RETAIL WAREHOUSE INVESTMENT OPPORTUNITY

B&Q , Mostyn Broadway, llandudno, north wales ll30 1PJ

investMent suMMary
Llandudno is located in the county of Clwyd in North Wales
approximately 19 miles east of Bangor and 44 miles west of Chester.

llandudno

LL30 1PJ

Postcode

Prominent and accessible property situated adjacent to Mostyn

Broadway (A456) and positioned between Parc Llandudno Shopping Park and Mostyn Champneys Retail Park.

Purpose built retail warehouse unit with a gross internal area of

38,949 sq ft plus garden centre.

A large catchment area with primary population of 244,000 people. Successful trading location with limited DIY competition in
catchment.

Long term development potential. Let to B&Q Plc until 21st July 2020, providing an unexpired term of
9 years.

Long leasehold. Passing rent of 484,875 per annum, reflecting a low rent of
12.45 per sq ft. Net rent received by long leaseholder is 431,539 per annum.

Offers are sOught in excess Of 5,440,000 (Five Million, Four Hundred and Forty tHousand Pounds), based On a net initial yield oF 7.50% (assuming purchasers cOsts Of 5.8%).

B&Q | LLandudno

DA OD GL

ETH

E STR

ET

) 46 (A5

TH EP AR ADE

(A5 46)
MOST YN BR OADW AY

THE PARADE (B5115)

DO R CR ES

PARC LLANDUDNO SHOPPING PARK

SCENT (B 5115)
C EN AR CL
EC
RE

) 470 D (A OA YR NW CO

TU

MOSTYN CHAMPNEYS RETAIL PARK

location
this map is published for the convenience of identification only. Any site boundaries are indicative only and should be checked against title deeds

Llandudno is located in the county of clwyd in North Wales. the town is situated approximately 19 miles east of Bangor and 44 miles west of chester. Llandudno benefits from excellent road communications being situated close to the A55 linking North Wales to the M56 and beyond. Rail services to Llandudno are excellent, providing services to Manchester in 2 hours and London euston in 3 hours.

catcHMent & deMograPHics

Llandudno has a large geographic catchment which extends to cover Anglesey and has an above average population of 244,000 people. the area is characterised by an over-representation of working adults aged 45-64 with fewer working adults aged 25-44. the level of car ownership in Llandudno is above average, with the proportion of multiple car owning households in line with the national average. the level of owner occupation in Llandudno is around average. As at March 2011 the local claimant count was in line with the national average. (source: PRoMIs)

ES RD T ORM GREA

IAU YN BR
(A AD RO

54 6)

situation
the property is prominently located on the south side of Mostyn Broadway (A456) in close proximity to its junction with conwy Road (A470), the main arterial route into the town. this position is considered an edge of centre location, with the towns main retail parade located a short distance to the west. the location provides easy access to the resident population of North Wales and the unit is well situated between Parc Llandudno shopping Park and Mostyn champneys Retail Park.

70) A4 D( OA YR NW CO

SDU AVENUE MAE

WALLASEY

LIVERPOOL
BIRKENHEAD WIDNES

LLANDUDNO
HOLYHEAD BANGOR

PRESTATYN

ST ASAPH

FLINT

ELLESMERE PORT CHESTER

CAERNARFON

RUTHIN

BUCKLEY

WREXHAM CORWEN WHITCHURCH PWLLHELI PORTHMADOG BALA OSWESTRY BARMOUTH SHREWSBURY WELSHPOOL TELFORD
3

NEWCASTLE UN

NEWPORT

B&Q | LLandudno

descriPtion & accoMModation

the Property comprises a purpose built stand alone retail warehouse unit constructed in 1989. the building is of steel frame construction with part brick and block elevations surmounted by a tiled mansard roof. the roof is of metal profiled cladding. Accommodation comprises a large rectangular unit extending to 37,389 sq ft of sales floor space and with ancillary first floor office space extending to 1,560 sq ft. A garden centre extending to 7,279 sq ft is located to the southern side of the unit along with a contained service yard accessed via a separate service road. A tarmac surface customer car park lies to the front and north providing 175 spaces, reflecting an excellent ratio of 1:213 sq ft. the site extends to approximately 1.27 hectares (3.14 acres), providing a low site cover of 27% the Property has the following approximate gross internal floor areas:
CO NW

MOSTYN BROADW

AY

TUD

OR C

RESC

ENT

CHA

RLO

TTE

ROA

GARDEN CENTRE

description Ground floor First floor offices lobby total

area (sq m) 3,473.5 145.0 13.8 3,618.5

area (sq ft) 37,389 1,560 149 38,949

this plan is published for the convenience of identification only. Any site boundaries are indicative only and should be checked against title deeds

CLAR

ENCE

YR

OA

CRES

CENT

B&Q | LLandudno

tenure
the Property is held on a long leasehold interest dated 14 April 1986 for a term of 126 years beginning on 22 July 1985. there are approximately 100 years unexpired. A deed of variation includes provisions for the Freeholder to receive a rent geared to 11% of Market Rent. Reviews are five yearly and upwards only with the next occurring on 21 July 2015. this is in line with the review pattern of the sublease to B&Q Plc. the rent payable under these terms is 53,336 per annum.

Planning consent
Planning permission was granted on 31st January 1985 for construction of a dIY retail store with external mezzanine on land at the junction of Mostyn Broadway and tudor crescent, Llandudno. there are no conditions on the permission relating to the control or restriction of goods that can be sold within the store and therefore the consent does not prevent open A1 use. However, the consent is subject to a section 52 agreement which restricts the range of goods that can be sold from the unit to garden products, garden flora and a range of dIY goods. our client is seeking advice on the viability of widening the restrictions imposed by the section 52 agreement. More information is available on request.

tenancy
the Property is let to B&Q Plc on a FRI lease until 21st July 2020, therefore 9 years remain unexpired. Rent reviews are five yearly upward only open to market rent, with the next occurring on 21 July 2015. the rent passing is 484, 875 per annum, reflecting a low rent of 12.45 per sq ft. Noting the terms of the head lease, the net rent received by the long leaseholder is 431,539 per annum.

tenant covenant
B&Q Plc are the leading home improvement and garden centre retailer in europe and the third largest in the world with 321 stores in the UK, 9 in Ireland and more than 60 stores opened internationally. B&Q is part of Kingfisher plc, europes leading home improvement retail group and the third largest in the world. the tenant company has an Icc score of 82, reflecting confidence, low risk potential and has reported the following financial results:
30/01/2010 30/01/2009 3,683,300,000 113,700,000 3,240,000,000 02/02/2008 3,854,900,000 170,700,000 1,761,000,000 B&Q | LLandudno 5

AR L

OT TE

RO A

sales turnover Profit Before tax shareholders Funds

3,792,400,000 400,400,000 3,476,400,000

CH

llandudno retail WareHousing

Retail warehouse provision in Llandudno is centred around the B&Q unit. Mostyn champneys Retail Park is a bulky goods (with exceptions) scheme extending to 220,000 sq ft. A Homebase of 31,000 sq ft anchors the development at a rent reflecting 14.50 per sq ft and the adjacent former Halfords unit was recently let to dFs. other tenants include: Argos, Pets At Home, staples, Aldi, Iceland, comet, dsG, smyths toys and Home Bargains. overall passing rents reflect 14.50- 25.00 per sq ft. Parc Llandudno is a 127,000 sq ft shopping park anchored by a 60,000 sq ft debenhams with other tenants including BHs (32,000 sq ft), carphone Warehouse, costa coffee, New Look, Boots, Monsoon, Next, outfit, River Island, Laura Ashley, Bank and Holiday superstore. earlier in 2011 a unit was let to Jd sports at a rent of 50.00 per sq ft. Also in close proximity is a new AsdA superstore of approximately 100,000 sq ft. B&Q and Homebase offer the only large format dIY outlets in the town.

Leisure centre

vat
the property is elected for VAt.
B&Q | LLandudno 6

CONTACT
For further information please contact:

edward George
clarges House 6-12 clarges street London WIJ 8HB

www.montagu-evans.co.uk

d: 020 7312 7489 e: edward.george@montagu-evans.co.uk

nick richardson
d: 020 7312 7420 e: nick.richardson@montagu-evans.co.uk

Freddie James
d: 020 7866 8613 e: freddie.james@montagu-evans.co.uk

Offers are sOught in excess Of 5,440,000 (Five Million, Four Hundred and Forty tHousand Pounds), based On a net initial yield oF 7.50% (assuming purchasers cOsts Of 5.8%).
Misrepresentation act 1967 and Property Misdescriptions act Montagu evans LLP 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 2. All descriptions, dimensions, references to guideline only for the guidance of intending condition and necessary permissions of the purchasers or lessees and do not constitute use and occupation, and other details are the whole or any part of an offer or contract. given in good faith without responsibility whatsoever and 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 of them. 3. Montagu evans LLP nor their employees has any authority to make or give any representation or warranties whatsoever in relation to the property. 4. Unless otherwise stated, all prices and rents are quoted exclusive of VAt and intending purchasers or lessees must satisfy themselves independently as to the applicable VAt position. 5. All the plans and maps provided within the particulars are for identification purposes only.

Llandudno | B&Q | July 2011 | Ref: 107016

B&Q | LLandudno