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O P E N A 1 R E TA I L W A R E H O U S E I N V E S T M E N T
TRINITY RETAIL PARKST PETER’S WAY, BOLTON
INVESTMENT SUMMARY• Bolton has an estimated total population within the
primary catchment area of 529,000 people.
• An open A1 non-food retail park comprising 5 retail warehouse units and a drive-thru unit totalling 84,552 sq ft.
• Prominent and highly accessible location adjacent to the town centre and the A666.
• Fully let and income producing.
• Toys R Us have been in occupation since 1994 with significant goodwill attached to the store.
• Opportunity to pursue regears with Toy R Us and Burger King.
• Opportunity to drive rent on Burger King on the back of the new letting to Costa, adjacent to the park entrance.
• New letting to Ninja Nation, building on the success of soft play/leisure activities at the park.
• Freehold.
• Contracted rent of £893,149 per annum, reflecting a low average level of £10.56 psf.
• AWULT of 5.1 years (4.2 years to break).
• We are instructed to seek offers in excess of £9,000,000 (Nine Million Pounds Sterling) subject to contract and exclusive of VAT. A purchase at this level would reflect a Net Initial Yield of 9.30% after allowing for purchasers costs of 6.68%.
• Option to buy the Isle of Man based SPV company.
TRINITY RETAIL PARKST PETER’S WAY, BOLTON
2 3
TRINITY RETAIL PARKBOLTON, BL2 1HY
4 5
LOCATIONBolton is a major regional centre within Greater Manchester, 14 miles (22.5 km) north west of Manchester. Bury and Rochdale are to the east, along the M60/M62 motorways, about 7 miles (11 km) and 18 miles (19 km) respectively.
Rail services connect the town with central Manchester with a journey time of 20 minutes which provides good rail links to London Euston, with a total journey time of approximately 2 hours 47 minutes. Manchester International Airport is located 20 miles (32 km) to the south east.
The town has good road communications, situated between the M61 and M66 motorways providing access to Junctions 14 and 18 respectively of the M60 motorway, within 2.8 miles (4.5 km).
Bolton has an urban population of 266,500 persons (Source: 2010 ONS Estimate). Bolton is categorised by PROMIS as a Sub Regional Centre, with a total population within the Bolton primary catchment area of 559,000, above the Sub Regional Centre average and ranking the town 26 out of the PROMIS Centres.
Bolton has a household catchment of 76,604 within 10 minutes drive and 276,222 within 20 minutes drive.
Trinity Retail Park is situated in a prominent location fronting St Peter’s Way (A666), approximately 0.5 miles south of Bolton town centre. The site is accessed via Lower Bridgeman Street (A579).
The subject property is within close proximity to a number of major food stores including ASDA, Morrisons, Tesco, and Sainsbury’s.
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M61
M6
M62
M62
M66
M60Leigh
Rawtenstall
Chorley
Darwen
Standish
Wigan
Leyland
Sale
Bury
Worsley
Eccles
SwintonPrestwich
Whitefield
Heywood
Rochdale
Middleton
Oldham
Salford
BOLTON
StockportWarrington
MANCHESTER
SUBJECTPROPERTY
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217
1 1
9
25
24
23
6
8
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7
6
8
10
14
M61
M6
M62
M62
M66
M60
Leigh
Chorley
Leyland
Skelmersdale
Sale
Bury
Radcli�e
Little Hulton
Worsley
Eccles
SwintonPrestwich
Whitefield
Heywood
Rochdale
Middleton
Salford
BOLTON
StockportWarrington
BOLTON
MANCHESTER
Trinity Retail Park prominently situated fronting St Peter’s Way (A666),
0.5 miles south of Bolton town centre
Bolton
A676
DEANE ROAD
MO
OR
LAN
E
TO
PP WAY
TRINITY STREET
A579 BURY ROAD
A58
CROM
PTON
WAY
BLA
CKB
URN
RD
A666
ST PETER’S WAY
A666
ST PETER’S WAY
CHORLEY OLD ROAD
B6226
CHORLEY NEW ROAD A673
B6202 M
AYOR ST
B6204
A6099
TURTON ST
B6206
A67
6
TONG
E M
OO
R R
OA
D
A67
6
B6208 THICKETFORD RD
B6208
A579
ST HELE
N’S ROAD
A579
MANCHESTER ROAD
B6209
RADCLIFFE ROA
D
B6209
LON
G L
AN
E
BOLTONBOLTONSUBJECT
PROPERTY
CATCHMENT
Subject Property
10 minutes
20 minutes
BURGER KINGCOSTA
CENTRAL RETAIL PARK
BOLTON RAILWAY STATION
BOLTON GATE RETAIL PARK
BURNDEN RETAIL PARK
BOLTON SHOPPING PARK
MORRISONS
BOLTON TOWN CENTRE
A666
A666
TOYS R US
OFFICE OUTLET
JUMP XTREME
NINJA NATION
A579
A575
6 7
PLANNINGThe scheme benefits from an Open A1 (non-food) planning consent.
Planning permission was granted in January 1994 for the ‘erection of buildings comprising non-food retail with car parking/servicing/loading/turning facilities and new vehicular access’.
Further permission was granted in May 1994 to provide for a drive-thru fast food unit with associated car parking areas.
There were no restrictions on sub-division within the original consent.
DESCRIPTIONThe park comprises five retail warehouse units and a drive-thru unit totalling approximately 84,552 sq ft (7,855 sq m) with an excellent parking provision of 377 car spaces plus 2 for ‘pick-up’ at Toys R Us, reflecting a ratio of 1:223 sq ft.
Toys R Us – 133 spaces plus 2 for ‘pick-up’Burger King – 37 spacesOther Units – 207 spaces
There is additional staff parking.The site area is approximately 4.96 heactares (12.24 acres), which equates to a low site cover of c.16%. This provides the potential to consider the development of a further leisure pod, subject to planning.
TENANCIESLet to 5 occupiers, with substation lease to Norweb.
Current contracted rent of £893,149 pa.
Unit Tenant Lease Nature Area (sq. ft)
Lease Start Date
Lease Expiry Date
Rent Review Dates
Break Clause Dates
Annual Rental Income
Rent /sq.ft Comments
1 Ninja Nation Ltd Full repairing 10,046 04/08/2017 03/08/2022 £90,414 £9.00 - Step rent: Yr 1: £80,369 /Yr 2: £85,391 /Yr 3: £90,414 /Yr 4: £95,437 /Yr 5: £100,460. - Landlord will top up to the year 3 rent.- First 6 months rent free to be topped up by landlord.- 3 months rent free at beginning of year 2 to be topped up by landlord. - Subject to a schedule of condition.- Tenant exempt from major individual service charge items in excess of £30,000.- Rent deposit of £24,000.- Tenant to install 7,000 sq ft mezzanine.
2&3 Jump Xtreme Limited Full Repairing 20,080 13/11/2015 12/11/2025 13/11/2017 £201,350 £10.03 - Rent topped up for step between 13/11/2017 and 26/03/2018.- Rent deposit of £241,200.- 20/09/2017 side letter to permit rent payment on a monthly basis at half rent.- 50% of rent payment to be covered by draw down on rent deposit.
4 SUK Retail Ltd (ex-Staples Europe Ltd)
Full Repairing 17,150 24/08/2017 23/08/2027 24/08/2022 24/08/2022 £171,500 £10.00 - Break option: tenant only / 6 month notice.- 12 months half rent free from term commencement to be topped up.- If tenant does not exercise the break, it will be awarded a 50% reduction in rent for 6 months.
5 Toys R Us Limited Full Repairing 34,822 29/09/1994 28/09/2019 29/09/2014 £370,000 £10.63 - Service charge cap on management fees, current shortfall of £2,428.16 pa.
6 Burger King Limited Full Repairing 2,454 24/06/1994 23/06/2019 £59,885 £24.40
Substation Norweb Pic Full Repairing 30/11/1994 29/11/2019 £0 Easement.
Total 84,552 £893,149
River Croal
WAYHERON'S
BACK MANCHESTER
DUNLIN CLOSE
Sloping masonrySloping masonry
Play Area
2
17
20
Trinity Retail Park
49
25
39
33
14
6
Boro Const & Ward Bdy
River Croal
89.0m
83.5m
Pipeline
Path
BACK HILDEN STREET
WAY
HERON'S
HILDEN STREET
ST PETER'S WAY
HILDEN STREET
WESTBR
OO
K STREET
SELWYN STREET
BACK HILDEN STREET
BACK
STREET WEST
HILDEN
Sloping masonry
SM
Sloping masonry
SPRINGFIELD
Trinity Retail Park
62
42
55
38
50
32
45
St Peters Court
30
65
46
19
1
44
75
2
Superstore
74
65
77
52
32
84
Old Coach House
5052
31
Tank
43
87.2m
BIRCH STREET
3
27
5
12
10
29
0m 25m 50m 75m
NINJANATIONFITTING
OUT
TENUREFreehold.
8 9
COVENANT ANALYSISNinja Nation Ltd have a D&B rating of O3
Jump Xtreme Limited have a D&B rating of 1A2Jump Xtreme have trampoline parks across the UK in Bolton, Bury and Tamworth. The parks are amongst the largest in the UK and each include over 100 interlinked trampolines.
Non Consolidated GBP 30 Oct 2016
Tangible Net Worth £914,976
Net Current Assets (Liabilities) (£517,861)
SUK Retail Ltd have a D&B rating of N4Office Outlet rebranded from Staples in February 2017. The US-based stationery specialist agreed to sell its UK retail business and operations, which employs 1,100 people, to Hilco Capital in November 2016. Hilco has also moved to streamline its property, by attempting to shed up to 285,000 sq ft from its store portfolio by sub-letting space in 35 larger stores. The Trinity Retail Park Store was unaffected by this strategy.
Fiscal Non Consolidated GBP
30 Jan 2016 (£000’s)
Fiscal Non Consolidated GBP
30 Jan 2015 (£000’s)
Fiscal Non Consolidated GBP
01 Feb 2014 (£000’s)
Sales Turnover 198,090 219,622 227,367
Profit / (loss) Before Taxes (21,713) (4,985) (7,061)
Tangible Net Worth (35,123) (62,812) (57,765)
Toys R Us Limited have a D&B rating of 5A1Toys R Us is an American toy and juvenile-products retailer founded in 1948 and headquartered in New York. The company owns or licenses 866 Toys “R” Us and Babies “R” Us stores in the United States and Puerto Rico, more than 750 international stores and more than 245 licensed stores in 37 countries and jurisdictions.
The US arm filed for bankruptcy in September 2017, however the European business, which includes 110 stores and more than 2,500 staff in the UK, is separate from the US. The retailer, which arrived in the UK in 1985, is still planning to open four more stores in Britain before Christmas.
Fiscal Non Consolidated GBP
28 Jan 2017 (£000’s)
Fiscal Non Consolidated GBP
30 Jan 2016 (£000’s)
Fiscal Non Consolidated GBP
31 Jan 2015 (£000’s)
Sales Turnover 418,251 435,948 437,966
Profit / (loss) Before Taxes 23,510 5,360 928
Tangible Net Worth 319,513 311,468 301,713
Burger King Limited have a D&B rating of N1Burger King, is a global chain of hamburger fast food restaurants headquartered in unincorporated Miami-Dade County, Florida, United States. The company began in 1953 as Insta-Burger King, a Jacksonville, Florida-based restaurant chain.
Fiscal Non Consolidated GBP
31 Dec 2015 (£000’s)
Fiscal Non Consolidated GBP
31 Dec 2014 (£000’s)
Fiscal Non Consolidated GBP
31 Dec 2013 (£000’s)
Profit / (loss) Before Taxes (1,479) (4,285) (2,966)
Tangible Net Worth (739) (28,475) (24,172)
There is a 2012 Underlease to Karali Limited who have a D&B rating of 3A1.The Karali Group is one of the largest franchisees and was the winner of the AB Award’s Franchisee of the year in 2014.
Fiscal Non Consolidated GBP
31 Dec 2016
Fiscal Non Consolidated GBP
31 Dec 2015
Fiscal Non Consolidated GBP
31 Dec 2014
Sales Turnover £56,460,017 £53,375,115 £49,449,037
Profit / (loss) Before Taxes £2,709,537 £2,911,180 £1,330,232
Tangible Net Worth £8,581,495 £6,438,960 £3,669,621
10 11
EPCFull EPC reports can be provided on request.
ESTATE’S CHARGEFurther information on request.
VATThe property has been elected for VAT and therefore VAT will be payable on the purchase price.
PROPOSALWe are instructed to seek offers in excess of £9,000,000 (Nine Million Pounds Sterling) subject to contract and exclusive of VAT. A purchase at this level would reflect a Net Initial Yield of 9.30% after allowing for purchasers costs of 6.68%.
Option to acquire the Isle of Man based SPV company.
FOR VIEWINGS & ENQUIRIESFor further information or to arrange a viewing please contact
Simon [email protected] 0161 235 7641
Craig [email protected] 0161 455 3712
Giovanni [email protected] 235 7672
RETAIL WAREHOUSING PROVISION IN BOLTONBolton’s retail warehouse provision (non food) includes the subject property, Middlebrook Retail Park, Bolton Gate Retail Park, Bolton Shopping Park, Burnden Park and Central Retail Park.
We summarise the main non food and food provision within Bolton below and the map above.
Bolton is ranked 19 out of the PROMIS Centres in the UK in terms of Retail Warehouse supply.
NON-FOOD
Scheme Area (sq ft) Main Tenants Rental Tone Comments
Middlebrook Retail & Leisure Park
551,761 Boots, Next Home, Sports Direct £30 psf Bolton’s largest retail park developed in 1998 by Orbit Developments. Predominantly bulky goods with the exception of anchor stores.
Bolton Gate Retail Park
131,200 PC World, Dunelm Mill, Jysk, Bensons
£18 psf (small) £15 psf (large)
Developed in 1998, the park has a part open and part bulky goods consent.
Trinity Retail Park 84,798 Toys R Us, Staples, Jump Extreme, Burger King, Ninja Nation
c.£10 psf Open A1 (non-food) planning consent.
Bolton Shopping Park
105,000 TK Maxx, TJ Hughes, Peacocks, Decathlon, Boots and Next
£18 psf (small) £15 psf (large)
Developed in 2006 Part Open A1 food and part non food planning consent together with an A3 pod and two storage units with planning consent for B8 use.
Burnden Park 64,492 Home Bargains, DW Sports, Poundstretcher
£15 psf Developed in 2001 by Orbit Developments, the scheme benefits from Open A1 consent.
Central Retail Park
82,105 Pets at Home, Iceland, B&M Maplin, Exercise 4 Less
£15 psf (small) £10 psf (large)
Developed in 1985 the park has an Open A1 planning consent.
FOOD
Scheme Area (sq ft) Food Stores
Bolton Shopping Park 78,825 Sainsbury’s
Blackhorse Street 72,376 Morrisons
Trinity Way 12,000 Aldi
Burnden Park 85,508 AsdaMISREPRESENTATION ACTCushman and Wakefield, their clients and any joint agents give notice that: (i) These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. (ii) No person in the employment of the agent(s) has any authority to make or give representation or warranty whatever in relation to this property. (iii) Floor areas, measurements or distances given are approximate. Unless otherwise stated, any rents, or outgoings quoted are exclusive of VAT. (iv) Any descriptions given of the property cannot be taken to imply, it is in good repair, has all necessary consents and is free of contamination, or that services and facilities are in working order. Interested parties are advised to carry out their own investigations as required. October 2017. Designed and produced by Creativeworld Tel: 01282 858200
INVESTMENT MARKETUK retail warehouses transaction volumes have rocketed in 2017 with competition for space driven by online shopping.Volumes to date in 2017 reflect the confidence and impetus in the market. Consumer confidence remains relatively robustwhich is filtering through into positive investor appetite across the sector.
New buyers are appearing alongside local authorities and the traditional institutional investor base, placing downward pressure on yields across the board for better quality assets. 2017 is expected to finish strongly as the sector continues to compare favourably to alternative sub-sectors.
Location Tenants Size (Sq Ft)
Price Unexpired Term (Years)
NIY Date
Moorgate Retail Park, Bury
Home Bargains, Carpetright, Halfords, Farmfoods and Kfc
51,765 £8,000,000 7.0 7.70% Marketing
Central Retail Park, Rochdale
Halfords, Argos, Matalan and Poundstretcher
68,768 £14,155,000 8.3 7.50% Marketing
Clough Road Retail Park, Hull
Currys Pc World, Go Outdoors, Halfords, Staples, Costa and Smyths Toys
88,500 £11,200,000 C.9.0 7.1% Aug 17
Wells Green Retail Park, Birmingham
Dreams, Pets At Home, Halfords 23,007 £5,100,000 7.5 6.64% Jun 17
A676 DEANE ROAD
MO
OR
LA
NE
TO
PP WAY
TRINITY STREET
A579
A58
CROM
PTON
WAY
BLA
CKB
URN
RD
ST PETER’S WAY
A666 ST PETER’S W
AY
CHORLEY OLD ROAD B6226
CHORLEY NEW ROAD A673
B6202
A6099
T
ONG
E MO OR RO
AD
A
676
B6208
B6208
A579
ST HELEN’S ROAD
A579
MANCHESTER ROAD
B6209 RADCLIFFE R
O
AD
A673
CHORLEY NEW ROAD
A673
BEA
UM
ON
T RO
AD
VICTO
RIA
RO
AD
A58
A58
DE HAVILAND WAY
A6
CHORLEY ROAD
A6
6
5
M61
BOLTONBOLTONTRINITY
RETAIL PARK
BURNDENRETAIL PARK
CENTRALRETAIL PARK
BOLTON GATERETAIL PARK
BOLTON SHOPPING PARK
MIDDLEBROOKRETAIL & LEISURE PARK
Bolton is ranked 19 out of the PROMIS Centres in
the UK in terms of Retail Warehouse supply