HIGH YIELDING REVERSIONARY SOUTH EAST OFFICE INVESTMENT

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AF

S LENT HOUSE

Sout

ham

pton

(10 m

iles)

Portsmouth

(10 mile

s) • Innovation Group

• Randstad

Cobham DTC

FUSION

Lockheed Martin

INVESTMENT CONSIDERATIONS

Located on Solent Business Park, the South Coast’s premier business park Moderndetachedself-containedofficebuildingcomprising17,359sqftofhighqualityofficeaccommodation Thepropertyislettothreetenants;CunninghamLindseyUnitedKingdom,EightWealthManagementLimited and Provident Personal Credit Limited withafurther3,260sqftofvacantaccommodation

AWULT of 7.85 yearstoexpiryand4.89yearstobreak Current rent passing,includingatopuponthe

vacant suite, of £260,384 per annum New rental tone of £16psf setontherecentletting

to Provident Personal Credit Limited Freehold 96carparkingspacesprovidingexcellentcar

parking ratio of 1:181 sq ft

Offersaresoughtintheregionof£3,000,000 (Three Million Pounds) subject to contract and exclusiveofVAT.Apurchaseatthislevelreflects anattractivenetinitialyieldof8.15%allowing forpurchaser’scostsof6.45%.Thisrepresents alowcapitalvalueof£173psf.

Solent Hotel & Spa

•Regus•Interbay• Aztec Group

Peach Telecomm

Shoosmiths

Matchtech

Atmel

Northrop Grumman

FlightDataServices

WhiteleyWaySubject to £20M of improvements

Parkway

Specsavers

FORUM

Optegra

S LENT HOUSE

ShoppingCentre

M27Junction9

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AFS LENT HOUSE

LONDON

Southampton

Gatwick

Heathrow

LondonCity

LutonOxford

Bournemouth

Bristol

A350

A350

A354

A338

A338

A346

A419

A303

A303

A361

A39

A272

A23

A22

A4

A358

A339

A27

A24

A264

A331

A36

A36

A34

A33

A34

A31

A31

A3

A37

A37

A35A35

M27

M48 M40M25

M25

M23

M40

M11

M3

M3

M5

M5

M4

M4

M1

A3(M)

A1(M)

M271

M49 M32

WINCHESTER

ANDOVER

EASTLEIGH

PORTSMOUTH

SOUTHAMPTON

SALISBURY

NEWBURY

BASINGSTOKEGUILDFORD

WOKING

CHICHESTER

BOGNOR REGISSOUTHSEA

WORTHINGBRIGHTON

SWINDON

GLOUCESTER

CHELTENHAM

BATH

OXFORD

READING

BRISTOL

DORCHESTER

YEOVIL

WEYMOUTH

BOURNEMOUTH

FAREHAM

FORUM

FUSION

MARJORAM WAY

PARK

WAY

ROOKERY AVENUE

WHITELEY WAYWHITELEY WAY

PARKWAY

PARKWAY

PARKWAY

WHI

TELE

Y W

AY

SOLENT BUSINESS PARK

SOLENT VILLAGE

Southampton(10 Miles)

Whiteley Shopping CentreM&S, Tesco, Next, H&M, Cineworld, Five Guys,Nando’s, Prezzo, Starbuck

Lockheed Martin

HSBC RegusSpecsaver

Randstad

Zurich

NATS

Portsmouth(10 Miles)

M27

JUNCTIO

N 9

Solent Hotel& Spa

A27 Optegra

ITV Meridian

Cobham DTC

NorthropGrumman

Shoosmiths

Matchtech

Flight DataServices

PORTSMOUTH 19MINSSOUTHAMPTON 25MINSLONDON 2HR 9MINS

SOUTHAMPTON CENTRAL 18MINSPORTSMOUTH & SOUTHSEA 31MINSLONDON WATERLOO 1HR 40MINS

SOUTHAMPTON AIRPORT 13MINSGATWICK AIRPORT 1HR 23MINS

LOCATIONSolent Business Park is the south coast’s premier business park located between Southampton to the west and Portsmouth to the east. The Park benefits from excellent communication links being situated 800m north of the M27 (Junction 9) providing access to Southampton and the M3 (Junction 14) to the West and Portsmouth and the A27 to the East. Railway services are provided from Swanwick rail station approximately 1 mile to the west and Fareham station 4 miles to the south east. Local services are provided from Swanwick with services to Southampton and Portsmouth with quickest journey times of 18 minutes and 31 minutes respectively. National services are provided from Fareham with services to London Waterloo with a quickest journey time of 1 hour 40 minutes. Southampton Airport is situated approximately 11 miles north west of the business park and serves approximately 40 direct European destinations with onward global connections via Amsterdam.

SOLENT BUSINESS PARKWidely acknowledged as the premier out-of-town business location on the South Coast, Solent Business Park is developed over 130 acres and provides for a wide range of occupiers.Solent Business Park is home to over 60 companies, employing in excess of 5,000 people overall. Major national occupiers include National Air Traffic Services (NATS), Zurich, ITV, HSBC, Shoosmiths Solicitors, Specsavers, Northrop Grumman, Matchtech Group and St. James’s Place Wealth Management amongst others.Solent Business Park benefits from an extensive range of onsite amenities. The popular Solent Centre is situated in a landscaped setting beside the lake and provides fantastic conveniences for staff including a travel agent, dentist, hair dresser and café. In addition, the refurbished Whitley Shopping Centre is adjacent to Solent Business Park and offers 340,000 sq ft of shopping and leisure amenities including Marks & Spencer, H & M, Next, Wagamama, Prezzo and Cineworld.The Solent Spa and Hotel, which is also located adjacent to the Park offers 111 bedrooms, swimming pool and spa facilities, as well as conference facilities for up to 200 delegates.’

S LENT HOUSE

RECENT ACTIVITY AT SOLENT BUSINESS PARK & FUTURE PROJECTSSolent Business Park has performed very well in recent years and there has been approximately £185m of investments transacted since July 2015, demonstrating its attraction as an investment location. Office space availability on the Park is now at a record low with some high profile lettings having taken place in recent years with the likes of HSBC and Specsavers taking space at The Forum, which transacted in 2016 with Tristan Capital purchasing the offices for £43m from M&G. The investment in the Park and the all-time low availability are a credit to the Parks credentials as a strong business location. Other developments nearby include a proposed residential development at North Whiteley which has outline permission for 3,500 homes which are expected to be built from 2018. Further to this there will be numerous facilities including two primary schools, a secondary school and two neighbourhood centres. The Whiteley Shopping Centre has helped to improve the Park as a location and certainly compliments the local business park but could also be an attraction for new homes in the area. Hampshire Council have recently announced that they will be spending approximately £20 million on an improvement scheme to widen Junction 9 of the M27 and also the Parkway South Roundabout. This will help to improve traffic flow in and out of the Business Park.

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AFS LENT HOUSE

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

SITUATIONThe property is situated in a cul-de-sac approximately 100m south of Parkway on the southern side of the Business Park. Parkway provides the main access route through the Park which leads directly to Whiteley Way, which provides access to the M27 (Junction 9) to the south and Whiteley Shopping Centre to the north.Swanwick station is located approximately one mile to the west of the subject property.

DESCRIPTION1460 Solent House comprises a 17,359 sq ft (1,612.7 sq m) office building, arranged over three storeys and was built in 2000. The property is of steel frame construction with external brick elevations under a pitched tiled roof. In 2014 the landlord carried out a full refurbishment of the property to provide the following specification:• Raised floors • Suspended ceilings• LG7 compliant lighting • Double glazed windows• 1 x 10 person passenger lift• Male and Female toilets on each floor

The property benefits from 96 car parking spaces providing an excellent car parking ratio of 1:181 sq ft.

SITE AREAThe property occupies a site area of approximately 1.1 acres (0.44 hectares).

TENUREFreehold.

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AFS LENT HOUSE

Path

Path

PARKWAY

SolentVillage

1480

2

33

1450

5

19

El Sub Sta

23

El Sub Sta

Chemring House

0m 10m 20m 30m

Ordnance Survey © Crown Copyright 2017. All rights reserved.

Licence number 100022432. Plotted Scale - 1:1250

TENANCY SCHEDULE

Floor Tenant Area sqft

Area sqm

Rent £pa

Rent £psf

Lease Commence

Lease Expiry

Next Review

Comments

Ground CunninghamLindseyUnited Kingdom

5,625 522.6 £81,432 £14.48 27/01/2014 26/01/2024 (27/01/2019)

27/01/2019 Thetenantwillreceive6monthsrentfreeiftheydonotexercisetheirbreakoption.Outside the1954Act.

First EightWealthManagementLtd

5,861 544.5 £84,984 £14.50 18/11/2015 17/11/2025 17/11/2020 Thetenantbenefitsfromahalfrentuntil17May2018whichwillbetoppedupbythevendor.

Part second

Provident Personal Credit Limited

2,613 242.8 £41,808 £16.00 16/10/2017* 15/10/2027 (16/10/2022)

16/10/2022 Thetenantwillbenefitfrom 9monthsand18daysrentfreefrom the start of their lease, whichwillbetoppedupbythevendor.Thetenantbenefitsfroma5yearbreakoption.Outsidethe1954Act.Rentreviewinyear5.*Anticipatedstartdate.Theleaseisnotyetcompletebut the tenant entered into an agreementforleaseinAugust.

Part second

Vacant 3,260 302.8 £52,160 £16.00 The vendor will provide a 12monthsrent,ratesand servicechargeguarantee.

Total 17,359 1,612.7 £260,384

There is a Plowman & Craven measured survey for the property which is available on request.

COVENANTSCUNNINGHAM LINDSEY UNITED KINGDOMCunningham Lindsey United Kingdom is the leading claims management and loss adjusting business in the UK. The company employs over 6,000 skilled staff across 60 offices worldwide.The company has a D&B rating of 2A1 reflecting a minimum risk of business failure.Cunningham Lindsey United Kingdom reported the following accounts for the past 3 years:

31Dec2016 31Dec2015 31Dec2014

Turnover £101,462,000 £82,921,000 £98,298,000

Profit before tax £2,634,000 £672,000 £11,558,000

Net Worth £3,840,000 £28,429,000 £28,681,000

EIGHT WEALTH MANAGEMENT LTDEight Wealth Management Limited offers services that encompass all aspects of wealth management including mortgages, protection, pensions and investments. The company is a principal partner practice of St James’ Place Wealth Management PLC, a FTSE 100 company.

The company has a D&B rating of N2 reflecting a lower than average risk of business failure.

Eight Wealth Management Ltd reported the following accounts for the past 3 years:

31Mar2016 31Mar2015 31Mar2014

Turnover - - -

Profit before tax - - -

Net Worth (£2,616,323) (£1,028,087) (£1,206,066)

PROVIDENT PERSONAL CREDIT LIMITEDProvident Personal Credit Limited offers cash loans to customers and has been operating since 1880. Provident is part of the Provident Financial Plc, a FTSE 100 company.

The company has a D&B rating of 5A1 reflecting a minimum risk of business failure.

Provident Personal Credit Limited reported the following accounts for the past 3 years:

31Dec2016 31Dec2015 31Dec2014

Turnover £517,000,000 £515,300,000 £566,900,000

Profit before tax £88,500,000 £76,400,000 £90,900,000

Net Worth £146,300,000 £130,100,000 £142,600,000

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AFS LENT HOUSE

SOLENT BUSINESS PARK FAREHAM HAMPSHIRE PO15 7AF

Property Type Occupier Date Size (sqft)

Rent (£sqft)

Term

2ndFloor,SolentHouse Business Park Provident Personal Credit Limited

Q32017 2,602 £16.00 10years

TheWhiteBuilding,1stFloor,Southampton

Citycentre,Refurbished

Manpower Group Solutions

Q22017 5,637 £17.50 10years

TheWhiteBuilding, Floors 10 & 11, Southampton

Citycentre,Refurbished

FootanseyLLP Q22017 6,489 £22.00 10years

GatewayHouse, Chandlers Ford

Business Park Moore Blatch Q12017 24,306 £19.25 10years

ConceptHouse,Eastleigh Business Park DuttonGregoryLLP Q12017 6,383 £19.50 10years

2ndFloor,1650Parkway Business Park Slater & Gordon Q42016 9,886 £11.50 5 Years

2ndFloor,Forum5 Business Park Peach Telecomm Q32016 13,325 £17.25 10years

1st Floor, Solent House Business Park 8WealthManagement Q22016 5,867 £15.00 5years

Date Property Purchase Price

NIY Cap Val (persqft)

Area TenancyDetails

AWULT

Apr-17 Clarion House, Maidenhead £7,300,000 7.33% £219 33,303 Multi-Let 3.58

Mar-17 OneCapabilityGreen,Luton £5,210,000 7.50% £295 17,668 Multi-Let 4.50

Sep-16 Forum, Solent Business Park, Fareham

£42,000,000 7.27% £166 252,981 Multi-Let 5.60

Sep-16 DesRochesSquare,Witney £6,350,000 7.23% £194 32,705 Multi-Let 6.60

Jun-16 AngloOfficePark,Amersham £5,025,000 8.34% £206 24,449 Multi-Let 5.50

Mar-16 Linea House, Ancells Business Park, Fleet

£3,725,000 7.70% £169 22,062 Multi-Let 2.21

INVESTMENT COMPARABLESRECENT LETTINGS

S LENT HOUSE

The South Coast occupational market continues to see steady improvement, with constrained supply and sustained demand placing upward pressure on rents. Total supply is down 15% from Q4 2016 and now stands at 1.1 million sq ft.Aside from 5 Benham Campus at Southampton Business Park, new office development remains extremely limited. This supply issue is compounded by a large amount of secondary South Coast office stock being converted into residential accommodation under permitted development rights.

Occupier demand remains strong and take up levels continue to trend above the 10 year average. Coupled with the constrained supply, this has seen headline rents increase over the past 12 months. The majority of available space is Grade B, with approximately 14% of space being Grade A. The bulk of Grade A space is high quality refurbished accommodation. As a result of this shortage, rents for high quality refurbished office space have moved on to £22.00 per sq ft for city

centre and £21.00 per sq ft for out of town space.With a limited development pipeline and a continued diminishing supply, rents are forecast to continue their upward trajectory, particularly for Grade A space.

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

Alex Butler020 7543 6722alex.butler@allsop.co.uk

Forfurtherinformationortomakearrangementsforviewingpleasecontact:

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

PROPOSALOffers are sought in the region of £3,000,000 (Three Million Pounds) subject to contract and exclusive of VAT. A purchase at this level reflects an attractive net initial yield of 8.15%, off the topped up rent, allowing for purchaser’s costs of 6.45%. This represents a low capital value of £173psf.

EPCThepropertyhasan EPCratingofC(75).

SERVICE CHARGETheservicebudgetfortheyear1stJanuary2017to 31stDecember2017is£131,814whichequatesto£7.59psf.Furtherinformationavailableonrequest.

VATThepropertyhasbeenelectedforVAT.ItisenvisagedthatthetransactionwilltreatedasaTransferofaGoingConcern(TOGC).Furtherinformationavailableonrequest.

S LENT HOUSE