Property Auctions 30/Mar/2023 | Burger King Drive Thru, The Aerodrome, Speke Road, Liverpool, Merseyside, L24 8QD

Modern Drive-Thru Investment

Let to BKUK Devco Limited guaranteed by BKUK Group Limited
Burger King Drive-thru currently Fitting Out.
New 20 year lease until 2043 (subject to option)
15 years Term Certain
Approximately 1,021 sq m (10,995 sq ft) on a Site Area of 0.67 Heactares (1.65 acres)
Initial Rent of £12.27 per sq ft
5 yearly upwards only rent reviews with tenants improvements to be rentalised on review
Low Site Coverage of 16% with Potential to develop another Drive Thru or a Kiosk on the site, subject to all consents
Prominent location on the busy Speke Road (A561)
1 mile from Liverpool John Lennon Airport
Directly opposite the major New Mersey Shopping Park with occupiers including Cineworld, Wagamama, TGI Fridays, McDonald's, Marks and Spencer, JD Sports and Currys

Lot 15
Auction 30th March 2023
Rent £135,000 per Annum Exclusive
Status Sold Prior
Price
Sector
Restaurant
Auction Venue
Live Streamed Auction

Property Information

Location

Miles: 8 miles south-east of Liverpool City Centre, 32 miles south west of Manchester
Roads: M53, M56, M62, A561
Rail: Liverpool South Parkway Railway Station
Air: Liverpool John Lennon Airport

Situation

The property is situated within the old airport complex in a highly visibly position on the south side of the busy Speke Road (A561) and directly opposite the substantial New Mersey Retail and Leisure Park with some 40 national multiple occupiers including Cineworld, Wagamama, TGI Fridays, McDonald's, Marks and Spencer, JD Sports and Currys.

Tenure

Virtual Freehold. Held from Homes England for a term of 946 years from 12th August 2002 at a fixed peppercorn rent.

Location

Miles: 8 miles south-east of Liverpool City Centre, 32 miles south west of Manchester
Roads: M53, M56, M62, A561
Rail: Liverpool South Parkway Railway Station
Air: Liverpool John Lennon Airport

Situation

The property is situated within the old airport complex in a highly visibly position on the south side of the busy Speke Road (A561) and directly opposite the substantial New Mersey Retail and Leisure Park with some 40 national multiple occupiers including Cineworld, Wagamama, TGI Fridays, McDonald's, Marks and Spencer, JD Sports and Currys.

Tenure

Virtual Freehold. Held from Homes England for a term of 946 years from 12th August 2002 at a fixed peppercorn rent.

Description

The property comprises a highly prominent 2 storey drive-thru restaurant benefitting from a substantial car park with approximately 130 spaces on a 0.67 hectare (1.65 acre) site.

The property benefits from a low site coverage of approximately 16% and may have longer term potential for the development of another Drive Thru or a Kiosk on the site, subject to all consents.

The tenant is currently fitting out the property with the standard corporate Burger King Drive Thru livery.

VAT

VAT is not applicable to this lot.

Completion Period

Six Week Completion

EPC

Band - D

Description

The property comprises a highly prominent 2 storey drive-thru restaurant benefitting from a substantial car park with approximately 130 spaces on a 0.67 hectare (1.65 acre) site.

The property benefits from a low site coverage of approximately 16% and may have longer term potential for the development of another Drive Thru or a Kiosk on the site, subject to all consents.

The tenant is currently fitting out the property with the standard corporate Burger King Drive Thru livery.

VAT

VAT is not applicable to this lot.

Completion Period

Six Week Completion

EPC

Band - D

Tenancy & Accommodation

Floor	Use	Floor Areas Approx sq m (1)	Floor Areas Approx sq ft (1)	Tenant	Term	Rent p.a.x.	Rent Review (Reversion)
Ground First	Restaurant Restaurant	916.95 104.50	(9,870) (1,125)	BKUK DEVCO LIMITED (CRN: 10980858) guaranteed by BKUK GROUP LIMITED (CRN: 10980808) (2)	20 years from 09/01/2023 (3)(4)	£135,000	09/01/2028 and five yearly (16/01/2043)
Total Approximate Floor Area		1,021.45	(10,995)			£135,000

(1) The floor areas stated above are those published by the Valuation Office Agency (https://www.tax.service.gov.uk/business-rates-find/valuations/start/11122788000)
(2) Burger King Corporation was founded in 1954 and is the second largest fast food hamburger chain in the world (www.Burgerking.co.uk), with some 17,500 restaurants in over 100 countries, 533 of which are within the UK and are operated by 24 franchisees. BKUK Group Limited (CRN:10980808) was incorporated in 2017 and are the UK's Master Franchisee with the exclusive rights to the Burger King brand in the UK. They are also the largest Burger King franchisee operating 50% of the Restaurants totaling 266 outlets. For the year ended 31/12/2021 BKUK Group Limited (CRN:10980808) reported a turnover of £211,712,000, a pre-tax profit of £11,696,000 and a net worth of negative -£152,150,000 (Northrow Company Report - 03/03/2023). For the year ending 31/12/2021 the tenant, BKUK DEVCO LIMITED (CRN: 10980858), reported a turnover of £46,362,000, pre-tax profits of negative -£1,902,000 and a net worth of £16,814,000 (Northrow Company Report - 06/03/2023)
(3) The lease provides for a tenant option to determine the lease on 09/01/2038 on serving 6 months notice.
(4) The lease provides for the rent reserved to be £135,000 per annum exclusive however, the rent commencement date is 9th January 2024 and the initial annual rent is £67,500 from 9th January 2024 until 8th January 2026. The seller will pay the buyer £135,000 per annum exclusive from completion of the sale until 8th January 2024 and the difference between £67,500 per annum exclusive and £135,000 per annum exclusive from 9th January 2024 until 8th January 2026. Therefore the property will produce £135,000 per annum exclusive from completion of sale.

If you are the successful bidder, Acuitus requires a separate payment of £1,500+VAT as a buyer's administration charge payable to Acuitus Limited upon exchange of contracts. A VAT receipt will be provided upon payment.