69–89 MILE END ROAD, WHITECHAPEL, LONDON E1

FOR SALE - OFFICE AND RETAIL BUILDING

OF INTEREST TO INVESTORS, DEVELOPERS & OWNER OCCUPIERS

98,684 FT² (9,168 M²) GIA

KEY INVESTMENT CHARACTERISTICS

_ Dept. W is a mixed use iconic building consisting of office and retail.

It is situated in the heart of Whitechapel, comprising 98,684 ft² (9,168 m²)

GIA arranged over basement, ground and three upper floors.

_ Dept. W is a 1920’s art deco building, which formerly housed the famous

Wickhams department store.

_ Located 200 yards east of Whitechapel’s proposed Elizabeth Line station.

Occupiers include Tesco, Sports Direct, Central Working, Foxcroft & Ginger

and KANO Computing.

_ The property is held by way of 4 Freehold and 6 Long Leasehold Interests.

_ The site covers an area of 0.65 acres.

_ Planning consent has been granted as of 31st March 2016 for a

Buckley Gray Yeoman Architects designed scheme to improve the existing

1st and 2nd floor office accommodation and replace the existing 3rd floor

with a new two storey extension. A new central core would serve the upper

floors accessed from a new main entrance fronting Mile End Road.

_ Current passing rent of £747,982.50 per annum.

_ Vacant possession of the 1st to 3rd floors can be provided by February 2017.

_ The planning permission extends the existing building to

127,775 ft² (11,871 m²) gross external area and 97,553 ft² (9,063 m²)

net internal area of B1 on 1st to 4th floor with retail and leisure use (use class

A1/A2/A3/A4/B1/D1/D2) on ground and lower ground.

_ Offers in excess of £38,500,000, representing £390.00 ft² on the existing

gross internal area.

01 DEPT. W

02

Royal LondonHospital

Whitechapel Station

Cambridge Heath Rd Elizabeth Line Entrance

03 DEPT. W

A RICH BUILDING HISTORY

This iconic property was for the early part of the 20th Century occupied primarily by Wickhams Department Store, heralded as the “Harrods of the East End”.

The building was designed to upstage Selfridges department store

on Oxford Street, having a grand neo-classical colonnaded front

but with a central tower and clock that Selfridges did not have.

Mr Wickham’s store was a grand and glorious East End emporium

heralded as the “Harrods of the East End”. His highly respected

store was a celebrated part of the community for over 40 years.

At the time that Mr Wickham was putting together his first design

plan, a certain Mr Spiegelhalter had a thriving jewellery business

along that particular stretch of the Mile End Rd.

It’s not known why, but the jeweller, having initially agreed

to re-locate, had a change of heart. The story goes that

Mr Spiegelhalter was made an offer of ‘having the floor covered

with sovereigns’ to move out. His response was, “only if they are

stood on edge”. He then wasn’t in the mood to move until 1982 and

the front of his shop still stands defiantly proud in the middle of the

grand colonnade.

04

Whitechapel Vision to provide:

_ Elizabeth Line to open in 2018.

_ 3,500 new homes by 2025.

_ 5,000 new jobs.

_ Civic redevelopment of the Old Royal London Hospital.

_ Transforming Whitechapel Road into a destination

shopping area for London.

_ Creating 7 new public squares and open spaces.

_ Creating a world class Life Science Campus at Queen

Mary University London.

LOCATION

Dept. W is located approximately 5 minutes walk east of the proposed Whitechapel Elizabeth Line station and approximately 7 minutes walk west of Stepney Green station. It’s situated in a prominent position on the north side of Mile End Road at its junction with Cleveland Way.

This iconic building is located three miles to the east of the

City of London within Tower Hamlets with a substantial frontage

onto Mile End Road, which links East London and the City.

The surrounding area is due to dramatically change with the

opening of the Elizabeth Line in 2018. Further, Tower Hamlets

recent consultation paper proposes c.£900M of redevelopment in

the area over the next 15 years to revitalise Whitechapel Road with

new offices, shops and homes funded by a mix of grants and

private finance.

05 DEPT. W

06

LOCATION

The area is undergoing a dramatic transformation and along with the excellent travel links has attracted occupiers from a wide range of sectors.

The property is seven minutes walk to the west to the current

Whitechapel station entrance (East London, District and

Hammersmith & City lines) and Stepney Green station (District

and Hammersmith & City lines). Bethnal Green station

(Central line) to the north is less than a 10 minute walk away.

The new Elizabeth Line station will connect Whitechapel

to Canary Wharf and Heathrow via Central London.

Amenities

01 40 Winks Hotel

02 Genesis Cinema

03 Chicken Shop

04 Dirty Burger

05 CrossFit London

06 Currys PC World

07 Halfords

08 Mile End Retail Park

09 Sainsbury’s

RoyalLondonHospital

BethnalGreenGardens

WeaversFields

StBartholmewGardens

StepneyGreenPark

CephasAvenue

CephasStreet

CephasStreet

ClevelandW

ay

BradyStreet

SidneyStre

et

AdelinaGrove

RedmansRoad

LindleyStreet

SmithyStreet

JamaicaStre

et

CollingwoodStre

et DarlingRow

StepneyWay

HannibalRoad

Rave

nRow

CavellStre

et

Durw

ardStreet

HeadlamStreet

WilmotStre

et BarnsleyStreet

Cudwort

hStreet

Coop

ersClose

EdwardP

assageR

oad

StepneyGreen

MalcolmPla

ce Ha

dleighStreet

ColebertAvenueBancroftRoad

MantusR

oad

SceptreRoad

MassinghamStreet

Corfie

ldStre

et

Whitech

apelRo

ad

MileEn

dRoad

CambridgeHeathRoad

GlobeRoad G

lobeRoad

ThreeColt

sLane

StepneyGreen

CambridgeHeathRoad

BethnalGre

enRoad

BethnalGreen

Whitechapel

ElizabethLine

StepneyGreen

BethnalGreen

0102

07

03

09

08

04

05

06

Transport lines

London Underground

London Overground

Elizabeth Line

National Rail

Central

District

Hammersmith & City

07 DEPT. W

ELIZABETH LINE

As the City moves east, Whitechapel is set to become one of the most connected places in the capital by public transport, with a significant rail and tube interchange at Whitechapel station.

The Elizabeth Line will run 118 km from Maidenhead and Heathrow in

the west, through new twin-bore 21km tunnels under central London

to Shenfield and Abbey Wood in the east.

It will bring an additional 1.5 million people within 45 minutes

commuting distance of London’s key business districts.

Around 200 million passengers will travel on the Elizabeth Line

each year and the route will provide a 10% increase to rail capacity

in the capital.

The new Whitechapel Elizabeth Line station will use the existing

Whitechapel Road entrance to the London Underground and

London Overground station, with a new separate entrance onto

Cambridge Heath Road providing access to all lines and within a

5 minutes walk (350 yards) of Dept W.

The Elizabeth Line platforms will be in deep tunnels to the north of the

existing station but they will all share a concourse, ticket hall, gateline

and station operations room, leading to a fully integrated station that

provides an easy step-free interchange between the Elizabeth Line,

Hammersmith and City, District and Overground lines.

Elizabeth Line times from

Whitechapel (in mins)

WHITECHAPEL

Reading63 mins

Slough41 mins

Heathrow38 mins

Paddington13 mins

Tottenham Court Road7 mins

Liverpool Street2 mins

Stratford5 mins

Canary Wharf3 mins

Bond Street10 mins

Farringdon5 mins

10BOND

STREET

38HEATHROW

AIRPORT

07CITY

AIRPORT

05STRATFORD

03CANARY WHARF

Top: New over-station development from Durward Street. Above left: New concourse.

Above right: New secondary Elizabeth Line entrance at Cambridge Heath Road.

08

WHITECHAPEL DEVELOPMENT

Whitechapel has a rich history often characterised by extremes of social conditions in the times of Victorian London.

Royal London Hospital

Opposite Whitechapel station is the Grade II

listed old Royal London Hospital site which

was originally opened in 1757 and is now dwarfed

by the £1bn world class hospital facility that

replaced it in 2012. The old building was recently

purchased by Tower Hamlets Council to be the

new town hall. The site received planning in

November 2015 for a £77M makeover by

AHMM architects and is due to be open in 2019.

The new Town Hall will be the central part

of the Whitechapel Masterplan designed to

manage the regeneration and redevelopment

around Whitechapel Road and Cambridge Heath

Road over the next 10 to 15 years.

The Civic Hub regeneration of the old Royal

London Hospital building which will house

a new 21st Century town hall will be set

around a new high quality Civic Square

to encourage complementary community

and commercial uses including a media hub,

retail and restaurants.

Notoriety

Whitechapel was at the centre of national

attention during the tragic murders committed by

Jack the Ripper, the Siege of Sidney Street

by Winston Churchill and the Second World War

bombing of the East End. Within a short walk of

Dept. W is the notorious The Blind Beggar pub

where Reggie Kray stabbed to death

Jack ‘The Hat’ McVitie.

5,000NEW JOBS

09 DEPT. W

WHITECHAPEL DEVELOPMENT

Culture

Dept. W sits adjacent to the Genesis

Cinema complex which has been used for

entertainment purposes since the mid 19th century.

Charlie Chaplin and Laurel & Hardy are both

known to have performed here.

At 109 Mile End Road is one of Conde Nast’s

boutique hotels of the year, 40 Winks

(www.40winks.org). The hotel is a particular

favourite for fashion folk and artists and hosts

many fashion shoots.

Life Science Campus

To the rear of the site is a proposed new life

science campus to support health, bio tech and

life sciences research. The Whitechapel Vision

aims to deliver over 3,500 new homes by 2025,

generate 5,000 new jobs, create 7 new public

squares and a world class Life Science Campus at

Queen Mary University London which operates

5 campuses centred around Whitechapel and has

over 17,500 students.

The new Elizabeth Line entrance on

Cambridge Heath Road will sit adjacent

to the Sainsbury’s Superstore which within

the Whitechapel Vision will be re-developed

to provide a larger store with new residential

and community facilities.

07NEW PUBLIC

SPACES

3,500NEW HOMES

BY 2025

10

EXISTING BUILDING

Dept. W occupies a site totalling c.0.65 acre constructed over basement, ground and three upper floors, extending to a gross internal area of c. 98,684 ft2 (9,168 m2) arranged as:

Existing Floor Areas

Floor Use Area m² ft²

3rd Offices GIA 848.2 9,130

2nd Leisure and Assembly GIA 1,802.0 19,397

1st Offices GIA 2,069.4 22,275

Ground Retail, Office and Café GIA 2,317.0 24,940

Basement Retail or Storage GIA 2,131.4 22,942

Total 9,168.0 98,684

*Net Internal areas for the Part Ground, First & Third Floors available upon request.

1

2

3

B

G

11 DEPT. W

EXISTING FLOOR PLANS

Basement

Retail / Storage

22,942 ft² / 2,131.4 m² (GIA)

Floor plans not to scale, for indicative purposes only.

Ground Floor

Retail / Office / Café

24,940 ft² / 2,317.0 m² (GIA)

1st Floor

Office

22,275 ft² / 2,069.4 m² (GIA)

O P E N

V O

I D

LIFT

WC FROMPHASE 1 WORKS

LIFTDISUSED

OPENVOID

LIFT

O P E N

V O

I D

H O

A R D

I N G

Usable Space

Reception

Core

Mile End Road

2nd Floor

Leisure and Assembly

19,397 ft² / 1,802.0 m² (GIA)

3rd Floor

Office

9,130 ft² / 848.2 m² (GIA)

Mile End Road

Mile End Road

Mile End Road

Mile End Road

12

13 DEPT. W

14

DEVELOPMENT POTENTIAL

The planning permission dated 31st March 2016 proposes a comprehensive refurbishment, change of use and extension of the former department store to provide a co-working office hub for startups and SMEs with ground floor and basement retail and commercial uses.

_ The front elevation of the former department store would

be refurbished with new shopfronts installed, together

with modern awnings.

_ The existing 3rd floor mansard extension would be removed.

_ A new modern two storey roof extension erected at

3rd and 4th floor levels.

_ A new central core would serve the upper floors accessed

from a new main entrance/reception from Mile End Road.

_ Make good and repair all existing ground floor stonework,

original windows etc.

Building Arrangement

4th B1 Office

3rd B1 Office

2nd B1 Office

1st B1 Office

Ground A1–4 Retail + B1 Office

Basement Flexible A1/A3 + B1 Office + D1/D2

1

2

3

4

B

G

15 DEPT. W

16

CGI for guidance purposes only. Not a statement of fact.17 DEPT. W

Planning permission was granted in March 2016 for the

comprehensive refurbishment, change of use to the second

floor and extension of 69-89 Mile End Road to provide 127,775 ft²

(11,871 m²) Gross External Area and 97,553 ft² (9,063 m²)

Net Internal Area of B1 accommodation on 1st to 4th floors,

with A1, B1, café and gym accommodation on ground

and lower ground floors.

 The Buckley Gray Yeoman designed scheme will provide

the following accommodation:

Gross External Areas

Floor Use m² ft²

4th Offices 966 10,398

3rd Offices 1,523 16,393

2nd Offices 1,988 21,397

1st Offices 2,331 25,090

Ground Retail, Office and Café 2,499 26,899

Basement Retail and Leisure 2,564 27,598

Total 11,871 127,775

Net Internal Areas

Floor Use m² ft²

4th Offices 910 7,696

3rd Offices 1,444 12,992

2nd Offices 1,885 17,491

1st Offices 2,229 20,893

Ground Retail, Office and Café 2,387 17,190

Basement Retail and Leisure 2,443 21,291

Total 9,063 97,553

DEVELOPMENT POTENTIAL

18

PROPOSED FLOOR PLANS

Basement

Retail/Leisure

21,291 ft² / 2,443 m² (NIA)

UNIT BUNIT A

UNIT C

UNIT D

Ground Floor

Retail / Office / Café

17,190 ft² / 2,387 m² (NIA)

1st Floor

Office

20,893 ft² / 2,229 m² (NIA)

Usable space

Reception

Core

Mile End Road

Mile End Road

Mile End Road

19 DEPT. W

PROPOSED FLOOR PLANS

Floor plans not to scale, for indicative purposes only.

2nd Floor

Offices

17,491 ft² / 1,885 m² (NIA)

3rd Floor

Offices

12,992 ft² / 1,444 m² (NIA)

4th Floor

Offices

7,696 ft² / 910 m² (NIA)

Mile End Road

Mile End Road

Mile End Road

20

Floor Planning Use

m2 Approx

ft² Approx

Tenant Current Rent Lease Term Comments

3rd B1 848.20 9,130 Wellarm Services Ltd £60,000.003 years to expire on 10/02/17 with landlord’s rolling 6 month break.

2nd D2 1,802.03 19,397 Castigliane Commercial Ltd £188,370.003 years to expire on 04/12/16 with mutual rolling 6 month break.

1st B1 2,069.40 22,275 City Lounge Ventures Ltd £246,362.50 3 years to expire 27/02/17

Ground A1 419.17 4,512 Tesco Stores Ltd £83,250.00 15 years to expire 16/07/25Next review due 17th July 2015. Review is based on cap and collar of 1% and 4%.

Ground A1 774.43 8,336 Sportsdirect.com Retail Ltd £90,000.00 10 years to expire 14/09/21 Next review due 15th Sept 2016.

Ground A1 195.00 2,099 F&G @ Dept. W Ltd £25,000.003 years to expire 02/03/17 with Landlords break after 03/06/15 on 3 months’ notice.

Current income plus turnover rent.

Ground B1 389.82 4,196 Kano Computing Ltd £55,000.005 years to 25/06/19 with mutual break at 3 years subject to 6 months’ notice.

Basement D2 2,131.36 22,942 Vacant

Total £747,982.50

* Areas stated above are approximate gross internal areas of the let accommodation.

TENANCY SCHEDULE

21 DEPT. W

Tesco Stores Ltd

Year Ending Feb 2013 Feb 2014 Feb 2015

Turnover £42.662 Bn £34.547 Bn £42.278 Bn

Pre Tax Profit £921 M £1.696 Bn -£3.727 Bn

Total Net Worth £3.113 Bn £3.038 Bn -£98.0 M

Sports Direct.Com (retail)

Year Ending Apr 2013 Apr 2014 Apr 2015

Turnover £1.677 Bn £1.864 Bn £2.074 Bn

Pre Tax Profit £178.6 M £202.6 M £262.9 M

Total Net Worth £489.5 M £665.6 M £872.4 M

City Lounge Ventures (t/a Central Working)

Established in May 2011, Central Working provides invaluable tools to

help small and medium enterprises to grow. They currently have four

‘clubs’ which provide a collaborative environment for businesses to

foster collaboration and peer development. Central Working has

three sites in London, with Dept W running an “escalator” service in

partnership with Barclays.

Further information is provided at www.centralworking.com about

their existing clubs in Bloomsbury, Shoreditch, Whitechapel and

Deansgate, Manchester.

The Gym GroupHeads of terms are being agreed with the Gym Group on the lower

ground floor for 20,311 Ft² GIA comprising a dedicated ground floor

entrance with stairs and lift leading to a basement gym space.

These works have already been completed as of 2014.

The accommodation is to be handed over in shell condition.

The Landlord will undertake to provide the following:

_ Provide fully self-contained premises including internal stairs and

DDA access lift connecting ground and lower ground.

_ All capped off services to the unit with utility requirements

in agreed locations.

_ Provision of plant area – size and location to be agreed on site.

Term:

20 year lease inside the L&T Act 1954 from completion. The tenant

will have an option to determine the lease at the 15th anniversary.

Years 1-5: £18.00 /ft²

Years 6-10: £19.80 /ft²

Years 11-15: £21.78 /ft²

Years 16-20: £23.96 /ft²

The tenant will have the benefit of 12 months’ rent free from

commencement of the term.

Rent Review pattern:

The rent will be reviewed every 5th year on an upward only basis

and will increase at each review by 10%.

Planning:

The tenant is seeking planning consent for 24 hour opening.

LG FLOOR LETTING

KanoKano is a DIY computer kit designed to help people of all ages to

assemble a computer from scratch and to learn basic coding skills. 

In November 2013 Kano initiated a crowd funding Kickstarter

campaign, which raised $1.5M in one month to help launch the mass

production of the device.

Foxcroft & GingerFoxcroft & Ginger opened in Soho in January 2010. The restaurant

provides an all day food and drink experience offering high quality

coffee, food and alcohol.

TENANT COVENANTS

22

23 DEPT. W

24

TenureThe property is held part Freehold and part

Long Leasehold under 10 separate Land Registry

titles, four of which are held freehold and six

long leaseholds within dates from 25/03/1670

for a term of 500 years. Further information is

available on request.

Current IncomeCurrent passing rent of £747,982.50 /A.

PriceOffers in excess of £38,500,000, representing £390

ft² on the existing gross internal area.

VATThe property has been elected for VAT

purposes, however it is anticipated that the

sale will be treated as a Transfer of a Going

Concern (TOGC).

EPCAvailable on request.

FURTHER INFORMATION

10

2 5

4

El Sub Sta

6

112

1

Shelter 100

88

86

90

9

82

59 to 67

7

23

126

128

ElizabethBates Court

1 to 20

CLEVELAND GROVE

to

El Sub Sta

Lodge

16

91

11

40

54

Lodge

28

18b

68to

Hamilton

18

1 to 19

81

27

99

1

20 to 24

69 to 79

10

1 to 16

18c

55

1

2

Cromwell

Gate

1 to 12

62

39

1614

Lodge

63

15 to

21

1a

to

1

60

to

52

6

City

107

18a

1a

ESS

83 to 89

10 9593

51

59

Bellevue Place

0m 10m 20m 30m

Ordnance Survey © Crown Copyright 2014. All rights reserved. Licence number 100022432. Plotted Scale - 1:1250

25 DEPT. W

26

Colliers International & Allsop, give notice that these particulars are set out as a general outline only for the guidance of intending Purchasers or Lessees and do not constitute any part of an offer or contract. Details are given without any responsibility and any intending Purchasers, Lessees or Third Party 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. No person in the employment of Colliers International & Allsop has any authority to make any representation or warranty whatsoever in relation to this property. October 2016.

Shaun Simons

07788423131shaun.simons@colliers.com

Michael Raibin

07880795679michael.raibin@colliers.com

James Abrahams

020 7588 4433james.abrahams@allsop.co.uk

Matthew Millman

020 7588 4433matthew.millman@allsop.co.uk

FURTHER INFORMATION

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