Prestigious city centre office and restaurant/bar investment with car parking

Transcription

1 Prestigious city centre office and restaurant/bar investment with car parking Fully let to established tenants. Grade II listed - exempt from empty business rates. Watergate House, Watergate Street, Chester, CH1 2LF

2 Investment Summary One of Chester s finest and most sought after freehold city centre office buildings and established and popular restaurant/bar. Extensive high specification refurbishment in Watergate House provides high specification offices extending to 8,533 sq ft (793 sq m) with 15 private allocated car spaces. Excellent car parking allocation for prime city centre location. Lower ground floor restaurant/bar trading as The Mockingbird Taproom extending to 2,715 sq ft (252 sq m) with separate street access. Fully let producing 139,973 per annum. Fixed increases to 141,973 per annum on the 1st August 2015 and 143,077 per annum on the 3rd March Potential for a further increase of 8,000 per annum (maximum) on the 1st August 2015 linked to turnover of The Mockingbird Taproom. Net initial yield of 7.35% rising to a minimum of 7.41% and maximum of 7.82% within 18 months subject to turnover linked rent review of restaurant/bar. Multi let offices producing excellent diversity of rental income to established tenants a large majority of which have been in occupation for in excess of 10 years. Restaurant/bar let to established operator until 31st July Grade II listed - exempt from empty business rates and energy performance compliancy. The selling agents Bolton Birch have also been letting agents for Watergate House for the last 20 years and can confirm that it has an excellent letting history and has operated as either fully let or near fully let throughout this period, such is the sought after nature of the accommodation provided.

3 Location The city of Chester is located in the North West of England in the County of Cheshire which has a district population of approximately 700,000 (2011 Census, including Cheshire) and is recognised as a popular commercial and tourist centre. The city is located approximately 42 miles (72 km) south west of Manchester and 13 miles (21 km) south of Liverpool. Chester s outer ring-road (A55/A41) provides direct access to Junction 12 of the M53, which lies approximately 3 miles (5 km) to the east and connects with Junction 15 of the M56 and national motorway network beyond. Manchester International Airport is situated 33 miles (53 km) to the north east and is linked directly by rail from the city, while Liverpool John Lennon airport is situated 26 miles (42 km) to the north. Hawarden Airport, on the outskirts of Chester, handles freight and executive passengers. Chester benefits from excellent railway communications with direct rail services to Manchester (60 mins), Liverpool (45 mins) and London Euston (2 hrs). Situation Watergate House occupies a highly prominent and imposing position on the corner of Nicholas Street Mews and Watergate Street in the heart of Chester city centre. Watergate Street is one of the principal retailing streets in the city and all the city centre shops, bars, restaurants and other associated amenities are within very easy walking distance. Access to Watergate House is excellent, being on one of the main arterial routes into Chester city centre and also being adjacent to the city inner-ring road. Watergate House is located in a prime and extremely sought after location for professional offices and restaurant/bar use.

4 Description Watergate House was constructed in 1830, designed by renowned architect Thomas Harrison who also designed Chester s Grosvenor Bridge and other city centre landmark buildings. Watergate House was originally built as an exclusive residence for the city s Clerk to the Justices and is now an impressive Grade II listed office building. The full renovation of Watergate House was enhanced further by an extensive internal refurbishment in All the period features of this exclusive Grade II listed building have been carefully restored, resulting in a superior and most impressive interior. To the side and rear of the property there is a private car park which provides 15 private allocated spaces which is significantly in excess of what one would expect for such a prime city centre location. Located within the lower ground floor, with its own direct pedestrian access off Watergate Street, is a restaurant/bar premises currently trading as The Mockingbird Taproom. Watergate House provides a total of 8,533 sq ft (793 sq m) net internal offices in a variety of different sized suites. A full break down of suite sizes is available upon request. Watergate House provides a variety of office suites all finished to provide the highest quality office accommodation with many of the suites retaining impressive original features such as high ceilings, mouldings, covings, original doors and large Georgian windows providing excellent levels of natural light. The restaurant/bar provides a total of 2,715 sq ft (252 sq m) net internal.

5 Tenancies Restaurant / Bar: Let to New Moon Pub Company Ltd Trading As The Mockingbird Taproom on an internal repairing and insuring lease for a 10 year term from 1st August 2013 without tenant breaks at an annual rent of 26,000. Fixed rental increase on 1st August 2015 to the higher of 28,000 per annum or 7.5% of gross turnover subject to a maximum of 36,000 per annum. Watergate House Offices: Fully let to a variety of well-established tenants on internal repairing and insuring leases (by way of service charge) of between 1 and 5 years duration currently producing a rent of 113,973 per annum. Fixed rental uplift to 115,077 per annum on 3rd March Out of the total of 14 office tenants 7 have been in occupation of Watergate House for in excess of 10 years. The office rental income includes 14 car parking spaces let at 750 per annum per space. All the car spaces are let to office tenants. There is a further un-let car parking space available and there is the opportunity to increase rental income from both offices and car parking. Income Summary Restaurant/Bar 26,000 per annum. Watergate House including car parking 113,973 per annum. Total 139,973 per annum. Fixed increases to 141,973 per annum on 1st August 2015 and to 143,077 per annum on 3rd March Potential for a further increase of 8,000 per annum on 1st August 2015 linked to turnover of The Mockingbird Taproom. A full Tenancy Schedule is available upon request.

6 Terms Tenure We are advised the property is held freehold. VAT The property is VAT registered and therefore, VAT will be payable on the purchase. It is anticipated that the transaction may be able to be treated as a Transfer of a Going Concern (TOGC). Interested parties are advised to make their own enquiries. EPC The property is Grade II Listed and therefore, an EPC is not required. Price 1,825,000 (one million eight hundred and twenty five thousand pounds) exclusive of VAT and subject to contract. A purchase at this level would show an attractive net initial yield of 7.35 % based on the current income with a guaranteed rise to 7.41 % on the 3rd March Potential for a higher yield of 7.82% to be generated subject to 1st August 2015 turnover linked rent review on restaurant premises. Yields assume purchaser s costs of 5.8%.

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17 Contact For further information, please contact the sole retained agent: Jonty Goodchild MRICS Bolton Birch 10 St John Street Chester CH1 1DA Tel: The agent, for themselves and for the vendors or lessors of this property for whom they act, give notice, that; (i) these particulars are a general outline only, for the guidance of prospective purchasers or tenants, and do not constitute the whole or any part of any offer or contract; (ii) the agent cannot guarantee the accuracy of any description, dimensions, references to condition, necessary permission for use and occupation and any other details contained herein and prospective purchasers or tenants must not rely on them as statement of fact or representation and must satisfy themselves as to their accuracy; (iii) no employee of the agent has any authority to make any representation or warranty or enter into any contract in relation to the property; (iv) prices/rents quoted in these particulars may be subject to VAT; (v) the agent will not be liable, in negligence or otherwise, for any loss arising from use of these particulars. Designed and produced by Bella Design & Marketing: /