Post on 31-Jul-2020
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LONG LET HOTEL INVESTMENT
HOLIDAY INN EXPRESS BIRMINGHAMChester Road ▪ Castle Bromwich ▪ B35 7AF FOR SALE
Investment Summary
Location Situation & Description
• Virtual freehold hotel investment with long index linked income.
• 10 yearly RPI linked uncapped rent review pattern.
• Comprises a purpose built 110 bedroom hotel.
• Conveniently located less than 15 minutes from Birmingham Airport and the NEC Exhibition Centre.
• Each individual room is owned by individual investors by way of 985 year leases.
• Rent passing of £55,000 per annum, with first review
due in February 2024.
Tenure & Tenancy
Schedule
Asset Management,
EPC, VAT, Proposal &
Contacts
Investment Summary
We are instructed to seek offers in excess of £700,000(Seven Hundred Thousand Pounds), subject to contractand exclusive of VAT. A purchase at this level reflects anet initial yield of 7.40% after allowing for usual
acquisition costs of 5.3%
HOLIDAY INN EXPRESS, BIRMINGHAM
Chester Road, Castle Bromwich, B35 7AF
Chester Road, Castle Bromwich, B35 7AF
Investment Summary
Location Situation & Description
Tenure & Tenancy
Schedule
Asset Management,
EPC, VAT, Proposal &
Contacts
Location
Birmingham is the second-most populous city in the United
Kingdom, with an estimated 1,137,123 inhabitants, and is
considered the social, cultural, financial, and commercial
centre of the Midlands. It is located approximately 100 miles
south of Manchester and 130 miles north of London.
The city benefits from excellent road and rail communication
links being serviced by the M5, M6, M40 & M42 motorways
and has direct rail services to Manchester Piccadilly, London
Euston, Glasgow Central and Edinburgh Waverley.
It is the main local government of the West Midlands
conurbation, which is the third most populated urban area in
the United Kingdom, with a population of 2,897,303 in 2017.
The wider Birmingham metropolitan area is the second
largest in the United Kingdom with a population of over
4.3 million.
Birmingham's economy is now dominated by the service
sector. The city is a major international commercial centre,
ranked as a beta- world city by the Globalization and World
Cities Research Network the joint highest ranking with
Edinburgh and Manchester of all British cities outside of
London; and an important transport, retail, events and
conference hub.
Its six universities make it the largest centre of higher
education in the country outside London and it is the fourth-
most visited city in the UK by foreign visitors.
HOLIDAY INN EXPRESS, BIRMINGHAM
Investment Summary
Location Situation & Description
Tenure & Tenancy
Schedule
Asset Management,
EPC, VAT, Proposal &
Contacts
Situation
Description
The Holiday Inn Express, Birmingham CastleBromwich, is conveniently situated next toJunction 5 of the M6 motorway and isapproximately 20 minutes by car North East
of Birmingham city centre, 17 minutes NorthWest of the NEC and Birmingham Airport.
The surrounding area comprises a mixture ofout of town retail park, business parks and
part of the Jaguar manufacturing faculties.
Sharing the same plot and neighbouring thehotel is a large public house.
The hotel comprises a purpose built 110bedroom hotel with reception, bar loungearea, breakfast area and meeting room.
There is ample on site parking which iscomplementary to hotel guests.
The hotel was originally built in 1999 andwas refurbished and rebranded as a Holiday
Inn Express in 2014. 64 out of the 110bedrooms have air-conditioning.
HOLIDAY INN EXPRESS, BIRMINGHAM
Castle Bromwich, Birmingham, B35 7AF
Investment Summary
Location Situation & Description
Tenure & Tenancy
Schedule
Asset Management,
EPC, VAT, Proposal &
Contacts
Tenure
Tenancy Schedule
The property is held by way of a virtual freehold on a999 year lease dated 17th October 2001 on apeppercorn rent
• All 110 bedrooms rooms are subject to 985 yearleases set to expire on the 31 January 2999
• The passing rent is £500 p.a.
• The first review date is the 1 February 2024 andthen every 10th anniversary of that date.
• The rent is subject to upward only RPI linked rent
reviews with no cap.
• Total initial rental income of £55,000 p.a.
HOLIDAY INN EXPRESS, BIRMINGHAM
Chester Road, Castle Bromwich, B35 7AF
Investment Summary
Location Situation & Description
Tenure & Tenancy
Schedule
Asset Management,
EPC, VAT, Proposal &
Contacts
We are instructed to seek offers in excess of£700,000 (Seven Hundred ThousandPounds), subject to contract and exclusive ofVAT. A purchase at this level reflects a net
initial yield of 7.40% after allowing for usualacquisition costs of 5.3%
Contacts
For further information or to arrange a siteinspection, please contact the following, please donot contact the hotel directly :
Proposal
Daniel WhittakerE: Dwhittaker@lsh.co.uk
T: 0161 242 8010
Martin DavisE: Mdavis@lsh.co.uk
T: 0161 242 7016
Disclaimer: Lambert Smith Hampton Group Limited and its subsidiaries andtheir joint agents if any (“LSH”) for themselves and for the seller or landlord
of the property whose agents they are give notice that: (i) These particulars
are given and any statement about the property is made without
responsibility on the part of LSH or the seller or landlord and do not
constitute the whole or any part of an offer or contract. (ii) Any description,dimension, distance or area given or any reference made to condition,
working order or availability of services or facilities, fixtures or fittings, any
guarantee or warrantee or statutory or any other permission, approval or
reference to suitability for use or occupation, photograph, plan, drawing,
aspect or financial or investment information or tenancy and title details orany other information set out in these particulars or otherwise provided shall
not be relied on as statements or representations of fact or at all and any
prospective buyer or tenant must satisfy themselves by inspection or
otherwise as to the accuracy of all information or suitability of the property.
(iii) No employee of LSH has any authority to make or give anyrepresentation or warranty arising from these particulars or otherwise or
enter into any contract whatsoever in relation to the property in respect of
any prospective purchase or letting including in respect of any re-sale
potential or value or at all. (iv) Price or rent may be subject to VAT and any
prospective buyer or tenant must satisfy themselves concerning the correctVAT position. (v) Except in respect of death or personal injury caused by the
negligence of LSH or its employees or agents, LSH will not be liable,
whether in negligence or otherwise howsoever, for any loss arising from the
use of these particulars or any information provided in respect of the
property save to the extent that any statement or information has been madeor given fraudulently by LSH. (vi) In the case of new development or
refurbishment prospective buyers or tenants should not rely on any artists’
impressions or architects’ drawings or specification or scope of works or
amenities, infrastructure or services or information concerning views,
character or appearance and timing concerning availability or occupationand prospective buyers or tenants must take legal advice to ensure that any
expectations they may have are provided for direct with the seller or landlord
and LSH shall have no liability whatsoever concerning any variation or
discrepancy in connection with such matters.
Feb 2018. LSH Manchester .
VAT
The Property is elected for VAT
EPC
The property has an EPC dated 29 Nov 2012and has an Energy Performance AssetRating of C with a score of 75
HOLIDAY INN EXPRESS, BIRMINGHAM
Chester Road, Castle Bromwich, B35 7AF
March 2020