High Yielding Multi-Let Retail Investment

1-2 Warren Street | Stockport | Cheshire | SK1 1UD


offers in the region of



  • Town centre multi-let retail investment opportunity

  • Highly prominent freehold parade

  • Income well secured to established national & regional retailers

  • Significant inward investment taking place now in the town centre

  • Offers in the region of £1,800,000 subject to contract

  • 10.6% net initial yield

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD


Stockport is an important satellite town within Greater Manchester and is located approximately 9.5 km (6 miles) south of Manchester city centre.

The town benefits from good road communications adjoining Junctions 1 and 25-27 of the M60 orbital motorway network. There are also links to the wider regional and national motorway network via the M56, M62, M61 and M66 motorways. The M6 motorway is easily accessible via the M56 and the M62 motorways.

There is also direct daily train services between Stockport Railway Station and London Euston with a journey time of approximately 2 hours as well as various other regional routes to and from the surrounding conurbations including Blackpool, Liverpool, Manchester, Preston, Sheffield and Wigan.

Manchester International Airport is 15 minutes away by car. The airport offers routes to other parts of the United Kingdom as well as to all 5 continents.

In a recent survey published by location specialist CACI called Hot Housing Index 2016 which ranks the country’s most desirable locations based on value for money, prices and average incomes and the overall quality of life, Stockport came 3rd in the top 20 housing locations outside London. Source www.propertyweek.com.


The property is situated in a busy trading position on the south side of Warren Street which forms an extension of the town’s prime retail core connecting Merseyway and Princes Street to a Sainsbury’s and an Asda supermarket as well as Peel Centre Retail Park (www.peelcentrestockport). Other retailers in the immediate vicinity include Caffe Nero, Barclays, Halifax, JD Sports, Sports Direct and The Entertainer.

Merseyway is Stockport’s primary shopping centre. The scheme provides in excess of 28,614 sq m (308,000 sq ft) of retail accommodation and benefits from 835 car parking spaces. Merseyway is anchored by Boots, Marks & Spencer and Primark and also includes JD Sports, New Look, Next and Top Shop.

Merseyway Shopping Centre was acquired by Stockport Borough Council in April 2016. The Council intends to make significant investment in updating and improving the current infrastructure and facilities. The Council has an ongoing objective to preserve the long term future of the town and is investing £900m in projects including Stockport Exchange, Redrock and improving access in and around the town centre.

Stockport Exchange is a £145 million development that will create a new gateway to the town. Comprising a new modern business district combining Grade A office space, a town centre hotel with first class retail and leisure facilities and car parking. Phase 1 has been completed which is a new 1,000 space multi-storey car park adjacent to the train station which is now open and operated by NCP. In addition, a 50 space cycle store with lockers and changing rooms was opened as part of the Phase 1 works.

The second phase of the development started in August 2015 which will see a new 4,645 sq m (50,000 sq ft) Grade A office building with ground floor retail space, 115 bed Holiday Inn Express hotel and new public square created in the area opposite the train station entrance.

For further information visit www.stockport.gov.uk.

Redrock Stockport is an exciting £45m leisure development project also part of Stockport Council’s Investing in Growth work. Comprising over 69,677 sq m (750,000 sq ft) of leisure and retail floor space together with a new 360 space multi-storey car park the scheme is anchored by a 10 screen cinema, pre-let to The Light Cinema, over 3,530 sq m (38,000 sq ft) of retail and restaurants including Pizza Express and Zizzi. For further information visit www.redrockstockport.co.uk.

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD
1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD


Occupying a highly prominent position within the town centre, the property comprises a parade of three retail units of brick built construction under a slate roof. There is a rear yard with vehicular access for the loading.

Each shop provides good, well configured accommodation comprising ground floor sales with first floor ancillary accommodation. The tenants have fitted out their units to a high standard in their respective corporate images.

The property has been measured by BKR Floorplans and provides the following accommodation;

Unit 1 – Shoe Zone
Net Frontage   5.49 m 18 ft
Gross Frontage   5.79 m 19 ft
    Sq M Sq Ft
Ground Floor Zone A 31.59 340
  Zone B 35.77 385
  Zone C 29.82  321
  Zone D 15.24 164
  Total Sales 112.41 1,210
  ITZA     633
First Floor   117.52 1,362
Total   229.93 2,572
Unit 1a – Edward Meeks
Net Frontage   30.86 m 101.25 ft
Gross Frontage   33.07 m 108.50 ft
    Sq M Sq Ft
Ground Floor Zone A 60.20 648
  Zone B             43.57 469
  Zone C 53.32 574
  Zone D 13.28 143
  Total Sales 170.38 1,834
  ITZA    1,044
First Floor   125.32 1,844
Total   295.70 3,678
Unit 2 – Perfect Home
Net Frontage   14.40 m 47.24 ft
Gross Frontage   15.09 m 49.60 ft
    Sq M Sq Ft
Ground Floor  Zone A 77.85 838
  Zone B 6.05 711
  Zone C        50.54 544
  Zone D 20.07 216
  Total Sales 194.45 2,309
  ITZA   1,357
Mezzanine   13.94 150
First Floor   176.05 1,895
Total     404.50 4,354
TOTAL   930.13 10,604

A set of floor plans is available to download and the measured survey report is available for assignment to a purchaser.

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD
1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD




The property is let as follows;

1 Warren Street is let to Shoe Zone Retail Limited (formerly Shoe Zone Limited).

The lease is for a term of 15 years from 24th April 2006 expiring on 23rd April 2021 at a current passing rent of £72,500 per annum.

The lease, which is fully repairing and insuring, benefits from a rent review on 24th April 2016 which is currently outstanding. Based on our analysis of the passing rent the Zone A is £103.73.

1a Warren Street is let to Edward Meeks Limited t/a Meeks Shoes.

The lease is for a term of 10 years from 8th December 2015 expiring on 7th December 2025. The lease, which is internal repairing and insuring subject to a service charge covering structural elements i.e. the roof, includes a rent review on 8th December 2021 as well as a break option on the same date subject to 6 months’ prior written notice.

The annual rent is £55,000 per annum, however, the tenant benefits from half rent for the first two years of the lease. A purchaser will receive the equivalent to the full headline rent on completion by way of an adjustment to the purchase price. Based on our analysis the headline Zone A is £43.86.

2 Warren Street is let to Temple Retail Limited t/a PerfectHome and guaranteed by Perfect Home Holdings Limited.

The lease is for a term of 10 years from 4th July 2011 expiring on 3rd July 2021 at a current passing rent of £75,000 per annum.

The lease, which is fully repairing and insuring, benefits from an outstanding rent review on 3rd July 2016. There was a break option on 3rd July 2016 in favour of the tenant which was not exercised. Based on our analysis of the passing rent the Zone A is £54.74.

In summary:

Shoe Zone £72,500 per annum April 2021 lease expiry
Edward Meeks £55,000 per annum December 2021 break option
Temple Retail £75,000 per annum  July 2021 lease expiry
Total £202,500 per annum  

Service Charge

The service charge budget for the period 1st April 2016 to 31st March 2017 is £35,075. The Service Charge Accounts and Service Charge Budgets are available to download. 

Edward Meeks Limited has a service charge cap of £10,000 subject to annual increases in line with the Retail Price Index (RPI).

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD
1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD

Shoe Zone Retail Limited (Co. No. 00148038) has reported the following figures;

  3rd October 2015 4th October 2014
Turnover   £166,819,000 £172,861,000
Pre-Tax Profit  £12,732,000  £11,677,000
Shareholders’ Funds £36,809,000 £29,677,000

Shoe Zone is a leading specialist value footwear retailer, offering low price and high quality women’s, men’s and children’s shoes. The company operates a portfolio of over 500 stores around the United Kingdom and the Republic of Ireland employing approximately 3,500 people. The ultimate parent company is Shoe Zone Plc which is a public quoted company listed on the AIM market. For further information visit www.shoezone.com

Edward Meeks Limited (Co. No. 00202738) has reported the following figures;

  31st December 2014 31st December 2013
Current Assets £530,748  £520,685
Shareholders’ Funds £312,173  £175,876

Meeks Shoes was established in 1901 by Edward Meeks, today the company is run by his grandson John Meeks and his sister. The company operates from 6 stores in Alderley Edge, Ashton-Under-Lyne, Oldham, Sale and two stores in Stockport. Meeks has been trading in Stockport for more than 40 years and the subject property was opened in April 2016. For further information visit www.meeksshoes.co.uk

Temple Retail Limited (5981917) has reported the following figures;

  31st March 2015   31st March 2014
Turnover  £90,114,826  £82,735,405
Pre-Tax Profit  £7,291,360 £4,521,905
Shareholders’ Deficit  £23,498,202 £30,380,037

The guarantor to the lease and the ultimate parent company is Perfect Home Holdings Limited. 

Perfect Home Holdings Limited (Co. No. 06016659) has reported the following figures;

  31st March 2015 31st March 2014
Turnover   £90,114,826 £82,735,405
Pre-Tax Profit  £7,291,263  £4,455,790
Shareholders’ Funds £61,997,892 £55,116,284 

PerfectHome is a household goods retailer offering quality products from washing machines to beds to its customers through weekly, fortnightly or monthly payments. Established in 2006 the company operates from approximately 70 stores in high street and shopping locations across the United Kingdom employing approximately 670 people. 

As a responsible lender PerfectHome is authorised and regulated by the Financial Conduct Authority and it is also a member of the Consumer Credit Trade Association. The company has also set its own Code of Practice in its Responsible Lending Charter. In addition, the company has made the voluntary commitment to pay all employees the Living Wage of £7.85 per hour as a minimum compared to the national minimum wage of £6.50 per hour. For further information visit www.perfecthome.co.uk.

Value Added Tax

The property has been registered for VAT. It is anticipated that the sale will be treated as a Transfer of a Going Concern (TOGC).

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD
1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD


We are instructed to seek offers in the region of £1,800,000 (One Million, Eight Hundred Thousand Pounds), subject to contract, reflecting a net initial yield of 10.6%, assuming standard purchaser’s costs of 6.22%.

Investment Considerations

  1. An opportunity to acquire a high yielding town centre multi-let retail investment;

  2. The property occupies a highly prominent trading position within the town centre;

  3. The property is fully income producing and is let to established national and regional brands;

  4. The Local Authority is spearheading significant inward investment of nearly £1billion into Stockport town centre in a number of major regeneration and development projects with the purpose of preserving the long term future for the town;

  5. A purchase at the asking price will provide an investor with an attractive net initial yield;

1-2 Warren Street | |  | | Cheshire | Stockport | | SK1 1UD

Contact us

Singer Vielle   +44 (0) 207 935 7200
Neil Singer neil@singervielle.co.uk +44 (0) 203 478 9120
Dale Henry dale@singervielle.co.uk +44 (0) 203 701 1356
Richard Wolfryd richard@singervielle.co.uk +44 (0) 203 701 1353
Faye Langoulant faye@singervielle.co.uk +44 (0) 203 478 9122
Louanne Malan louanne@singervielle.co.uk +44 (0) 203 701 1386

Vendor's Solicitor

Nabarro LLP  
Sophie Thomas s.thomas@nabarro.com +44 (0)114 279 4102