virtual freehold leisure investment kiss gyms, paramount … · 2014-06-19 · virtual freehold...

Virtual Freehold Leisure Investment Kiss Gyms, Paramount Building, Princes Street, Swindon, SN1 2SD

Investment Summary

• 1,161 sq.m. (12,500 sq.ft.) ground floor health and fitness club below a 200 apartment residential scheme developed in 2008.

• Situated in the heart of Swindon town centre close to Jurys Inn and Travelodge Hotels, Swindon Borough Council Offices and a new 850 space multi-storey car park, developed as part of the first phase of the £350m Swindon Town Centre Kimmerfields regeneration scheme.

• 999 year leasehold interest from 2nd December 2008 at a peppercorn.

• Let to Kiss Gyms Limited for 15 years from 25th December 2011 subject to tenant only break on 24th December 2021.

• Rent passing of £100,000 per annum subject to fixed increase to £115,000 per annum in 2016 and 5 yearly upward only open market reviews thereafter.

Offers invited in excess of £1,050,000 (one million and fifty thousand pounds), subject to contract and exclusive of VAT, reflecting a net initial yield of 9% rising to 10.35% in 2016.

Kiss Gyms, Paramount Building, Princes Street, Swindon, SN1 2SD | Virtual Freehold Leisure Investment

LocationSwindon is situated approximately 80 miles west of London, 40 miles east of Bristol, 40 miles north west of Reading and 30 miles south west of Oxford.

Communications are excellent with junctions 15 and 16 of the M4 motorway being 3 miles to the south east and 3 miles to the south west respectively whilst regular national rail services run to Reading (30 minutes), Bristol (45 minutes) and London (55 minutes)

Swindon has a resident population of 210,000 and is home to many national and international businesses including Intel, The National Trust, Npower, First Great Western, Nationwide Building Society, Zurich, W H Smith and Honda.

According to Centre for Cities’ Cities Outlook 2014 Report, Swindon -

• is the third fastest growing city by population growth

• has the third highest proportion of private sector employment

• has the fourth highest housing stock growth and

• is an important centre for innovation being second only to Cambridge in terms of number of patents granted per 100,000 residents LONDON

BRISTOL

SWANSEA

BIDEFORD

SALISBURYWINCHESTER

GUILDFORD

READING

HIGHWYCOMBE

WATFORD

CANTERBURY

SHREWS BURY

OXFORDCIRENCESTER

BATH

TORQUAYPLYMOUTH

BODMIN

PENZANCE

HONITON

MILTONKEYNES

LUTONCHELTENHAM

EVESHAMHEREFORD

WORCESTER

GLOUCESTER

BEDFORD

WARWICK

IPSWICH

NORWICH

KING'S LYNN

BARNSTAPLE

EXETERSOUTHAMPTON

WELSHPOOL

ABERYSTWYTH

CARMARTHEN

WREXHAM

LIVERPOOL

BLACKPOOL

NOTTINGHAM

DERBY

STOKE-ON-TRENT

SHEFFIELD

BURYST EDMUNDS

DOVER

FOLKESTONE

BRIGHTON

NORTHAMPTON

NEWPORT

CAMBRIDGE

STEVENAGE

CHICHESTER

MANCHESTER

BRADFORD LEEDS

YORK

SCARBOROUGH

MIDDLESBOROUGH

NEWCASTLE UPON TYNE

DONCASTER

CAERNARFON

CARLISLE

GLASGOW

ABERDEEN

PETERHEAD

INVERNESS

WICK

FORTWILLIAM

OBAN

STANDREWS

PERTH

DUNDEE

STIRLING

BERWICKUPON-TWEED

DUMFRIES

LINCOLN

BOSTON

PETERBOROUGH

LEICESTER

CHESTER

BRECON

WOLVERHAMPTON

COVENTRY

EDINBURGH

BIRMINGHAM

NEWBURY

SWINDONS

A31

A30

A36

A36

A3

A4

A404A34

A33

A30

A30

A35

A303

A303

A35

HEATHROW

GATWICK

M5

M50

M5

M40

M42

M42

M54

M56

M56M53

M57

M58

M55

M65

M74

M77

M90

M80

M8

M9

M9

M66

M61

M62

M40

M6

M6

M6

M6

M69

M4

M4

M1

M1

M18

M1

M3 M25

M23

M25

M27 A3(M)

M2

M20

A1(M) M11

A1(M)

A1(M)

A66(M)

M5

M180


SituationThe subject property is situated in Princes Street, in the heart of the town centre close to the offices of Swindon Borough Council, the Travelodge and Jurys Inn hotels and the Kimmerfield regeneration site.

Directly opposite is the Wyvern Theatre and Car Park site where a new cultural quarter for the town is proposed with the first phase to include a new £15m art gallery and museum.

01

KEY

Extent of proposed development

Internal Street

Potential acrive ground floot use including retail/ (use calss A1 to A5 inclusively), leasure, commercial entrances and public access.

Principle use residential

Principle use commercial including offices and hotel

Mixed use including relocated MSCP, offices, health, retail, residential

01 Kiss Gyms, Paramount Building


Major regeneration of the town is proposed following the adoption of the Swindon Masterplan in 2013 with a new commercial and residential quarter coordinated by Forward Swindon, the council owned economic development company, and Muse Developments in collaboration with landowners, the Home and Communities Agency, the South West Regional Development Agency and Swindon Borough Council. The £350m Kimmerfields scheme has outline consent for:

• 650,000 sq.ft. of offices• 150,000 sq.ft. of retail• 450 residential units• An 850 space multi-storey car park• A new Primary Health Care Trust building• A new Bus Station• Hotel• A new Public Square and • Substantial remodelling of Fleming Way, Gordon Road and Whalebridge

Phase one including the new car park and 45 residential units has already been completed. Phase 2, involving the remodelling of Fleming Way and public realm improvements, is due to commence this year with completion due by 2016.

01

01

KEY01 Kiss Gyms, Paramount Building

02 Swindon Borough Council Offices

03 Travelodge Hotel

04 Jurys Inn Hotel

05 Wyvern Theatre and Car Park Site – Proposed Cultural Quarter

06 Phase 1 of Kimmerfields Development –new 850 space public car park and 45 apartment residential building

07 Kimmerfields Development Site – Proposed commercial, residential and Infrastructure project

08 Swindon Station


03

04

06

07

08

02

05

Description/AccommodationThe property comprises a ground floor health and fitness centre comprising a gross internal area of 1,161 sq.m. (12,500 sq.ft.) which was developed as part of a 200 apartment Swan Hill residential scheme in 2008.

The property also has the benefit of 30 car spaces in the basement of the building.


take out detail brown blobs

TenureThe property is held on a lease for 999 years from 2nd December 2008 at a peppercorn.

TenancyThe property is let to Kiss Gyms Limited for 15 years from 25th December 2011 at £100,000 pa (£8.00 psf) subject to review to £115,000 pa (£9.20 psf) on 25th December 2016 and upwards only open market reviews on 25th December 2021 and 25th December 2026.

There is a tenant option to break on 24th December 2021 subject to 6 months’ notice.

The permitted use is for a 24 hour private members’ health and fitness club together with ancillary café/bar and retail. Change of use is permitted subject to landlord’s consent which cannot be unreasonably withheld.

CovenantKiss Gyms Limited was incorporated in 2010 and operates three gyms in Acton, Milton Keynes and Swindon. They provide a 24 hour 7 days a week low cost health and fitness offer and are looking to expand their operation further within London and the South West. Further information can be found on their website https://www.kissgyms.com/index.php


VATThe property is elected for VAT.

EPCRating B –certificate available upon request.

ProposalWe are instructed to seek offers in excess of:

£1,050,000 (One million and fifty thousand pounds)subject to contract and exclusive of VAT, reflecting a net initial yield of 9% and a reversionary yield of 10.35% in December 2016 following the fixed increase at the first review.

Further informationFor further information or to arrange aninspection then please contact either:

Lawrence GlucksteinDirect Line: 020 7659 9742email: [email protected]

Neil EdwardsDirect Line: 020 7659 9741email: [email protected]

Chartered Surveyors 76 New Bond Street London W1S 1RX

Misrepresentation Act:Messrs John Miles & Company (Investments Surveyors) Ltd for themselves and for the vendors or lessors of this property whose agents they are give notice that (i) the particulars are set out as a general outline for the guidance of the intending purchasers and do not constitute part of an offer or contract; (ii) all descriptions, dimensions, references to condition and necessary permissions for use and occupation and other details are given without responsibility and any intending purchasers should not rely on them as statements or representations of fact but must satisfy themselves by inspection or otherwise as to the correctness of each of them; (iii) no person in the employment of John Miles & Company (Investment Surveyors) Ltd has any authority to make or give any representation or warranty whatever in relation to this property. June 2014

virtual freehold leisure investment kiss gyms, paramount … · 2014-06-19 · virtual freehold...

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