BARCLAYS BANK ST HELIER, JERSEY - PRIME FREEHOLD BANK INVESTMENT NEW 15 YEAR LEASE WITHOUT BREAKS 3 YEARLY UNCAPPED RPI RENT REVIEWS - Allsop
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BARCLAYS BANK
T
ST HELIER, JERSEY
PRIME FREEHOLD BANK INVESTMENT
NEW 15 YEAR LEASE WITHOUT BREAKS
3 YEARLY UNCAPPED RPI RENT REVIEWS
GROUND & BASEMENT
1 & 3 BROAD STREET & 11-13 LIBRARY PLACE, JE4 8NE
INVESTMENT CONSIDERATIONS PROPOSAL
Offers are sought in excess of £5,140,000 (Five million, One Hundred and
Annually compounded
Ground and basement only, Forty Thousand Pounds) subject to contract and exclusive of GST (5%). This equates
Freehold three yearly uncapped
measuring 12,851 sq ft to an attractive net initial yield of 5.50%, after allowing for purchasers’ costs of 6.20%.
Jersey RPI rent reviews
Assuming an increase based on Jersey’s March 2019 – March 2020 RPI of 2.7%,
New lease for a term of a purchase at this level gives a reversionary yield of:
Undoubted covenant Services retail, business and
15 years at a rent of
of Barclays Bank Plc ‘Premier’ Banking customers Year Rent NIY
£300,000 per annum
2023 £323,067 5.95%
Barclays have been Heart of St Helier Town Barclays’ only retail branch 2026 £347,908 6.45%
in occupation for over Centre, Jersey, Britain’s largest on the Island; benefiting 2029 £374,658 6.99%
100 years ‘offshore’ financial centre from a recent comprehensive
2032 £403,466 7.57%
refurbishment
Jersey RPI for the last 3 years has averaged an annual increase of 3.3%, which is higher than the UK.
PRIME FREEHOLD BANK INVESTMENT NEW
BARCLAYS BANK 15 YEAR LEASE WITHOUT BREAKS
Ground & Basement, 1 & 3 Broad Street & 11-13 Library Place, St Helier, Jersey JE4 8NE 3 YEARLY UNCAPPED RPI RENT REVIEWS
GURNSEY FRANCE
PORTSMOUTH
ENGLAND
BOURNEMOUTH
LOCATION ISLE OF WIGHT ST HELIER
Jersey is a British Crown dependency and an archipelago located in the English WEYMOUTH
St Helier is the capital of Jersey, home to
Channel approximately 14 miles off the north west coast of France and 85 miles from approximately 31% of the Island’s entire population
the south coast of England. Jersey is part of the British Isles but is self-governing and is CHANNEL
TORQUAY ISLANDS and virtually all of the Island’s prime retail and office
known as Britain’s largest ‘offshore’ financial centre operating within its own financial stock. The town has a population of approximately
and legal systems – independent of both the UK and The European Union. It is the N NEL 33,500 and has seen considerable public and
largest of the Channel Islands and its local economy revolves largely around the CHA private sector development in the last two decades.
LISH
PLÉMONT
ENG
finance and professional advisory industries. BOULEY BAY The town benefits from excellent road communications
Jersey benefits from excellent communications to both the UK and Europe: JERSEY being the focal point of the Island’s road network.
JERSEY AIRPORT• La Route de la Liberation runs through the centre of
the town and provides access to the west side of the
Jersey Airport is located 5 miles from St Helier. Journey times from ST AUBIN •ST HELIER Island and Jersey’s International Airport via the A1
London Gatwick and London City airports are 1 hour and 1 hour
and A2. The A8 and A9 are located to the north
15 minutes respectively.
of the town and connect the town with the Island’s
CHERBOURGOCTEVILLE northern Parishes and coastline. The A4 is located to
Regular ferries operating between Jersey, England and France. St Helier FLAMANVILLE the south of the town which links to the east side of the
to Poole 4 hours and 30 minutes. St Helier to St Malo 1 hour 20 minutes Island along its coastal shoreline.
GUERNSEY FRANCE
BARNEVILLECARTERET
CHANNEL ISLANDS
JERSEY
JERSEY AIRPORT
ST HELIER
PRIME FREEHOLD BANK INVESTMENT NEW
BARCLAYS BANK 15 YEAR LEASE WITHOUT BREAKS
Ground & Basement, 1 & 3 Broad Street & 11-13 Library Place, St Helier, Jersey JE4 8NE 3 YEARLY UNCAPPED RPI RENT REVIEWS
St Helier
Deutsche Bank
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THERE ARE OVER 50 REGISTERED
BANKS ON THE ISLAND
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NEW HEAD OFFICE
NEW 15 YEAR LEASE
24,500 SQ FT AGREED
TH
E OFFICE LOCATION SITUATION
ES
PL LESS THAN 5 MINUTES WALK
AN The property comprises a prominent corner building The immediate area also provides the Island’s main
AD in the very heart of St Helier Town Centre at the commercial centre for retail and office stock alongside
E corner junction of Broad Street and Library Place. The numerous bars and restaurants. The Liberty Wharf
property is located on the town’s main thoroughfare mixed-use development is located a short 5 minute
from The Esplanade to the High Street and benefits walk south via Weighbridge Place which now boasts
from good pedestrian flow. a number of up-market restaurants and bars around
The subject property is situated in a strong banking two attractive piazzas, including The Royal Yacht and
location with the Island’s principle branches of Café Zephyr.
Lloyds and NatWest located opposite. Other banks The bus station is located 300 metres to the south
and financial operators in close proximity include on the Esplanade.
Santander, Coutts, Investec, RBS, RBC, HSBC,
Citibank and Deutsche Bank, amongst others.
Experian Goad Plan Created: 23/01/20
© Crown Copyright, ES 100004106. For identification purposes only.
PRIME FREEHOLD BANK INVESTMENT NEW
BARCLAYS BANK 15 YEAR LEASE WITHOUT BREAKS
Ground & Basement, 1 & 3 Broad Street & 11-13 Library Place, St Helier, Jersey JE4 8NE 3 YEARLY UNCAPPED RPI RENT REVIEWS
DESCRIPTION
The building comprises an attractive and prominent period property
which originally encompassed separate buildings but now operates
as one demise. The subject property is arranged over ground and
basement floors only, the upper floors are not included in the sale.
The main entrance to the property is located on the south side of Library
Place which offers access to Barclays’ ground floor banking hall:- Barclays’
only retail branch on the Island. The south side of Broad Street provides
separate access to Barclays “Premier Banking” customers offering
investment and wealth management services. The premier banking
accommodation comprises a number of private meeting rooms and offices.
The remaining ground floor accommodation comprises counting rooms,
storage areas and staff accommodation and offices. There is further ancillary
accommodation to the basement floor where the bank’s vault is located. JERSEY’S ECONOMY
The front facade of both Library Place and Broad Street are Grade 4
Financial services dominate Jersey’s economy, employing nearly 30% of the
Listed, the internal of the building is not listed.’
population and contributing 60% of the Island’s GDP. The Island is considered
one of the top worldwide offshore financial centres and benefits from attractive
ACCOMMODATION* tax regimes for both private and corporate wealth. Tax on the Island is levied at a BRITAIN’S LARGEST ATTRACTIVE TAX 725,000
flat rate of 20% and benefits from no inheritance tax, no capital gains tax and no ‘OFFSHORE’ REGIMES FOR VISITORS
Floor Area sq m Area sq ft FINANCIAL CENTRE BOTH PRIVATE AND PER YEAR
corporation tax.
Basement 396.4 4,266 CORPORATE WEALTH
The Island’s robust taxation benefits and sophisticated legal framework supports
Ground 797.6 8,585 the development of Jersey’s Financial Services Centre, and is sustained by the high
Total 1,194 12,851 number of banks, accountants, wealth managers and solicitors based on the Island.
In fact there are over 50 registered banks on the Island with estimated banking
*Due to the restrictive access provided by Barclays for security reasons the above floor areas deposits in excess of £108 billion and fund values totalling over £200 billion.
have been scaled using historic architect’s plans and have been provided by the vendor.
All potential purchasers are expected to carry out their own measured survey and due Tourism is another major contributor to the economy, accounting for over 20% BANKING FINANCIAL SERVICES 30% OF THE
diligence prior to completion. of GDP as 725,000 visitors flock to the island every year. Some of the most DEPOSITS IN CONTRIBUTE POPULATION WORK
GIA floor areas are cited within the lease which have been used in previous rent review popular sites on the Island include Elizabeth Castle, Mont Orgueil Castle, EXCESS OF 60% OF THE IN THE FINANCIAL
transactions. The lease can be found in the data room. Jersey Zoo and Jersey War Tunnels. £108 BILLION ISLAND’S GDP SERVICES SECTOR
PRIME FREEHOLD BANK INVESTMENT NEW
BARCLAYS BANK 15 YEAR LEASE WITHOUT BREAKS
Ground & Basement, 1 & 3 Broad Street & 11-13 Library Place, St Helier, Jersey JE4 8NE 3 YEARLY UNCAPPED RPI RENT REVIEWS
FLOORPLANS
GROUND FLOOR (8,585 SQ FT)
BASEMENT (4,266 SQ FT)
E
I NG NC
A
NK TR
E BA EN
AT NG
P RIV NK
I
BA
IER T
EM EE
PR ST
R
AD
O
BR
RETAIL ENTRANCE
LIBRARY PLACE
ARRANGED OVER GROUND
MEASURES 12,851 SQ FT NIA
FLOOR AND BASEMENT
RETAIL BANK WITH
PREMIER BANKING SERVICES FREEHOLD TITLE
PRIME FREEHOLD BANK INVESTMENT NEW
BARCLAYS BANK 15 YEAR LEASE WITHOUT BREAKS
Ground & Basement, 1 & 3 Broad Street & 11-13 Library Place, St Helier, Jersey JE4 8NE 3 YEARLY UNCAPPED RPI RENT REVIEWS
TENANCY
LET TO BARCLAYS BANK PLC
NEW 15 YEAR LEASE (NO BREAKS)
RENT OF £300,000 PA
JERSEY RPI VS UK RPI COVENANT INFORMATION
Barclays Bank Plc, a subsidiary of Barclays Plc, is a The company employs approximately 85,000
3 YEARLY RENT REVIEWS TO British multinational banking and financial services people worldwide with the UK business alone
Date UK Jersey
UNCAPPED JERSEY RPI company founded in 1925 with its headquarters has approximately 24 million retail customers.
March 2020 1.5% 2.7% located in London. Barclays Plc has operations in Barclays Banks Plc has a current D&B rating of
over 40 countries and offers retail banking, credit 5A1 and reported the following financial
December 2019 2.2% 2.5% cards, wholesale banking, investment banking, wealth information for the last three years:
TENURE management, and investment management services.
December 2018 2.7% 3.9%
Freehold. 31 Dec 2018 31 Dec 2016 31 Dec 2017
The upper floors are not included in the sale, further information can be December 2017 4.1% 3.6% Turnover - £8,625,000,000 £8,775,000,000
provided upon request.
Pre-Tax Profit £1,286,000,000 £4,383,000,000 £3,166,000,000
Link to Jersey RPI Forecast
Net Worth £46,382,000,000 £60,057,000,000 £60,829,000,000
VAT
VAT is not applicable to this property, but GST at 5% may be applicable.
AML
A successful bidder will be required to provide information to satisfy the AML requirements when Head of Terms are agreed.
DATAROOM
For access to the Allsop dataroom please use the following link: https://datarooms.allsop.co.uk/register/JerseyBarclays
PROPOSAL
Offers are sought in excess of £5,140,000 (Five million, One Hundred and Forty Thousand Pounds) subject to contract and
exclusive of GST (5%). This equates to an attractive net initial yield of 5.50%, after allowing for purchasers’ costs of 6.20%.
Assuming an increase based on Jersey’s March 2019 – March 2020 RPI of 2.7%, a purchase at this level gives a reversionary yield of:
Year Rent NIY
2023 £324,962 5.95%
2026 £352,001 6.45%
2029 £381,290 6.99%
2032 £413,016 7.57%
For further information or to make arrangements for viewing please contact:
Liam Stray Simon Gale Simon Buckley
07956 981 575 01534 887 843 01534 887848
liam.stray@allsop.co.uk simon.gale@buckleyandcompany.co.uk simon@buckley.je
allsop.co.uk buckley.je
Notice: Buckley and Company Limited, as Agents for the vendor, or as the case may be, Lessor (“Vendor”) and for themselves give notice that:
1. These particulars are provided merely as a general guide to the property. They are not and shall not hereafter become part of any offer or contract. 2. The statements herein are made in good faith but without responsibility whatsoever on the part of the Vendor, Buckley and Company Limited or their servants. It is for the
Purchaser or as the case may be the Lessee (the “Purchaser”) to satisfy themselves by inspection or otherwise as to their accuracy and fullness, they must not in entering into any contract or otherwise rely upon these particulars as statements or representations of fact. 3. The Vendor does not make or give and neither Buckley
and Company Limited nor its servants has any authority, express or implied, to make or give any representations or warranties in respect of the property. 4. In the event of any inconsistency between these Particulars and the Conditions of Sale, the latter shall prevail.5. Nothing in these particulars should be deemed to be a
statement that the property is in good condition or that any service or facilities are in working order. Note: Buckley and Company Limited has not made any investigations into the existence or otherwise of any issues concerning pollution and potential land, air or water contamination. The purchaser is responsible for making
their own enquiries in this regard. Design CommandD www.commandHQ.co.uk 06.20
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