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INVESTMENTCONSIDERATIONS
Brackley enjoys an elevated position on the edge of the
Cotswolds and is a prosperous and expanding market town,
now heavily linked to Formula One Racing.
Opportunity to purchase a quality modern commercial freehold
investment, as well as the ground rents from the 51 unit residential
development.
The subject property occupies a 100% prime retail location in
the heart of Brackley town centre.
Freehold.
58% of the income is secured to the K&S Stores (t/a Budgens)
with a rental guarantee from the parent company Musgraves
(D&B 5A1). This new 15 year lease benefits from RPI based
annual uplifts collared and capped at 1% and 3% respectively
compounded at review.
The current rent is £101,216 per annum exclusive, subject to
five yearly upward only reviews and represents rebased rents
for the town.
Offers are sought in excess of £1,300,000 (One Million Three
Hundred Thousand Pounds), subject to contract and exclusive
of VAT, for our client’s freehold interest in this property. An
acquisition at this level would reflect an attractive net initial
yield of 7.36%, with a minimum reversion to 7.56% at first review
and a likely reversion to 8.00% after allowing for purchaser’s
costs of 5.80%.
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
BURGESS SQUARE BRACKLEY NN13 7AB
LOCATIONBrackley enjoys an elevated position on the edge
of the Cotswolds and is a prosperous market town.
Historically industry was built on the wool and lace
trade, although the town is now heavily linked to
Formula One Racing. Built on the intersecting trade
routes from London to Birmingham and Cambridge
to Oxford, this attractive, rapidly expanding market
town provides a quality retailing environment as
befits the nucleus of the surrounding rural area.
Located approximately 122km (76 miles) north-
west of London, 80 km (50 miles) south-east of
Birmingham,18 km (11 miles) east of Banbury and
24 km (15 miles) north of Bicester.
The town benefits from excellent road
communications, positioned just off the A43 which
links it to the national motorway network, via the
M1 (Junction 15A) to the north and M40 (Junction
10) to the south. The A422 links the town to
Banbury via the M40 (Junction 11).
Brackley has become synonymous with Formula
One Racing. Located 12 km (7.5 miles) south-west
of Silverstone, it is home to the successful Mercedes
GP Petronas team as well as Force India’s wind
tunnel test site.
SOCIO-ECONOMIC PROFILEBrackley is a growing retail centre for the
surrounding area, it has a resident population of
approximately 14,500 (source Town Council) and
a population of 178,290 within a 10 mile radius
(source Estates Gazette).
The town’s excellent location on the transport
network ensures that the town’s industrial parks
are home to a number of significant businesses
including Bronnley, De Boer Structures, Direct Legal
Collections, Faccenda, KTM and Mercedes GP
Petronas.
The quality of the catchment is underlined by
the excellent provision of both state and private
sector schools. Winchester House is located off the
High Street and is regarded as one of the country’s
top private preparatory schools. In addition to
this, Magdalen College School acts as the town’s
secondary school and accommodates 1,500
students. There are also three primary schools and
the Brackley Church of England Junior School.
BURGESS SQUARE BRACKLEY NN13 7AB
M11
A1(M)
M1
M25
M40
M4
M5
M6 A1(M)
16
15
14
9
10
11
15AA1
BRACKLEY
A5 CAMBRIDGE
BEDFORD
NORTHAMPTON
MILTONKEYNES
BANBURY
OXFORD
COVENTRY
REDDITCH
CHELTENHAM
BIRMINGHAM
LUTON
READING
LEICESTER
BIRMINGHAM
A421
A41
A43
A34
LONDONLONDON
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
RETAILING IN BRACKLEYPrime retailing is growing within Brackley and is becoming focused on Market Place,
which provides an attractive and historic retailing environment. The spacious market
place with its tree-lined High Street is the ideal setting for a mixture of national
and local operators to thrive. Waitrose anchors the town centre with other national
multiples including Boots, Lloyds, Barclays, Ladbrokes, Budgens, Costa Coffee and
Subway. In addition to this there are a number of specialist local operators including
a greengrocer, butcher, bookshop, picture framer, florist, art gallery, the antiques centre
and a number of pubs, cafes and restaurants adding to the provision.
In addition to the permanent retail, Brackley holds a market every Friday and the local
Farmers market every 3rd Saturday of the month in Market Place. Italian and French
markets also visit the town during the course of the year.
SITUATIONThe property occupies an excellent retailing position on Market Place, forming the
ground floor of a 51 unit housing development. Burgess Square has created a new
modern communal square and retail environment within the heart of Brackley town
centre. Costa Coffee fronts Market Place with Budgens and Subway set back from the
high street behind the redesigned communal square.
P
P
P
TH
MAGDA
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BRAC
KLEY
ANTI
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AR
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SE
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ANCIENTARTS
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TAYLORS
FREESTONES RICHARD HORTH
SWEET ROO`S
DELI
DAVIES &PARTNERS
BLISS
XCLU
SIVE
BAND CLUB
OLD HALLBOOKSHOP
EAT AT 23BARCLAYS
TIFFINS
LLOYDS TSB
PORAN TANDOORI
MENS ROOM
PARK
SIDE
GALL
ERY
HAIRFORCE 1
AGE CONCERN
ROW
ANS
INTU
ITIV
E
JEMS
BA
ROSS
ETTI
LADBROKES
BRACKLEYBUTCHERS
R P LOVATT
CINCINNATI JOES
AMERICAN RESTAURANT
DEFE
RN
MACINTYERS
BRACKLEY
MUNSON
BARNES CAMPLING GILROY
MCCOLL`S
THE COURTYARDCOFFEE HOUSE
COURTYARD
MEWS BRACKLEY
CROWN
ON
THE
MO
VEM
OBI
LITY
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BILI
TY
BOOTS
RED LIONBRACKLEYMOBILITY
BUDGENS
VACANT
VACANT
VACANT
STORE
VACANT
TATTOOIST
CAR SPRS
STORE
SOLICITOR
CONF & BIS
EDUC
ATIO
NAL
ESTA
BLIS
HMEN
T
VACANT
CLOTHING
EMP
AGY
ANTI
QUE
S VACANT
CAFE
SUPE
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BANK
INDIAN REST
BANK
HAIRDRESSING
BOOKS
HAIR
ESTATE AGENT
ART
GAL
(RET
)
FIN
ADV
REST
AURA
NT
BETTING OFFICE
HAIRDRESSING
INSURANCE OFFICE
FISH & CHIPS
BEAU
TYSA
LON
CHINESE T/A
OPTICIAN
COUNCILOFFICES
CONVENIENCE STORE
ESTATE AGENT
SMALL UNITS
HOTEL
INFO
CEN
VACANT
CHEMIST
BUSINESS SERVICES
PUBLIC HOUSE INFO CEN
DISA
BGD
S&E
QUI
P
SOLICITOR
ESTATE AGENT
STATIO
NER
CHARITY SHOP
GIF
TS
GOVE
RNM
ENT
BUIL
DING
INDIAN T/A
28
3
10
34
4827
812
9
32
233
26
6
25
18
2321
36
30
50
13
29
16
11
40- 4
2
4
38
7A
4
14
22
35
24
1
31
37
46
20
44
DRAYMANS WALK
HALLS LANE
MARKET HOUSE COURTYARD
MARKE
TPL
ACE
UNDE
R
&
&
BURGESS SQUARE
ENT
ENT
DWG
1
(250) (ESTIMATED)
(90) (ESTIMATED)
(30) (ESTIMATED)
Strutt and Parker8/2/2012
SUBWAY
COSTA COFFEE
ENTRANCE
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
BURGESS SQUARE BRACKLEY NN13 7AB
©Crown Copyright. Licence No. PU 100017316.
CR
123.2m
TCBs
War
Memorial
LB
Burgess Square
MAR
KET P
LAC
E
Market House
PH13
43
36
39
Brackley Lodge
19
1
23
40
15
23
17
TheLodge
29
42
37
19a
25
Bank
35
Shelter
House
Hartley
Courtyard
OLD BREWERY WALK
Tennis
Courts
2
55
1
63
17
ESS
54
47 to
67 to 8
9
1 to 22
23 to
43
42
44
5
57
11
59
2115
45
3
65
35
PCs
5
3
0m 10m 20m 30m
This plan is for identification purposes only. Its accuracy can in no way be guaranteed. Reproduced from the Ordnance
Survey Map with permission of the ControllerH.M.S.O Crown copyright reserved.
Licence No. ES100018525
Ordnance Survey © Crown Copyright 2012. All rights reserved.
Licence number 100020449. Plotted Scale - 1:1094
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
BURGESS SQUARE BRACKLEY NN13 7AB
DESCRIPTIONThe property comprises three attractive, well configured,
modern retail units, below a high quality residential
development. The units provide sales areas and back-up
on ground floor and are fitted out in the tenants’ current
corporate styles. The Costa Coffee also benefits from a first
floor area providing café style seating.
Externally The Costa unit fronting the high street is a three
storey stone clad building, under a pitched slate tiled roof.
The Subway and Budgens units form the ground floor of
a three storey brick and render building under a pitched,
slate tiled roof.
TENURE Freehold.
Ordnance Survey Licence No. ES100018525 For indicative purposes only.
TENANCIESAddress Tenant Floor Area Area Lease Lease Next Passing Comments (sq ft) (sq m) Start End Review Rent
Unit 1, Gerry’s Offshore Ground Floor 1,763 108 19/02/2010 19/02/2025 19/02/2015 £17,500 Tenant has the option to break the lease on 6 months
31 Market Street Incorporation LTD First Floor 480 44.6 notice on 19/02/2015 & 19/02/2020.
t/a Costa Total 1,643 152.6
2A Burgess Square Subway Realty Ltd Ground Floor 1,077 100 02/06/2010 02/06/2025 02/06/2015 £17,000 Tenant has the option to break the lease on 6 months
t/a Subway Total 1,077 100 notice on 02/06/2015 & 02/06/2020.
2B/C Burgess Square K&S Stores Ground Floor 4,532 421 25/11/2011 25/11/2026 25/11/2016 £58,916 The rent in the first 5 years is guaranteed by Musgrave
t/a Budgens Total 4,532 421 Retail Partners GB Limited. The rent is subject to annual
RPI uplifts compounded at year 5 collared and capped
at 1% & 3%. The minimum rent at first review is £61,921
with a maximum of £68,308. There is a tenant option to
break on 12 months notice on 25/11/2022.
College Place Ground Rents - - 13/05/2009 12/05/2134 13/05/2034 £7,800 Ground rents from 48 residential flats and 3 town houses.
The rent doubles every 25 years as follows: £15,600,
£31,200, £62,400 and £124,800.
Totals 7,252 673.6 £101,216
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
BURGESS SQUARE BRACKLEY NN13 7AB
VATThe property is elected for the purposes of VAT.
PROPOSAL We are instructed to seek offers in excess of £1,300,000
(One Million Three Hundred Thousand Pounds), subject
to contract and exclusive of VAT, for our client’s freehold
interest in this property.
An acquisition at this level would reflect an attractive net
initial yield of 7.36%, with a minimum reversion to 7.56% at
first review and a likely reversion to 8.00% after allowing
for purchaser’s costs of 5.80%.
COVENANT STATUSUnit No. Tenant Latest Tangible D&B Accounts Net worth Rating
Unit 1 Gerry’s Offshore Incorporations Limited 30/06/10 £419,798 A3
Unit 2 Subway Realty Limited 31/12/10 £2,885,076 2A2
Units 2B & 2C Musgrave Retail Partners GB LTD 31/12/10 £153,297,000 5A1
K&S Stores 31/05/10 £383,467 A3
PRIME FREEHOLD RETAIL INVESTMENT OPPORTUNITY
BURGESS SQUARE BRACKLEY NN13 7AB
For further information or to arrange an inspection please contact:
HARRY WILLS JOHN LIGGINS
0207 318 4633 01869 337999
[email protected] [email protected]
020 7
060 4
14
2
FURTHER INFORMATION
IMPORTANT NOTICE
Strutt & Parker LLP & Liggins Thomas Ltd for themselves and for the Vendors or Lessors of this property whose agents they are, give notice that: (1) The particulars are set out as a general outline only for the guidance of intending purchasers or lessees and do not constitute part of an offer or contract. (2) All descriptions, dimensions, references to condition and necessary permissions for use and occupation and their details are given in good faith and 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 by inspection or otherwise as to the correctness of each item. (3) No person in the employment of Strutt & Parker LLP or Liggins Thomas Ltd has any authority to make or give any representation or warranty whatever in relation to this property or these particulars, nor enter into any contract relating to the property on behalf of Strutt & Parker LLP or Liggins Thomas Ltd nor any contract on behalf of the vendor. (4) No responsibility can be accepted for any expenses incurred by intending purchasers or lessees in inspecting properties which have been sold, let or withdrawn. Particulars prepared February 2012