Nick MontgomeryHead of UK Investment

Ian MasonFund Manager, HUT

and WELPUT

Neil MeredithHead of Business Space

James LassFund Manager, SPF

Jessica BerneyHead of Retail

Harry PickeringInvestment Manager

Henry CartwrightInvestment Manager

Nick BarkerInvestment Manager and

Alternatives

Tom NewmanInvestment Manager, Offices and Industrial

Lucy LilleyInvestment Manager

Support

Kerri Luxford Jade Stanley

Marie Holgersen

Andrew MacDonald

Head of Property Finance

Clara WestlakeFund Analyst

New graduate

Jones Lang LaSalle Asset management,

industrial

Research Rose Magee

Schroders’ UK Investment team

Acquiring City Tower • Completed June 12th 2014

• £132million deal

• 615,000 sq ft in total, comprising: – 348,00 sq ft - Office– 185-bedroom - Hotel – 75,000 sq ft - Retail

• Vacancy rates:– Offices - 12% vacancy – Retail - now fully occupied

• Rental: – Average passing rental on offices of £17.11psf (including

podium space)– Quoting £20psf + on the tower space with lots of interest

The OpportunityWhy Manchester?• Low void rate in the City• Healthiest environment for rental

growth (compared to other regional commercial centres)

• Headline rents anticipated to reach £32.50psf by end of 2014

Why City Tower?• The highest office space outside of

London – USP• Opportunity to further drive

performance (lettings, refurbishment, re-gears asset management)

• Opportunity to reposition Piccadilly Gardens

Proactive Asset ManagementAsset management strategy:

• Refurbishment of vacant floors, reception and ‘lobby’ area

• Potential to bring more retail into that area

• Longer term ambition to enhance the retail offering with potentially some more A3 such as is seen on New York Street

What’s next for Schroders?

Funds of £20m plus available

An eye on investment in both Manchester and other key locations.

All City markets are looked at with an eye on an ‘occupational story’

Leeds and Birmingham of interest for office schemes

Looking at core assets primarily

Questions?