For SaleConvenience Store Investment

Description

The property comprises a ground floor retail unit with a full width glazed frontage to Brayford Wharf North, utilised as a convenience store by Tesco Stores Ltd.

The unit forms one of three occupying the ground floor of One The Brayford, with a further seven floors of high end residential accommodation above laid out to provide 89 private apartments and an element of offices occupying part of the first floor.

The unit has rear access for servicing and pedestrian access directly off Brayford Wharf North.

LOCATION

The property is located within One The Brayford, a high end mixed use development, comprising three ground floor retail/leisure units and seven floors of residential accommodation above, situated in a stunning location on the north side of Brayford Pool, opposite the main City Centre University Campus.

 Brayford Wharf North is the prime leisure/restaurant pitch in the City and is also close to a number of large scale office occupiers including The County and City Council offices.  Nearby occupiers include Hilton Doubletree, Holiday Inn, Prezzo, Nando’s, Wagamama, ASK, Zizzi and a multi screen Odeon cinema, all of which are located on the northern side of the Brayford Pool, in close proximity to the subject property.

Lincoln is one of England’s finest Cathedral Cities and the administrative and major shopping centre for the County of Lincolnshire. It has a population of circa 543,367 and an estimated total catchment spend of just under £965 million.

It is also a growing University City with close to 15,000 students and academic staff based at the City’s main campus, contributing an estimated £250 million to the local economy. There are numerous University Halls of Residence within close proximity to the subject property, with close to 4,000 student bedrooms within 500m of the subject property.

SERVICES

We understand that all mains supplies are available and connected to the property.  These have not been tested and interested parties are advised to make their own investigations to the relevant utility service providers.

TOWN AND COUNTRY PLANNING

We understand that the property has consent for uses falling within Class E (Commercial, Business and Service Use) of the Town and Country Planning (Use Classes) Order 1987 (as amended).

Alternative uses may be appropriate subject to receipt of the necessary Planning Consent. 

The property is not Listed but is situated within a Conservation Area.

RATES

Charging Authority:  City of Lincoln Council
Description:  Shop and Premises
Rateable value:  £50,000
UBR:  0.512
Period:  2021-2022

Multiplying the Rateable Value figure with the UBR multiplier gives the annual rates payable, excluding any transitional arrangements which may be applicable.  For further information, please contact the Charging Authority.

TENURE

The property is to be Sold by way of a 999 year Long Leasehold interest from 1st January 2017, subject to the existing sub-lease in place to Tesco Stores Ltd for 15 years from 20 November 2020.

The rent passing is £50,000 per annum exclusive.

The lease has RPI Linked rent reviews, compounded annually, subject to a 0% collar and 2.5% cap.

The lease is drawn on effectively Full Repairing and Insuring Terms by way of a service charge and there is a tenant break in November 2030.

COVENANT INFORMATION

The Tenant Company (Tesco Stores Limited - CN 519500) have a Credit Safe rating of 100/100 (very low risk).

The latest accounts for the year ending 26th February 2022 show the Company as having generated a turnover of £44.793 billion, a pre tax profit of £1.260 billion and having shareholder funds of £8.220 billion. 

PRICE

Offers in excess of £800,000 – which would give a purchaser a NIY of 5.92% after standard acquisition costs.

Please note the two adjacent units are also available For Sale. Further details are available on request. 

VAT

The property is elected for VAT. However, the vendors are prepared to consider a sale of the property by way of a TOGC.

LEGAL COSTS

Each party is to be responsible for their own legal costs incurred in documenting the transaction.