Prestige Retail Park BURNLEY, BB11 1BS - Fully Let Retail Warehouse Investment Opportunity - Wilkinson Williams
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Prestige Retail Park BURNLEY, BB11 1BS Fully Let Retail Warehouse Investment Opportunity
Investment Summary
The prime retail warehouse scheme in Burnley.
3 unit terrace totalling 40,138 sq ft.
Adjoining a 62,000 sq ft Sainsbury’s foodstore.
The focal point of Burnley’s main out-of-town retail
pitch, which includes the neighbouring Anchor and
Princess Way Retail Parks, and combines to provide in
excess of 280,000 sq ft.
Fully let to Currys PC World, Bensons for Beds and
Oak Furnitureland.
WAULT 7.3 years (3.6 years including break options).
Current rent of £506,264 per annum, low average
rent of £12.61 per sq ft.
‘Wide bulky goods’ planning consent.
Long leasehold interest with over 137 years
remaining.
Proposal
Offers are sought in excess of £6,330,000 (Six Million,
Three Hundred and Thirty Thousand Pounds),
subject to contract and exclusive of VAT, which reflects
an attractive net initial yield of 7.50% (assuming
purchaser’s costs at 6.63%).
Prestige Retail Park
BURNLEY, BB11 1BS
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Demographics
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TE CACI state that approximately 123,699 people live within a 10
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A679 minute drive-time of the subject property. This extends to 393,702
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A682 people within 20 minutes, providing the town with a relatively large
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and captive retail audience.
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M6 PROMIS state that Burnley has an estimated 633,000 sq ft of retail
Location
A65
A59 Harrogate A59
warehouse floorspace, which is around average for towns of a similar
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size. Interestingly, just 32% of this floorspace is located on retail
A6
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68
A60 A65 LEEDS &
Keighley BRADFORD
A58
A58
parks, which indicates that there is a limited supply of good quality,
A6
5
A6
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Blackpool A59 LEEDS
M55
Preston M65 BRADFORD M621
A1
Burnley is one of the largest towns in the county of Lancashire. The modern and suitable retail warehousing accommodation in the town.
9
Blackburn
BURNLEY Halifax
A M62 town is situated 25 miles north of Manchester, 37 miles west of
A5 646
Southport Wakefield Leeds and 10 miles east of Blackburn. The town’s catchment contains a high number of people who
M6 A58
Rochdale
A5
70
M62 Huddersfield A6
38
are economically active and who own their own home and car.
9
A5
Bury M66
A19
A61
M61 Bolton A62
5
The town benefits from excellent communication links, lying
A56
A58 M1
Middleton A6
29 Barnsley
A58
M58 Wigan Oldham A635
adjacent to Junctions 10 and 11 of the M65 motorway, which CACI and PROMIS statistics indicate that a high proportion of
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A67
A616
Crosby A628
St Helens MANCHESTER
Bootle
Wallasey LIVERPOOL M62 Salford
M63
Rotherham connects with the national motorway network. Burnley Central consumer spending on convenience and comparison goods is
M62 7 M67
A5
Birkenhead
Warrington
A57
Stockport A57
SHEFFIELD Railway Station provides direct access to Manchester Victoria retained within Burnley.
A62
Widnes A6
4
A5 LIVERPOOL M56
MANCHESTER A57
Railway Station with a journey time of approximately 50 minutes.
A41
48 M53 M1
Runcorn
M56 A6
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Ellesmere
A5
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A5 A619
A62
37 A537
A55 Port A61
Chesterfield
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Prestige Retail Park
BURNLEY, BB11 1BS
Princess Way Retail Park A682 COLNE RD
BURNLEY CENTRAL
ROYAL RD
CANNING STREET
Situation
BANK PARADE
Prestige Retail Park is the prime retail warehousing scheme in
A682 CHURCH ST
Burnley and benefits from an excellent position adjoining a
A679 ACTIVE WAY Anchor Retail Park 62,000 sq ft Sainsbury’s foodstore. The property is prominently
located on the A679 ring road (Active Way).
The property is located just 2 minutes’ drive from Burnley town
KINGSWAY centre and Junctions 10 and 11 of the M65 motorway.
Prestige Retail Park and the neighbouring Anchor and Princess Way
Retail Parks combine to provide in excess of 280,000 sq ft of retail
floorspace. This location is the dominant retail warehouse location
within the 20 minute drive-time catchment and provides customers
ROYAL RD
with a complementary retail offer. Neighbouring retailers include
Sports Direct, Pets at Home, Halfords, Dreams, Carphone Warehouse,
Argos, Poundland, Carpetright and George at Asda along with food
retailers Sainsbury’s, Asda, Aldi and Iceland.
Prestige Retail Park
BURNLEY, BB11 1BS
Description The property comprises a modern purpose built retail warehouse unit extending to 40,138 sq ft and has been subdivided into 3 units. The property was constructed in 2000 and adjoins a 60,000 sq ft Sainsbury’s foodstore. The units are of steel portal frame construction with attractive glazed cladding to the front elevations. Each unit benefits from an open canopy providing prominent retailer signage. The car park for the combined scheme provides 432 spaces, with the subject property having the right to use approximately 150 of these spaces situated at the front of the retail warehouse units. Based on the minimum of 150 spaces, the car parking provision for the units provides a good parking ratio of 1 : 268 sq ft. The units are served from a communal service yard to the rear of the scheme, assessed via the A682 (Colne Road). Prestige Retail Park BURNLEY, BB11 1BS
Planning
The property benefits from a ‘wide bulky goods’ planning
consent allowing for “the sale of DIY goods; building materials;
furniture; electrical goods; carpets or other floor coverings”.
Tenancy
The park is fully let and produces an total rent of £506,264 per
annum, which equates to a low average rent of £12.61 per sq ft.
The weighted average unexpired lease term is 7.3 years to lease
expiries (3.6 years including tenant break options).
The scheme is let in accordance with the schedule of tenancies
as shown below:
Area Lease Lease Next Rent Rent
Unit Tenant Trading As (sq ft) Start Expiry Review (per annum) (per sq ft)
1 DSG Retail Ltd 20,072 25/03/2016 24/03/2026* 25/03/2021 £241,032 £12.01
Homestyle Group
2 10,061 30/06/2014 29/06/2024** 30/06/2019 £125,162 £12.44
Operations Ltd
3 JB Global Ltd 10,005 18/06/2007 17/06/2022 18/06/2017 £140,070 £14.00
TOTAL 40,138 £506,264 £12.61
*Tenant break option 23/03/2021
**Tenant break option 29/06/2019.
Tenure
The property, outlined in red on the plan, is held on a 150 year lease from 23 March 2005 (over 137 years remaining)
at an annual rent of £1. The leaseholder has rights over the area of the car park outlined in blue. The freehold is owned by
Sainsbury’s Supermarkets Limited.
For identification purposes only
Prestige Retail Park
BURNLEY, BB11 1BS
Tenants’ Covenants
DSG RETAIL LIMITED HOMESTYLE GROUP OPERATIONS JB GLOBAL LIMITED
(Co No 504877) LIMITED (Co No 3130486) (Co No 5573571)
Currys PC World is the leading specialist electrical and Bensons for Beds is Britain’s largest bed retailer specialising in beds, Oak Furnitureland is the UK’s largest retailer of real hardwood
telecommunications retailer in the UK and Ireland. Their preferred mattresses and bedroom furniture and trades from over 270 stores furniture with 75 stores throughout the UK and employs more than
stores trade their 3-in-1 format combining Currys, PC World and nationwide. 1,200 members of staff. It is a privately owned British designer,
Carphone Warehouse. manufacturer and retailer of fully assembled hardwood cabinetry
Homestyle Group Operations Limited operates as a subsidiary of furniture, sofas and beds.
DSG Retail Limited was created following the merger between Steinhoff UK Retail Limited, part of the South African group Steinhoff
Dixons and Carphone Warehouse in August 2014 and is one International, which also owns UK furniture brands Harveys and Oak Furnitureland, the flagship brand of JB Global Limited,
of the main operating companies of Dixons Carphone plc. Cargo. In 2011, the new Bensons for Beds business was launched was launched through its first retail store opening in 2011.
Dixons Carphone plc is Europe’s leading specialist electrical and merging the existing Bensons for Beds, Sleepmasters and Bed Shed The retailer has undergone a rapid store expansion plan across the
telecommunications retailer and services company, employing brands under one umbrella. UK to capitalise on strong trading performance.
over 42,000 people in 11 countries.
D&B rating of 3A1 representing a ‘minimum’ risk of business failure. D&B rating of 3A2 representing a ‘lower than average’ risk of
D&B rating of 5A1 representing a ‘minimum’ risk of business failure. business failure.
30/04/2016 02/05/2015 30/04/2014 27/06/2015 28/06/2014 03/07/2013 30/09/2015 30/09/2014 30/09/2013
Sales Turnover £4,237,900,000 £4,314,000,000 £4,078,300,000 Sales Turnover £29,252,000 £28,869,000 £28,603,000 Sales Turnover £239,269,190 £191,516,345 £145,543,201
Pre-Tax Profit £63,000,000 £116,600,000 £94,100,000 Pre-Tax Profit £25,000 £25,000 £20,000 Pre-Tax Profit £6,505,620 £11,032,415 £7,094,991
Tangible Net Worth £406,900,000 £395,900,000 £377,500,000 Tangible Net Worth £13,142,000 £253,122,000 £253,103,000 Tangible Net Worth £8,749,706 £14,250,322 £11,868,519
Prestige Retail Park
BURNLEY, BB11 1BS
EPCs
Unit Tenant Rating
1 Currys PC World D89
2 Bensons for Beds C58
3 Oak Furnitureland C66
VAT
The property is registered for VAT and it is proposed that the sale will be treated as a
‘Transfer of a Going Concern’.
Proposal
Offers are sought in excess of £6,330,000 (Six Million, Three Hundred and Thirty
Thousand Pounds), subject to contract and exclusive of VAT, which reflects an
attractive net initial yield of 7.50% (assuming purchaser’s costs at 6.63%).
Contact
Miles Marten Jack Lloyd
T: 020 7317 3777 T: 020 7317 3796
M: 07770 748290 M: 07747 883231
E: m.marten@wilkinsonwilliams.co.uk E: j.lloyd@wilkinsonwilliams.co.uk
Wilkinson Williams
Heathcoat House
20 Savile Row
London
W1S 3PR
www.wilkinsonwilliams.co.uk
MISREPRESENTATION NOTICE. Wilkinson Williams LLP give notice to anyone who may read these particulars as follows:
1. These particulars are prepared for the guidance only of prospective purchasers. They are intended to give a fair overall description of the property but are not intended to constitute part of an offer or contract. 2. Any information contained herein (whether in the text, plans or photographs) is given in good faith but should not be
relied upon as being a statement of representation or fact. 3. Nothing in these particulars shall be deemed to be a statement that the property is in good condition or otherwise nor that any services or facilities are in good working order. 4. The photographs appearing in this brochure show only certain parts of the property at the
time when the photographs were taken. Certain aspects may have changed since the photographs were taken and it should not be assumed that the property remains precisely as displayed in the photographs. Furthermore, no assumptions should be made in respect of parts of the property which are not shown in the photographs.
5. Any areas, measurements or distances referred to herein are approximate only. 6. Where there is reference in the particulars to the fact that alterations have been carried out or that a particular use is made of any part of the property, this is not intended to be a statement that any necessary planning, building regulations or other
consents have been obtained and these matters must be verified by an intending purchaser. 7. Descriptions of the property are inevitably subjective and the descriptions contained herein are given in good faith as an opinion and not by way of statement of fact. Plans are published for convenience of identification only and although
believed to be correct, their accuracy is not guaranteed and they do not form part of any contract. July 2017. Designed and produced by Creativeworld Tel: 01282 858200.
Prestige Retail Park
BURNLEY, BB11 1BS
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