Birmingham

CHARTERED SURVEYORS
Five Ways
Birmingham
Major city centre leisure investment
2
BIRMINGHAM FIVE WAYS
BIRMINGHAM FIVE WAYS
INVESTMENT
SUMMARY
■■ Birmingham is the UK’s second city with a
population of over 1 million rising to 2.4 million
within a 30 minute drive time.
■■ 45% of Birmingham’s population is under the
age of 30 years, the youngest profile of any
European city and an extremely important age
profile for leisure spend.
■■ Five Ways is Birmingham city centre’s
dominant cinema anchored leisure scheme,
located on Broad Street, the city’s principal
leisure destination. As well as cinema it also
includes casino, gym, nightclub, bar and
restaurants. Two separate multi storey car
parks provide 750 spaces.
■■ The scheme, built in two blocks, totals
18,552 sq m (199,702 sq ft) and is anchored
by a 12 screen Cineworld multiplex. Other
occupiers include Pure Gym, Grosvenor
Casinos, Inventive Leisure, Nando’s, Shimla
Pinks, Gatecrasher and Euro Car Parks.
■■ Held long leasehold for 99 years from 18th
May 1998, with an option to extend for a
further 51 years at the current ground rent of
£187,372 pa, equating to effectively 6% of the
passing rents.
■■ Fully let on 13 leases to 12 tenants, providing a
total gross rental income of £3,090,223 pa and
a net income of £2,902,851 pa.
■■ WAULT of 13.5 years to expiry, 12.8 years
to break.
■■ Over 68% of income secure on covenants with
minimum risk (Dun & Bradstreet).
■■ 17% of income subject to RPI uplifts.
■■ Good rental growth prospects off re based
rents on the restaurants.
PROPOSAL
We are seeking offers in excess of £35,000,000 (subject
to contract and exclusive of VAT ) for our client’s
long leasehold interest. Assuming purchaser’s costs
of 5.80%, a purchase at this level would reflect a Net
Initial Yield OF 7.84%
3
4
BIRMINGHAM FIVE WAYS
SATNAV Reference: B15 1DA
BIRMINGHAM
Birmingham lies at the heart of one of Britain’s largest conurbations. It is the commercial,
administrative and cultural capital of the West Midlands and the UK’s second City, with a population
of just over 1 million people and an economic output of £18 billion per year.
Birmingham lies approximately 188km (117 miles) to the north
west of London, 113km (70 miles) south of Manchester and
74km (46 miles) south west of Nottingham.
Birmingham is the largest city economy in the UK outside
London and is a major retail centre, second only to London in
terms of retail spend. The city is also a significant centre for
tourism and is ranked 4th most visited city in the UK for at
least one night in 2011 (ONS).
Birmingham also has a growing reputation as an international
business destination, ranked 18th of Europe’s leading business
locations overall (Cushman and Wakefield’s 2010 European
Cities Monitor). Over 40% of the UK’s conference and
exhibition business takes place in Birmingham.
Looking ahead, Birmingham City Council has launched The
Big City Plan, “the most ambitious, far-reaching development
project in the UK.” The Big City Plan City Centre Masterplan
is a non-statutory planning and regeneration framework to
create a world class city by planning for the next 20 years
of transformation. The vision is to extend the central core by
25%, improve connectivity, strengthen its authentic character
and diversify its economic base.
Over £1 billion has already been spent or committed on major
projects including redevelopment of New Street Station and
The Pallasades shopping centre, construction of the Library
of Birmingham; one of the largest in Europe and the Midland
Metro Line 1 Extension from Snow Hill Station to New Street
Station, with further plans to extend to Five Ways.
“ Birmingham is ranked one of the top 20
international destinations to visit ”
—New york times
BIRMINGHAM FIVE WAYS
5
CATCHMENT &
DEMOGRAPHICS
Birmingham ranks 2nd in terms of estimated shopping population at 750,000 people and 1st in terms
of total city centre retail floorspace with approximately 3.28 million square feet (PROMIS). The total
population within the primary catchment area is 1,368,000 ranking the city 5th of the Promis centres.
The 30 minute drive time population increases to nearly 2,400,000.
Birmingham has the youngest profile of any city in Europe
with over 45% of the population under the age of 30 years,
an important age profile for leisure operators.
Birmingham has a workforce of nearly 500,000 within a
diverse range of sectors. As a regional centre, there is a high
representation of major banks including Lloyds TSB, RBS,
HSBC and Deutsche Bank. The automotive industry is also a
major employer. It has three major universities with a total of
65,000 students. The city also attracts over 33 million people
a year for business and pleasure, the latter generating over
£4.6 billion for the local economy (Global Tourism Solutions).
CANNOCK
LICHFIELD
M6
TOLL
GREAT BARR
“ Birmingham has
M6
TOLL
the youngest
profile of any
city in Europe
with over 45% of
the population
under the age
of 30 years an
important factor
for leisure spend
TAMWORTH
A34
WILLENHALL
WOLVERHAMPTON
A4123
ALDRIDGE
WALSALL
M6
TOLL
M6
BILSTON
SUTTON
COLDFIELD
WEDNESBURY
A38
M5
TIPTON
WEST BROMWICH
ERDINGTON
M6
OLDBURY
A4123
DUDLEY
M42
M6
A38(M)
ROWLEY REGIS
A4036
CRADLEY HEATH
COLES HILL
BIRMINGHAM
A452
A45
HALESOWEN
HALESOWEN
HARBORNE
SPARKHILL
BICKENHILL
A458
”
M42
A435
M5
SOLIHULL
NORTHFIELD
A491
BALSALL
COMMON
KIDDERMINSTER
DRIVETIME
POPULATION
10 minute
423,066
20 minute
1,368,000
30 minute
2,400,000
HOCKLEY
HEATH
M42
M40
BROMSGROVE
REDDITCH
WARWICK
6
BIRMINGHAM FIVE WAYS
Library of Birmingham
The National
Indoor Arena
The National
Sea Life Centre
The ICC &
Symphony Hall
Broad Stree
Brindley Place
Road
Rail
Strategically located at the heart of the
national motorway and rail networks,
Birmingham City’s communications are
unrivalled: The M5, M6, M40 and M42
motorways serve the city, providing direct
access to London, the south west and the
north, placing most of the UK’s population
within a few hours drivetime.
Birmingham New Street railway station is the
busiest in the United Kingdom outside London
with services from London Euston, Glasgow
Central and Edinburgh Waverley among others.
BIRMINGHAM FIVE WAYS
The Bullring
New Street
Station
The Mailbox
The Cube
et
FIVE WAYS
Auchinleck House
Metro
Bus
Air
A light rail system operates between
Snow Hill and Wolverhampton via Bilston,
Wednesbury and West Bromwich – currently
being extended from Snow Hill further into
Birmingham city centre.
Centro and Birmingham City Council are
improving access to and across the city
centre, easing usage for pedestrians, public
transport users and cyclists. These works will
continue through 2013 and 2014.
Birmingham International Airport, located
6 miles east of the city centre, has
scheduled flights to over 100 destinations
including direct services to North America,
Europe and Asia and is only 9 minutes by
train from the city centre.
7
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BIRMINGHAM FIVE WAYS
A
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This plan is published for convenience only, not to scale and is for identification purposes only.
SITUATION
Five Ways is situated in the “Westside and Ladywood Quarter” of Birmingham, one of
seven Quarters identified by The Big City Plan. It is a diverse area and forms a hub for
shopping, nightlife and entertainment activities. Westside has been transformed in recent
decades and is now the city’s primary business and leisure destination with over 300
businesses providing 12,000 jobs.
Five Ways is situated towards the south western end of Broad Street close to Five Ways roundabout and
occupies a prominent position on one of the principal arterial routes to and from Birmingham city centre.
Broad Street is the main leisure destination within the city stretching from Suffolk Street Queensway to
Ladywood Middleway. It hosts Birmingham’s biggest concentration of hotels, providing in excess of 1,800 rooms.
There is also a wide variety of bars, restaurants and nightclubs catering for a mix of tastes and budgets.
ST
ST
FIVE W
LE
W
AY
RD
A 45 6 HAG LEY
OR
NE
ST
A
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P
SQ
U
ST
A
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SW
U
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N
Located at Brindley Place boasting a one million litre ocean tank and
the first ever tubular 360 degree transparent walkthrough tunnel.
MO
HIG H
ST
ST
PA
RK
ALL
ISO
N
ST
Broadway Plaza
ST
SH
LE
AR
AD
A cinema anchored leisure scheme outside the city’s Ring Road.
It has a 12 screen Odeon cinema, casino, bowl, health club,
Travelodge and two restaurants. There is a 1,400 space car park.
Arcadian Centre
A mix of bars and restaurants around a central piazza. Mostly
occupied by independent operators including Poppyred, Indi
Bar, Le Truc together with well known names such as J D
ST
Wetherspoons and Las Iguanas.
LU
9
Mailbox and The Cube
KE
’S
RD
A destination, high fashion shopping centre anchored by Harvey
Nichols and Malmaison. To the rear of the scheme overlooking
the canal is an upmarket collection of restaurants and bars
including Cote, Nando’s, Strada, Café Rouge, Pizza Express and
Zizzi’s.
A4
54
0
10 The Bull Ring
BE
LG
RA
VE
MI
The city’s principal shopping centre, 110,000 sq m anchored by
Selfridges and Debenhams. Restaurants include Jamies Italian
and Handmade Burger. It has transformed Birmingham since its
opening in 2003.
DD
ST
AN
H
WH
E
LA ELEY
The National Sea Life Centre
A lively mix of canalside bars and restaurants including
Wagamama’s, Carluccio’s, Pizza Express, Café Rouge, GBK, All
Bar One and Pitcher and Piano.
EET
Located just to the north of Brindley Place, is one of the
busiest large-scale, indoor sporting and entertainment venues
in Europe. Each year it attracts between 750,000 and 1 million
visitors. This year it is due to undergo refurbishment to include a
new entrance to improve access from Brindley Place across the
canal. This is just a short walk from Five Ways.
The Water’s Edge Brindley Place
STR
The National Indoor Arena
8
NT
KE
CH
DL
EW
AY
7
5 mins walk
10 mins walk
O
GO
The International Convention Centre
& Symphony Hall
ID
The Symphony Hall attracts 370,000 visitors every year.
5
ST
RO
RO
A
At the north western end of Broad Street, W
on Centenary Square, D
Library of Birmingham
M
4
ST
Q
OR
N
the new £188million Library of Birmingham, capable of taking
10,000 visitors a day, has recently opened. Next door to this The
Birmingham Repertory Theatre (The REP) also reopens in 2013
following extension and refurbishment.
3
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BA
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OR
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An award winning, canalside, mixed use development, opposite
Five Ways, providing upmarket restaurants and bars,
BE retail GRA
LL
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and offices.
2
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10
BIRMINGHAM FIVE WAYS
BIRMINGHAM FIVE WAYS
DESCRIPTION
Five Ways was constructed in 1998, in two blocks known as Phase I and Phase II, either side of
Bishopsgate Street. Each block comprises basement, ground and first floor leisure accommodation
with a total floor area of approximately 18,552.8 sq m (199,702 sq ft).
Phase I comprises cinema, gym, four restaurants and a multi storey car park with 481 spaces. Phase II comprises casino,
nightclub, bar, three restaurants and a multi storey car park with 270 spaces.
Cinema
Gym
A 12 screen, Cineworld multiplex cinema totalling
approximately 6,633.4 sq m (71,402 sq ft) arranged on ground
and first floor with entrance and ticket hall on Broad Street.
Four screens are at ground level with eight at first. It has
recently installed an IMAX screen which has further improved
the popularity of this cinema.
Pure Gym operates a fully air conditioned, 24 hour gym
at ground floor and basement totalling approximately
2,308 sq m (24,849 sq ft). The gym provides 220 pieces of
state of the art fitness equipment and a full class timetable.
Nightclub
Casino
Gatecrasher is one of the premier nightclub operators in
the UK and a global brand which started 20 years ago. The
nightclub at Five Ways totals approximately 3,440 sq m
(37,027 sq ft) at first and second floor and provides 4 different
clubs in one, each one offering a different experience, from
the Main Room, with a capacity of 1,450 people down to a
smaller venue with a capacity of 180.
Grosvenor Casinos operate a G Casino at Five Ways. Situated
at ground and basement levels with direct access also from
the multi storey car park at ground level, the casino was
substantially refurbished and re-branded in 2011. It is open 24
hours and as well as gambling, there is also live entertainment.
It totals 1,768.5 sq m (19,040 sq ft).
Restaurants and Bar
Car Park
Having originally been very much a bar lead scheme, there are
now 6 restaurants and Revolution Vodka Bar. The restaurants
provide an eclectic mix of dining experience including Shimla
Pinks (which has remained Birmingham’s premier Indian
restaurant since 1991) Del Villaggio and Nando’s. There are also
three new restaurants due to open shortly.
There are 2 separate multi storey car parks to the rear of the
scheme with access from Bishopsgate Street, providing a total
of 751 car spaces. They are let to Euro Car Parks on 2 leases
with annual RPI uplifts and turnover provisions.
11
12
BIRMINGHAM FIVE WAYS
BIRMINGHAM FIVE WAYS LEISURE
13
14
BIRMINGHAM FIVE WAYS
TENURE
The property is long leasehold, with each Phase held on a separate lease from
Trustees of the St. Martins in the Bull Ring Trust, for 99 years from 18th May 1998,
with an option to extend for a further 51 years, at a rent equating to effectively
6% of the annual passing rents, subject to a minimum of £125,000 pa.
There is provision in the head leases whereby if during an accounting period there is a reduction in
rental income, the average of the previous five year’s ground rent is calculated to establish the ground
rent for the year.
The ground rent payable for the year to 17th May 2014 is £187,372.
A copy of the headlease and ground rent reconciliation is available in the dataroom.
BIRMINGHAM FIVE WAYS
CINEWORLD
GATECRASHER
P
P
FIRST FLOOR
BRO
AD
EAST Z EAST
PAN ASIAN
RESTAURANT
G CASINO
REVOLUTION
P
TIGER
BILLS
SHIMLA PINKS
CINEWORLD
BISHOPSGATE STREET
NANDOS
ET
GATECRASHER
DEL VILLAGGIO
PURE GYM
STR
E
P
5 LEVELS
5 LEVELS
GROUND FLOOR
TENNANT STREET
PURE GYM
PAN ASIAN
RESTAURANT
G CASINO
BASEMENT
15
Minimum
16
68.47%
BIRMINGHAM FIVE WAYS
Minimum
Income by Use
10.77%
Car Park
TENANCIES
Car Park
14.09%
42.22%
Nightclub
Five Ways is fully let on Nightclub
13 leases to
12 tenants, in accordance with the tenancy
schedule below. The weighted average
unexpired lease term to expiry is 13.5 years
and 12.8 years to break.Casino
Cinema
7.3%
Casino
All leases are on effective full repairing
Gym to 5 yearly
and insuring terms and subject
upward only rent reviews. The two car park
Restaurant & Bars
leases are subject to annual RPI increases
together with turnover provisions. Pure Gym
reviews are five yearly to RPI collared and
capped at 2% and 4%.
Use
Unit
Tenant
Cinema
6.15%
Gym
19.47%
Restaurant & Bar
Floor area
Trading as
Term
Sq m
Sq Ft
Phase I
Cinema
Cinema Cineworld Cinemas Limited
Cineworld
Ground
First
Total
2,454.0
4,179.4
6,633.4
26,415
44,987
71,402
25
Gym
1, 2 & 3
Pure Gym Limited
Pure Gym
Ground
Basement
Total
773.4
1,535.1
2,308.5
8,325
16,524
24,849
15
Restaurant
4
Cyrus Khazaei
Del Villaggio
Ground
First
Total
252.6
197.4
450.0
2,719
2,125
4,844
25
Restaurant
5A
Nando’s Chickenland Limited
Nando’s
Ground
Mezzanine
Total
292.7
49.9
342.6
3,151
537
3,688
25
Restaurant
5B
Lewcra Ltd
Tiger Bills Bar, Wok and Grill
Ground
Mezzanine
Total
160.6
176.8
337.4
1,729
1,903
3,632
12
Restaurant
6
Hard Rock Cafe (UK) Limited
(Sub let to Grillfair Limited)
Shimla Pinks
Ground
Mezzanine
Total
675.6
44.7
720.3
7,272
481
7,753
25
Bar
7
Inventive Leisure Limited
Revolution
Ground
477.1
5,135
25
Casino
8
Grosvenor Casinos Limited
G Casino
Ground
Basement
Total
207.0
1,561.5
1,768.5
2,229
16,811
19,040
25
Restaurant
9
Pan Asian Restaurants Limited
Ground
Basement
Mezzanine
Basement
Total
170.0
1,830
15
725.2
739.1
1,611.0
7,806
7,956
17,341
375.4
88.3
463.7
4,041
950
4,991
15
159.8
2338.5
941.7
3,440.0
1,720
25,171
10,136
37,027
20
Phase II
Restaurant
10
East Z East Limited
East Z East
Ground
Mezzanine
Total
Nightclub
11
Gatecrasher (Birmingham) Limited
Gatecrasher
Ground
First
Second
Total
Car Parking
Phase I
Euro Car Parks Limited
481 spaces
25
Phase II
Euro Car Parks Limited
270 spaces
25
Sub Stn 1
Central Networks Plc
Sub Stn 2
Central Networks Plc
96
95
Total
18,552.8
199,702
BIRMINGHAM FIVE WAYS
LETTING ACTIVITY
Over the last two years Five Ways has evolved away from its original roots as
a predominantly alcohol lead scheme. The principal tenants have all invested
significantly in the scheme over the last 3 years and are trading well.
Three new restaurants are due to open shortly: East Z East have taken an assignment of
Unit 10 and are fitting out. The company started in 2005 and currently have 4 restaurants in
the north-west.
Unit 5b has been let to Lewcra Ltd, trading as Tiger Bills, a restaurant franchise,
owned and operated by the Lifestlye Group. The rent equates to £14.20 per sq ft.
Unit 9 has been let to Pan Asian Restaurants Ltd for 15 years at a commencing rent
of £70,000 pa (£4.04 per sq ft overall).
From
Expiry
Review
Frequency
Rent pa
Rent
per sq ft
Comments
24 Jun 2000
23 Jun 2025
23 Jun 2015
5 yearly
£1,304,616
8 Nov 2010
7 Nov 2025
8 Nov 2015
5 yearly
£190,000
6 Jan 2012
5 Jan 2032
6 Jan 2017
5 yearly
£48,880
£10.09
24 Jun 2000
23 Jun 2025
23 Jun 2015
5 yearly
£62,750
£16.23 Includes supplemental lease of store dated 04 March 2011 at
£2,750 pa. Supplemental rent increases in equal proportion to uplift
in main lease.
26 Mar 2013
23 Jun 2025
26 Mar 2018
5 yearly
£40,000
29 Jun 2001
28 Jun 2026
28 Jun 2016
5 yearly
£190,000
£24.51 Unit sublet to Grillfair Ltd until 18 June 2016 at a rent of £100,000 pa
(£13.30 per sq ft) Tenant option to break 29 June 2016.
£18.27
£7.65 Rent reviews linked to RPI (2%–4%). First review based on 3 years.
Service charge cap of £2.01 psf for 3 years, thereafter increased
by RPI.
£11.01 Rent Yr 1: £20,000, Yr 2: £30,000, Yr 3-5: £40,000 Break: 25 March
2023 Vendor will top up rent to the commencement of the third year of
the term.
20 Apr 2001
19 Apr 2026
19 Apr 2016
5 yearly
£130,000
£25.32 Tenants have installed a mezzanine of 295.3 sq m (3,179 sq ft)
25 Mar 2001
24 Mar 2026
25 Mar 2016
5 yearly
£225,700
£12.20 Tenant has exclusive use of 35 free car spaces.
Lease states that for purposes of review maximum floor area is
18,500 sq ft.
5 yearly
£70,000
£4.04 Term commences on completion of lease, following tenant’s fit
out. Five yearly rent reviews. Rent free of 27 months granted from
access date – 16 Sept 2013 –in accordance with agreement for lease.
£12.02 Reversionary lease granted commencing 19 Nov 2025 to 19 Nov 2030.
Lease varied to remove mutual break..
19 Nov 2010
18 Nov 2030
19 Nov 2015
5 yearly
£60,000
11 Sept 2013
10 Sept 2033
29 Sept 2016
5 yearly
£435,500
24 Jun 2000
23 Jun 2025
25 Jun 2013
Annual
£203,905
Base Rent reviewed annually to greater of turnover rent for year or
RPI uplifts. Additional rent due of 60% of amount by which turnover
exceeds base rent pus operational costs
20 Apr 2001
19 Apr 2026
25 Apr 2013
Annual
£128,852
Base Rent reviewed annually to greater of turnover rent for year or
RPI uplifts. Additional rent due of 60% of amount by which turnover
exceeds base rent plus operational costs.
11 Jan 2000
30 Sep 2096
n/a
13 Feb 2001
30 Sep 2096
n/a
£10
£10
Total Gross Rental Income
£3,090,223
Head Rent
Total Net Rental Income
£187,372
£2,902,851
£12.02 Lease guaranteed by Gatecrasher Holdings Limited.
17
18
BIRMINGHAM FIVE WAYS
“birmingham has 3 major
universities with a toTal
of 65,000 students”
Minimum
68.36
Lower than average
6.14
6.14
BIRMINGHAM
WAYS
Higher than averageFIVEHigh
14.07
3.72
19
Undetermined
Income by Risk
3.56%
Undetermined
Undetermined
14.09%
High
High
6.15%
Higher than
average
Higher than
average
Lower than
average
TENANTS’
COVENANTS
6.15%
Lower than
average
Minimum
Unit
Tenant
Company
No.
Cinema
Cineworld
Cinemas Ltd
1,2 &3
Pure Gym Ltd
5A
Nando’s
Chickenland Ltd
68.47%
Minimum
Pre-tax
Profit
D&B Rating
Year End
Turnover
1915767
5A1
29/12/12
29/12/11
£169,617,000
£165,194,000
6690189
3A2
28/02/13
29/02/12
£30,636,192
£16,828,920
Car Park
2580031
4A1
26/02/12
£373,869,000
14.09%
27/02/11 Nightclub£317,356,000
Tangible
Net Worth
£15,528,000
£12,647,000
10.77%
£46,185,000
£31,307,000
£552,024
£1,201,381
£7,697,200
£7,1086,100
Car Park
£53,859,000
£31,496,000
£34,385,000
£20,952,00042.22%
Cinema
Nightclub
5B
Lewcra Ltd
6
Hard Rock Café
(UK) Ltd
08121028
Cinema
Undetermined
Casino
1924059
4A1
–
–
–
–
31/12/11 7.3%
£20,842,000
Casino
31/12/10
£19,966,000
£5,288,000
£4,519,000
£24,623,000
£20,790,000
6.15% £969,485
Gym
£960,281
£1,786
£106,200
£225,956
£224,170
–
–
-£288,000
19.47%
£706,000
£25,172,000
£25,135,000
£352,400,000
£221,092,000
£35,282,000
£29,684,000
£208,732,000
£181,197,000
–
–
–
Gym
6 (Sublet)
Grillfair Ltd
5184152
B4
Restaurant & Bars
31/12/11
31/12/10
7
Inventive Leisure Ltd
2824084
30/06/12
30/06/11
4A3
Restaurant & Bar
5A1
30/06/12
31/12/10
Undetermined
–
06781411
D3
31/12/11
31/12/10
£3,023,437
£2,372,548
£210,520
£100,226
£96,357
£32,448
1270612
2A1
31/12/12
31/12/11
£25,568,735
£24,405,021
£1,357,314
£1,242,497
£1,818,343
£1,818,696
8
Grosvenor
Casinos Ltd
877080
9
Pan Asian
Restaurants Ltd
08090358
10
East Z East Ltd
Car Park
Euro Car Parks Ltd
“over 68% of income
has a dun & bradstreet
minimum risk rating”
20
BIRMINGHAM FIVE WAYS
ASSET MANAGEMENT
There are a number of asset management possibilities which we believe would be beneficial
to the scheme.
Explore the potential to agree a surrender with Shimla
Pinks to subdivide unit 6 to create 2/3 units with two
fronting Bishopsgate Street, opposite the cinema entrance
and Nando’s.
Grosvenor casinos have looked at taking the basement of
Unit 9 on a number of occasions in the past. At some point
consider the potential of combining the units giving Grosvenor
a larger ground floor presence.
The redevelopment of Auchinleck House will potentially
increase the demand for parking spaces at Five Ways as
well as increase the pedestrian flow past the scheme. In the
medium term this could lead to the potential to attract more
of the major restaurant groups.
Gatecrasher have expressed an interest in a ground floor
feeder bar. Consideration could be given to part of the Shimla
Pinks unit with the entrance on Bishopsgate Street.
Five Ways lacks a website and co-ordinated marketing to
the many office workers and hotels in the immediate vicinity.
There is the potential to benefit from a co-ordinated approach.
BIRMINGHAM FIVE WAYS
AUCHINLECK HOUSE & FIVE
WAYS SHOPPING CENTRE
REDEVELOPMENT
This 1960s office tower and shopping
centre, which is situated adjacent to
Five Ways, has over the last 10 years
become largely vacant and run down. It
was acquired in 2011 by Ace Sino Group
Ltd, a Singapore based conglomerate
and is to be redeveloped to provide a
300 bed, 4 star hotel with banqueting
and conference halls for up to 2,000
delegates, rooftop restaurant, retail and
spa with car parking. The hotel, which is
due for completion towards the end of
2014, will be branded Park Regis.
This development will provide a much
needed addition to the south western
end of Broad Street and the increased
pedestrian flow will be also be a
significant benefit to Five Ways.
Plans showing the proposed scheme can
be found on:
www.birmingham.gov.uk/planning
Application: 2011/08518/PA
21
22
BIRMINGHAM FIVE WAYS
DATAROOM
Access to the dataroom is available upon request.
Measured, Building and Environmental surveys have
been carried out and will be assigned to the purchaser.
VAT
The property has been elected for VAT and it is
therefore envisaged that the transaction will be treated
as a Transfer of a Going Concern.
SERVICE
CHARGE
The service charge for the scheme is split between
the two buildings, based upon percentage of floor
area occupied. The service charge budget for 2013 is
£162,371.18 (£0.88per sq ft)
EPC
The property achieves an Energy Performance Rating
equating to D on the A-G scale. A full copy of the
report is available in the dataroom.
BIRMINGHAM FIVE WAYS LEISURE
23
PROPOSAL
We are seeking offers in excess of £35,000,000 (subject
to contract and exclusive of VAT ) for our client’s
long leasehold interest. Assuming purchaser’s costs
of 5.80%, a purchase at this level would reflect a Net
Initial Yield OF 7.84%.
CONTACT
James Welch
CHARTERED SURVEYORS
020 7534 0993
07768 005822
[email protected]
Jonnie Ray
020 7534 0994
07917 647652
[email protected]
Tim Cuzens
020 7534 0992
07900 263493
[email protected]
Misrepresentation Act 1967
Cortex Partners, for themselves and the vendors of the property whose agents they are, give notice that:
1. These particulars are a general outline only for the guidance of prospective purchasers and do not
constitute the whole or any part of an offer or contract:
2. Cortex Partners cannot guarantee the accuracy of any descriptions, dimensions, references to condition, necessary
permissions of use and occupation and other details contained herein and therefore prospective purchasers must not
rely on them as statements of factor representations and must satisfy themselves as to accuracy:
3. Cortex Partners or their employees do not have any authority to make or give representation or
warranty or enter into any contract whatever in relation to this property:
4. Rents and prices quoted may be subject to VAT in addition:
5. Cortex Partners will not be liable in negligence or otherwise for any loss arising from the use of
these particulars:
6. No responsibility can be accepted for any expenses occurred by intending purchasers in inspecting
properties which have been sold or withdrawn:
7. Cortex Partners have not made any investigations into the existence or otherwise of any issues concerning
pollution, potential land, air or water contamination. The purchaser is responsible for making their own
enquiries in this regard.
September 2013 | Designed and produced by THE
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