H I G H Y I E L D I N G M U LT I - L E T O F F I C EA N D L E I S U R E I N V E S T M E N T O P P O R T U N I T YC a s t l e Q u a y, C a s t l e f i e l d , M a n c h e s t e r C i t y C e n t r e , M 1 5 4 P R

E X C L U S I V E C A N A L- S I D E L O C A T I O N I N M A N C H E S T E R C I T Y C E N T R E

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I N V E S T M E N T S U M M A R Y

• Landmark character property situated in the Castlefield district on the edge of Manchester City Centre.

• Net internal area of 23,586 sq. ft. (2,191.19 sq.m.) on a site of 0.8 ha (2.08 acres)

• Multi-let office and restaurant building let to 6 tenants in a range of suite sizes ranging between 975 sq. ft. and 12,514 sq. ft.

• Weighted average lease length of 6 years to lease expiry

• The passing rent is £326,655 per annum

• Long leasehold with 175 years unexpired at £1 per annum

• Low Capital Value of £145 per sq. ft.

• Seeking offers in excess of £3,430,000 (Three Million, Four Hundred and Thirty Thousand Pounds) reflecting a net initial yield of 9% after purchaser’s costs of 5.8%.

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L O C A T I O N ManchesterCBD

Dukes92

Pota

to W

arf

Mancunian Way

Chester Rd

A57

A57

New

Elm Rd

Castle Street

Manchester is the Country’s largest and fastest growing regional capital, second only to London in the number of international commercial transac-tions taking place. Over 60 international banks are represented along with 65 of the Financial Times top 100 companies and 600 major overseas interests.

The city generates over a third of the regions wealth equal to the combined cities of Leeds, Liverpool and Sheffield.

Manchester key facts:

• 2.5 million population

• 5 million people within a one hour travel to work drive time

• 60% of UK population within a 2 hour drive time

• 100,000 students in 4 Universities

• UK’s largest regional economy

• £700 million invested in the city’s regeneration

• £3 billion new real estate and infrastructure development

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CASTLE QUAY

CASTLE QUAY

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5

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6

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D U K E S 9 2 D E A N S G A T E S T A T I O N F I R S T S T R E E TD E A N S G A T E L O C K S M A N C H E S T E R C E N T R A L1 52 3 4

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9

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S T J O H N SH I L T O N H O T E L S P I N N I N G F I E L D S A N R D A L E C E N T E R M A N C H E S T E R L I B R A R Y6 7 8 9 1 0

M A N C U N I A N W A Y

D E A N S G A T E

C H E S T E R R D

S I T U A T I O NCastle Quay is situated in the Castlefield conservation area of Manchester and is within walking distance of the City Centre. This landmark property is also located on the main arterial route (A56, Chester Road) into Manchester

The area is a well-established and pleasant environment surrounding the Bridgewater and Rochdale Canals. The majority of the original brick warehouses and buildings in this area have been renovated and refurbished to create modern high quality apartments, offices, bars and restaurants along with public open spaces which incorporate the numerous archaeological landmarks and are used for a wide variety of events. Surrounding nearby occupiers include Dukes 92, Albert’s Shed, Bohemian Bar & Grill and the Museum of Science and Industry.

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D E S C R I P T I O NThe Grade II listed property was redeveloped to its current configuration in the 1990’s. The commercial element comprises circa 23,586 sq. ft. in total with a 2,125 sq. ft. restaurant at ground floor level, along with a 975 sq. ft café bar. At the lower and upper ground floor, 1st and 2nd floors there are approximately 20,486 sq. ft. of office accommodation.

There are 44 residential apartments situated on the upper floors, which have been sold on long leasehold interests to individual occupiers.

The total site area is 2.08 acres which includes approximately 131 car parking spaces, of which 53 are designated for the residential occupiers and the remaining 78 spaces for the commercial element, providing an excellent parking ratio of 1:302 sq. ft.

C A S T L E Q U AYT E N U R E T E N A N C YThe commercial element of the property is long leasehold with 175 years remaining at an annual rent of £1 per annum.

The long leasehold interest in the residential element can also be made available by way of a separate sale should it be of interest. More information can be made available upon request.

The property is to be subject to the following occupational tenancies

*At lease renewal the tenant’s fit out ceases to be regarded as a tenant’simprovement. At previous rent reviews and lease renewals, a discount of 33% has been agreed and applied to reflect a shell specification. Therefore, on lease renewal, we anticipate the rent increasing to £207,792 per annum (£16.60 per sq. ft.).

Unit Tenant Size Start Date Expiry Review Break Passing Rent (pa)

Passing Rent (psf)

Lower and Upper Ground Floors

Key 103 Ltd 12,514 27/02/2011 26/02/2021 27/02/2016 n/a £160,000* £12.79 FRI terms subject to a service charge.

Shop 1 Neil Paul Holden 975 01/08/2005 31/07/2020 01/08/2015 n/a £12,000 £12.31 FRI terms subject to a service charge.

Shop 5 & 6 Saffron Room Manchester Ltd

2,125 21/11/2014 20/11/2034 21/11/2019 n/a £31,875 £15.00 FRI terms subject to a service charge. Passing rent is nil with a fixed uplift to £31,875pa on 21/05/2015. Rental to be topped up. 5 yearly upward only RPI linked rent reviews.

Second Floor Kinetic Worldwide

2,502 03/12/2007 02/12/2017 n/a £37,530 £15.00 FRI terms subject to a service charge.

Second Floor MGP Investments

1,475 23/11/2009 22/11/2015 23/11/2014 n/a £25,250 £17.12 FRI terms subject to a service charge.

Suite A 1st Level Castle Quay

Edmond Shipway

3,995 22/05/2007 21/05/2017 n/a £60,000 £15.02 FRI terms subject to a service charge.

Paved area outside Units units 5&6

VACANT

C O V E N A N T S T R E N G T HThe property is let to a diverse number of strong covenants as follows:

Key 103 LtdThey are responsible for circa 55% of the income. They are a well-established and popular regional radio station who have been trading since 1974. They are part of the Bauer Media Group, who operate in 15 countries worldwide. They have a D&B Rating of 2A1 representing a minimum risk of business failure. Their most recent accounts are summarised below:

Year End 31/12/2013 (£’000’s) 31/12/2012 (£’000’s) 31/12/2011 (£’000’s)

Turnover £8,225 £8,586 £8,504

Pre Tax Profit £2,346 £2,849 £2,779

Net Worth £3,215 £3,212 £5,071

Neil Paul Holden Bar Eight

They are responsible for 4% of the income. They are a sole trader business and as such we do not hold any accounts.

Saffron Room Manchester LimitedThis is owned and run by the owners of the popular Saffron Room Restaurant in the upmarket Cheshire Village of Prestbury.

Edmond ShipwayThey are responsible for approximately 16% of the income. They are a partnership involved in the business of Cost Consultancy and Quantity Surveying. They have been established for circa 50 years and have offices in 8 locations nationally.

Kinetic Worldwide Limited

They are responsible for 10% of the income. They are a subsidiary of a global media communications services company (WPP Plc). They have a D&B Rating of 3A1. Their most recent accounts are summarised below:

Year End 31/12/2010 (£’000’s) 31/12/2009 (£’000’s) 31/12/2008 (£’000’s)

Turnover £59,926 £66,929 £76,711

Pre Tax Profit £4,691 £5,146 £5,316

Net Worth £3,066 £3,239 £2,078

MGP Investments Management Limited

They are responsible for approximately 8% of the income. They have an ICC credit score of 68/100. Their most recent accounts are summarised below:

Year End 31/12/2014 (£) 31/12/2013 (£s) 31/12/2009 (£s)

Turnover £887,167 £738,733 £721,988

Pre Tax Profit £281,565 £153,654 £203,911

Net Worth £201,871 £263,811 £306,000

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P R O P O S A L

C A S T L E Q U AYV A T

We are instructed to seeking offers in excess of £3,430,000 (Three Million, Four Hundred and Thirty Thousand Pounds), subject to contract and exclusive of VAT. This will provide a purchaser with a net initial yield of 9% after purchaser’s costs of 5.8%.

We understand the property has been elected for VAT and the sale may therefore be treated as a Transfer of a Going Concern.

F U R T H E R I N F O R M A T I O NFor further information or to arrange a viewing please contact:

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