9-11 Norwich Road, Thetford IP24 2HT

TESCO ANCHORED RETAIL & RESIDENTIAL INVESTMENT

9-11 Norwich Road, Thetford IP24 2HT.TESCO ANCHORED RETAIL & RESIDENTIAL INVESTMENT

INVESTMENT SUMMARY Prominent modern retail scheme with ten residential apartments above

Retail anchored by Tesco Express store

Over 9 years unexpired to Tesco

Fully let residential element with a strong history of lettings and high level occupancy

Combined rental of £102,540 per annum

Proposal - £1,250,000 – 7.75% based on purchaser’s costs of 5.8%.

LOCATION

Thetford is a Norfolk market town with a population of approximately 22,000. The town is located 29 miles

south west of Norwich. Other towns nearby include Bury St Edmunds, 13 miles to the south and Newmarket,

20 miles to the south west while Cambridge is 33 miles to the south west.

The town is served by the A11 which runs from the south west at Newmarket and the A14 through to

Norwich. The new £102m A11 dual carriageway improvements at Thetford have improved travel times to

the likes of Cambridge, which is now only 40 minutes by road.

The Center Parcs resort at Elveden Forest is 5 miles west of the town.

The unit is located at a prominent junction of Norwich Road and Earls Street on the northern edge of

Thetford town centre, just off the A1066 and close to Thetford Retail Park where the likes of Aldi, Halfords,

Farm Foods and Jolleys trade from. The development has main road frontage and parking to the front of

the retail units with two access points to/from Norwich Road.

PROPERTY

The property was constructed in 2004 and comprises two ground floor retail units with ten residential apartments above. The property has 8 car spaces to the front, four of which are allocated to the 2 bed apartments. There is a loading yard to the side of the Tesco unit.

The residential element comprises ten apartments over two floors. Each is offered on a rental basis, unrefurbished but with fitted kitchens and integrated ovens and hobs. There are 2 x2 bed and 3 x1 bed per floor. There is a separate entrance on the side elevation and an internal lobby on each floor. On average each flat is 630 sqft. Floor plans are available on request.

The apartments have an extremely good history of lengthy occupancy and minimal void periods.

TENURE

Freehold.

COVENANTS

Tesco are one of the world’s largest grocers and the biggest in the UK with a market share of approximately 28%. Tesco Stores Ltd reported turnover in the year ending February 2014 was £42.55bn, a pre-tax profit of £1.70bn and a net worth of £3.04bn. The company are an undoubted covenant and have a D&B rating of 5A1.

Break has been a registered charity for 45 years. The charity supports young children and families across East Anglia while working with Norfolk and Cambridgeshire County Councils. The charity reported in their March 2014 accounts “Total Incoming Resources” of £10.257m and Net Assets of £3.34m.

The charity has 300 permanent members of staff. They now have almost 50 shops, mainly in the East Anglia region. More information about Break can be found on their website www.break-charity.org

9-11 Norwich Road, Thetford IP24 2HT.TESCO ANCHORED RETAIL & RESIDENTIAL INVESTMENT

UNIT TENANT SQFT

Unit 1 Tesco Stores Ltd 2,780

Unit 2 Break Charity 795

For further information or if you wish to arrange an inspection please contact:

Misrepresentation Clause: The accuracy of any description, dimensions, references to condition, necessary permissions for use and occupation and other details contained herein are not guaranteed and are for general guidance only and prospective purchasers or tenants must not rely on them as statements of fact or representations and must satisfy themselves of their accuracy. Neither Franck-Steier Price Ltd, Savills nor any of their employees or representatives has any authority to make or give any representation or warranty or enter into any contract whatever in relation to the property. Prices and rents quoted in these particulars may be subject to VAT in addition. The reference to any mechanical or electrical equipment or other facilities at the property shall not constitute a representation (unless otherwise stated) as to its state or condition or that it is capable of fulfilling its intended function.

Andrew PriceDD: 0121 513 0892M: 07798 656 360andrew.price@fspproperty.co.uk

Ben Rudd SavillsDD: 01223 347 003brudd@savills.com

UNIT TENANT LEASE STARTLEASE EXPIRY (BREAK)

RENT (£SQFT)

COMMENTS

Unit 1 Tesco Stores Ltd 24/06/2004 24/06/2024 £33,000 (£11.87)

5 yearly open market reviews

Unit 2 Break 02/02/2015 02/02/2027 (02/02/2018)

£12,000 (£15.09)

Tenant break requires 6 months notice. 3 yearly rent reviews. Previous tenant Johnson Dry Cleaners was paying £11,000 and vacated in October 2014.

Flat 1 Miss Sontowska & Mr Gladysz 28/01/2011 AST £6,000 2bed

Flat 2 Mrs Rotkiewicz 11/04/2013 AST £5,640 1 bed

Flat 3 Mr Coelho 01/06/2014 AST £5,700 1 bed

Flat 4 Mr & Mrs Piatnica 12/05/2014 AST £5,700 1 bed

Flat 5 Mr Santowski 27/03/2013 AST £6,300 2 bed

Flat 6 Mr & Mrs Kirilmaz 14/01/2014 AST £6,600 2 bed

Flat 7 Mr Oblekowski 24/07/2009 AST £4,800 1 bed

Flat 8 Mr Gardi 14/03/2015 AST £6,000 1 bed. Previous tenant had been in occupation since 12/2008. Vacated 23/02/2015.

Flat 9 Mr Smarkzewski & Miss Zywert 06/12/2008 AST £4,800 1 bed

Flat 10 Mr Zeverino & Miss Carvalho 01/03/2010 AST £6,000 2 bed

TOTAL £102,540

TENANCIES

The retail units are let on effectively FRI leases while the ten flats are let on AST’s.

PROPOSALWe are instructed to seek offers in excess of £1,250,000 which reflects a net initial yield of 7.75% based on purchaser’s costs of 5.8%.

VATVAT will be applicable on the purchase. It is intended that the purchase would be treated as a TOGC.

EPC’sIndividual EPC certificates are available on request.

9-11 Norwich Road, Thetford IP24 2HT.TESCO ANCHORED RETAIL & RESIDENTIAL INVESTMENT