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Substantial convenience store and retail investment withdevelopment potentialKey location in affluent Devon villageMajority let to Smile Stores Ltd, wholly owned by McColl’s24 years unexpired lease termVacant upper parts benefitting from permitteddevelopment rightsNo VAT payableOffers in excess of esales.com
The East Devon village of West Hill is a very affluent and much sought aftercommunity with its tree lined avenues, lanes and excellent amenities includingvillage store, church, post office and respectable schools nearby. There is alsoa regular bus service to Ottery St. Mary, Honiton and Exeter.The A30 dual carriageway connects West Hill directly to Exeter and Junction29 of the M5 just 16 km (10 miles) to the west and Ottery St Mary market townis 4.8 km (3 miles) to the east. Bristol is 112 km (70 miles) north on the M5motorway.Exeter International Airport is located only 10 minutes from West Hill with 3flights a day to London City Airport with a travel time of 1 hour 10 minutes.The subject property is situated on West Hill Road, in the centre of West Hill. It providesthe only retail and commercial location in the village and occupies a prominent centralposition. The convenience store is used as the drop off and pick up point for schoolbuses to Exeter based schools providing a popular location for shoppers. Thesurrounding area is predominantly residential, with the local primary school andcommunity hall located behind the property.
The subject property is a detached part two story and part single story buildingconstructed in the 1970’s. The main building is of steel frame construction withbrick, tile and painted rendered elevations under a flat felt covered roof. Theground floor is predominantly occupied by the convenience store, whichcontains a small post office on the West side. There is a separate retail unitadjoining the convenience store which trades as an Estate Agency with its ownaccess and separate entrance providing access to the first flooraccommodation.The upper parts are a former office and former hair salon; both are currentlyvacant and have consent for two residential apartments by way of permitteddevelopment rights. Parties are advised to review the planning application andconsents contained in the data room.We understand the net internal area of the property to be as follows:FreeholdWe estimate the site area to be approximately 0.614 acres (0.249 Hectares)
Smile Stores Limited operates the convenience store element of McColl’s RetailGroup PLC and is owned by McColl’s Retail Group Limited. Smile have reported thefollowing figures for the past 3 years trading:McColls are one of the UK’s leading independent neighbourhood retailers, with agrowing network of convenience stores and a profitable portfolio of newsagents.McColl’s operate 707 convenience stores and 566 newsagents. The conveniencestores are branded McColl’s and the newsagents are branded Martin’s and, inScotland, RS McColl.In 2013 McColls continued to reinforce their position as a leading independentneighbourhood retailer in the UK – growing their convenience store numbers andservices, and strengthening the business.Throughout the year McColls have delivered a strong financial performance,increasing sales for the fifth successive year, and increasing operating profit beforeexceptional income. They added a further 52 convenience stores bringing the total to707, the second largest multiple convenience store operator in the UK and completeda successful debt refinancing.McColl’s Retail Group Limited, company number 05429759 has the following tradingfigures –McColl’s retail Group PLC have Shareholders Funds of 57,120,000.The ground floor convenience store is let to Smile Stores Ltd (owned byMcColls Retail Group Ltd and ultimate holding company McColl’s RetailGroup PLC) on a 35 year lease from 1st December 2003 (approximately 24years unexpired) at a current passing rent of 44,000 per annum.The ground floor retail unit is let to Redferns Estate Agents Ltd on a 10 yearlease from 3rd May 2011. The current passing rent is 12,000 per annum.The next rent review is on 3rd May 2016 to the higher of open market valueor a minimum guaranteed uplift to 13,950 per annum. The tenant has anoption to determine the lease on 3rd May 2016, subject to 6 months’ notice.The landlord has a rolling 6 months’ notice to determine the lease if hewishes to redevelop the site. The lease is outside the Landlord & Tenant1954 Act. Total current income 56,000 per annum.The first floor offices and hairdressing salon are currently vacant and havebeen granted planning consent for conversion to residential via permitteddevelopment rights.Therefore, the total current rental is 56,000 per annum.
The upper parts have received consent for two residential flats,through permitted development rights (application number13/1841/CPL at East Devon Council); The building could be extended at second floor level over thelarger ground floor to provide further residential accommodation. There is further potential redevelopment opportunity for two largedetached houses within part of the car park, subject tonecessary planning consents and agreements.
1. An opportunity to acquire a freehold convenience store & retailinvestment;2. Significant development potential with the vacant upper partsbenefitting from permitted development rights;The property is not elected for VAT and therefore will not be chargeable onthe sale.3. The investment provides various asset management opportunities;4. The property occupies a key location in affluent Devon village;5. The majority of the income is secured against Smile Stores Ltd (whollyowned by McColl’s) until 2038 with no breaks;Our client is seeking offers in excess of 895,000, subject to contract.6. No VAT payable;7. The investment provides a purchaser with an attractive lot size.Altitude Investments20 Southernhay W.ExeterDevon EX1 1PRTel: 44 (0) 1392 660 000 / 44 (0) 7815 867 807George Turnbull george.turnbull@altitude-investments.comVendor’s SolicitorKitsonsMinerva House, Orchard WayEdginswell Park, TorquayDevon TQ2 7FATel: 44 (0) 1803 202 020Peter entation Act 1967Singer Vielle for themselves and for the Vendors or Lessors of this property whose Agents they are give notice that:1. The particulars are set out as a general outline only for the guidance of intending purchasers or lessees, and do not constitute, nor constitute part of, an offer or contract2. All descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchasers or tenants should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the correctness of each of them.3. No person in the employment of Singer Vielle has any authority to make or give any representation or warranty whatever in relation to this property.4. All maps are for identification purposes only and should not be relied upon for accuracy.5. Unless otherwise stated, all prices and rentals quoted are exclusive of Value Added Tax to which they may be subject.Finance Act 1989Unless otherwise stated, all prices and rents are quoted exclusive of VAT.Property Misdescriptions Act 1991These details are believed to be correct at the time of compilation, but may be subject to subsequent amendment.Concerning the Properties listed and/or appearing on the Site:1. Under no circumstances shall we be liable to you for any direct, indirect, consequential, incidental or special damages arising out of your purchase or lease of any Properties on the Site.2. Under no circumstances shall we be liable for any errors or incompleteness of the information relating to any Property listed on this Site or if any Property has been withdrawn from sale or lease nor shall we be responsible for any inaccurate dimensions of any Properties or price listed.3. Our website service permits you to enquire about and to purchase or lease Properties appearing on or listed on this Site. Such enquiries, purchase or leasing can only be made and permitted strictly subject to the terms and conditions set out below.4. We do not accept responsibility or liability for the completeness or accuracy of information appearing on this Site which is provided by the Vendors or Lessors of the Property concerned who are solely responsible for such information.5. Whilst we believe that the Properties listed are available for purchase or lease we make no guarantee that this is the case or that they have not been withdrawn by the Vendor or Lessor of the same. All Properties appearing or listed on the Site are subject to changes, errors or omissions. We have not verified the accuracy of the information relating to the Properties or anydimensions which have been given by the Vendors or Lessors.6. All Properties are listed subject to contract and the prices shown are exclusive of VAT if applicable.
McColl's operate 707 convenience stores and 566 newsagents. The convenience stores are branded McColl's and the newsagents are branded Martin's and, in Scotland, RS McColl. In 2013 McColls continued to reinforce their position as a leading independent neighbourhood retailer in the UK - growing their convenience store numbers and
