Cameron Toll by Creativeworld

Cameron Toll EDINBURGH

Shopping Centre Investment Opportunity

EDINBURGH | Shopping Centre Investment Opportunity

Cameron Toll

Investment Considerations •

Dominant edge-of-city centre, located in an affluent Edinburgh suburb.

•

Significant site area of 9.85 hectares, (24.34 acres).

•

Heritable Title. (Scottish equivalent of Freehold).

•

24,762 sq m (266,500 sq ft) of retail accommodation, a site coverage of 25%.

•

Anchored by a recently refurbished Sainsbury’s supermarket with 8,918 sq m (96,000 sq ft) of sales and a redeveloped petrol filling station.

•

Key retailers include a 2,398 sq m (25,812 sq ft) BHS, Boots, WH Smith, New Look, Peacocks, Clarks, Costa, Thorntons, Poundworld and H Samuel.

•

Current gross income of £3,724,420 per annum. After deduction of all occupational shortfalls, the centre produces a current net income of £3,514,722 per annum.

•

Zone A rental tone of £60 psf.

•

Estimated rental value of £3,930,611 per annum.

•

Strong income profile - 90% of the income is secured to National Covenants.

•

Over 98% of rents collected within 7 days.

•

WAULT of over 5.7 years.

•

c. 1,200 free surface car spaces.

•

Significant development and asset management opportunities. Planning consent for a 16,886 sq m (127,229 sq ft) extension to the centre.

•

Offers in excess of £44,290,000 are invited for the Heritable Title.

•

An attractive net initial yield of 7.5%.

90% of the income is secured to National Covenants.

57 A9

A90

Fort William A9

EDINBURGH | Shopping Centre Investment Opportunity A93

A9 24

A82

Montrose

A935

Forfar A932

A92

A9 33

A85

A90

Dundee

Perth 2

)

(A9

Cameron Toll

Glenrothes

Clydebank

M80

M73

Airdrie

A89

Motherwell

Berwick-upon-Tweed

HARBOUR

ROYAL YACHT In world terms Edinburgh ranks ahead of Dublin, Istanbul, Beijing, Prague, BRITANNIA BRITANNIA in the Global Financial Centres index Bahrain, Moscow, Mumbai and Budapest Galashiels QUAY NEWHAVEN PL. AD TON RO[GFCI 2013]. The city is one of the world’s top fund management hubs and a A901 L O WER GAN LINDS Waterfront GRA AY R NTO Plaza OA D More than N ROA major European centre for asset servicing. half of the world’s top 20 D SCOTTISH financial organisations have substantial operations with a critical GOVERNMENT A199 in Scotland COMM ERCIA L STR mass of activity in and around Edinburgh. EET 9 A6

A72

Kilmarnock

A72 A7

A71

Irvine

M74

Ardrossan

A6105

Kilwinning

A703

Carluke

26 A7

Larkhall

Hamilton

Dalkeith Bonnyrigg

0 A7

A71

East Kilbride

Located on the southern coastline of the Firth of Forth, where the River Firth enters the North Sea, Edinburgh has grown into a city recently voted as “The Best European City of the Future” [fDi Magazine]; as well as having the “Happiest” population of the UK’s top 10 cities [ONS Well-Being Survey 2011-12]. WESTERN

Musselburgh

Livingston

M77

EDINBURGH

A19

Newton Mearns

A78

Paisley

Grangemouth Bo'ness

Bathgate

GLASGOW

M90

Cumbernauld

Kirkintilloch

Greenock

As the capital city and home of the Scottish Parliament and Government, Edinburgh is also the administrative, financial, cultural, educational and economic heart of Scotland.

Kirkcaldy A92 Cowdenbeath

Dunfermline

Falkirk

17 A9

Buckhaven

M80

Alexandria Dumbarton

Gourock

A97

Alloa

Helensburgh

A7 0

A81

Dunoon

A91

A82

A91 5

Stirling

Edinburgh

St Andrews

A91

M90

A91

A82

1 A8

A81 4

A84

Arbroath

A92

Troon

A708

A74(M)

A1068

A 90

BA L

TIC STREET

R EA

In 1995 Edinburgh was granted UNESCO World Heritage Site status and inA12004 99 S ALA MA ND demonstrated the city’s deep cultural roots by becoming the first UNESCO City ROAD ER Y R R E STR A902 F EET of Literature.

ROAD

A77

A60

A69

GRANTON

A68

A74

DRIV E

HALL RO CRAIG

0 A7

A70

. DR

OCEAN

Prestwick Ayr

N EA

IO N

TIT

WA LK

EASTER ROA D

HW ALK A90 0L EIT

OU N

AB BE YM

ABBEYH ILL

H ST

L E IT

RD DP ARK

EET STR D’S

T REE

E RIV

D U D D IN G S T O N LO C H P R E S T O N F IE LD G O LF C O U R S E

M IN

N ST

E N’ QU E

HO LYR OO

FOREST RD

H O LY R O O D P A R K

E. P R E S T O

L DA

ST TO

R ITH KE D OA

PEFFER MILL

P AR ILL IGM CRA

Cameron Toll

5 09 A6

ROAD ALL

ESSLEMO N T ROAD

ROYAL OBSERVATORY C RAI G M I L L AR P ARK G OL F C OURSE

UNIVERSITY OF EDINBURGH

LAIBERTON ROAD

INGSIDE ROA D MO R N

TERH CHAR

OLD

DAL KEI TH AD RO

A702

AD RO DY LA

IN C H PARK

ROA D

P E F F E R MILL

A RK

ROYAL EDINBURGH HOSPITAL

SD R

NEW SCOTTISH PARLIAMENT

QUEEN’S DR IVE

EASTER R OAD

LEI

NT ST

CLAR EMO

EAST

A19

N PL ..

A1 QU EE N’

IVE

SP ITA LS T

E AVE

DYNAMIC EARTH

NA R

K ST

EN ST HOME ST

IL L

S T.

LE R

CH S

LE V

TH.

HAM ILT O

S RD

A1 LO NDON ROAD

PALACE OF HOLYROOD HOUSE

OD YRO

A7 C

A702 BRUNTSFIE LD

D HEN LOC

ROA

RIO

ARTHUR'S SEAT LE U BUCC

EN D

D OA

GATE

PLEASANCE

RIV E

H OL

N ST. LSO

EROW POTT

D RO A RIG TAL RES

H LOC

N CANO

NICO

S AM GH

A PL

MEADOW PARK A700 ME LVILL ED

JOHN KNOX HOUSE ROAD

BR OU

I LL E

(Waverley)

BRID

ROYAL MUSEUM OF SCOTLAND UNIVERSITY OF EDINBURGH

D OA

TE COWGA

LAURISTON PLACE

AP ST WE

O PR

R CH

AD RO

T POR

EA RL

Haymarket Station

BREAD ST

ST BERS CHAM

ET ARK SSM GRA

MA RI ON V

Edinburgh Station

TH 7 SOU E A

ST WE

ACE ERR

EG A1 R

RID G NORTH B

MORRISON STREE

KT.

HIGH

IDGE IV BR RGE

B A N K ST

G EO

JO H N STO

CALTON HILL

PL. RLOO WATE

ER S T

EDINBURGH CASTLE

MEADOWBANK RETAIL PARK

B1350 LONDON ROAD

V HANO

T DS

Redcar

E PLAC

ET ST MARK

PRINCES STREET GARDENS

ROAD

A6 WEST COATES

N LA

NY ST A L BA

YORK

REET E S ST PRINC

LOTHIAN

H’M

AIT

GE GEOR

E SQUAR

ST RE ET

EEN

T ICK S

M W.

T LME S

OTTE CHARL

R. PH C

. ST LE VIL EL

S NDON E. LO

ER FRED

QU E

FER

ST CO

RANDOL

A68

ET RE ST

HERIO

OMBY PL RCR ABE

ROW

EET STR TER CE

RAY PLA MO

C ES

HOWE

NORTH

IN DUBL

G LOU

AN D BERL

D ST ONAL

TREET AS S

ST KING

EAT

ROYAL C

AL RY RO A

DO Mc

ET RE ST LE

086

S. DN SG

FI E

DRIVE

SLEIGH

EASTER ROAD STADIUM (HIBERNIAN F.C.)

A ND

K LIN

CLAREMONT PARK

ALBERT STREET

Hartlepool

DUND

P SLIE

Peterlee

B9 01 B

DUND

E LAC

E CR PK

The city is well served by the motorway network with the M90 connecting to the north and M9 to the west. The M8 SCOTTISH NATIONAL connects Edinburgh with Glasgow which in turn links with GALLERY OF MODERN ART the M74 for access to the south.

Edinburgh is the administrative, financial, cultural, educational and economic heart of Scotland.

L EP

NA AN

RN PLACE LE

AN DE

Edinburgh airport is a 30 minute drive from the city centre, serves over nine million passengers a year and provides access to over 100 worldwide destinations.

UG RO

Appleby-inWestmorland

AD A90 QUEENSFERRY RO

Edinburgh benefits from excellent communications; by road, train and air.

Rail services link the city locally and to the rest of the UK via the two principal rail terminals, Haymarket and Waverley stations. London Kings Cross can be reached in a time of 4.5 hours.

Durham Brandon A167

O BR 00 B9

A69

A68

LY BA

COME

B900 RAEBU

AD RO

O Houghton HTle Spring

E Spennymoor A1(M) N RO W DERSO Bishop HEN Auckland A689 R

Penrith A66

Washington

A963

Stanley

A689

K AV BAN ELY COM

Communications

A66

RR A C

A19

H TE INVERLEIT

A686

Workington

ET TRE

A68

ACE

UM PL

ROYAL BOTANICAL Consett GARDEN

A689

UE AVEN

Carlisle

A69

ACE

T ORE ARB

ES FETT

A71 A7

PL ITH RLE INVE

ROW

A69

A69 EAST

A75

S EA

PARK

A19

S RIG PIL

A689

A75

E TR

CLAREMONT

DU KE S

H EIT

A74(M)

D OA

ERL I NV

Dumfries

R ON Edinburgh is an “intelligent” city and home toINGTover 89,000 students. Edinburgh Blyth NN BO University is ranked 17th in the world university rankings. As evidence of its Whitley Bay Ponteland Tynemouth connectivity with the surrounding commercial environment, the university Gosforth South Shields NEWCASTLE UPON TYNEcompanies in the last five years, and has has formed more than 80 spin-out Jarrow Gateshead contributed greatly to the economic SUNDERLANDsuccess of the Edinburgh region. A6

D RRY ROA A902 FE

LIN KS PL .

9 70

A71 2 A71

Morpeth

6 A7

S ION

A7 7

A7 A7

HAVEN R OAD NEW

Cameron Toll

Royal Yacht Britannia

A199

A902 A90

A90

A902

George Street

Waverley Station

Charlotte Square

Scottish Parliament

Haymarket Station Edinburgh Airport

Arthur’s Seat

A199

A8 A8

Murrayfield

Edinburgh Castle

Princes Street

BioQuarter & Edinburgh Royal Infirmary

A71

A70

Cameron Toll Shopping Centre

A702

R OA

A772

AD RO

C RAI GENTI NNY GO L F COUR SE

D IEL AF SE

FILL Y

A7 E SID

ST EA

A701

E AIG CR

A720 RO

WAKEFIELD AVE

CRAIGENTI NNY

AVE

NUE

T IN

PO R T

OW BR

AE RO A

A7 A703

The economy of Edinburgh is now strongly focused on the service sector. Edinburgh’s city region is the UK’s second largest financial centre after London and Europe’s fourth when measured by equity assets. The financial and business services sector employs around 35% of residents, significantly above the UK average with employment growing at a faster rate over the last decade than the average for PMA centres.

AD LO RO OBEL

ADWAY ELD BRO THFI NOR

Economy

In addition to the financial services, where the city boasts over £500 billion under management, Edinburgh is also one of the top ten UK locations for Science and Technology businesses. It is at the forefront of research and development in the Renewable Energy industries, and it benefits from thriving creative industries.

MIL

The service sector accounts for 84% of total employment in the city, significantly ahead of the national average. The city is recovering strongly from the global downturn with major corporates recently announcing plans to expand in Edinburgh including State Street, BNY Mellon and Blackrock.

Capitalising on the retained intellectual capital within the city, over 50% of Straiton Retail Park Pentland Retail workforce Park Edinburgh’s is employed in high value “knowledge jobs”. With a cost base 20% lower than that of London’s, it is an attractive location for many global businesses.

ES T

W OAD NR STO ING DD DU

Edinburgh has the highest Gross Value Add (GVA) per capita of any UK city outside of London and is home to Scotland’s two largest banks; the Royal Bank of Scotland and Bank of Scotland (now part of Lloyds Banking Group), as well as some of its largest financial institutions; Standard Life, Scottish D UD D INGSTON GOLF COURSE Widows (also part of Lloyds Banking Group), Scottish Life (part of Royal London) and Scottish Equitable (AEGON). Tesco Finance and Virgin Money have recently expanded in Edinburgh and both have their headquarters in the city. Edinburgh and Lothian’s labour market is buoyant. Claimant count as at December 2013 stood at 2.8%, compared to the Scottish average of 3.3%, amongst the lowest UK rate for a city of its size. The graduates from the three large universities within the city (Edinburgh University, Heriot Watt and Edinburgh Napier) provide an adaptable and intellectual workforce and contribute greatly to economic growth.

Tourism plays a large role in the city’s economy. Employment in this sector accounts for 10% of Edinburgh’s workforce. Edinburgh Castle is Scotland’s number one paid for venue attraction with 1.4 million visitors in 2013. Probably the best known tourist event is the Edinburgh festival which adds £245 million per year to the economy. The Edinburgh International Conference Centre (EICC) opened in 1995 and has established a global reputation for conference facilities. The EICC has hosted close to 1,500 events, bringing over 550,000 delegates to the city. This is estimated to have generated in excess of £125 million in economic benefit for Edinburgh and the surrounding area. Edinburgh is now internationally recognised as one of the most popular venues for conferences (ahead of London). A new Exhibition Centre will reinforce Edinburgh’s position as a venue for conferences.

The average wage of a person living in Edinburgh at £27,800 per year compares favourably with the closest Scottish city, Glasgow, at £24,000 per year. Importantly, Edinburgh is second only to London at £33,100 per year [City of Edinburgh Council 2013] and second to London in private sector job growth between 2010 and 2012 [Centre for Cities].

EDINBURGH | Shopping Centre Investment Opportunity

Cameron Toll

Demographics Central Edinburgh had a population of 482,640 in 2012, representing a 1% increase on 2011 when the population was 477,940. 71% of the resident population of Edinburgh are of working age (16-64), compared with 62% for Scotland as a whole. [National Records of Scotland 2013] By 2035 the population of the City of Edinburgh is projected to increase by 25.8% to 611,367. [City of Edinburgh Council 2013]

Retailing in Edinburgh The city region has a diverse retail offer which includes the city centre and a number of satellite ‘edge of city’ retail locations including Cameron Toll. Retailing employs 56,000 people across the city region and generates around £900m for the local economy. [Edinburgh – Inspiring Capital 2013] The retail sector in Edinburgh benefits from a “city region” catchment population of 1.3 million, with circa 2 million people living within a 60 minute drive time. Tourism further boosts the available retail expenditure with over 2 million UK visitors and 1 million international visitors each year. [Edinburgh – Inspiring City 2013]

Cameron Toll

Situation Cameron Toll Shopping Centre is situated 2.5 miles (4 km) south of Edinburgh city centre in an affluent suburb of Edinburgh. The property can be easily accessed from the city via the A7/A701; from the A1 to the east via the A6095; and from the Edinburgh By-Pass (A720) to the south via the A7 or A772 ring road. Cameron Toll is on the southern edge of a number of affluent residential areas, including Morningside, Mayfield, Grange and Newington. It also serves areas such as Craigmillar and neighbouring Niddrie which have seen significant capital expenditure and inward investment over the last few years. As part of the Urban Development Framework, Craigmillar has also seen the construction of over 600 new homes in the last eight years. The property has two vehicular access points at the northern and western sides of the large surface car park. The shopping centre is bounded by Lady Road (A701) to the west; Old Dalkeith Road (A7) to the north; Gilmerton Road (A772) to the south; and Inch Park to the east. Cameron Toll’s immediate catchment extends to over 400,000 people who can be classified as highly affluent and further benefits from 550,000 people located within a 20 minute drive of the centre. Edinburgh University with a student population of 26,000 has three main sites within the city. The Kings Buildings Campus is less than 0.5 miles (800m) from Cameron Toll and houses the university’s science and engineering departments as well as the agricultural college. Consequently, a huge student population use Cameron Toll. The centre is located within close proximity of South East Edinburgh’s BioQuarter, 1.25 miles (2 km) from Cameron Toll. The BioQuarter is an Academic Medical Centre combining the biomedical skills of the University of Edinburgh, NHS Lothian and industry professionals. Extending to more than 100 acres, Edinburgh BioQuarter, offers some 1.4m sq ft (130,063 sq m) of specialist accommodation for academic, commercial and healthcare activity, as well as the huge Edinburgh Royal Infirmary, which is a major acute teaching hospital and houses Scotland’s largest maternity unit.

EDINBURGH | Shopping Centre Investment Opportunity

Description Cameron Toll is a high quality ‘edge of city’ shopping centre. It opened in 1984 and provides an extensive retail offer on a 9.85 hectares (24.34 acres) site in a modern glazed building with circa 1,200 surface car spaces. Parking is free and benefits from a “Safe Car Park” designation. The property provides 24,762 sq m (266,542 sq ft) of retail accommodation and a petrol filling station. The centre is well anchored by a 13,338 sq m (144,000 sq ft) Sainsbury’s supermarket with 8,918 sq m (96,000 sq ft) of sales accommodation and a 2,398 sq m (25,812 sq ft) BHS unit. There are a further 43 well configured ground floor shop units, with first floor ancillary accommodation, positioned along a linear mall, which is accessed directly from the surface car park via the north or south pedestrian entrances.

Cameron Toll is a high quality ‘edge of city’ shopping centre, providing an extensive retail offer.

Sainsbury’s has recently demonstrated its commitment to Cameron Toll following the completion of an £8 million full refurbishment of the store which included the introduction of a new café and redevelopment of their petrol filling station. This has had a significant impact on usage and footfall. Other retailers include Boots, WH Smith, New Look, Clarks, Game, Thorntons, H Samuel, Peacocks, Costa and Poundworld. The mezzanine can be accessed from the central atrium by stairs or lift, where the food court and WC’s can be found alongside an additional retail unit. The centre is serviced via three service yards which are accessed from the main car parks around the centre. A new McDonald’s drive-thru restaurant is soon to be constructed within the car park. Heads of terms are agreed and a planning application has recently been submitted. Further information can be found on the marketing website. Cameron Toll has a loyal affluent customer base with an average footfall of 84,000 people per week regularly shopping in the centre. This is a 6.4% increase over the previous year. The centre also has a high conversion rate with most shoppers (93% CACI) spending money at the centre when visiting.

Cameron Toll

Ground Floor

First Floor

EDINBURGH | Shopping Centre Investment Opportunity

HERITABLE TITLE PLAN

Tenure Heritable Title (Scottish equivalent of Freehold). Title number MID 37845.

Tenancies & Income The property is let in accordance with the Tenancy and Accommodation schedule attached. The leases are drawn on effectively full repairing and insuring terms by means of a comprehensive service charge. A number of leases contain exclusivities as well as requirements to maintain a minimum number of parking spaces serving the centre. The scheme is anchored by Sainsbury’s at a peppercorn rent until 2nd October 2109. Income security is provided by the letting to BHS until 20th October 2027 at a rent of £325,000 per annum. The scheme has a weighted average unexpired lease term (WAULT) of 5.7 years to break. Cameron Toll Shopping Centre has a current gross income of £3,724,420 per annum. After deduction of all marketing contributions and occupational shortfalls, the centre produces a current net rent of £3,514,722 per annum. In our opinion the centre has a gross estimated rental value of £3,930,611 per annum based upon a maximum Zone A rate of £60 psf.

p10

Cameron Toll

Income Profile Income by Covenant

Income Expiry Profile (to break)

90% of the income is secured by National Covenants

Only 1.5% of the income expires in 2014 Major Tenants

Expiry Profile to Break

Projected Running Yield

p11

EDINBURGH | Shopping Centre Investment Opportunity

Asset Management Opportunities & Planning

Potential Gym

LIFT

ROOF

OFFICE

STORE

EVOLUTION 10 HAIRDRESSING

VACANT

STO

4 FOOD COURT SEATING

LIFT S

VOID

STORE

ROOF

STORE

Additional ‘Drive Thru’ A proposal for a drive thru coffee unit in the car park at the northern end of the scheme adjacent to the Sainsbury’s service yard in addition to the proposed McDonald’s.

Proposed Foodcourt Redesign

p12

ROOF

Northern Entrance Improvements There are proposals for the introduction of three external kiosks at the northern entrance, relocation of the existing taxi rank and the creation of a more generous entrance piazza with landscaping improvements which improve the ‘welcome’ environment.

VACANT

AIR ST

STORE

ROOF

Northern ‘Drive Thru’ Heads of terms are agreed with McDonald’s and a planning application submitted for a ‘drive thru’ unit at the northern car park entrance. McDonald’s will take a 25 year lease (15 year break) at £105,000 pa, subject to 5 yearly upward only rent reviews and six month’s rent free period. A capital contribution of £678,000 will be payable to McDonald’s. The landlord is responsible for enabling works estimated to cost £390,000.

First Floor

STO

Southern Entrance Improvements In order to improve the entrance environment the owners have also drawn up schemes to improve the ‘welcome’ environment around the southern entrance in order to both improve the public realm and introduce a number of standalone kiosk units.

2004 Planning Consent A planning consent dating from May 2004 for the redevelopment of the northern end of the centre to provide approximately 7,790 sq m (83,850 sq ft) of additional retail and restaurant space and a gym has now lapsed.

STO

Southern Entrance Cinema and Leisure Scheme As a smaller alternative the owners have been investigating the construction of a restaurant and cinema development adjoining the southern entrance to the centre. This would comprise 5 restaurant units at ground floor with a cinema above, accessed from a prominent double height entrance foyer. The 5 restaurant units total 1,455 sq m (15,630 sq ft) at ground floor with 6 screen ‘arts style’ cinema above.

New MSU Introduction of a 12,000 sq ft unit by amalgamating units 16B to 18 at the northern end of the mall to house a retailer such as M&S Simply Food.

CAFE

Southern Entrance Consented Scheme In 2010 Planning consent, with a 5 year life, was obtained for a 16,886 sq m (127,229 sq ft) development at the southern entrance including a new anchor store, 12 new retail units at ground and first floors, a cinema, 4 restaurant units and a new multi-storey car park. The scheme as designed would significantly enhance the external appearance and public spaces and provide a link between the centre and adjacent park. This consent is still valid.

TRADITIONAL FAVORITES

critical mass and dwell time.

ROOF

• Improve the shopping, leisure and restaurant experience to increase

First Floor Food Court Redevelopment Proposals have been drawn up for the redevelopment of the first floor for use as a food court or as space for a sports retailer.

with improved architecture.

• Create a high quality urban environment which is more outward facing

Residential Development Proposals have also been drawn up for a 13 unit town house development fronting Lady Road.

ROOF

• Move Cameron Toll towards a mixed use town centre.

Leisure / Gym Sainsbury’s has a large unused area of first floor space above the northern end of their store totalling 2,600 sq m (28,000 sq ft). There is an opportunity to negotiate with Sainsbury’s for a surrender of this space and then refurbish it for use as a gym or other leisure use with access directly from the northern car park.

BURGER KING F/FD REST

The Edinburgh and Lothians Structure Plan 2015 identifies Cameron Toll as a Major Shopping Centre of Strategic importance. The finalised Edinburgh City Local Plan allocates Cameron Toll as a Commercial Centre where the principle for additional retail floor space is acceptable and considers Cameron Toll to be well located to fulfil an increased community / leisure role. To this end there are a number of development initiatives which have been undertaken by the owners. Their objectives have been to:

Cameron Toll Ground Floor

McDonald’s Drive Thru

Northern Entrance Units

Proposed Additional Drive Thru

Decking Car Park

101 CLASS 1 RETAIL

102 CLASS 1 RETAIL

103 CLASS 1 RETAIL

Alternative Southern Entrance Consented Scheme

112 CLASS 1 RETAIL

110 CLASS 1 RETAIL

111 CLASS 1 RETAIL

109 CLASS 1 RETAIL

108 CLASS 1 RETAIL

107 CLASS 1 RETAIL

106 CLASS 1 RETAIL

105 CLASS 1 RETAIL

104 CLASS 1 RETAIL MSU CLASS 1 RETAIL

Southern Entrance Cinema and Leisure Scheme

p13

EDINBURGH | Shopping Centre Investment Opportunity

VAT The asset has been elected for VAT and VAT will therefore be chargeable on the purchase price if it is not possible to arrange for this transaction to be treated as a Transfer of a Going Concern (TOGC).

Environmental In 2003 following a fuel leak one of the underground fuel storage tanks at the petrol filling station was decommissioned. Remediation specialists recommended possible techniques to neutralise the site. Sainsbury’s, who are the tenant under a long lease, have now redeveloped the petrol filling station and fully remediated the site at their cost. These works are covered by a collateral warranty in favour of the owner of Cameron Toll.

Management

Surveys

The management of Cameron Toll Shopping Centre is currently undertaken by retail specialists Munroe K. The on-site staff of 3 direct employees are the centre manager, deputy manager and administrator.

The following warranted surveys have been commissioned and are assignable to a purchaser:

All other services and contracts are out sourced to external suppliers covered under the service charge budget. The employment of the on-site staff will transfer on sale in accordance with TUPE regulations.

Service Charge The operating costs of Cameron Toll Shopping Centre are covered by a comprehensive service charge. An annual service charge budget is based on the landlord’s reasonable estimate of the likely amount of service charge expenditure to be incurred throughout the forthcoming year. The occupational tenants then make quarterly payments on account. The apportionment of the service charge between tenants is calculated on the basis of the proportion that the floor area of an individual demised unit bears to the total floor area of all applicable units forming part of Cameron Toll Shopping Centre. Costs are split between tenants on a weighted floor area basis. In general a unit’s ground floor space is taken at 100%, with a weighting of 50% applied to mezzanine or first floor areas. The exceptions are the MSU’s, BHS (at 85% / 42.5%) and Sainsbury’s (at 70% / 35%) which are in accordance with the terms set out in the individual unit shop leases. The service charge for the year ending 31st July 2013 is £1,272,623 (£4.27 psf). The service charge budget for the year ending 31st July 2014 is estimated at £1,319,000 and includes a management fee of £110,000. The landlord contributes £37,500 per annum (50%) towards the marketing budget for the centre.

p14

• Building, M&E & Environmental Survey – The property has been surveyed by Paragon Building Project Consultants.

• EPC’s – Certificates provided by EPC UK Ltd.

Cameron Toll

Pricing Offers are invited for the Heritable interest in Cameron Toll in excess of £44,290,000. A purchase at this price would reflect a net initial yield of 7.5%, providing an equivalent yield of 8.63%, a true equivalent yield of 9.13% and a reversionary yield of 8.3% assuming purchaser costs of 5.8%

Website All supplementary ‘back up’ information is available on the password protected, marketing website: www.camerontoll-invest.com

Further Information & Contacts Cameron Toll, Lady Road Edinburgh, EH16 5PB. For further information please contact: Coady Supple 12 St George Street London, W1S 2FB +44 (0) 207 629 5251

Robin Coady +44 (0) 20 7629 5272 robin@coadysupple.com

Dermot Supple +44 (0) 20 7629 5276 dermot@coadysupple.com

David Sadler +44 (0) 20 7629 5259 david@coadysupple.com

www.coadysupple.com

MISREPRESENTATION ACT Messrs Coady Supple, for themselves and the vendors of this property whose agents they are give notice that: The particulars are set out as general outline only for the guidance of intending purchasers, and do not constitute, nor constitute part of an offer or contract: All description dimensions, references, references to condition and necessary permission for use and occupation and other details are given in good faith and are believed to be correct but intending purchasers should not rely on them as statements of representations of fact and must satisfy themselves by inspection or otherwise as to the correctness of each of them: No person in the employment of Coady Supple has any authority to make or give any representation of warranty in relation to this property. All negotiations are subject to contract. April 2014. Designed and produced by Creativeworld Tel: 01282 858200

p15

Cameron Toll EDINBURGH

Shopping Centre Investment Opportunity