Highly Secure Retail Investment
70 Market Street | Loughborough | Leicestershire | LE11 3ER
subject to contract
Loughborough is a popular student town, named University of the Year 2019
Located in a central retailing pitch
Let to the secure covenant of Cancer Research UK
£510,000, subject to contract
8.0% Net Initial Yield
Loughborough, the largest town in Leicestershire, is located approximately 19 km (12 miles) north of Leicester, 27 km (17 miles) south of Nottingham and 31 km (19 miles) south-east of Derby.
The town benefits from good road communications, being served by the A512 which links directly to Junction 23 of the M1 Motorway approximately 4.8 km (3 miles) to the west. The A6 also provides direct access to Leicester to the south.
The town is connected to the national railway network with a fastest journey time to London St Pancras of approximately 1 hour 20 minutes. There are also regular services to Leicester (10 minutes) and Nottingham (19 minutes). In addition, East Midlands Airport is approximately 15 km (9 miles) to the north-west and connects over 4 million passengers per year, serving more than 80 leisure and business destinations.
Loughborough has been named University of the Year by The Time and Sunday Times University Guide 2019 and is ranked in the top 10 in the most recent national league tables. Surrounded by countryside the town is ideally based for visitors to explore Charnwood and its parks, including Charnwood Forest.
The property occupies a central retailing pitch on the pedestrianised Market Street in the heart of the town centre. Nearby occupiers include Costa, Specsavers, Santander, Superdrug, Vodafone and Primark.
The property benefits from being in close proximity to the Carillion Court Shopping Centre which comprises approximately 6,782 sq m (73,000 sq ft) of retail accommodation in 36 units. Retailers in the scheme include Boots, Topshop, The Body Shop, WH Smith, H Samuel, Thorntons, Pandora, Game and Claire’s.
The former hospital site on Baxter Gate is also close by. Developed in 2016, this leisure scheme totals approximately 4,784 sq m (51,500 sq ft) and comprises a Cineworld cinema plus numerous restaurants including Nando’s, Pizza Express, Starbucks, Loungers and Bella Italia.
The property comprises a ground floor retail unit with ancillary accommodation at first and second floor level.
The property has the benefit of a right of emergency escape over the adjoining property (72 Market Street), but is subject to a right of way over the property in favour of the owners and occupiers of 72 Market Street.
The property has been measured by BRK Floor Plans and provides the following Net Internal Areas:
|Gross Frontage||10.16 m||33 ft 4”|
|Net Frontage||9.83 m||32 ft 3”|
|Zone A||55.0 sq m||592 sq ft|
|Zone B||18.77 sq m||202 sq ft|
|Ground Floor Retail Total||73.76 sq m||794 sq ft|
|First Floor||38.37 sq m||413 sq ft|
|Second Floor||32.61 sq m||351 sq ft|
|TOTAL||144.74 sq m||1,558 sq ft|
A set of floor plans is available to download and the measured survey report will be re-addressed to a purchaser at a cost of £265 + VAT.
According to the Valuation Office website the rateable value for the property is as follows:
|70 Market Street||Shop and premises||£36,250|
The business rate multiplier is 50.4 pence per pound.
The property is let to Cancer Research UK on a full repairing and insuring lease for a term of 10 years from 1st March 2014, expiring on 28th February 2024. The current passing rent is £42,800 per annum which equates to £57 Zone A. The March 2019 rent review is currently outstanding.
The tenant had a break option on 28th February 2019 which they did not exercise, demonstrating their commitment to the subject property.
Cancer Research UK (Co. No. 4325234) has reported the following figures:
|31st March 2018||31st March 2017|
|Total Net Investment Gain||£10,600,000||£19,300,000|
|Funds Carried Forward||£409,200,000||£383,500,000|
Cancer Research UK is reputedly the world’s largest cancer charity dedicated to saving lives through research. They began in 1902 with Imperial Cancer Research Fund. In 2002, Imperial Cancer Research Fund merged with Cancer Research Campaign to form Cancer Research UK.
Their ambition is to save lives and to accelerate progress which would see three quarters of cancer patients survive their illness. Through their retail outlets, they fund and pioneer new ways to prevent, diagnose and treat cancer, as well as finding ways to optimise treatment. For further information, please visit www.cancerresearchuk.org.
The property has been registered for VAT. It is anticipated that the sale will be treated as a Transfer of a Going Concern (TOGC).
We are instructed to seek a figure of £510,000 (Five Hundred and Ten Thousand Pounds), subject to contract, reflecting a net initial yield of 8.0%, assuming standard purchaser’s costs of 4.74%.
Please note that a purchaser will be re-charged the costs of surveys and searches which are provided in the data room.
Please note that a purchaser will be charged a Transaction Fee of 1% of the Purchase Price plus VAT.
An opportunity to acquire a freehold retail investment in a popular student town;
Let to Cancer Research UK, a highly secure and established tenant;
The property occupies a prime retailing pitch;
A purchase at the asking price reflects an attractive net initial yield;
Attractive lot size to a purchaser.
Data Room and clicktopurchase®
Access to the data room and for the ability to purchase online with speed and ease, please click the clicktopurchase® “C” icon or the clicktopurchase® side bar. Purchasers will be able to access the complete legal package, clear verification and submit legally-binding offers to acquire the property.
Purchasers benefit from the trust, security and transparency provided by the platform. All activities, including the online contract execution, will form part of the electronic audit trail which is anchored in the clicktopurchase® Blockchain.
clicktopurchase® provides the opportunity for any investor, whether located UK or abroad, to uniquely purchase online with ease and certainty. To learn more about clicktopurchase®, click here.
|Nicola Copsey||Nicola.Copsey@Forsters.co.uk||+44 (0) 207 399 4819|