Download 5/7 Chapel Street

CLAIRE’S ACCESSORIES
5/7 CHAPEL STREET, SOUTHPORT
PRIME HIGH STREET RETAIL
INVESTMENT
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INVESTMENT SUMMARY
LOCATION
The property is brick built under a pitched, tile covered
Southport is an attractive coastal resort town located
roof, providing a well-configured, ground floor retail unit,
in the County of Merseyside and serving an urban area
fitted out in the tenant’s usual corporate trading style,
population of approximately 91,400, increasing to over
with a three bed apartment above.
108,800 within 10 km (6 miles) and 558,440 within 20
km (12.5 miles).
The town is located approximately 29 km (18 miles)
north of Liverpool, 56 km (35 miles) north west of
Manchester and 314 km (196 miles) north west of
London.
TENURE
Virtual Freehold – 999 years from May 1895 at a fixed
annual rent of £75.
TENANCY
The property is let to Claires Accessories UK Limited,
with over 6.25 years unexpired on the occupational
ECONOMY
lease. Claire’s have been in occupation since 1999 and
Southport has an affluent local economy benefiting from
renewed their lease in 2012.
its close proximity to the major cities of Liverpool and
Manchester, the two main drivers behind the North West
regional economy.
SITUATION
The property occupies a very strong trading position
NET PASSING RENT
£59,925 per annum.
VAT
The property has been elected for VAT.
on pedestrianised Chapel Street, Southport’s prime
PROPOSAL
retailing pitch. National multiple retailers on Chapel
We are seeking offers in excess of £710,000 (Seven
Street include Marks & Spencer; Primark; BHS; River
Hundred and Ten Thousand Pounds). An
Island; WH Smith and HMV together with recent high
acquisition at this level would provide a purchaser with
profile additions such as H&M; New Look; JD Sports
an attractive net initial yield of 8%, after deduction of
and Costa Coffee.
purchaser’s costs at 5.75%.
DESCRIPTION
5/7 Chapel Street comprises a traditional, purpose built
mid-terrace shop unit, extending to 60.76 sq. m (654
sq. ft.) at ground floor level, together with a separate,
self-contained two storey apartment above (outside of
the ownership to be sold but also available by separate
negotiation).
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PRIME HIGH STREET RETAIL INVESTMENT PAGE 3 CLAIRE’S ACCESSORIES, 5/7 CHAPEL STREET, SOUTHPORT
100% prime position on
pedestrianised Chapel Street.
Southport is
an affluent and
attractive coastal
resort town.
Sat Nav Ref:
PR8 1AE
Southport is an attractive and affluent coastal resort town
located in the County of Merseyside, approximately 29
km (18 miles) north of Liverpool; 56 km (35 miles) north
station provides a regular, direct service to Liverpool
(fastest journey time of 45 minutes) and Manchester (1
hour 11 minutes), which in turn offer direct services to
London.
west of Manchester and 314 km (196 miles) north west
Liverpool John Lennon Airport, one of Europe’s fastest
of London. The town serves an urban area population of
growing regional airports, is located approximately 35 km
approximately 91,400, increasing to over 108,800 within
(22 miles) to the south of Southport and is the leading
10 km (6 miles) and 558,440 within 10 km (12.5 miles).
provider of budget airlines in the north of England, currently
In addition, Southport dominates an extensive secondary
hosting six airlines serving 60 destinations around the
catchment area extending to Liverpool and St Helens to
world with more planned for 2017.
the south, Wigan to the east and Preston to the north.
Coast’, which is home to the highest concentration of
ECONOMY AND
DEMOGRAPHICS
Championship Links courses in the world, boasting three
The general economic well being of Southport and the
of the top 20 courses in the UK and Ireland. In addition,
wider district area is demonstrated by the following social
Southport’s Royal Birkdale Course played host to the
economic statistics:-
Southport is regarded as the capital of England’s ‘Golf
Open Championship in 2008, which further raised the
profile of the town and provided a boost to the local tourist
■■ Symbols of Success: 16% of the Urban Area
economy. Royal Birkdale has been voted the best course
Population (UAP), compared to 10.5% nationally.
in the UK and will again host the Open in 2017. Additional
■■ Suburban Comfort: 24% of the UAP, compared to
key tourist attractions include the recently renovated
Victorian pier and Southport Flower Show (the largest
independent show in the UK).
Southport has excellent transport communications, being
served by the A565, running south to Liverpool and north
west to Preston and the A570, which provides a direct link
to Junction 3 of the M58 motorway, approximately 16 km
(10 miles) to the south east. In addition, Southport railway
16% nationally.
■■ AB Class Groupings: 23% of the UAP, compared
to 21.7% nationally.
■■ Households with no Car: 27% of the UAP,
compared to 33.5% nationally.
■■ Owner Occupied Houses: 78.7% the UAP,
compared to 66.5% nationally.
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PRIME HIGH STREET RETAIL INVESTMENT PAGE 5 CLAIRE’S ACCESSORIES, 5/7 CHAPEL STREET, SOUTHPORT
SOUTHPORT
RETAILING IN
SOUTHPORT
SITUATION
The property occupies a very strong trading position
Southport town centre is classed as a Regional Retailing
Centre and ranks 77th (out of 1054) in Management
Horizons UK Shopping Index, placing it on a par with
towns such as Cambridge, Colchester, Crawley and
Worcester.
fronting pedestrianised Chapel Street, between Primark
and BHS directly opposite the main entrance into Marble
Place Shopping Centre. In addition, the property is
within 20m of Cambridge Arcade, one of the principal
links between Chapel Street and Lord Street, ensuring
strong levels of shopper footfall past the property.
Retailing in Southport is focused around Lord Street
and more particularly pedestrianised Chapel Street,
complimented by the secondary pitches of London
Street, Eastbank Street and Tulketh Street.
Chapel Street was pedestrianised in 2006, which
substantially improved the shopping environment and
led to the street being short listed for the Walking and
Public Realm category in the 2008 National Transport
Major anchor store retailers represented in Southport
Awards, in addition to becoming the dominant high
include BHS; Debenhams; Marks & Spencer; Primark
street pitch within the town. The improvement in the
and TK Maxx, together with the majority of the country’s
pitch is demonstrated by the recent addition of New
leading national multiples such as Boots the Chemist;
Look; H&M; JD Sports and Costa Coffee. Other
HMV; Waterstones and WH Smith. In addition, the town
national multiple retailers on Chapel Street include Marks
benefits from a very strong fashion offer, including East;
& Spencer; Primark; BHS; HMV; River Island; New Look;
Jaeger; Monsoon; New Look; Next; River Island and H&M.
Boots the Chemist and JD Sports.
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PRIME HIGH STREET RETAIL INVESTMENT PAGE 7 CLAIRE’S ACCESSORIES, 5/7 CHAPEL STREET, SOUTHPORT
Nearby occupiers include Primark;
Marks & Spencer; BHS; Boots; New
Look; H&M; WH Smith and Costa
Coffee.
metisrealestate.com
BHS
ACCOMMODATION
5/7 Chapel Street comprises a traditional, mid-terrace,
The property provides the following approximately net
purpose built shop unit arranged over ground floor only;
internal floor areas:-
together with a separate, self-contained two storey
apartment above (outside of the ownership to be sold
but also available by separate negotiation).
The property is brick built under a pitched, tile covered
DESCRIPTION
SQ M
SQ FT
Ground Floor Sales
60.76
654
ITZA
48.49
522
Total
60.76
654
roof, providing a well-configured, ground floor retail unit,
The self-contained flat above provides three bedrooms, a
fitted out in the tenant’s usual corporate trading style,
lounge, kitchen and bathroom; with access via a separate
with a three bedroom apartment above.
entrance to the rear of the property.
PRIME HIGH STREET RETAIL INVESTMENT PAGE 5 CLAIRE’S ACCESSORIES, 5/7 CHAPEL STREET, SOUTHPORT
DESCRIPTION
TENANCY
TENURE
The property is let to Claires Accessories UK Limited
The property is held long leasehold by way of a 999
by way of a 10 year full repairing and insuring lease from
year lease from 1st May 1895 at a fixed ground rent of
22nd May 2012 at a current passing rent of £60,000 pa
£75 per annum.
and incorporating an upward only rent review on 22nd May
2017.
Claire’s have been in occupation since 1999 and
renewed their lease in 2012.
CLAIRES ACCESSORIES UK LIMITED
The Claire’s brand was established in 1961 and operates
in 46 countries, employing 17,600 people. Claires
Accessories UK Limited was formed in 1982 and now
A new sublease of the ground floor shop will be created
on the same terms as the long leasehold interest (less
four days).
The total net passing rent is therefore £59,925 per
annum.
VAT
The property has been elected for VAT .
employs over 3,200 people in 500 stores across the UK.
Claires Accessories UK Limited has a Dun and Bradstreet
rating of 4A1, indicating a financial strength of £15-35
million (based on tangible Net Worth) and an overall
condition which is Strong (Minimal Risk).
PROPOSAL
We are seeking offers in excess of £710,000 (Seven
Hundred and Ten Thousand Pounds). An
acquisition at this level would provide a purchaser with
an attractive net initial yield of 8%, after deduction of
purchaser’s costs at 5.75%.
The upper floor residential element is also available by
way of separate price negotiation.
metisrealestate.com
PRIME HIGH STREET RETAIL INVESTMENT PAGE 11 CLAIRE’S ACCESSORIES, 5/7 CHAPEL STREET, SOUTHPORT
Fully let to Claires
Accessories UK Limited, a
4A1 Dun & Bradstreet rated
covenant.
FURTHER INFORMATION
For further information please contact:-
R E A L E S TA T E A D V I S O R S
Paul Jones
Jonathan Phillips
Chris Draper
Metis Real Estate Advisors
53 King Street
Manchester
M2 4LQ
0161 359 4306
[email protected]
[email protected]
[email protected]
MISREPRESENTATION CLAUSE
Metis Real Estate Advisors Ltd for themselves and for the vendors or lessors of this property whose agents they are, give notice that (i)
these particulars are produced in good faith, are set out as a general guide only and do not constitute any part of an offer or contract; (ii)
they are believed to be correct but any intending purchasers or tenants should not rely on them as statements or representations of fact
but must satisfy themselves as to the correctness of each of them; (iii) no person in the employment of Metis Real Estate Advisors has
any authority to make or give any representation or warranty in relation to this property.
February 2016.