Merchant House 30 Cloth Market Newcastle NE1 1EE

Merchant House
30 Cloth Market
Newcastle
NE1 1EE

City Centre Office Investment

Majority let to Hay & Kilner Solicitors
Approximately 3,369.97 sq m (36,273 sq ft)
Secure car park
Potential residential redevelopment (subject to consents)
Nearby office occupiers include Bupa, Department of Work and Pensions, Co-Op Bank plc and Towergate
Six Week Completion Period Available

Lot
23
Auction
18th October 2012
Rent
£413,236 per Annum Exclusive
Status
Sold
Price
£2,410,000
Auction Venue
Millennium Hotel
39-44 Grosvenor Square
London W1K 2HP

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City Centre Office Investment

Majority let to Hay & Kilner Solicitors
Approximately 3,369.97 sq m (36,273 sq ft)
Secure car park
Potential residential redevelopment (subject to consents)
Nearby office occupiers include Bupa, Department of Work and Pensions, Co-Op Bank plc and Towergate
Six Week Completion Period Available

Lot 23
Auction 18th October 2012
Rent £413,236 per Annum Exclusive
Status Sold
Price £2,410,000
Sector
Office
Auction Venue
Millennium Hotel
39-44 Grosvenor Square
London W1K 2HP

Property Information

Location

Miles: 13 miles north-west of Sunderland, 37 miles north-west of Middlesbrough
Roads: A1(M), A167(M), A19
Rail: Newcastle Central Rail Station and Newcastle Main Rail Station (Mainline to London Kings Cross)
Air: Newcastle International Airport

Situation

The property is situated on a prominent location on the north side of Cloth Market which is the heart of the central business area in Newcastle city centre a short walk from Newcastle Central Station, the Quayside as well as the Cathedral Square Development opposite.Nearby occupiers include Bupa, Department of Work and Pensions, Co-Op Bank plc and Towergate.

Tenure

Long Leasehold. Long Leasehold. Held for a term of 125 years from 20th July 1979 at a peppercorn.

Location

Miles: 13 miles north-west of Sunderland, 37 miles north-west of Middlesbrough
Roads: A1(M), A167(M), A19
Rail: Newcastle Central Rail Station and Newcastle Main Rail Station (Mainline to London Kings Cross)
Air: Newcastle International Airport

Situation

Tenure

Long Leasehold. Long Leasehold. Held for a term of 125 years from 20th July 1979 at a peppercorn.

Description

The property, an attractive multi storey building, comprises office accommodation on the part basement, part ground and three upper floors. In addition part of the ground floor and basement comprises a self contained public house. The property benefits from two lifts and secure undercroft car parking for 22 shared cars with a further 4 single spaces. There is an additional gated yard which includes a derelict former residential building which may be suitable for residential development (subject to consents).

VAT

VAT is applicable to this lot.

EPC

The EPC will be available to view online in the solicitor’s legal pack.

Description

VAT

VAT is applicable to this lot.

EPC

The EPC will be available to view online in the solicitor’s legal pack.

Tenancy & Accommodation

Floor	Use	Floor Areas (Approx)		Tenant	Term	Rent p.a.x	Reviews/(Reversion)
Ground (Part) Basement	Public House Public House	273.51 sq m 132.85 sq m	(2,944 sq ft) (1,430 sq ft)	WHITBREAD EAST PENNINES LIMITED (1) (sublet to Copymend Ltd, t/a Circuit) (1)	99 years from 24/6/1981 until 23/6/2080 (2)	£75,000	24/06/2011 and 5 yearly
Ground (Part)	Office	87.05 sq m	(937 sq ft)	MERIDIAN BUSINESS SUPPORT LTD (3)	5 years from 18/01/2011 (4)	£14,055	17/06/2014
Ground (Part)	ATM Machine			BARCLAYS BANK PLC (5)	5 years from 26/04/2012	£15,000	(25/04/2017)
Ground (Part)	Office	211.82 sq m	(2,280 sq ft)	VACANT POSSESSION
Ground (Rear)	Office	271.46 sq m	(2,922 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£39,044	(23/06/2017)
First Floor North	Office	204.29 sq m	(2,199 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£35,446	(23/06/2017)
First Floor East Part Basement	Office Ancillary	353.03 sq m 55.56 sq m	(3,800 sq ft) (598 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£54,181	(23/06/2017)
First Floor South	Office	170.57 sq m	(1,836 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£21,000	(23/06/2017)
Second Floor East Part Basement	Office Office	353.03 sq m 149.11 sq m	(3,800 sq ft) (1,605 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£54,750	(23/06/2017)
Second Floor South	Office	157.19 sq m	(1,692 sq ft)	PRIME TIME RECRUITMENT LIMITED (9)	10 years from 08/09/2005	£28,380	(07/09/2015)
Second Floor North	Office	233.92 sq m	(2,517 sq ft)	HOGG ROBINSON (TRAVEL) LTD (10)	5 years from 28/03/2009	£40,000	(27/03/2014)
Third Floor East	Office	352.77 sq m	(3,797 sq ft)	VACANT POSSESSION
Third Floor South	Office	147.90 sq m	(1,592 sq ft)	VACANT POSSESSION
Third Floor North	Office	215.91 sq m	(2,324 sq ft)	PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£32,330	(23/06/2017)
Car Park	3 Parking Spaces			PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£4,050	(23/06/2017)
Car Park	2 Parking Spaces			PARTNERS OF HAY & KILNER (6) (t/a Hay & Kilner) (7)	5 years from 24/06/2012	£2,700
Totals		3,369.97 sq m	(36,273 sq ft)			£413,240

(1) For the year ending 3rd March 2011, Whitbread East Pennines Limited, a subsidiary of Whitbread plc, reported a total net worth of £2,677,176. (Source: www.riskdisk.com 22/08/12)
(2) There is a mutual option to determine the lease with 6 months’ notice on 23rd June 2041.
(3) For the year ending 31st December 2011, Meridian Business Support Limited reported a turnover of £106,241,945, a total net worth of £6,681,981 and a pre-tax profit of £258,451. (Source: www.riskdisk.com 22/08/12)
(4) There is tenant option to determine the lease with 6 months’ notice on 17th January 2014.
(5) As to the lease to Barclays Bank plc, the lease has been arranged but not yet completed. Barclays Bank plc currently operate an ATM from the property. For the year ending 31st December 2011 Barclays plc reported a pre-tax profit of £5,879,000,000 and a total net worth of £47,743,000,000. (Source: www.riskdisk.com 22/08/12)
(6) Hay & Kilner are one of the leading North-East of England Law firms established in 1946. (Source: http://www.hay-kilner.co.uk/ 22/08/12)
(7) As to the leases to the partners of Hay & Kilner, there is the equivalent of 18 months rent free which shall be made up by the seller on completion
(see special conditions).
(8) As to the lease on the Third floor North, there is a tenants option to determine the lease on 28th September 2014.
(9) For the year ending 30th June 2011, Prime Time Recruitment Limited reported a turnover of £192,288,066, a total net worth of £18,530,278 and a pre-tax profit of £4,279,753. (Source: www.riskdisk.com 22/08/12)
(10) For the year ending 31st March 2012, Hogg Robinson (Travel) Limited reported a turnover of £85,601,910, a total net worth of £104,430,323 and a pre-tax profit of £19,716,341. (Source: www.riskdisk.com 22/08/12)