torquay - Wilkinson Williams

Wren Retail Park is the only non food open consented retail park in Torquay, and there is the opportunity to
further capitalise on this.
The scheme is currently well let to a strong tenant line up. However we feel it could benefit from the following:
Both fashion and open A1 non food retailers have expressed interest in locating to the park in the
past six months, in spite of the current weakened occupational market. Although at present no deals
are being pursued, in the medium to long term, a surrender could be agreed with Carpetright, who
currently occupy Unit 2, giving the opportunity to let the unit to prospective tenants in a stronger
occupational market. A letting to another fashion retailer would improve the tenant line up and
reinforce the scheme’s dominance as Torquay’s prime retail park.
Alternatively as Unit 2 is well configured, totalling 10,030 sq ft, it has the potential to be subdivided
into two units of circa 5,000 sq ft. This would present the opportunity to extend the tenant mix to
include, for example, a footwear retailer and another fashion retailer.
Unit 3, occupied by Mothercare could be split into two units of 10,000 sq ft and 5,000 sq ft.
Mothercare could downsize to the 10,000 sq ft unit and the remaining 5,000 sq ft unit could be let
to another fashion operator.
We are instructed to seek offers for the above property based
on an ATTRACTIVE NET INITIAL YIELD OF 6.5% (assuming
purchaser’s costs at 5.725%). This would equate to a base
price of £20,600,000, with a top up payment being due
upon settlement of the outstanding rent reviews. On the basis
these are settled at £32.50 per sq ft, this will equate to an
estimated total purchase price of £22,650,000 (TWENTY
TWO MILLION SIX HUNDRED AND FIFTY THOUSAND
POUNDS) subject to contract and exclusive of VAT.