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Neighbourhood Retail Centre Investment, Montague Park, London Road, Wokingham, RG40 1RE

6,769 Sq Ft / Other / Investment

Withdrawn - Last updated: 01 July 2022

Summary

The Local Neighbourhood Retail Centre measures 6,769 sq ft with 4,239 sq ft let to Kenmare Estates Ltd (trading as Co-op convenience store) guaranteed by Mid Counties Co-operative Limited. The remaining 2,530 sq ft of retail space is being sold vacant with the benefit of planning consent for A1-A5 use classes. Haslams hold a bank of registered interest from occupiers keen to rent this space.

The vacant space is sold as seen, in shell condition with boarded shop frontages (unglazed) and with capped utility feeds ready for mains connections. There are 3 sets of services located close to the front elevation, enabling the vacant space to be split into up to 3 smaller units, if desired.


Key Points

  • Sale of a new 999 year long leasehold
  • Prominently situated within an affluent development fronting the South Wokingham Distribution Road
  • Ground floor retail centre measuring 6,769 sq ft (GIA)
  • 4,239 sq ftlet to Kenmare Estates Ltd trading as Co-op Convenience Store
  • 20 year effective FRI lease without break from 4th February 2022

  • Covenant Information

    Kenmare Estates Ltd is a mutual society registered under the Co-operative & Community Benefit Society Act 2014 and is the property vehicle used by the Co-op to take leases for Mid Counties Co-operative's own occupation.

    The Midcounties Co-operative Ltd is one of the largest independent co-operative societies in the UK. They operate a range of businesses in food, travel, healthcare, funerals and childcare. Food is the largest part of the group’s gross sales and turnover.


    Tenure

    A new 999 year long leasehold.


    Terms

    The long-leasehold extends to the Co-op and vacant retail units, the front elevation open car parking amenity and the adjoining community centre. The community centre (with rear garden) will be leased back to Wokingham Borough Council at nil rent.

    The sale will be without benefit to any design or sub-contractor warranties, but NHBC cover notes and building regulation certificates will be provided.

    The sale of the retail centre is to be concluded by 30th June 2022.


    Service and Estate Charge

    The retail units and community centre contribute to the upkeep of the Block, Car Park and Estate.  Remus will be managing this on behalf of the Management Company / existing long-lease tenant. In respect of the car park, the purchaser is free to continue this (subject to agreeing with Remus directly) or change this arrangement as they see fit.


    Technical Information Pack

    A copy of the Technical Information Pack is available to interested parties upon request.


    Legal Costs and VAT

    Each party to bear their own legal costs.
    Prices are quoted exclusive of VAT which will be charged, but can be mitigated as a TOGC.


    Viewing and Further Information

    Please contact the sole agents for further information or an appointment to view.


    Investment Summary

    - Sale of newly built part let retail centre investment with asset management opportunity
    - Sale of a new 999 year long leasehold
    - Prominently situated within an affluent development fronting the South Wokingham Distribution Road (William Heelas Way)
    - Ground floor retail centre measuring 6,769 sq ft (GIA)
    - 4,239 sq ft (4,080 sq ft rentable floor area) let to Kenmare Estates Ltd trading as Co-op Convenience Store) guaranteed by Mid-Counties Co-operative Ltd
    - 20 year effective FRI lease without break from 4th February 2022
    - Passing rent of £72,000 pa (£17.00 per sq ft)
    - Uncapped 5-yearly upwards only rent reviews
    - The lease has security of tenure from the Landlord and Tenant Act 1954
    - 2,530 sq ft of vacant retail available for asset management opportunity
    - The Vendor will guarantee a year’s rent on the vacant space at a rent equivalent to that of the convenience store (£17.00 per sq ft) equating to £43,000
    - The investment guide price is set at £1.6 million reflecting a Net Initial Yield of 6.75% (assuming purchasers costs of 5.85%)

    Location

    Montague Park is located in the traditional, affluent market town of Wokingham approximately 1 mile outside the town centre.

    The Montague Park development comprises of 633 dwellings. The development benefits from a primary school, local centre, sports grounds and pedestrian / cycle access. Planning applications have also been submitted for an additional 1,434 dwellings to the south of the railway line. Delivery of these is anticipated in approximately 3 years time.

    The South Wokingham Distributor Road will pass through the development and passes adjacent to the Local Centre. The road has been constructed to the edge of the completed development and currently provides access out to Jennett’s Park, Bracknell and Easthampstead.


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