackson Criss for themselves and for the vendors or lessors of this property whose agents they are to give notice that: (i) the particulars are set out as a general outline only for the guidance of intending purchasers or lessees, and do not constitute, nor constitute part of, an offer or contract; (ii) all
descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchasers or tenants should not rely on them as statements of representations of fact but satisfy themselves by
inspection or otherwise as to the correctness of each of them; (iii) no person in the employment of Messrs. Jackson Criss has any authority to make or give any representation or warranty whatever in relation to this property. 103018. Designed by TCC 07/21.You can also read
