Tenancy & Accommodation
| Unit |
Use |
Floor Areas (Approx) |
Tenant |
Term |
Rent p.a.x |
Review |
| 1 |
Retail
|
377.1 sq m (4,059 sq ft) |
TESCO STORES
LIMITED (2) |
15 years from 26/05/2006 on a full repairing and insuring lease |
£74,055 |
May 2011 (1)
and 5 yearly |
| Total Approximate Floor Areas |
|
377.1 sq m (4,059 sq ft) |
|
|
£74,055 |
|
(1)The current rent reserved is 74,055 per annum exclusive. Under the terms of the lease the rent will increase every five years (annually compounded) in line with the Retail Price Index (RPI) subject to a minimum of 2% and a maximum increase of 4%. The seller will pay the buyer the difference between the current rent reserved of 74,055 and the minimum increase in rent of 2% per annum compounded from completion of the sale until 26th May 2011. Therefore, the property will produce 81,762 per annum exclusive from completion. The RPI as at May 2006 (the lease commencement date) was 197.7. As at April 2010, the RPI stood at 222.8. If the rent review had taken place in April 2010, the rent would have increased to 83,457 per annum exclusive. (www.statistics.gov.uk) (2)For the year ending 28th February 2009, Tesco Stores Ltd reported a turnover of 38,027,000,000, pre-tax profits of 1,748,000,000 and a net worth of 5,475,000,000. (Source: riskdisk.com 02/06/2010) (3)Also included in the sale is a second retail unit let for a term of 900 years at a peppercorn rent.
