Halfords, Marlborough Retail ParkHighfield Road, Craigavon, BT64 1AG

Prime Open A1 Retail Warehouse

Investment Summary

• Thepropertyoccupiesaprominentlocationin CentralCraigavonadjacenttoTescoExtra,B&Q andRushmereShoppingCentre&RetailPark

• Apurposebuiltretailwarehouseunitwithagross internalareaof7,791sqft.

• Freehold.

• OpenClassA1retailplanningpermission.

• ThepropertyislettoHalfordsLimitedona20year fullrepairingleasefrom1stNovember2002(tenant breakclausesatyears11&16).

• Currentrentpassingis£89,784perannum.The leasestipulatesthepropertyistobereviewedtoa 7,482sqftunitandonthisbasistherentequates to£12persqft.

• Opportunitytoregearthelease.

• Wehavebeeninstructedtoseekoffersinexcessof £850,000 (Eight Hundred and Fifty Thousand Pounds)reflectinganattractivenet initial yield of 9.98%withareversionary yield(based on our opinion of ERV) of 10.40%excludingVAT andassumingfullpurchaserscostsat5.80%.

Open Class A1 Retail Warehouse forming part of Craigavon Town Centre.

Derry

Craigavon

Newcastle

Middelsbrough

York

Leeds

Bolton

Liverpool

Dublin

Manchester

Nottingham

BirminghamCambridge

London

Oxford

Reading

Luton

Hull

ThesubjectpropertyislocatedinCraigavon,CountyArmaghandliesinbetweenthetownsofPortadownandLurgan.Craigavonislocatedapproximately28miles(45km)South-WestofBelfastand23miles(37km)NorthofNewry.

CraigavonenjoysexcellenttransportinfrastructureandiswellconnectedtotherestofIrelandandtomainlandUK.CraigavonhasgoodroadnetworksbeingpositionedwithincloseproximitytotheM1motorwaywhichlinksBelfast,approximately30minutesdrivetimetotheNorthandDublinviatheA1isapproximately1hour30minutesdrivetimetotheSouth.

InadditionthedirectBelfasttoDublintrainservicestopsinPortadownsome3.5miles(5km)totheSouth-Westofthetown.GeorgeBestBelfastCityAirportislocatedapproximately30miles(48km)totheNorth-EastwithBelfastInternationalAirportsome28miles(45km)totheNorth.

CraigavonBoroughhasthethirdlargestpopulationinNorthernIrelandandperformsastrongsub-regionalroleofferingawiderangeofservicesandfacilities,includinganacutehospital.

TheBoroughhasacatchmentpopulationof180,000,secondonlytoBelfastandhasthehighestbirthrateinthecountryof2.3%,Craigavon’spopulationof93,023isforecasttocontinuetogrowto100,000by2015andto112,000by2023.Additionallythereisapopulationof805,390withina45minutedrivetime.(Source:NISRA2011)

Craigavonisranked20thinCACI’srankingofover400IrishRetailFootprintCentresand7thinNorthernIrelandRetailFootprintranking.FurthermorethesurroundingretailareahasthegreatestretailfootprintattractivenessscoreoutsideoftheshoppingcentresinBelfast.

Belfast

Lisburn

Newry

Permit ID:130039 © Crown Copyright 2013

Thepropertyisapurposebuiltretailunit,constructedin2002extendingto7,791sqft.Themainretailareaisprimarilysinglestoreyhoweveritaccommodatesaretailareaatmezzaninelevel.Thebuildingcomprisesasteelportalframesupportingalowdualpitchedandhippedrooffinishedwithcompositeplastisolcoatedprofiledsteelsheetinginterspersedwithtranslucentrooflights.

Theexternalwallsarefinishedwithaplinthofclay

facingbrickatlowerlevelandthenalternatecoursesofclayfacingbrickandfairfacedconcreteblocksextendinguptoeaveslevel.Atthefrontofthebuildingaflatroofedatriumenclosedwithpolyestercoatedaluminiumcurtainwallingcompletewithsealeddoubleglazedunitsformsthecustomerentrance.

Internallythemainretailandmezzanineretailareasarelargelyopenplan.Themainretailareaisheatedwithanoilfiredductedwarmairunitwhichalso

incorporatesacoolingcoil.Asecondoilfiredboilerprovidestheheatingsourceforthedomestichotwaterandlowtemperaturehotwatersysteminthebackofhouseaccommodation.Illuminationthroughoutislargelybyfluorescentlighting.

Thepropertyoccupiesasiteofapproximately1.11acresandincludesapproximately48carparkingspacesequatingtoaratioof1:230sqft.

ThepropertyisfullylettoHalfordsLimitedforaperiodof20yearsfromtheleasecommencementdateof2ndNovember2001withaleaseexpiryon1stNovember2021.Thetenanthasoptionstodeterminetheirleaseattheendofthe11thand16thyear.

Thepropertybenefitsfrom5yearlyopenmarketrentreviewswiththenextreviewdueon2ndNovember2016.Thecurrentrentpassingis£89,784perannumandtheleasestipulatesthepropertyistobereviewedtoa7,482sqftunit.Onthisbasistherentequatesto£12persqft.

AmeasuredareassurveyhasbeenundertakenbyPlowmanCravenLtdwhichisassignabletothepurchaserandisavailableinthesecuredocumentlibrary.

  YE 30/03/2012 YE 01/04/2011 YE 02/04/2010 Halfords Ltd GBP(000’s) GBP(000’s) GBP(000’s)

SalesTurnover 752,300 771,400 817,600

Profit/(Loss)BeforeTaxes 101,300 122,000 109,200

TangibleNetWorth 425,800 350,900 261,500

NetCurrentAssets(Liabilities) 347,100 270,900 181,600

Description

Unit Tenant Floor Area (sq ft) Area (sq m) Rent (£) Lease Start Lease Expiry Rent Review Tenant Break Option

Unit1 Halfords Ground 7,791 724 Marlborough limited 89,784 02/11/2001 01/11/2021 02/11/2016 02/11/2017RetailPark Mezzanine 3,256 302.5

Tenancy and Accommodation

Tenant Covenant

HalfordsCraigavonsitsadjacenttoan86,620sqftB&QwhichtogetherformMarlboroughRetailPark.ThesubjectpropertyissituatedadjacenttoaTescoExtrawhichalongwiththe490,000sqftRushmereShoppingCentre&RetailParkformCraigavonTownCentreassetoutintheBoundariesandRetailDesignationsPlan2010.

RushmereShoppingCentre&RetailParkishometocirca70retailersandisanchoredbySainsbury’s,Debenhams,HomebaseandTKMaxx.RecentlyplanningapprovalhasbeengrantedforanOmniplexCinemaincloseproximitytoMarlboroughRetailParkwhichwilladdalatenightleisureelementtotheretailoffer.

Situation

CENTRAL W

AY

CENTRA

L WAY

MARKET

LANE

CENTRAL W

AY

HIGHFIELDROAD

CENTRA

L WAY

CENTRAL W

AY

LAKEVIEW

ROAD

BALTEAGH

ROAD

HIGHFIELD ROAD

MANDEVILLEROAD

EROAD

TESCO

B&Q

DEB

ENH

AM

S

TK M

AX

X

SAIN

SBU

RY

S

MEN

AR

YS

NEX

T

AR

GO

S

PETS AT

HO

ME

HA

RR

Y

CO

RR

Y

CU

RR

YS

HOMEBASE

POUND

STRETCHER

B&MBARGAINS

MATALAN

DU

NN

ES

STOR

ES

HO

ME

BA

RG

AIN

S

HALFORDS

TESCOPFS

Tenure

Freehold

Forindicativepurposesonly

Planning

OpenClassA1planningpermission.ThesubjectsiteandadjoininglandsweredesignatedTownCentreaspartofthe‘CraigavonTownCentre,BoundariesandRetailDesignationsPlan2010’.

ThesurroundinglandsareproposedforadditionalOpenA1retailandleisureusers.AnyretaildevelopmentintheCraigavonAreawillbefocusedwithinthenewtowncentredevelopmentlimit.

MarlboroughRetailParkandRushmereRetailParkformCraigavonTownCentreandisthedominantretailwarehouseprovisionforthesurroundingcatchment.

Marlborough Retail Park – Class 1 Retail PermissionThesubjectpropertyiscurrentlylocatedwithinMarlboroughRetailParkwhichalsoincludesa86,620sqftB&Qanda113,738sqftTescoExtrawithanassociated8pumpfillingstation.TheRetailParkbenefitsfromopenclassretailconsentwithrentsrangingfrom£12persqftto£12.50persqft.

Rushmere Retail Park – Class 1 Retail PermissionRushmereRetailParksitsoppositethesubjectpropertyandprovidesover130,000sqftofopenclass1retailaccommodation.TheTenantline-upincludesMatalan,B&MBargains,Poundstretcher,Homebase,Currys,HarryCorry,PetsatHome,Argos,NextandMenary’s.Theheadlinerentsarecurrentlyintheregionof£17persqft.

Estimated Rental Value

Onthebasisoftheabove,webelievetheetimatedrentalvalueofthepropertyisintheregionof£93,500perannum,equatingto£12.50persqft.

ThepropertyhasbeenelectedforVATpurposesandthereforeitisexpectedthattheinvestmentsalewillbeconsideredasaTransferofaGoingConcern(TOGC).

Proposal

Wehavebeeninstructedtoseekoffersinexcessof£850,000 (Eight Hundred and Fifty Thousand Pounds)reflectinganattractivenet initial yield of 9.98% witha reversionary yield (based on our opinion of ERV) of 10.40%excludingVATandassumingfullpurchaserscostsat5.80%.

Retail Warehousing in Craigavon VAT EPC

Further Information Secure Document Library

Ifyourequireaccesstothesecuredocumentlibraryonlineorforfurtherinformationpleasecontact;

Savills(NI)LimitedforthemselvesandfortheVendorsorLessorsofthepropertywhoseagentstheyaregivenoticethat;i)theseparticularsaregivenwithoutresponsibilityofSavills(NI)LimitedortheVendorsorLessorsasageneraloutlineonly,fortheguidanceofprospectivepurchasersortenants,anddonotconstitutethewholeoranypartofanofferorcontract;ii)Savills(NI)Limitedcannotguaranteetheaccuracyofanydescription,dimensions,referencestocondition,necessarypermissionsforuseandoccupationandotherdetailscontainedhereinandanyprospectivepurchasersortenantsshouldnotrelyonthemasstatementsorrepresentationsoffactbutmustsatisfythemselvesbyinspectionorotherwiseastotheaccuracyofeachofthem;iii)noemployeeofSavills(NI)Limitedhasanyauthoritytomakeorgiveanyrepresentationorwarrantyorenterintoanycontractwhatsoeverinrelationtotheproperty;iv)VATmaybepayableonthepurchasepriceand/orrent,allfiguresarequotedexclusiveofVAT,intendingpurchasersorlesseesmustsatisfythemselvesastotheapplicableVATposition,ifnecessarybytakingappropriateprofessionaladvice;v)Savills(NI)Limitedwillnotbeliable,innegligenceorotherwise,foranylossarisingfromtheuseoftheseparticulars.June2013.

www.savills.com/halfordscraigavon

Ben Turtle Director

1stFloor,LesleyStudios32-36MayStreet,BelfastBT14NZ

Tel:02890268006Email:ben.turtle@savills.ie

Dervla Daly Surveyor

1stFloor,LesleyStudios32-36MayStreet,BelfastBT14NZ

Tel:02890268009Email:dervla.daly@savills.ie

James Gulliford Director

33MargaretStreetLondonW1G0JD

Tel:02074099934Email:jgulliford@savills.com