The Definitive Guide to Retail & Leisure Parks 2014 Executive SummaryBy Trevor Wood

Executive Summary The Definitive Guide to Retail & Leisure Parks 2014

Copyright © 2014 Trevor Wood Associates

IntroductionI would like to thank every one who has written to us or passed on their comments in person. It is pleasing to be told our reviews are indispensable, warmly welcomed and widely quoted throughout the retail and property industries. We have reviewed even more schemes and extended many analyses as a result of continuous research by my colleagues at Trevor Wood Associates so this year’s review is larger than ever. With 20 pages more than the previous edition it is more than four times the size of our first review.

Following discussions with over one hundred of our database clients and review subscribers, we have updated and extended the new national and regional analyses for investment managers, agents, tenants and direct property owners.

A considerable amount of informed comment within the review is always supplied by owners, managers, tenants and agents or derived from our research. We would like to thank the hundreds of people within the industry who continue to help us make our reviews as useful as possible.

These people kindly responded to letters, emails, questionnaires and telephone calls. Your invaluable help continues to make our reviews unique and as useful as possible to everyone in the industry. We would also like to thank our ever growing band of database clients. More than one hundred clients regularly pass on updated market information throughout the year to Trevor Wood Associates - this makes our task that much easier!

Now this review has been “put to bed”, we will begin the task of analysing the latest market data to publish an updated shopping centre hierarchy for our companion review, Going Shopping 2015 - The Definitive Guide to Shopping Centres, which you may find of interest. Further details can be found on our website or you may wish to contact us for details!

The Definitive Guide to Retail & Leisure Parks 2014 contains 364 pages of information and copies of the full review are available for £525 from the address overleaf. The report contains reviews and detailed listings not only of those schemes currently trading but also those proposed to open by 2020.

Detailed listings for each scheme include location, scheme name, GIA, tenants, scheme type, nearby foodstores, other nearby developments, planning permission, owners / investment managers and letting agents. For proposed schemes we also show planning status, developer and year open. Recent lettings are detailed together with recent investment transactions, current and proposed developments together with numerous league tables and photographs.

I sincerely hope you find the information contained within this review of practical use and interest. My colleagues at Trevor Wood Associates and I welcome any comments you may have that could help to make the 2015 review even better and we look forward to receiving periodic updates regarding any changes that may take place.

Trevor WoodSenior Partner Trevor Wood Associates

Established Schemes Our research identified 1,525 established schemes, that is to say they are trading or in the course of construction.These include 101 Leisure Parks, 107 Leisure schemes, 878 Retail Parks, 84 Shopping Parks, 31 Retail and Leisure Parksand 295 Retail Warehousing developments. The regional location of the established schemes is as follows: -

Scheme Type EA EM N NI NW SC SE SW WA WM YH UK

Leisure Park 3 9 6 4 14 9 27 9 4 7 9 101

Leisure scheme 7 11 4 4 10 5 30 7 7 11 11 107

Retail and Leisure Park 1 1 10 2 7 3 2 2 3 31

Retail Park 37 66 50 40 85 86 216 74 59 78 87 878

Retail Warehousing development 7 14 15 7 43 18 95 26 13 27 30 295

Shopping and Leisure Centre 3 2 16 2 1 3 2 29

Shopping Park 2 4 4 4 13 5 18 7 9 13 5 84

Total 56 104 80 60 178 127 409 128 95 141 147 1,525

Top 10 Retail Parks For a listing of the top 100 please see the full review

Rank Scheme Location GIA Sq. Ft. Year Open Region1 Middlebrook Retail & Leisure Park Bolton - Horwich 646,661 1998 North West2 Castlepoint Bournemouth - Charminster 645,000 2003 South West3 Clifton Moor Centre (Phases 1 - 4) York - Clifton Moor 587,091 1988 Yorkshire & Humberside4 Parkgate Shopping Rotherham 568,985 1987 Yorkshire & Humberside5 The Brewery Romford 531,514 2001 South East6 Fort Kinnaird Edinburgh - Newcraighall 506,000 1989 Scotland7 New Mersey Shopping Park Liverpool - Speke 483,268 1985 North West8 Glasgow Fort Shopping Park Glasgow - Easterhouse 440,000 2004 Scotland9 Giltbrook Retail Park Nottingham - Eastwood 420,000 2000 East Midlands

10 Fosse Shopping Park Leicester - Narborough Road 416,536 1989 East Midlands

Top 10 Retail Warehouse Clusters For a listing of the top 100 please see the full review

Rank Cluster Name Location GIA Sq. Ft. Region1 Westwood Road Broadstairs 1,111,538 South East2 Lakeside Grays - Thurrock 1,015,854 South East3 Cribbs Causeway Bristol - Cribbs Causeway 975,133 South West4 Newcraighall Edinburgh - Newcraighall 947,467 Scotland5 Braehead Renfrew - Braehead 946,112 Scotland6 Tritton Road Lincoln - Tritton Road 917,483 East Midlands7 Monks Cross York - Huntington 890,624 Yorkshire & Humberside8 WestQuay Southampton 875,077 South East9 Sealand Road Chester - Sealand Road 811,374 North West

10 Parkgate Rotherham 810,205 Yorkshire & Humberside

Cover Image - Deepdale Shopping Park, Preston

The Definitive Guide to Retail & Leisure Parks 2014

Copyright © 2014 Trevor Wood Associates

Rank Scheme Location GIA Sq. Ft. Year Open Region

1 The O2 Entertainment District London - Greenwich 600,000 2007 South East2 New Dock Leeds 555,000 2006 Yorkshire & Humberside3 Union Square Aberdeen 550,000 2009 Scotland4 Westwood Cross Broadstairs 475,000 2005 South East5 Swan Centre Eastleigh 445,000 1989 South East

31 Retail Parks have Cinemas, there are 23 Bowling Alleys and 90 Health & Fitness Centres.

20 Shopping and Leisure Centres incorporate Cinemas and 10 include Bowling Alleys while 20 have Health & Fitness Centres.

88 Leisure Parks have Cinemas, there are 58 Bowling Alleys and 44 Health & Fitness Centres.

55 Leisure Schemes have Cinemas, there are 19 Bowling Alleys and 53 Health & Fitness Centres.

Night-clubs can be found on 51 schemes and 84 incorporate a Hotel, while 4 include theatres.

Reflecting recent market conditions, there have only been minor changes in the spread of rents across the rental bands during 2013.

Leisure Park peak rents ranged from £12.00 per sq. ft. to £42.50. Most Retail Warehousing developments recorded rents below £15.00, with rents ranging from £6.00 to £41.50 per sq. ft.

Highest rent achieved 2013 2012Range (per Sq. Ft.) % %

Over £35.00 10 10£30.00 - £34.99 7 6£25.00 - £29.99 13 13£22.50 - £24.99 9 8£20.00 - £22.49 10 10£15.00 - £19.99 27 27£10.00 - £14.99 21 22£5.00 - £9.99 3 4

Litttle has changed over the year and there continues to be a wide variation in historic peak rents from £8.00 to £105.00 with the majority below £20.00, as can be seen above. 10% of Retail Parks have peak rents above £35.00 per sq. ft. and the entry level for the Top 100 Retail Park Rents has risen marginally to £35.00 with two new entries. You should note that 30% of the historic peak headline rents were set by occupiers who subsequently went into administration or entered into a CVA with some still trading today whilst others, such as Comet, have gone forever.

Top 5 Leisure Schemes For a listing of the top 50 please see the full review

Top 10 Retail Park Rents For a listing of the top 100 since 2009 please see the full review

Leisure Facilities

Top 5 Shopping Parks For a listing of the top 20 and the top 20 Retail & Leisure Parks please see the full review Rank Scheme Location GIA Sq. Ft. Year Open Region

1 Castlepoint Bournemouth - Charminster 645,000 2003 South West2 Fort Kinnaird Edinburgh - Newcraighall 506,000 1989 Scotland3 New Mersey Shopping Park Liverpool - Speke 483,268 1985 North West4 Glasgow Fort Shopping Park Glasgow - Easterhouse 440,000 2004 Scotland5 Fosse Shopping Park Leicester - Narborough Road 416,536 1989 East Midlands

Peak Rents for Retail Parks For a detailed breakdown since 2004 please see the full review

For the fourth year running, we ranked Wilkinson Williams as the leading retail warehousing letting agent with instructions totalling over twenty million square feet.

Twenty six agents had instructions in excess of one million square feet, one more than last year, and thirty nine agents had in excess of half a million square feet floorspace, three less than in 2012. Four of the top five agents in Northern Ireland do not feature in the national top ten, nor do three of the top five in Scotland and two of the top five in Wales.

Rank 2013

Rank 2012

Letting Agent Area 2013 -Million Sq. Ft.

2013 Instructions

1 1 – Wilkinson Williams 20.73 142

2 2 – Morgan Williams 20.04 168

3 3 – Savills 19.80 182

4 4 – Cushman & Wakefield 12.96 96

5 5 – Harvey Spack Field 11.72 105

Top 5 Letting Agents - Retail Warehousing For a listing of the top 40 since 2009 please see the full review

0 100 200 300 400 500 600 700 800 900

Number of Retail Parks

Hig

hest

ren

t ac

hiev

ed p

er S

q. F

t.

£0

£20

£40

£60

£80

£100

1000

Rank Highest Rentper Sq. Ft.

Scheme Location GIASq. Ft.2013 2012

1 1 £105.00 Fosse Shopping Park Leicester - Narborough Road 416,5362 2 £75.00 Brookfield Retail Park Cheshunt 90,0003 3 £65.00 Colney Fields Shopping Park St Albans - London Colney 58,2124 4 £63.75 Birstall Shopping Park Leeds - Birstall 163,7305 5 £62.50 Castlepoint Bournemouth - Charminster 645,0006 6 £62.00 Fforest-fach Parc Swansea - Fforest-fach 134,8087 7 £60.00 The Fort Shopping Park Birmingham 283,9888 8 £57.90 Teesside Shopping Park Stockton-on-Tees - Thornaby 350,6069= 9= £55.00 Fort Kinnaird Edinburgh - Newcraighall 506,0009= 15 £55.00 Glasgow Fort Shopping Park Glasgow - Easterhouse 440,0009= 16 £55.00 Ladymead Retail Park Guildford 125,0009= 9= £55.00 New Mersey Shopping Park Liverpool - Speke 483,2689= 9= £55.00 Brent South Shopping Park London - Hendon 94,417

The Definitive Guide to Retail & Leisure Parks 2014

Copyright © 2014 Trevor Wood Associates

With little development taking place, “Second-hand” supply has fuelled the growth of a number of expanding retailers. Continuing administrations, receiverships and declining confidence among some retailers resulted in a continuing supply of space over the past few years but, with few new developments being built, a significant proportion of this space has been occupied by a number of retailers. Since the beginning of 2013, tenants such as Dreams, HMV and Republic have either withdrawn from the UK, been in administration or entered a CVA. With downsizing by others such as Homebase, PC World and Staples, the combined impact potentially increased the amount available at the end of 2013 by over two million sq. ft. of floorspace. By the end of 2013 many retailers had taken much of this space including Dynamic Comparison Goods retailers such as B & M, Dunelm, Home Bargains, Next, Pets at Home, Poundstretcher, TK Maxx and Wren Living. These eight retailers occupied almost 3.0 million sq. ft. of retail warehousing floorspace during the past twelve months.

Vacant or Available space For a more detailed analysis since 2004, including a regional breakdown, please see the full review

This helped to significantly reduce vacancy levels with the retail warehousing vacancy rate falling to 8.8% with the largest annual fall recorded since 2010 and the rate is the lowest since end-2007. The Open A1 vacancy rate was 6.9%, compared to 7.5% in 2012, with Open Non Food schemes falling to 9.5% from 10.1% and other schemes falling from 11.8% to 10.1% in 2013.

We look at the Retail Parks and warehouses market from a different perspective. Trevor Wood Associates have the most comprehensive retail warehousing database in the United Kingdom. With refurbishment and extensions curtailed in recent years, “Second-hand” retail warehousing coming on to the market is an important supply of space. The take-up by expanding retailers highlighted in the review shows the continuing demand for well located, good quality units. A significant proportion of the retail warehousing floorspace vacated over the past few years by failed retailers has been successfully re-let while a sizeable number of units are under offer. As part of their business strategy, Currys and PC World continue to relocate to combined units while other large space users, such as Homebase, Staples and Wickes, are downsizing by making units available via sub-lets, relocating and shedding former units or closing down marginal stores.

Many retailers that may be considered as “discount” or “budget” retailers were highlighted as increasing their presence in our other review “Going Shopping 2013 – The Definitive Guide to Shopping Centres” and a number of these retailers have increased their presence in not only the leading shopping centres but also on retail parks. These retailers include H & M, Poundland and Sports Direct and other expanding retail park retailers in this category include B & M, Dunelm, Home Bargains, Matalan, Poundworld and The Range.

While compiling the review we became aware of a significant number of units under offer and are of the opinion that vacancy rates will fall further during 2014.

Our research shows the total retail warehouse market grew marginally to 179.90 million sq. ft. in 2013 from 178.70 million sq. ft. in 2012. The proportion taken by Comparison Goods retailers (excluding DIY) has risen to an all time high of 53.2% in 2012 compared to 51.5% in 2012.

Within the total market, floorspace on Retail Parks grew to 112.17 million sq. ft. in 2013 from 108.92 million sq. ft. in 2012. Excluding DIY retailers, the share of Retail Parks’ floorspace in 2013 occupied by Comparison Goods retailers rose to 59.1% from 57.7% in 2012.

Top 5 Managing Agents - Retail Warehousing For a listing of the top 20 since 2009 please see the full review

Development Pipeline

Retail Warehousing Vacancy rate 2009 - 2013 By broad planning consent

2009Q2

2009Q4

2010Q2

2010Q4

2011Q2

2011Q4

2012Q2

2012Q4

2013Q2

2013Q4

0

1

2

3

4

5

6

7

8

9

10

11

12

13

Key Vacancy Rate - All Retail Warehousing

Vacancy Rate - Open A1 schemes

Vacancy Rate - Open Non Food schemes

Vacancy Rate - Bulky Goods or Restricted schemes

For the fifth year, Savills are the leading retail warehousing managing agent while Jones Lang LaSalle overtake Workman and move in to second position with CBRE rising to fourth.

Sixteen agents had instructions in excess of one million square feet while nineteen had in excess of half a million square feet. Three leading agents in Northern Ireland do not feature in the national top ten, nor does one from each of the North West and Wales.

Rank 2013

Rank 2012

Managing Agent Area 2013 - Million Sq. Ft.

2013 Instructions

1 1 – Savills 17.70 150

2 3 5 Jones Lang LaSalle 14.77 164

3 2 6 Workman 14.27 157

4 6 5 CBRE 8.72 98

5 4 6 Capita 7.48 87

85 schemes thought likely to proceed before the end of 2020, including 3 Leisure Parks, 13 Leisure Schemes, 7 Shopping Parks, 45 Retail Parks, 5 Retail and Leisure Parks, 6 Retail Warehousing developments and 6 Shopping and Leisure Centres are also featured.

Executive Summary The Definitive Guide to Retail & Leisure Parks 2014

Copyright © 2014 Trevor Wood Associates

Widening the analysis to include free-standing retail warehouse units, such as B & Q and IKEA always changes the picture. For the ninth year, British Land lead with 10.5 million square feet under active management while CBRE Global Investors and M & G Real Estate both move up a place.

The top ten now look after 32.5% of the overall 179.9 million square feet of retail warehousing floorspace and the top twenty look after 48.5%. Four of the top five in Northern Ireland do not feature in the national top twenty, nor do two of the leaders in the North West and one each in four other regions.

For the ninth year running, British Land are the leading investment manager of Retail Parks in the UK. Their closest challengers are now Standard Life Investments and M & G Real Estate.

Fourteen investment managers covered more than 2 million square feet while thirty two investment managers cover more than 1 million square feet of retail parks. In Northern Ireland four of the top five do not feature in the national rankings while in the North West there are three not featured with one each in Scotland and Wales.

Rank Owner / Investment Manager Total Area Retail Parks (Million Sq. Ft.)2013 2012

2013 2012

1 1 - British Land 8.72 8.69

2 3 5 Standard Life Investments 4.86 4.81

3 5 5 M & G Real Estate 4.84 4.24

4 4 - Hammerson 4.38 4.34

5 2 6 Aviva Investors 4.34 4.88

Rank Owner / Investment Manager Total Retail Warehousing (Million Sq. Ft.)2013 2012

2013 2012

1 1 - British Land 10.51 10.64

2 3 5 CBRE Global Investors 6.61 6.77

3 4 5 M & G Real Estate 6.21 5.79

4 2 6 Aviva Investors 5.94 6.90

5 6 5 Threadneedle Property Investments 5.75 5.11

Top 10 Retail Park Tenants For a listing of the top 50 since 2004 please see the full review

Top 5 Investment Managers - Retail Warehousing For a listing of the top 20 since 2004 please see the full review

Top 5 Investment Managers - Retail Parks For a listing of the top 20 since 2004 please see the full review

We updated our analysis of direct property ownership by funds or property companies, showing a number of changes in the past year.

Most investment managers will not feature but the funds they manage will. Similarly, many property companies who part own and manage Retail Parks on behalf of minority investors will see floorspace reduced to show direct ownership.

Top 5 Direct Property Owners - Retail Parks For a listing of the top 20 please see the full review

We updated our analysis of direct property ownership by funds or property companies, showing a number of changes in the past year.

Most investment managers will not feature but the funds they manage will. Similarly, many property companies who part own and manage Retail Warehousing on behalf of minority investors will see floorspace reduced to show direct ownership.

Top 5 Direct Property Owners - Retail Warehousing For a listing of the top 20 please see the full review

Rank Retailer Total Area on Retail Parks (Million Sq. Ft.)

% increase in area2013 2012

2013 2012

1 1 - B & Q 8.13 7.64 7%

2 2 - Homebase 5.15 5.22 -1%

3 3 - Currys 5.01 4.87 3%

4 4 - Matalan 3.85 3.85 0%

5 5 - Next 3.30 3.10 6%

6 6 - Carpetright 2.81 2.84 -1%

7 7 - Argos 2.80 2.71 4%

8 9 5 Pets at Home 2.60 2.34 11%

9 10 5 TK Maxx 2.45 2.27 8%

10 8 6 Halfords 2.41 2.39 1%

Over 900 different tenants trade from Retail and Leisure developments. The tenants most likely to be found on Leisure developments, who are present on more than 50 schemes, are Cineworld, Frankie & Benny’s, McDonalds, Nando’s and Pizza Hut. Non-food tenants most often found on Retail Parks are Argos, Carpetright, Currys, Halfords, Next and Pets at Home.

For the first time in years, many tenants have increased their retail park floorspace over the past year. This involved forty one of the top fifty tenants - although it should be pointed out that eleven of these were only marginal increases.

There are thirteen retailers with more than 2 million square feet of Retail Park floorspace and twenty four retailers have more than 1 million square feet while sixty two different non-food fascias occupy more than 200,000 square feet on Retail Parks.

B & M are ranked in the top five in both Yorkshire & Humberside and the North but not in the national top ten, as are The Range in East Anglia and Marks & Spencer in both Northern Ireland and the South West.

Rank 2013

Rank 2012

Direct Property Owner Area 2013 - Million Sq. Ft

Area 2012 - Million Sq. Ft

1 2 5 British Land 6.64 3.39

2 1 6 Hammerson 4.32 4.28

3 4 5 Land Securities 3.05 3.01

4 5 5 Henderson UK Retail Warehouse Fund 2.74 2.62

5 6 5 The Crown Estate 2.66 2.30

Rank 2013

Rank 2012

Direct Property Owner Area 2013 - Million Sq. Ft

Area 2012 - Million Sq. Ft

1 1 - British Land 7.87 5.01

2 2 - Hammerson 4.61 4.50

3 3 - IKEA 4.12 4.12

4 5 5 Land Securities 3.07 3.06

5 6 5 B & Q Properties 3.00 2.98

The Definitive Guide to Retail & Leisure Parks 2014

Copyright © 2014 Trevor Wood Associates

Order Form

The Definitive Guide to Retail & Leisure Parks 2014 is priced at £525 for delivery within the UK, including postage & packing and Zero Rate VAT.

Please Return Form and Payment to:

Publications DepartmentTrevor Wood Associates42 Wycombe RoadHolmer GreenHIGH WYCOMBEBucks HP15 6RY

Requests for pro-forma invoices or electronic payment may be made by supplying the following details either:

by phone: 01494 715846 by fax: 01494 715794by e-mail: retail@trevorwoodassociates.co.uk

I wish to order : 1 / 2 / 3 / 4 / copy(ies) of The Definitive Guide to Retail & Leisure Parks 2014and enclose a cheque payable to Trevor Wood Associates for

£

Name

Job Title

Organisation

Type of Organisation

Address

Town Postcode

Email

Telephone

Fax

Direct

Signature Date

All orders will be despatched within 21 days of receipt of payment.

www.trevorwoodassociates.co.uk