• Wealthy South East commuter town

• Attractive, prime retail investment

• Let to WH Smith (Net Assets £884 million)

• Part sub-let to Boots Opticians (Net Assets £112 million)

• Let until October 2026

• October 2021 break option removed, demonstrating the tenant’s commitment to the property

• Re-based rent following the taking back of the upper parts by the landlord

• Prime position on the High Street

• Two in-situ tenants, providing flexibility at lease expiry

• £925,000, subject to contract

• 7.0% Net Initial Yield

The subject property is situated within the heart of Dorking Town Centre, occupying a prime central retailing pitch on the High Street. The property lies a short distance to the west of St Martin’s Walk Shopping Centre which boasts a selection of well-known brands including Marks & Spencer, The Body Shop, Vodafone and Milletts. Other nearby retailers include Sainsburys, Mountain Warehouse, Barclays, WHSmith, Fat Face, Boots, EE and Starbucks.

The property comprises a retail unit arranged on ground floor with ancillary accommodation at basement level. Internally, the retail floor is predominantly open plan with ancillary areas and has been fitted out by the tenant to their usual corporate style.

The unit has been sub-divided by the tenant and part sub-let to Boots Opticians.

The upper floors, which comprise six residential apartments, do not form part of the sale. However, further details can be provided upon request should an investor be interested in acquiring these upper parts.

According to the Valuation Office the rateable value for the retail unit is as follows:

The Uniform Business Rate is 49.9 pence per pound for rateable values below £51,000.

Freehold.

The upper floors will be let on a new 999 year lease from completion at a rent of £600 per annum.

The tenant, WHSmith Retail Holdings Limited (Co. No. 0471941), has reported the following figures:

For the year ending 31st August 2021 the guarantor, WHSmith High Street Holdings Limited (Co. No. 6560371), reported Net Assets of £101,604,000.

The ultimate parent company is WH Smith Plc, a leading global retailer for news, books and convenience made up of two core business – Travel and High Street. WHSmith Travel operates in over 150 air units, over 130 hospital units and over 290 rail units and other UK locations. WHSmith High Street has an extensive reach across the UK, and a presence on nearly every significant UK high street, mainly in prime locations. Their retail offering includes a wide range of products in the following categories: Stationery (including greeting cards, general stationery, art and craft, and gifting), News and Impulse (including newspapers, magazines, confectionery and drinks) and Books.  For further information see www.whsmithplc.co.uk.

The sub-tenant, Boots Opticians Professional Services Limited (Co. No. 06779221), has reported the following figures:

The Company operated a total of 550 stores as at 31st August 2020 of which 385 were owned stores and 165 were franchised. The ultimate parent company is Walgreens Boots Alliance Inc, a global leader in retail pharmacy with a presence in more than 25 countries, over 21,000 stores and more than 450,000 employees. For further information see www.boots-uk.com/about-boots-uk/healthcare/boots-opticians.

We are instructed to seek offers in the region of £925,000 (Nine Hundred and Twenty-Five Thousand Pounds), subject to contract, reflecting a net initial yield of 7.0%, assuming standard purchaser’s costs of 5.66%.

Please note that a purchaser will be re-charged the costs of searches (£1,254.25) and measured survey (£455 + VAT) which are provided in the data room.

Please note that a purchaser will be charged a Transaction Fee of £5,000 plus VAT.

1. An opportunity to acquire a freehold retail investment within a wealthy South East commuter town;

2. The property occupies a prime position on the High Street;

3. Securely let to WH Smith (Net Assets £884 million);

4. Part sub-let to Boots Opticians (Net Assets £112 million);

5. Let until October 2026;

6. The October 2021 break option has been removed, demonstrating the tenant’s commitment to the property;

7. The rent has been re-based following the taking back of the upper parts by the landlord;

8. Two in-situ tenants, providing a Landlord with flexibility at lease expiry;

9. A purchase at the asking price reflects an attractive net initial yield.

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