T TAGWRIGHT HOUSE35 - 41 Westland Place N1 7LP

Mixed Use Ofce and Residential Investment

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• Investment Summary •

· Situated in the dynamic district of Shoreditch, close to Silicon Roundabout, the technology hub of London.

· Providing excellent transport connections via underground, bus, mainline rail and road.

· Freehold.

· Mixed use property comprising 8,822 sq ft of ofce accommodation over lower ground, ground and mezzanine oors, with 11,693 sq ft of residential space arranged as 14 ats over four upper oors.

· Total income of £849,894 per annum, reecting a low average £44.84 psf on the ofce accommodation.

· Residential apartments let on Assured Shorthold Tenancies.

· Excellent asset management opportunities for further development and refurbishment to capitalise on strong rental growth potential with vacant possession of the ofce space achievable within the next 12 months.

· Existing planning permission for an extra storey and reconguration of the building.

· Offers are sought in excess of £18,250,000 (Eighteen Million Two Hundred and Fifty Thousand Pounds) for the freehold interest in the property subject to contract and exclusive of VAT. A purchase at this level reects a Net Initial Yield of 4.85% on the commercial income and a capital value of £907 psf in respect of the residential accommodation, and a low overall capital value of £890 psf.

City Road

East

Road

Cit

y R

oad

Old Street

Liverpool Street Station

City of London

Old Street/Silicon

Roundabout

MoorgateWhite CollarFactory

Barbican Centre

The AtlasBuilding

M by Montcalm

Hotel

The MakersShoreditch

The Bower

T TAGWRIGHT HOUSE35 - 41 Westland Place N1 7LP

Shoreditch has become one of London's most

vibrant and fashionable districts. The excellent

transport links and bustling bar and restaurant

culture has helped to maintain the popularity of

Shoreditch with a variety of occupiers.

The area is home to the third largest cluster of

technology companies in the world and is

regarded as Europe's leading technology centre,

now named the 'East London Tech City'. This

reputation has established Shoreditch as the

primary location in London for technology and

media occupiers, creating a thriving environment

for innovation and entrepreneurialism, resulting

• Shoreditch •

in Shoreditch becoming one of London's

strongest performing submarkets.

Shoreditch has beneted from extensive levels of

development and regeneration over the past

decade due to high levels of capital investment.

The Old Street roundabout is currently

undergoing a multi-million pound regeneration.

The development, called ‘Silicon Roundabout, has

received support and funding from local

authorities and central government, with

completion due in October 2020.

Major occupiers in the area include: Google, McDonalds Europe Ltd, Aviva, Adobe, Vice and Immarsat. Most recently Amazon has moved its headquarters to Shoreditch, bringing over 5,000 employee's to the area.

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• Situation •

• Connectivity •

Tagwright House is located on the junction of Westland Place and Nile Street. City Road is located immediately to the south of the property which links to Old Street roundabout to the south east and Angel and Kings Cross to the north-west. The immediate area is dominated by mixed use buildings and new build residential blocks. There are a large number of bars, restaurants and hotels within the vicinity and multiple gym and yoga studios within a 10-minute walk of the property.

Tagwright House benets from excellent connectivity being located a short 7-minute walk from Old Street Underground/Overground station and within easy walking distance of Shoreditch High Street Overground station. Old Street station provides direct connections to Kings Cross St Pancras, The City (Moorgate and Bank) and London Bridge via the Northern Line. There are also multiple bus routes in the area leading to The City and Liverpool Street to the south, and Kings Cross to the north-west along City Road.

Old Street roundabout is currently undergoing an extensive regeneration project to improve trafc ows and create further public realm areas. The regeneration project, known as ‘Silicon Roundabout’, will include new entrances to the Underground station, improved 24-hour bus lanes, segregated cycle lanes with separate signals and new public space with potential for retail units. The improved pedestrianisation will further increase accessibility to the Underground station from City Road and Tagwright House. The development will help further boost the area as the technology centre for Europe and act as the gateway to the East London Tech City.

Crossrail (The Elizabeth Line) is Europe's largest infrastructure project and will transform London's transport network when it opens, from December 2020, bringing an extra 1.5 million people within a 45 minute journey of Central London. Example journey times into the City are 8 minutes from Canary Wharf, 31 minutes from Heathrow and 57 minutes direct from Reading. Farringdon and Liverpool Street stations are easily accessible by foot or bus from the subject property.

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• Description •

The building was constructed in 2008 and provides 20,515 sq ft of ofce and residential accommodation over seven oors.

The property benets from frontage to Westland Place and Nile Street with 8,822 sq ft of ofce accommodation over lower ground, ground and mezzanine. The ofce space provides high ceilings and large windows, allowing good natural light.

The upper four oors are accessed via a dedicated entrance and are congured as 14 ats comprising 11,693 sq ft in a combination of two, three and four bedrooms. A lift serves the residential oors.

A communal bike store and bin area serves the whole building.

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Offices

- Modern exposed ceiling t-out throughout.

- VRV air-conditioning cassettes and fan coil units throughout.

- Underoor trunking to ground and mezzanine oors and perimeter trunking to the lower ground.- Double glazed windows.

- High quality strip LED lighting.

- WC provisions on each oor with shower facilities on the lower ground and mezzanine oors.

Residential

- Aluminium powder coated double glazing.

- Wood ooring.

- Gas red under oor heating.

- En suite and shared bathrooms in each at.

- Recessed lighting.

- Entry phone.

- Burglar alarm.

• Accommodation •

Basement

Ground Floor Mezzanine

1st Floor 2nd Floor

3rd Floor 4th Floor T

wc

wc

wc

wc wc wc

wc

wc

wc

Accommodation Size Size sq ft sq m

Lower Ground 2,868 266.45Ground 2,692 250.09Mezz 3,262 303.051st Floor 3,038 282.242nd Floor 3,038 282.243rd Floor 3,038 282.244th Floor 2,579 239.60

Totals 20,515 1905.91

NB Plans shown above are not to scale and are for indicative purposes only.

• Tenure •

Freehold.

The property is let in accordance with the below schedule and currently produces a total income of £849,894 per annum.

Vacant Possession of the ofce space will be available in 12 months, providing the opportunity for reletting and asset management.

Tenancy Schedule

• Tenancy •

Accommodation Size No of Lease Lease From Lease Expiry Annual Rent psf/ sq ft beds Rent Rent pcm

Lower Ground

Ground 8,822 The Boutique Workplace Company 01/12/2019 30/11/2020 £395,600 £44.84

Mezz

Flat 1 727 2 Residential Tenant 01/07/2019 30/06/2020 £28,600 £2,383

Flat 2 772 3 Residential Tenant 01/08/2019 30/06/2020 £36,140 £3,012

Flat 3 772 2 Residential Tenant 05/07/2018 04/07/2020 £28,922 £2,410

Flat 4 767 2 Residential Tenant 04/07/2017 31/10/2021 £28,080 £2,340

Flat 5 727 2 Residential Tenant 17/10/2019 16/10/2021 £30,420 £2,535

Flat 6 772 3 Residential Tenant 04/07/2017 31/10/2021 £36,400 £3,033

Flat 7 772 2 Residential Tenant 14/08/2019 13/08/2020 £28,980 £2,415

Flat 8 767 2 Residential Tenant 03/02/2019 02/02/2021 £28,340 £2,362

Flat 9 727 2 Residential Tenant 31/10/2019 30/10/2021 £32,496 £2,708

Flat 10 772 3 Residential Tenant 10/08/2019 09/08/2020 £36,400 £3,033

Flat 11 772 2 Residential Tenant 28/01/2019 27/01/2020 £29,900 £2,492

Flat 12 767 2 Residential Tenant 28/05/2016 27/12/2020 £29,120 £2,427

Flat 14 1,537 2 Residential Tenant 07/10/2017 06/10/2020 £45,396 £3,783

Flat 15 1,042 4 Residential Tenant 01/07/2019 30/06/2020 £35,100 £2,925

Ofce Total 8,822 £395,600

Residential Total 11,693 £454,294 £37,858

Total 20,515 £849,894

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The property provides the opportunity for further development and asset management.

Ÿ Full planning permission was granted on 01/12/2017 by Hackney Council (Ref:2016/4235). The permission grants the right to convert the rst oor from its current use as residential into ofces, reconguration of the existing ats at fourth oor and the further addition of a new fth oor residential extension.

Ÿ The ofces are currently congured and run as a successful serviced ofce. Vacant possession is available in 12 months offering the opportunity to re-let to a serviced ofce operator or on a traditional lease, taking advantage of the strong rental growth in the area.

Ÿ Re-let and/or refurbish the ats on the four uppers oors over a phased period, as tenancies come to an end, pushing rental values up.

The proposed oor plans are shown.

The planning documents are available upon request, or via the Council’s website.

• Asset Management •

1st Floor

2nd Floor

3rd Floor

4th Floor

5th Floor

Ofce Core

Ofce Space

Residential Core

2-Bed Flat

3-Bed Flat

TNB Plans shown above are not to scale and are for indicative purposes only.

• Local Developments •

1

The Featherstone BuildingBunhill Road, EC1

Developer: Derwent LondonDescription: 125,000 sq ft of ofce space with retail units on the ground oorCompletion: Due in 2022

Hampton by Hilton17-33 Westland Place, N1

Developer: Westcombe GroupDescription: Newest Hampton to be be developed with 111 guest rooms, restaurant and lobby bar. Planning application ongoing.Completed: TBC

The Featherstone40 Bunhill Row, EC1

Developer: Hill DevelopmentsDescription: 65 new homes (1-4 bedroom apartments.Completed: Summer 2018

Finsbury Tower103-105 Bunhill Row, EC1

Developer: CIT GroupDescription: 261,000 sq ft of ofce space and 17,130 sq ft of retail space.Completed: Summer 2018

The Atlas Building145 City Road, EC1

Developer: Rocket InvestmentsDescription: 302 apartments with high specication resident amenitiesCompleted: July 2019

The Bower207-211 Old Street, EC1

Developer: Helical plcDescription: Phase 1 - 140,000 sq ft of ofce & retail space Phase 2 - 180,000 sq ft of ofces with retail units on ground oorCompleted: August 2019

The White Collar Factory1 Old Street Yard, EC1

Developer: Derwent LondonDescription: Mixed-use development, 237,000 sq ft of ofces, 55,000 sq ft of retail space and nine residential unitsCompleted: August 2019

3

4

2

5

6

7

8

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Provost & East145 City Road, EC1

Developer: Rocket InvestmentsDescription: 80,000 sq ft NIA of ofces + ground oor retail unit and terrace amenity spaces Completed: July 2018

Nile St

Vestry St

A1200

B14

4

CHISWELL ST

Old St

Old St

A1208

Hoxton

Hoxton St

Old St

HOXTON

HACKNEY

Nile St

Old Street

B14

4

Provo

st St

B100

A501

A10

Kingsland Rd

A10

A10

City Rd

A501A501

Old St

A1202

Great Eastern St

City

Rd

Bunhill

Row

City

Rd

8

57

4

6

3

2

1

T TAGWRIGHT HOUSE35 - 41 Westland Place N1 7LP

Barbican

Shoreditch

High Street

• Occupational Market •

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Office - occupational comparables Address Date Size Rent Term (psf) (psf) (years) The Bower, Oct-19 9,572 £84.00 5207-211 Old St, EC1 Spectrum, 160 Old St, EC1 Aug-19 6,395 £85.00 5

85 Great Eastern St, Jun-19 2,588 £60.00 10EC2 Telephone House, Jun-19 7,032 £55.00 3.567-77 Paul St, EC2

Stylus, 112-116 Old St, EC1 May-19 5,444 £65.00 5

Vestry Street Studios, Apr-19 2,820 £53.14 2 10-18 Vestry St, N1

Green Mews, Feb-19 1,651 £55.00 2Bevenden St, N1 130 City Road, Nov-18 1,598 £55.00 5 EC1

OfficesCentral London take up of ofces for Q3 2019 was 3.4m sq ft, up 11% from the previous quarter and marginally above the same quarter in 2018. Availability of ofce space in Central London remained below the 10 year quarterly average and levels of demand have remained high, helping to maintain strong rental growth.

The occupational ofce market in Shoreditch has continued to be one of London's best performing submarkets in 2019. Prime rents in the Old Street area in Q3 2019 reached £85.00 psf. Rents for good quality, well located second hand ofce space range between £55.00 and £60.00 psf. Further rental growth is expected due to high levels of demand and shortage of available stock, underpinned by the growing reputation of the area as the primary location for technology occupiers in London.

Residential Residential rents for two and three bedroom ats in the Old Street area range from £2,000 pcm to £5,000 pcm, reecting the varied nature of the product available - from conversions to new build penthouses. Demand for residential space has been high in the area and there have been substantial levels of development. Notable new build developments in the vicinity include Westland Place Hoxton, which is situated opposite Tagwright House.

• Investment Market •

Central London Investment volumes rose to £2.2bn for Q3 2019, a 22% increase on the previous quarter. Domestic purchasers were dominant in the market, accounting for 55% of ofce investment in Central London and 58% of transactions in 2019 so far.

Despite the current uncertainty prime yields remained stable at the close of Q2 2019. The prime City yield stood at 4.25% in comparison to the West End where prime yields were 3.50%. Prime yields in the City fringe currently stand at 4.5%.

The investment market for ofces in the City fringe market is currently facing a shortage of opportunity and whilst the lack of stock might have subdued investment volumes it has also helped to keep demand and yields at a strong level.

Office - investment comparables

Address Date Size Capital Value Yield Cap Val sq ft (psf)

11-12 Appold St, EC2 Aug-19 22,574 £22,500,000 4.88% £996.72

19-21 Garden Walk, May-19 6,374 £6,000,000 VP £941.32EC2

48 Hoxton Sq, N1 Dec-18 8,253 £9,300,000 VP £1,126.86

Avalon House, 57-63 Dec-18 17,187 £13,800,000 4.58% £802.93Scrutton St, EC2

Residential - investment comparables

Address Date No. No. Size Sale Cap Val Beds Bath sq ft Price (psf)

The Makers, Oct-19 2 1 837 £1,090,000 £1,302Westland Pl, N1

The Makers, Sep-19 2 1 837 £1,100,000 £1,314Westland Pl, N1

1a Underwood St, May-19 2 1 1,186 £1,110,000 £936.03N1

Flat 137, Eagle Jan-19 2 2 917 £865,000 £943.29Point, City Rd, EC1

The property is elected for VAT.

The residential ats have EPC ratings ranging from C (78) to B (84), and the

commercial accommodation has a rating of C (73). Copies of the individual

certicates are available upon request.

Access to additional information is available on request.

Offers are sought in excess of £18,250,000 (Eighteen Million Two Hundred

and Fifty Thousand Pounds) for the freehold interest in the property,

subject to contract and exclusive of VAT. A purchase at this level reects a

Net Initial Yield of 4.85% on the commercial income and a capital value of

£907 psf in respect of the residential accommodation, and a low overall

capital value of £890 psf.

Further Information

Ken Morgan FRICS Matt Hunter MRICS

020 7079 1953 020 7079 1954

kenmorgan@astonrose.co.uk matthunter@astonrose.co.uk

Tom Cole Sam Hume-Kendall

020 7079 1947 020 3846 3105

tomcole@astonrose.co.uk samhume-kendall@astonrose.co.uk

MISREPRESENTATION ACT

These particulars are believed to be correct and, where practicable, reasonable steps have been taken to ensure their accuracy, however this cannot be guaranteed. They do not form part of any offer or other contract. The owner of this property does not make or give, representations or warranties in relation to this property. Aston Rose (West End) Limited and its employees do not accept any responsibility for information supplied to them by the owner or any third party. Any intending purchaser or lessee must satisfy itself by inspection or otherwise as to the correctness of the particulars. All measurements are approximate. The plans in these particulars are published for convenience of identification only, and although believed to be correct, their accuracy is not guaranteed and do not form part of any contract. N

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EMB

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4 Tenterden StreetLondon W1S 1TE

020 7629 1533

aston .co.ukrose• VAT •

• EPC •

• Data Room •

• Proposal •

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