MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YYHIGH YIELDING MULTI LET OFFICE INVESTMENT

MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YY

■ Offers are sought in excess of £2,025,000 (Two Million and Twenty Five Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an attractive net initial yield of 8.28%, allowing for purchaser’s costs of 6.28%. This represents a low capital value of £142 psf.

INVESTMENT CONSIDERATIONS ■ Located in an established commercial location

adjacent to Junction 1 of M18.

■ Range of nearby occupiers including Morrisons Supermarket, Bannatyne’s Health Club, Ibis Hotel and McDonalds

■ Modern detached self-contained building comprising 14,194 sq ft of high quality office accommodation

■ The property is let to four tenants; Coffee Creative Limited, Jam Advisors Limited, United Carpets (Property) Limited, and UC Developments Limited

■ AWULT of 8.36 years to expiry

■ Current rent passing of £178,254 per annum

■ Approximately 51% of the rent secured to United Carpets (Property) Ltd (Guarantee from United Carpets Group plc)

■ The property is held on lease for 150 years from 3 May 2005 at a peppercorn rent

■ 43 car parking spaces providing a car parking ratio of 1:330 sq ft

MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YY

Sheffield CityAirport

NOTTINGHAM

SCUNTHORPE

GRIMSBY

HULL

DONCASTER

ROTHERHAM

SHEFFIELD

HALIFAX

Huddersfield

Wakefield

Barnsley

DERBY

Newcastle-under-Lyme

Stoke-on Trent

Crewe

Stockport

Oldham

BuryRochdale

MANCHESTER

Grantham

LINCOLN

Mansfield

ChesterfieldBuxtonMacclesfield

Gainsborough

Peak

Dis

tric

t N

atio

nal p

ark

A56

A61

A57

A57

A57

A15

A15

A46

A46

A46

A46

A46

A15

A63

A63

A15

A15

A15

A61

A61

A52

A54

A53

A53

A34

A53

A53

A52A52

A38

A38

A1

A1

A1

A1

A6

A6

A6

A666

A628

A638

A631A631

A158

A159

A180

A164

A180

A159

A156

A156

A158

A614

A614

A453A606

A628

A616

A628

A523

A523

A523

A523

A523A520

A520

A520

A619

A617

A610

A610

A619

M6

M6

M6

M6

M1

M1

M1

M1

M1

M1

M61

M62

M62

M62

M62

M65

M62M62

M62

M18

M18

M18

M62

M56

M56

M60 M60

M60

M60

M66

M66

M67

M180

A1(M)

A1(M)

A1(M)

M180M181

B6093

Flash Lane

Bentley RoadCrosby Ave

Austen Dr

Cum

wel

l Lan

e

Bateman Road

Den

by

Way

Ranw

orth

Roa

d

Bramley Grange Cresc

ent

Norstead Cres

Reedham Drive

Broadlands

Moorhead W

ayM

oorhead Way

A631 A631 Bawty Road

A631 Bawty Road

M18

M18

UC

LOCATIONRotherham is a large town situated in South Yorkshire approximately 6 miles north east of Sheffield, 29 miles south of Leeds, and 40 miles east of Manchester. Rotherham is home to more than 270,000 people and the council have recently put together a masterplan to transform the town centre with the aim of growing the towns economy and infrastructure, generating 10,000 jobs and creating 750 businesses, and many other projects.

The property benefits from excellent road communications being situated adjacent to junction 1 on the M18 which provides access to the A1(M) approximately 6 miles to the north east and the M1 approximately 3 miles to the south.

Rail services are provided from Rotherham Central 5 miles to the west. The station provides access to Sheffield, Leeds and London Kings Cross with quickest journey times of 13 minutes, 1 hour 3 minutes and 2 hours 21 minutes respectively.

Doncaster Sheffield Airport is situated approximately 12 miles to the east and is the UK’s newest purpose built international airport becoming fully operational in April 2005. The airport provides flights to over 40 international destinations and handled approximately 1.26 million passengers in 2016.

SITUATIONThe property is situated in an established commercial location, with a range of occupiers including NHS, SNA Europe, Bannatyne’s Health Club, Morrison’s Supermarket and Ibis Hotel.

Located just south of the A631 giving easy access to the M18 (Junction 1).

MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YY

© Crown Copyright, ES 100004106. For identification purposes only.

ESS

Oak

Hous

e

Moorhead House

0m 10m 20m 30m

Ordnance Survey © Crown Copyright 2017. All rights reserved. Licence number 100022432. Plotted Scale - 1:909

DESCRIPTIONThe property comprises a four storey purpose built office providing approximately 14,194 sq ft of accommodation over ground and three upper floors providing the following specification:

• Raised floors

• Suspended ceilings

• Double glazing

• Two eight person passenger lifts

• 43 car parking spaces giving a ratio of 1:330 sq ft

SITEThe property occupies a site area of approximately 0.60 acres (0.24 hectares).

TENUREThe property is held on lease for 150 years from 3 May 2005 at a peppercorn rent.

TENANCY SCHEDULE

Floor Tenant Area (Sq M)

Area (Sq Ft)

Rent £pa Rent £psf

Lease Commence

Lease Expiry

(Break)

Comments

Part Ground

UC Developments Limited

163.2 1,756 £20,194 £11.50 3 year lease to commence on completion of the sale.

Part Ground

Coffee Creative Limited

156.5 1,684 £17,500 £10.39 01/01/2017 31/12/2025 (01/01/2019) (01/01/2022)

The lease is contracted outside of the 1954 act.

First Jam Advisors Limited 333.6 3,591 £49,710 £13.84 14/02/2014 13/02/2019 Landlord currently paying rates shortfall of £18756.5, which will be topped up by the vendor.

Second United Carpets (Property) Limited

332.9 3,584

£90,850 £12.68 05/02/2016 04/02/2031

The lease is guaranteed by United Carpets Group Plc. The lease benefits from 5 yearly reviews based on fixed 2.5% annually compounded uplifts.

Third United Carpets (Property) Limited

332.5 3,579

Total 1,318.70 14,194 £178,254

COVENANT INFORMATIONUnited Carpets Group plc is the third largest chain of specialist retail carpet and floor covering stores in the UK.

The business commenced trading in 1997 and in 1998 the first franchised store was created. As at 25 May 2017 the group had a total of 57 stores.

Further information is available at www.unitedcarpetsandbeds.com

United Carpets (Property) Limited reported the following accounts for the past 3 years:

31 March 2017 31 March 2016 31 March 2015

Turnover £2,957,000 £3,076,000 £2,917,000

Pre-tax Profit (£15,000) £27,000 £130,000

Total Net Worth £498,000 £514,000 £480,000

United Carpets Group Public Limited Company reported the following accounts for the past 3 years:

31 March 2017 31 March 2016 31 March 2015

Turnover £21,192,000 £21,369,000 £19,141,000

Pre-tax Profit £1,527,000 £1,487,000 £1,211,000

Total Net Worth £5,137,000 £4,175,000 £4,065,000

EPCMore information available on request.

VATThe property has been elected for VAT. However it is anticipated that the transaction will treated as a Transfer of a Going Concern (TOGC).

MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YY

Coffee Creative are a creative agency.

Mortgage Bureau are a specialist mortgage broker.

Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandHQ.co.uk 10.17

For further information or to make arrangements for viewing please contact:

www.allsop.co.uk

PROPOSALOffers are sought in the region of £2,025,000 (Two Million and Twenty Five Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an attractive net initial yield of 8.28%, allowing for purchaser’s costs of 6.28%. This represents a low capital value of £142 psf.

MOORHEAD HOUSE

MOORHEAD WAY, ROTHERHAM, S66 1YY

Andy Pointon020 7543 6720andy.pointon@allsop.co.uk

Richard Lea020 7543 6832richard.lea@allsop.co.uk

Ciaran McGivney020 7543 6888ciaran.mcgivney@allsop.co.uk