18
T H E P O R T F O L I O
T H E
P O R T F O L I O
Bury
Stourbridge
Doncaster
INVESTMENT SUMMARY
l Three prime car dealerships located in Bury,
Doncaster and Stourbridge.
l All trade under Pendragon’s luxury brand, Stratstone and
operate the premium franchises of Land Rover (Bury and
Doncaster) and Jaguar/Morgan (Stourbridge).
l Leases guaranteed by the UK’s largest car sales business,
Pendragon Plc.
l All leases have approximately 91/4 years unexpired.
l Total income £550,655 per annum.
l Leases subject to 5 yearly upward only rent reviews with
the next review due 16th April 2014.
VAT
The properties are elected for VAT and VAT will be chargeable
on the purchase price. It is however anticipated that the
properties will be sold by way of a transfer of a going concern
(TOGC).
PROPOSAL
We are instructed to seek offers in excess of £7,180,000
(Seven Million One Hundred and Eighty Thousand Pounds).
A purchase at this level reflects a net initial yield of 7.25%,
after purchaser’s costs of 5.80%.
FURTHER INFORMATION
For further information or if you wish to arrange a viewing
please do not hesitate to contact:
Andrew Franck-Steier 0121 513 0891 07798 647 640 [email protected]
Ben Blackwall0121 513 089307798 647 [email protected]
TENANCY SCHEDULE
ADDRESS TENANT(GUARANTOR)
AREASq.ft
AREASq.m
LEASESTART
LEASEEXPIRY
RENT£ pa
RENTREVIEW
COMMENTS
Stratstone Land Rover, Bell Lane, Bury, Lancashire BL9 6DJ
Pendragon Property Holdings Ltd(Pendragon Plc)
16,854 1,565.81 16/04/2004 15/04/2024 £197,077 16/04/2014 5 yearly rent reviews to open market value.
Stratstone Land Rover, Wheatley Hall Road, Doncaster,DN2 4LR
Pendragon Property Holdings Ltd(Pendragon Plc)
16,960 1,575.64 16/04/2004 15/04/2024 £208,669 16/04/2014 5 yearly rent reviews to open market value.
Stratstone Jaguar, Grange Lane, Stourbridge,West Midlands,DY9 7HH
Pendragon Property Holdings Ltd(Pendragon Plc)
13,801 1,282.14 16/04/2004 15/04/2024 £144,909 16/04/2014 5 yearly rent reviews to open market value.
TOTAL 47,615 4,423.59 £550,655
T H E
P O R T F O L I O
PENDRAGON PLC
PENDRAGON is the largest car dealership business in the UK
and became a public limited company in 1989. The company
operates under two main dealer brands Evans Halshaw and
Stratstone and also has a used car business, Quicks. The company
also operates in the USA representing the prestige brands of
Aston Martin, Land Rover and Jaguar, with nine franchise points in
Southern California.
On 3rd May 2013, the Group announced the completion of a
comprehensive debt refinancing including the cancellation of
legacy debt to the business of £12.9m. The company’s share price
has doubled over the last 12 months. The recently released 2013
accounts show a 21% increase in profit, 300% increase in final
dividend payment and new car sales growth of 18%.
The luxury subsidiary of Pendragon, ‘Stratstone’, is one of the UK’s
leading prestige motor car retailers with 98 dealerships. Stratstone
holds franchises to retail and service Aston Martin (8), BMW (7),
Ferrari / Maserati (2), Honda (3), Jaguar (21), Land Rover (20), Lotus
(1), Mercedes-Benz (8), MINI (7), Morgan (2), Porsche (4) and Smart (3)
as well as five motorcycle franchises (Harley-Davidson / Triumph).
‘Evans Halshaw’ is the UK’s leading volume motor car retailer, with
133 dealerships. The business holds franchises to retail and service
Chevrolet (4), Citroen (17), Dacia (9), Ford (43), Hyundai (1), KIA (1),
Nissan (5), Peugeot (8), Renault (9), SEAT (1) and Vauxhall (36).
A table showing the premium marques within Stratstone’s portfolio
is set out opposite.
Pendragon Property Holdings Limited is the property holding company for Pendragon Plc and summary accounts are set out below:
Pendragon Plc’s summary accounts are set out below:
Year ended31/12/2012
£’000s
Year ended31/12/2011
£’000s
Year ended31/12/2010
£’000s
Pre-tax profit (3,907) 3,727 1,848
Shareholders’ Funds 12,930 66,837 63,110
Year ended31/12/2013
£’000s
Year ended31/12/2012
£’000s
Year ended31/12/2011
£’000s
Turnover 3,848,000 3,635,000 3,465,000
Pre-tax profit 44,000 37,000 24,000
Shareholders’ Funds 305,000 241,000 232,000
T H E
P O R T F O L I O
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STRATSTONE LAND ROVERBell Lane, Bury, Lancashire BL9 6DJ
LOCATION
Bury is one of the 10 metropolitan boroughs that
comprise the Greater Manchester conurbation.
The town is located approximately 9 miles north of
Manchester city centre and approximately 6 miles to
the east of Bolton. The town benefits from excellent
road communications, being situated approximately 2
miles to the west of junction 3 of the M66 motorway,
providing immediate access to the M61, M62 and M60
Manchester orbital motorway and ultimately to the M6
and M1 motorway network.
SITUATION
The property is situated in close proximity to the town
centre on Bell Lane at the junction with Bridge Street in
an established commercial location. Occupiers in close
proximity include Smith Knight Faye Volkswagen and
Speedy Car. Woodfields and Moorgate Retail Parks are
within ¼ mile of the property and other car dealerships
within ½ mile of the property include Vauxhall, Ford
and Toyota and Nissan.
DESCRIPTION
The property comprises a modern purpose built car
showroom with workshop to the rear and separate
valet and car wash building. The showroom is of steel
portal frame construction and has full height glazed
windows. The showroom is split level and fitted out
to the latest Land Rover dealership specification with
7 internal display spaces. There are offices and a parts
store to the rear of the showroom.
The workshop is also of steel portal frame construction
and has an eaves height of approximately 4.5m. There
are 12 service bays in addition to a preparation area
which are accessed via 2 roller shutter doors. A separate
car valet building is located to the rear of the workshop
in a secure gated compound with palisade fencing.
Externally the property benefits from a display area to
the front and side of the building with 66 spaces along
with a further 18 spaces for customer and staff parking.
To the rear within the compound are a further 58 car
spaces.
SITEThe site area is 0.58 hectares (1.43 acres).
ACCOMMODATIONThe property has been measured in accordance with the RICS code of measuring practice 6th Edition and
comprises the following gross internal floor area:
TENUREFreehold.
TENANCYThe property is let to Pendragon Property Holdings Limited with a guarantee from Pendragon Plc for a
term of 20 years with effect from 16th April 2004. The lease is held on a full repairing and insuring basis and
subject to 5 yearly upwards only rent reviews with the next review due 16th April 2014.
The current rent is £197,077 per annum.
EPCThe property has an EPC rating of C 62.
FLOOR DESCRIPTION SQ.M SQ.FT
Ground Showroom 388.79 4,185
Offices 159.75 1,720
Workshop 669.92 7,212
Mezz Workshop 40.88 440
Ground Parts 76.68 825
Mezz Parts 53.33 574
Ground Ancillary 41.46 446
Ground Valet Bay 135.00 1,453
TOTAL 1,565.81 16,854
Car spaces Display 66
Customer 18
Storage 58
STRATSTONE LAND ROVERWheatley Hall Road, Doncaster, DN2 4LR
LOCATION
Doncaster is very well located, benefitting from
excellent communications and is one of the largest
commercial centres in South Yorkshire. The town lies
approximately 18 miles north east of Sheffield, 20
miles south east of Wakefield and 30 miles south east
of Leeds.
Doncaster is strategically located at the intersection of
the A1(M) and M18 motorways, with the A1(M) providing
a fast link to the M62 to the north west and the M18
connects into the M1 to the south west.
SITUATION
The property is very prominently situated on the south
side Wheatley Hall Road (A630), approximately 1½
miles north east of the town centre in Doncaster’s
principal car dealership location. Car dealerships in
close proximity include BMW, Mini, Volvo, Mercedes,
Jaguar, Audi, Fiat, Vauxhall, Peugeot and Honda.
Wheatley Retail Park lies close by with occupiers
including Boots, Matalan and Argos.
Wheatley Hall Road is a dual carriage way road linking
the town centre to the south with J4 of the M18
approximately 2 miles to the north east.
DESCRIPTION
The property comprises a modern purpose built car
showroom with workshop to the rear and separate
valet and car wash building. The showroom benefits
from a double height fully glazed curved frontage to
Wheatley Hall Road fitted out to the latest Land Rover
specification. The showroom has 7 internal car display
spaces, along with a large reception area and 2 storey
integral offices. There are further offices and a parts
store with substantial mezzanine to the rear of the
showroom.
The workshop is directly to the rear of parts store and
offices and is of steel portal frame construction with
an eaves height of approximately 4.6m. There are 12
service bays in addition to a preparation area which
are accessed via a roller shutter door. There is another
roller shutter door to the parts store. A separate car valet
building is located to the rear of the workshop within a
gated compound secured with palisade fencing.
Externally the property benefits from a display area to
the front and side of the building for approximately 38
cars with 28 spaces for customer and staff parking.
There are a further 44 car spaces to the rear of the
property within the compound.
SITEThe site area is 0.58 hectares (1.43 acres).
ACCOMMODATIONThe property has been measured in accordance with the RICS code of measuring practice 6th Edition and
comprises the following gross internal floor area:
TENUREFreehold.
TENANCYThe property is let to Pendragon Property Holdings Limited with a guarantee from Pendragon Plc for a
term of 20 years with effect from 16th April 2004. The lease is held on a full repairing and insuring basis and
subject to 5 yearly upwards only rent reviews with the next review due 16th April 2014.
The current rent is £208,669 per annum.
EPCThe property has an EPC rating of D 78.
FLOOR DESCRIPTION SQ.M SQ.FT
Ground Showroom 352.65 3,796
Offices 118.84 1,279
Parts 106.56 1,147
Mezz Parts 94.39 1,016
Workshop 574.00 6,178
Ancillary 21.47 231
First Offices & Ancillary 207.43 2,233
Valet Bay 100.30 1,080
TOTAL 1,575.64 16,960
Car spaces Display 38
Customer 28
Storage 44
STRATSTONE JAGUAR / MORGANGrange Lane, Stourbridge, West Midlands, DY9 7HH
LOCATION
Stourbridge lies approximately 12 miles to the
west of Birmingham city centre, 11 miles south of
Wolverhampton, and 7 miles north of Kidderminster.
The town is part of the wider Black Country region, and
lies within the Metropolitan Borough of Dudley.
The town is located approximately 7 miles to the west
of junctions 3 and 4 of the M5 motorway via the A456.
SITUATION
The property lies in a very prominent position adjacent
to a Mazda and Volvo car dealership on Grange Lane,
approximately 1 mile to the east of Stourbridge town
centre. The surrounding area is predominantly mixed
use and there are a number of other car dealerships in
close proximity including Hyundai and Stratstone Land
Rover.
DESCRIPTION
The property comprises a modern purpose built 2
storey car showroom with workshop to the rear and
separate valet and car wash building. The ground floor
car showroom has 4 internal display spaces and is a
Morgan dealership and the upper ground showroom
with 6 display spaces is a Jaguar dealership. The site
is sloping allowing for ground floor access to both
showrooms. There are offices to the rear of both
showrooms and a large workshop.
The workshop has 10 service bays and is accessed via a
roller shutter door and benefits from an eaves height of
5.4m. A separate car valet building is located to the rear
of the workshop within a gated compound secured
with palisade fencing.
Externally, the property benefits from a display area to
the front and side of the building with 27 spaces and a
further 14 spaces for customer and staff parking. There
are a further 72 car spaces to the rear of the property
within the compound.
SITEThe site area is 0.53 hectares (1.30 acres).
ACCOMMODATIONThe property has been measured in accordance with the RICS code of measuring practice 6th Edition and
comprises the following gross internal floor area:
TENUREFreehold.
TENANCYThe property is let to Pendragon Property Holdings Limited with a guarantee from Pendragon Plc for a
term of 20 years with effect from 16th April 2004. The lease is held on a full repairing and insuring basis and
subject to 5 yearly upwards only rent reviews with the next review due 16th April 2014.
The current rent is £144,909 per annum.
EPCThe property has an EPC rating of C 75.
FLOOR DESCRIPTION SQ.M SQ.FT
Ground Showroom 144.82 1,559
Upper Ground Showroom 295.37 3,179
Ground Offices 12.80 138
Upper Ground Offices 49.18 529
Ground Parts 128.51 1,383
Workshop 420.67 4,528
Ancillary 75.30 810
Valet Bay 155.49 1,674
TOTAL 1,282.14 13,801
Car spaces Display 27
Customer 14
Storage 72
Misrepresentation Clause : The accuracy of any description, dimensions, references to condition, necessary permissions for use and occupation and other details contained herein are not guaranteed and are for general guidance only and prospective purchasers or tenants must not rely on them as statements of fact or representations and must satisfy themselves of their accuracy. Neither Franck-Steier Price Ltd, nor any of their employees or representatives has any authority to make or give any representation or warranty or enter into any contract whatever in relation to the property. Prices and rents quoted in these particulars may be subject to VAT in addition. The reference to any mechanical or electrical equipment or other facilities at the property shall not constitute a representation (unless otherwise stated) as to its state or condition or that it is capable of fulfilling its intended function. Prospective tenants/purchasers should satisfy themselves as to the condition of such equipment for their requirements.
For further details or if you wish to arrange aninspection please contact:
Andrew Franck-Steier0121 513 089107798 647 640
Ben Blackwall0121 513 089307798 647 836
