Cooper Rose Real Estate has been instructed to market this modern, purpose built food store investment in Immingham, North-East Lincolnshire, the salient points of which are as follows:

  • Immingham is an historic shipping town located approximately 8 miles north west of Grimsby, 22 miles east of Scunthorpe and 28 miles south of Hull

  • The town benefits from good road communications and is serviced by the A180, linking the town with Grimsby to the south east and the M180 just 9 miles to the west

  • There are over 37,700 people living within 15 minutes of Immingham rising to over 236,000 people living within 30 minutes

  • The town is rapidly expanding with plans to build over 700 new homes

  • Immingham is also a thriving industrial town with trade centred on the Port of Grimsby and Port of Immingham, which is the UK’s largest Port

  • The subject property forms part of the town centre for Immingham which was recently subject to a £10 million redevelopment

  • 45,286 sq ft supermarket that has recently been re-fitted to trade as Jack’s – Tesco’s new discount trading fascia

  • Long leasehold for a term of 999 years from 30 November 1995 (976 years unexpired) from Cleethorpes Borough Council at a peppercorn rent

  • Let to Tesco Stores Limited, trading as Jack’s, for a further 20.9 years (10.9 years term certain) on a fully repairing and insuring lease

  • The passing rent is £679,290 p.a. (£15.00 per sq ft) and is reviewed five yearly on an upward only basis linked to the Retail Prices Index with a collar of 1.00% p.a. and cap of 4% p.a.

  • The next review being 5th September 2019 - vendor will top the rent up to £760,000 p.a.

  • Tesco Stores Limited have an undoubted covenant with a ‘5A1 / Minimum Risk’ credit rating from Dun & Bradstreet with a reported turnover of over £40bn in 2017

  • We are instructed to seek offers in excess of £10,960,000 subject to contract and exclusive of VAT, which reflects an attractive Net Initial Yield of 6.50% on the basis the rent is topped up and assuming purchaser’s costs of 6.70%

  • A purchase at this price produces an estimated running yield at next review (Sept 2024) of 7.50%

Contact Ben Rose, Sammy Whittaker or our joint agent Ben Turquet of Harvey Spack Field

Immingham photo.JPG