RICHMOND35-38 GEORGE STREET, TW9 1HY

PRIME, WELL SECURED, FREEHOLD

HIGH STREET RETAIL PARADE

INVESTMENT SUMMARY• Richmond upon Thames, is one of London’s most

popular and prosperous boroughs offering a rare blend of urban and rural qualities within a major capital city.

• An affluent borough population of approximately 196,000 persons (GLA 2015) and a compact primary catchment population of circa 106,000 which is supplemented by a thriving tourist industry.

• An established and busy commercial centre with a flourishing retail offer encompassing an extensive array of mass market and specialist retailers including M&S, House of Fraser, H&M, Topshop/Topman, Tesco, WH Smith, Anthropologie, Reiss, Gant, Jo Malone, Molton Brown, Crew and Links.

• A prominent position on the semi-pedestrianised section of prime George Street and well secured to the undoubted covenants of Santander, Russell & Bromley, Pret a Manger and Leon. Adjoining and nearby occupiers include Whole Foods, Massimo Dutti, Joe & The Juice, Zara Home, GAP and Tesco.

• Weighted average unexpired lease term (WAULT) to expiry of 8.2 years.

• Net income of £802,300 per annum exclusive.

• A substantial prime town centre site comprising circa 1,050m² (0.26 acres).

• Future Asset Management Opportunities.

• Offers in excess of £17,900,000 (Seventeen Million, Nine Hundred Thousand Pounds), subject to contract and exclusive of VAT for the freehold interest reflecting a net initial yield of 4.2%. There are two outstanding reversionary rent reviews where the vendor will seek a supplemental payment on settlement.

RICHMONDRichmond upon Thames is one of London’s most popular and affluent boroughs and is a highly sought after residential destination for young professionals, families and celebrities who are attracted to it’s rich history, royal connections, extensive parkland, architecture and amenities. Tourism generates an estimated total annual economic benefit of £469 million drawing an average of 4.5 million visitors every year.

Richmond upon Thames is one of London’s most popular and affluent boroughs and is a

highly sought after residential destination

M25

M25

M25

M3

M4

M4

13

14

154

3 21

12

1

NO

RTH

CIR

CULAR

NO

RT

H C

IRC

ULA

R

A205 SOUTH CIRCULAR

ISLINGTON

LAMBETH

KENSINGTON

WANDSWORTH

WIMBLEDON

RICHMOND

FULHAM

PUTNEY

CHELSEA

BATTERSEA

KEW

BARNES

CHISWICK

EALING ACTON

MAIDA VALE

HYDE PARK

REGENTSPARK

BLOOMSBURY

MAYFAIR

KEWGARDENS

OSTERLEYPARK

HAYES

FELTHAM

HOUNSLOW

CRANFORD

WEST DRAYTON

TWICKENHAM

KINGSTONUPON THAMES

CLERKENWELL

SOHO

RICHMONDPARK

GUNNERSBURYPARK

VICTORIA

COVENT GARDEN

NOTTING HILLEALING BROADWAY

CHISWICK PARK

RICHMOND

ACTON TOWN

SHEPHERD’S BUSH

HOLLANDPARK

MOORGATE

ELEPHANT& CASTLE

WATERLOO

MARBLE ARCH

PADDINGTON

STOCKWELL

VAUXHALL

SHOREDITCH

KING’S CROSSST PANCRASINTERNATIONAL

EUSTONSTATION

TERMINAL 4

TERMINAL 5

NORTH ACTON

ST PAULS

BRIXTON

EARLS COURT

EALING COMMON

GUNNERSBURY

ACTON CENTRAL YIEWSLEY

SOUTHALL

SOUTH ACTON

PUTNEY

CLAPHAM JUNCTION

MARYLEBONE

HAMMERSMITH

WEST END

THE CITY

HEATHROW

HAMMERSMITH

TERMINAL 1, 2 & 3

KNIGHTSBRIDGE

A4

A30

A30

A30

A316

A315

A316A315

A205

A307

A307

A219

A315A302

A501

A308

A306

A4

A4

A4

A3

A3

A3

A5 A1

A10

BRENTFORD

UXBRIDGE

TWICKENHAM

KEW BRIDGE

A40

A40

A40

LOCATIONRichmond is conveniently located to:

Central London 9 miles (14.5 km)

Kingston upon Thames 4 miles (6.4 km)

Twickenham 2 miles (3.2 km)

TWICKENHAM RUGBY STADIUM

HAMPTON COURT PALACE

KEW GARDENS

THE PITCHER AND PIANO RIVERSIDE BAR

LOCATION

RoadThe town has excellent road communications. The A307 runs directly through the town centre providing access to Kingston upon Thames, 4 miles (6.4km) to the south and ultimately the M25 (J10) via the A3. The A316 (Dual Carriageway) is located immediately to the north of Richmond Train Station and connects with the M3 motorway circa 6 miles (9.7km) to the east.

RailRichmond is served by mainline South West trains which provides regular direct services to London Waterloo (8 trains per hour) with a fastest journey time of 19 minutes and Windsor and Reading, with approximate journey times of 50 and 70 minutes respectively. The town is also served by London Underground via the District Line.

AirHeathrow, the UK’s largest international airport, is located circa 11 miles (18km) to the west via the M4, providing services to a wide variety of both domestic and international destinations. Gatwick Airport is located 30 miles (48km) to the south and approximately 45 minutes distant by car.

Boston ManorNorthfields

Osterley

SouthEaling

ActonTown

South Acton

ActonCentral

ChiswickPark

Gunnersbury

Kew Gardens

North Sheen

Mortlake

Earlsfield

Clapham Junction

Barnes

BarnesBridge

Brentford

Syon Lane

Isleworth

HounslowSt. Margarets

Whitton

Feltham

Fulwell Teddington HamptonWick

Hampton

King’s Cross

Waterloo

BlackfriarsTower Hill

WaterlooCanary Wharf

BankLiverpool Street

Waterloo

Willesden JunctionWembley CentralUxbridge

Willesden Junction

Watford JunctionWest Ruislip

SloughMaidenhead

StainesWindsorAscotReading

Hampton CourtWoking

GuildfordEpsomDorking

Shepperton

River Thames

Wembley ParkUxbridge

King’s CrossFarringdonLiverpool Street

Euston

Kingston Norbiton

New MaldenNew Malden

Berrylands

Surbiton

Raynes Park

Wimbledon

National Rail

Wimbledon Park

Southfields

East PutneyPutney Wandsworth

Town

Twickenham

TurnhamGreen

StamfordBrook

RavesncourtPark

WestKensington

Earl’sCourt

SouthKensington

Pimlico

Great PortlandStreet

Bond Street

Oxford Circus

Edgware Road

Edgware Road

WestBrompton

FulhamBroadway

Imperial Wharf

HounslowEast

HounslowCentral

HounslowWest

HeathrowTerminals

1,2,3

HeathrowTerminal 5

HeathrowTerminal 4

HattonCross

Parsons Green

Putney Bridge

Chiswick

KewBridge

RICHMOND

District Line

Piccadilly Line

Hammersmith and City Line

Circle Line

Crossrail (Under Construction)

London Overground

Ealing Common

North Ealing

Hanger Lane

Ealing Broadway

WhiteActon

WestActon

North Acton

EastActon

Wood Lane

Shepherd’sBush Market

GoldhawkRoad

Paddington

City

Hammersmith Barons Court

Westminster

St James’s Park

PiccadillyCircus

Victoria

Queensway

Ladbroke Grove

Westbourne Grove

Royal Oak

Marble Arch

LancasterGate

Notting Hill Gate

HollandPark

Baker Street

Marylebone

Green Park

Knightsbridge

GloucesterRoad

High StreetKensington Hyde Park

Corner

Shepherd’sBush

KensingtonOlympia

Vauxhall

Brixton

Latimer Road

35-38 GEORGE STREETRICHMOND

TW9 1HY

Richmond Athletic Ground(London Scottish)

A316Twickenham Rd River ThamesEbay UK HQMarks & Spencer

George Street

Richmond Rail /Underground Station

Richmond Green

East TwickenhamRichmond Riverside

RichmondBridge

Hill Street

House of Fraser

TescoWhole Foods

North Sheen Richmond Park Subject Property

AERIAL VIEW

CATCHMENT & DEMOGRAPHICS Richmond upon Thames has a primary catchment population of 106,000 and an estimated 280,000 persons within a 15 minute drive-time. There is an over representation of adults aged 25-44 and children aged under 14 highlighting the proliferation of young working age families and a growing population. In a recent survey conducted by Rightmove, Richmond was voted the happiest place to live in London.

The population in Richmond is very affluent and per capita spending is above the national average. In addition, there is a significantly above average percentage of working age adults categorised within the most affluent AB social group. Experian categorise 46.25% of the population (within the 15 minute drive-time) as being within the City Prosperity Mosaic grouping suggesting ‘high status city dwellers living in central location pursuing high reward careers’.

Population affluence is further evidenced by positive house price growth, which in Richmond upon Thames in 2015 was 32% higher than the Greater London average. Prime property values in Richmond have increased significantly over the past 10 years rising by an estimated 105.4% on average.

The Richmond office sector is focused on media, technology and financial services. Ebay, Paypal, Gumtree and Graze are represented, earning the town the nickname, ‘Silicon on Thames’. RBS, British American Tobacco, Philip Morris & Company, Serco and GSA Capital are also major employers in the borough, while GlaxoSmithKline, BskyB and Samsung amongst others all have significant UK headquarters nearby. In addition, the Royal British Legion Poppy Factory is based in Richmond where 32 million Remembrance poppies and 80,000 wreaths are produced annually.

The average house price of a property in Richmond is £1m. Per capita spending is above the national

average. Low levels of unemployment.

Prime property values in Richmond have increased significantly over the past 10 years rising by

105.4% on average.

Richmond is the happiest place to live in London. 2017 Rightmove.

Over three quarters of the buyers in Richmond since 2014 are purchasing their main residence.

Of those 70% are upsizing.

£1million

“Silicon on Thames”

RETAILING IN RICHMONDRichmond is a busy and popular commercial business centre with a flourishing retail offer encompassing an extensive array of mass market and specialist retailers which attracts a significant number of tourists and visitors. The compact nature of the town centre means there is little threat to the existing retail offer from new, large scale developments and Richmond is forecast to see a significant above average percentage growth in comparison spending by 2021.

Richmond’s prime retail activity is focused on George Street with House of Fraser anchoring its southern end with other notable retailers represented including M&S, H&M, Topshop/Topman, Boots, Tesco, WH Smith, Anthropologie, Reiss, Massimo Dutti, Gant, Jo Malone, Molton Brown, Crew, Office and Links.

THE PROPERTYOccupying a prominent, prime position on the semi-pedestrianised section of George Street, the subject property is well secured to the undoubted covenants of Santander, Russell & Bromley, Pret a Manger and Leon.

The pitch is increasingly synonymous with high end retailers and food operators. The parade adjoins both Whole Foods, Tesco, Itsu and Joe & The Juice. Nearby retailers include Massimo Dutti, TM Lewin, Jigsaw and GAP, Lulu Lemon and Sweaty Betty.

DESCRIPTIONThe subject property comprises an attractive, eclectic parade of four adjoining retail units of differing construction predominantly arranged over ground and first floors. Unit 3a let to Russell & Bromley has a basement, first floor remote storage and a second floor (one bedroom) flat, which has separate access but is currently un-used by the tenant. To the rear is a servicing/parking area with vehicular access from George Street (between Russell & Bromley & Tesco). The holding is located within the Central Richmond Conservation Area.

35-38 GEORGE STREETRICHMONDTW9 1HY

ACCOMMODATIONThe property benefits from a substantial and prominent frontage onto George Street of approximately 104ft (31.7m) while providing uniform, well configured floor space totalling circa 14,937 sq ft (1,387 sq m) in accordance with the Schedule of Tenancies & Accommodation.

35-38 GEORGE STREETRICHMONDTW9 1HY

TENANCIESWell secured to four established popular covenants of Santander, Russell & Bromley, Pret a Manger and Leon in accordance with the Schedule of Tenancies and Accommodation. The estimated WAULT is circa 8.2 years to expiry and 7.1 years to tenant break options.

Unit No

TenantLease Start

Lease Expiry

Rent PAX Next RR1954 L&T

Breaks

Areas

CommentsDescription

Sq Ft/ITZA Units

Sq M

Unit 1

Santander UK Plc (2294747) t/a Santander

25-Dec-10 31-Dec-20 £220,000(£191 ZA)

25-Dec-2015 (Outstanding)

IN - ITZA (Ground Floor) 1078 N/A Dec 2015 RR outstanding. Areas agreed with tenants agent. Calderbank served on tenant at £252,500pax (circa £220psf ZA - now expired). Tenant has previously offered £236,452 pax to settle. Third party instructed.

Ground Floor (Sales) 2155 200

First Floor (Sales) 692 64

First Floor (Ancillary) 600 56

Unit 2

Leon Restaurants Ltd (05018441) t/a Leon

21-Nov-16 20-Nov-31 £177,500(£238 ZA)

21-Nov-2121-Nov-26

IN TBO in year

10

ITZA (Ground Floor) 730 N/A Formerly Reebok. Leon commenced trading on Sunday 22nd January 2017. 3 months rent free.

Ground Floor (Sales) 1549 144

First Floor (Ancillary) 710 66

Unit 3

Pret A Manger (Europe) Ltd (01854213) t/a Pret A Manger

30-Oct-12 29-Oct-27 £195,000(£228 ZA)

30-Oct-17 IN - ITZA (Ground Floor) 740 N/A The first floor oversails the ground floor of Russell & Bromley.

Ground Floor (Sales) 1630 151

Ground Floor (Ancillary) 213 20

First Floor (Sales) 861 80

First Floor (Ancillary) 917 85

Unit 3A

Russell & Bromley Ltd (512958) t/a Russell & Bromley

01-Aug-06 31-Jul-21 £209,800(£191 ZA)

1-Aug-2016 (Outstanding)

IN - ITZA (Ground Floor) 879* N/A Aug 2016 RR outstanding. LL has quoted £268,000 pax (based on £238 psf ZA - Leon OML). Adopted areas are based on the 2011 arbitration award. The R&B basement area is part beneath Pret’s ground floor. The flat separately accessed from the side service road is located on the second floor flat roof and comprises a living room, bedroom, kitchen and bathroom. There is also a remote storage area at first floor (unused) accessed off the fire escape stairwell. *ITZA includes 5% positive allowance for return frontage. **The income from the flat is assumed at £6000 pax with 20% negative allowance for management.

Ground Floor (Sales) 1830 170

First Floor (Remote Ancillary)

588 55

Basement (Sales) 2072 192

Basement (Ancillary) 635 59

Flat (1 Bed) 485** 45

TOTAL £802,300 14,937 1,387

35-38 GEORGE STREETRICHMOND

TW9 1HY

35-38 GEORGE STREETRICHMONDTW9 1HY

COVENANT STRENGTH

Tenant Fin. Year End Turnover Pre-Tax Profit Net Worth D&B Rating Comments

Santander UK Plc (2294747) t/a Santander

31-Dec-15 £8,093,000,000 £1,345,000,000 £13,293,000,000 5 A1 Interim results for 6mths to 30/06/2016 show income at £3,301m (£3,371m - 2015) and PTP at £1,078m (£928m - 2015).

Leon Restaurants Ltd (05018441) t/a Leon

27-Dec-15 £26,614,059 £377,390 (£4,041,013) 2 A2 Est’d in 2004 and have 44 stores worldwide.

Pret A Manger (Europe) Ltd (01854213) t/a Pret A Manger

31-Dec-15 £520,546,000 £56,903,000 £306,134 5 A1 Est’d in 1983 and sold to Bridgepoint Capital in 2008 the company operates from 375 outlets worldwide.

Russell & Bromley Ltd (512958) t/a Russell & Bromley

31-Dec-15 £114,686,984 £20,761,714 £76,737,125 5 A1 Still run by members of the co-founding Bromley family the company has over 40 UK stores and employs over 1000 staff.

TENUREFreehold.

CURRENT INCOME PAX

£802,300 per annum exclusive.

NB: This will rise immediately on settlement of the two outstanding rent reviews with Santander and Russell & Bromley (currently in negotiation).

ERVWe are of the opinion that the current ERV of the property is £892,160 per annum. We have assumed an ERV of £238 Zone A based on recent evidence within the ownership.

INVESTMENT MARKET

Date Town Street Lot Size Initial Yield Tenants

Current U/O

Putney 56/70 High Street £20,000,000 3.30% Barclays, TK Maxx, Superdrug, Halfords

Dec-16 Cambridge 14/15 Market Street £17,700,000 3.81% WH Smith

Dec-16 Cambridge 13-15 Sidney Street £21,830,000 3.65% Next

Dec-16 Manchester 41/43 Market Street £18,600,000 3.85% Urban Outfitters

35-38 GEORGE STREETRICHMOND

TW9 1HY

SERVICE CHARGEA service charge currently operates to recover Landlords costs on common areas. This is based on a ‘fair and reasonable proportion of the total cost of the Landlord’s expenses’. The budget runs annually to 28th September. Details of the current and last years budget are as follows:

Total Service Charge Budget

Year End

Santander(26.0328%)

Leon (Reebok) (17.3854%)

Pret A Manger (22.3170%)

Russell & Bromley (34.2648%)

£19,985.62 09/2017 £5,202.82 £3,474.58 £4,460.19 £6,848.03

£23,507.62 09/2016 £6,119.69 £4,086.89 £5,246.20 £8,054.84

ENERGY PERFORMANCE CERTIFICATESEnergy Performance Certificates (EPC’s) are available on request.

VATThe property has been elected for VAT and any disposal will be by way of a Transfer of a Going Concern (TOGC).

35-38 GEORGE STREETRICHMOND

TW9 1HY

PROPOSAL

We are seeking offers in excess of £17,900,000, subject to contract and exclusive of VAT for the freehold interest reflecting a net initial yield of 4.2% allowing for purchaser’s costs of 6.75%.

The vendor is in addition seeking a supplementary payment adopting the purchasing multiplier to reflect the expected reversions on settlement of the outstanding rent reviews with both Santander and Russell & Bromley.

FURTHER INFORMATIONFor further information, including access to an extranet site and data room please contact:

David Freeman020 7659 4830david.freeman@greenpartners.co.uk

Patrick Over020 7659 4832patrick.over@greenpartners.co.uk

Ed Smith020 7659 4831ed.smith@greenpartners.co.uk

Simona Malinova020 7659 4826simona.malinova@greenpartners.co.uk

35-38 GEORGE STREETRICHMOND

TW9 1HY

MISREPRESENTATION ACT 1967The agents for themselves and for the vendors or lessors of the property whose agents they are give notice that: (i) these particulars are given without responsibility of The agents or the vendors or lessors as a general outline only for the guidance of prospective purchasers or tenants, and do not constitute the whole or any part of an offer or contract; (ii) The agents cannot guarantee the accuracy of any descriptions, dimensions, references to condition, necessary permissions for use and occupation and other details contained herein and any prospective purchaser or tenant should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the accuracy of each of them; (iii) no employee of The agents (and their joint agents where applicable) has any authority to make or give any representation or warranty or enter into any contract whatsoever in relation to the property; (iv) VAT may be payable on purchase price and/or rent, all figures are quoted exclusive of VAT, intending purchasers or lessees must satisfy themselves as to the applicable VAT position, if necessary by taking appropriate professional advice; (v) except in respect of death or personal injury caused by the negligence of The agents, its employees or servants, The agents will not be liable, whether in negligence or otherwise howsoever, for any loss arising from the use of these particulars save to the extent that any statement made in these particulars has been made fraudulently. March 2017. Designed and produced by Creativeworld Tel: 01282 858200.

green&partners020 7659 4848