UNITED CARPETS DENABY LANE INDUSTRIAL ESTATE, COALPIT ROAD, DENABY, DN12 4LH

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HIGH YIELDING REVERSIONARY INDUSTRIAL INVESTMENT WITH APPROXIMATELY 13.5 YEARS UNEXPIRED

Outline for indicative purposes only.

INVESTMENT CONSIDERATIONS

■ Situated in an established industrial location adjacent to Denaby industrial estate

■ Excellent road communications, being located approximately 400m south of the A6023 which provides access to the A1M approximately 5 miles to the east

■ Two industrial buildings totalling 45,870 sq ft (4,269.8 sq m)

■ The properties are let to United Carpets (Property) Ltd for a further 13.5 years expiring 04/02/2031

■ 5 yearly reviews based on fixed 2.5% annually compounded uplifts

■ Current rent passing of £160,000 per annum equating to just £3.49 psf, increasing to £181,025 in 2021 and £204,813 in 2026

■ Freehold

■ Site area of 2.71 acres (1.10 hectares)

■ Offers are sought in excess of £2,035,000 (Two Million and Thirty Five Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an attractive net initial yield of 7.40% allowing for purchaser’s costs of 6.26%, and a reversionary yield of 8.76% in February 2021 and 9.91% in February 2026.

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SHEFFIELD CITYAIRPORT

NOTTINGHAM

SCUNTHORPE

GRIMSBY

HULL

DONCASTERDENABY

MAIN

ROTHERHAM

SHEFFIELD

HALIFAX

Huddersfield

Wakefield

Barnsley

DERBY

Newcastle-under-Lyme

Stoke-on Trent

Crewe

Stockport

Oldham

BuryRochdale

MANCHESTER

Grantham

LINCOLN

Mansfield

ChesterfieldBuxtonMacclesfield

Gainsborough

Peak

Dis

tric

t N

atio

nal p

ark

A56

A61

A57

A57

A57

A15

A15

A15

A15

A15

A15

A15

A46

A46

A46

A46

A46

A46

A46

A46

A46

A46

A46

A15

A63

A63

A15

A15

A15

A61

A61

A61

A52

A52

A54

A53

A53

A34

A53

A53

A52

A52A52

A38

A38

A38

A38

A1

A1

A1

A1

A1

A1

A1

A6

A6

A6

A666

A628

A638

A631 A631 A631

A158

A158

A159

A159

A180

A164

A180

A159

A156

A156

A158

A614

A614

A614

A453A606

A628

A616

A628

A523

A523

A523

A523

A523A520

A520

A520

A523

A619

A617

A610

A610

A610

A619

M6

M6

M6

M6

M1

M1

M1

M1

M1

M1

M61

M62

M62

M62

M62

M65

M62M62

M62

M18

M18

M18

M62

M56

M56

M60 M60

M60

M60

M66

M66

M67

M180

A1(M)

A1(M)

A1(M)

M180M181

Denaby Lane

Denaby Lane

Pitman Road

Coalpit Road

Eland Road

Hill

Top

Roa

d

Harrogate Drive

Hill To

p R

oad

Bolton S

treet

Shephard’s Close

Cliff View

Dav

y R

oad

Church Street

Cla

yfie

ld R

oad

Pitt

Str

eet

Wheatley St

A6023 Doncaster Road

A6023 Doncaster RoadChurch Street

Ferry Boat Lane

Adw

ick Road

Hall G

ate

Bank Street

Dolcliffe Road

Hirst G

ate

Harlingto

n Rd

A6023 Doncaster Road

MEXBOROUGH

MEXBOROUGH

LOCATIONDenaby is located between Rotherham and Doncaster in the county of South Yorkshire. Approximately 7 miles south west of Doncaster and approximately 7 miles north east of Rotherham.

Denaby benefits from excellent road communications with the A1(M) and M18 interchange situated approximately 5 miles to the south east, the A1(M)provides access to Leeds (30 miles) and Newcastle (135 miles) to the north and Peterborough (95 miles) and London (165 miles) to the south. The A630 is situated approximately 2 miles to the south which provides access to Doncaster to the east and Rotherham (7 miles) to the west.

Rail services are provided from Mexborough train station which provides services to Doncaster, Sheffield and London Kings Cross with quickest journey times of 13 minutes, 25 minutes and 2 hours 7 minutes.

Doncaster Sheffield Airport is situated approximately 10 miles to the east and is the UK’s newest purpose built international airport becoming fully operational in April 2005. The airport provides flights to over 40 international destinations and handled approximately 1.26 million passengers in 2016.

SITUATIONThe property is situated on the eastern side of Coalpit Road, approximately 150m south of its junction of Denaby Lane.

The surrounding area is an established industrial location accommodating national and regional occupiers.

Mexborough station is located approximately one mile to the west of the subject property.

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DESCRIPTIONThe property comprises two detached industrial units of steel portal frame construction beneath pitched metal sheet roofing.

Unit 1 is used as a storage facility and benefits from first floor offices which were not accessible at the time of inspection. The unit benefits from three roller shutter doors providing access to a gated service yard and has a minimum eaves height of approximately of 8m. There is parking for approximately 22 vehicles.

Unit 2 is also used as a storage facility and has offices situated at ground and first floors. The unit benefits from three roller shutter doors to the rear of the property which provide access to a large yard area and has a minimum eaves height of approximately 6.1m. There is parking for approximately 35 vehicles.

ACCOMMODATIONThe property provides the following gross internal areas (GIA):

Unit Floor Area (Sq M) Area (Sq Ft)

1 Ground 1,577.5 16,890

First 279.6 3,010

Total 1,857.1 19,900

2 Ground 2,142.0 23,057

First 270.7 2,913

Total 2,412.7 25,970

Overall Total 4,269.8 45,870

At the time of inspection we did not have access to the offices or the mezzanine of Unit 1.

SITEThe property occupies a site area of approximately 2.71 acres (1.10 hectares).

TENANCY DETAILS Unit 1 is let to United Carpets (Property) Ltd for a term of 15 years from 05/02/2016 expiring 04/02/2031. The current passing rent is £90,000 per annum and benefits from 5 yearly rent reviews based on fixed 2.5% annually compounded uplifts. The rent will increase to £101,827 at the 2021 review and £115,208 in 2026.

Unit 2 is let to United Carpets (Property) Ltd for a term of 15 years from 05/02/2016 expiring 04/02/2031. The current passing rent is £70,000 per annum and benefits from 5 yearly rent reviews based on fixed 2.5% annually compounded uplifts. The rent will increase to £79,199 at the 2021 review and £89,606 in 2026.

Both leases are guaranteed by United Carpets Group PLC.

TENUREFreehold.

Def

0.91m RH

Pole

COAL PI T

ROA D

ELAND

ROAD

Gas Gov DENABY LANE

5a

3a 4

El Sub Sta

1a

2a

5b

2e

1b

3b

0m 10m 20m 30m

Ordnance Survey © Crown Copyright 2017. All rights reserved. Licence number 100022432. Plotted Scale - 1:1405

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© Crown Copyright, ES 100004106. For identification purposes only.

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COVENANTUnited Carpets Group plc is the third largest chain of specialist retail carpet and floor covering stores in the UK.

The business commenced trading in 1997 and in 1998 the first franchised store was created. As at 25 May 2017 the group had a total of 57 stores.

Further information is available at www.unitedcarpetsandbeds.com

United Carpets (Property) Limited reported the following accounts for the past 3 years:

31 March 2017 31 March 2016 31 March 2015

Turnover £2,957,000 £3,076,000 £2,917,000

Pre-tax Profit (£15,000) £27,000 £130,000

Total Net Worth £498,000 £514,000 £480,000

United Carpets Group Public Limited Company reported the following accounts for the past 3 years:

31 March 2017 31 March 2016 31 March 2015

Turnover £21,192,000 £21,369,000 £19,141,000

Pre-tax Profit £1,527,000 £1,487,000 £1,211,000

Total Net Worth £5,137,000 £4,175,000 £4,065,000

EPCMore information available on request.

VATThe property has been elected for VAT, however it is anticipated that the transaction will treated as a Transfer of a Going Concern (TOGC).

Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandHQ.co.uk 10.17

PROPOSALOffers are sought in the region of £2,035,000 (Two Million and Thirty Five Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an attractive net initial yield of 7.40% allowing for purchaser’s costs of 6.26%, and a reversionary yield of 8.76% in February 2021 and 9.91% in February 2026.

Andy Pointon020 7543 6720andy.pointon@allsop.co.uk

For further information or to make arrangements for viewing please contact:

www.allsop.co.uk

UC UNITED CARPETS DENABY LANE INDUSTRIAL ESTATE, COALPIT ROAD, DENABY, DN12 4LH

Richard Lea020 7543 6832richard.lea@allsop.co.uk

Ciaran McGivney020 7543 6888ciaran.mcgivney@allsop.co.uk