The Property Is Situated on Kings Road at 107 Kings Road, London, SW3 4PA in the Royal

The Property Is Situated on Kings Road at 107 Kings Road, London, SW3 4PA in the Royal

Report Title / Schedule 1 Technical Building Information
Report Author / Richard Abbey
Version Control / 08.05.17

The property is situated on Kings Road at 107 Kings Road, London, SW3 4PA in the Royal

Executive Summary

  1. Location

Borough of Kensington & Chelsea.

  1. The Building

The building is vacant and comprises a former night club unit (107) arranged over ground, first floor and second floor.

The property is not listed but is located within the Royal Hospital Conservation Area.

  1. The layout

The club is arranged over the ground, first floor and second floors. Space for the installation of tenant’s plant is at second floor roof level and accessed directly from the night club space.

Full floor plans are attached.

Floor / GIA ft2 / GIA m2
Ground / 3,239ft2 / 300.9 m2
First / 3,202 ft2 / 297.5 m2
Second / 424 ft2 / 39.4 m2
Total / 6,865 ft2 / 637.8 m2

NB. There is also an external terrace area at first floor level of 612ftۦ (56.9mۦ).

Technical Information

  1. Floor to ceiling heights

Ground Floor - Structural slab to underside of structural slab: Minimum – 2.4m/Maximum 2.9m

First Floor - Structural Slab to underside of structural slab: Minimum – 2.5m/Maximum 2.8m

  1. Structural loading

Ground floor main area

We have obtained the following qualified Structural guidance assuming a potential Gym use.

“The ground floor appears to have an oversite concrete slab. Ignoring any local soft spots or cover positions this is likely to have an imposed load capacity exceeding that of a gym.

First floor main area

We have now had some limited opening up work in the ceiling under the first floor and this suggests that the original timber floor has been strengthened by a new sub-frame of steelwork at ground floor level. We do not know the sizes of the steels used but they appear to have been placed to limit the span of the joists to around 3.2m. The joists found in the opening up were quite consistent at 11”x2” at 12 to 14” spacing. All of this gives a stiff timber and steel floor, that would be capable of supporting a good standard of imposed floor loading, associated with a general exercise area of a gym.

We would therefore suggest that the heavy activities of a gym, say free weights and large exercise equipment be restricted to the ground floor area, and the first floor is used a general gym and ancillary activities.“

  1. Incoming Services

6.1Electricity

A metered, isolated 200A TP&N LV supply serves the property. The current supplier is BES Services.

6.2Water

There are 2 independent 22mm supplies that extend from ground floor level in a builders work duct adjoining the kitchen area at first floor level. The current supplier is Thames Water.

6.3Gas

The incoming gas main enters the building adjacent to the entrance to 107, where the meter is located. The incoming gas main is approximately 50mm and suitable for all intended usage of the building. The current supplier is BES Services.

Internal finishes

Walls, Floors and Ceilings:

The unit will be cleared and left as a clean shell ready to receive the surface and other finishes as part of the tenant’s fit out.

EPC Rating – 89 D. Reference 0480-0234-0329-6397-9006.

SCHEDULE 2

Operational Management Strategy (OMS)

(subject to final agreement)

Night Club Premises 107 Kings Road. Chelsea, London, SW3 4PA

Report Title / Schedule 1 Operational Management Strategy (OMS)
Report Author / Richard Abbey
Version Control / 08.05.17

Operation Management Strategy (OMS)

  1. Introduction

The OMS has been prepared having regard to industry good practice, general polices of the Royal Borough of Kensington & Chelsea and the issues raised by local businesses, residents and local stakeholders.

Martins Properties is seeking to reach agreement with a high quality, reputable and substantial operator of the premises to take on a new tenancy over the empty club premises at 107 Kings Road for a term of 10 years on a new lease. The landlord will hand over to the incoming operator the building in a clean serviced "Shell & Core" standard for the operator to fit out at their own expense.

The Operator will be required to present an operational concept for the Landlord's approval as a pre-condition to any letting. This document will provide details of the nature of the operation, the target customer group for the business, the layout of the premises, the days & hours of operation, the management structure of the business, details of the shareholders and investors in this venture and a programme for fitting out and opening the premises.

  1. Capacity

The intention for the entire operation will be a high quality night club concept, a gym or a bar subject to planning consent and amended premises licenses.

The current Premises License (attached), determines that the maximum number of people (including staff, customers and performers) on the ground floor shall not exceed 120.

To safe guard means of fire escape, and in strict compliance with the terms of the premises licence, there shall be no more than 200 people in the whole building.

  1. Hours of operation

Subject to Planning, Licensing and other relevant conditions the intention is for the club to be open five (Tuesday to Saturday) days a week. The operating hours are set out in the attached Premises License.

The main focus of activity on the ground and first floors will be a high quality Night Club operation, Gym or Bar. Subject to planning consent and amended premises licenses where appropriate.

  1. Management

The building in which the Club will be housed, known as 107 King’s Road, forms part of a larger site owned and managed by the freeholder. In light of this, discussions will take place with the incoming operator to work together to obtain the best solution for the operation of thebuilding.

The incoming operator will be responsible for all operational management within the demise, and will put in place a robust management structure to ensure compliance with all statutory regulations, ensure that the street and surrounding areas remain clean and to ensure public safety. Senior management staff employed by the tenant would be readily available 24 hours a day, seven days a week to deal with any matters arising. Details of staff duties and management of guests whilst at the premises should be provided.

Staff are to be contractually obliged to ensure their customers do not smoke outside. The staff should actively oversee and manage the rapid disbursement of customers after they leave the premises, and be trained and experienced in managing clients queueing for access, refuse access to prospective customers who are intoxicated and are constantly vigilante to prevent anti-social activity which would call the premises into ill repute. The Operator will be required to use its reasonable endeavours to ensure its clients do not cause any nuisance, disturbance of otherwise impinge on the quite enjoyment of residents in the area surrounding the subject premises. Specifically, they shall ensurethe entrance and surrounding area is clear of cigarette ends and associated debris.

  1. Security

The club will employ an experienced and suitably qualified security team to ensure the safety of its guests / general public. Levels of security employed on site will reflect circumstance and may increase during the evening. It is required that the security team link into existing established networks in the locality, including the Metropolitan Police. The management actively discourage media activity and presence at the property in conjunction with the Metropolitan Police.

  1. Control of noise emissions

The tenant’s management will ensure strict compliance with statutory and licensing regulations and relevant planning conditions will be observed. The lease will be drafted expressly to permit the operator to manage a well-run and successful business out of the premises whilst having regard to the predominantly residential character of the surrounding area. Specifically it will contain strict covenants on the part of the tenant to comply with all statutory obligations, including (but not limited to) the Premises Licence, planning consent, Police standards and other competent authorities charged with maintaining the peace and preserving the quality of the local area.

The tenant will take all reasonable steps to control noise emission from the premises. They will have due regard for local residents, particularly when the building is being cleared before closure.

  1. Entrance and exit strategy

The only public entrance to the club will be from King’s Road. This will ensure that all public activity is controlled so as to protect residential amenity. The operator will reserve the right to refuse entry and to remove persons from the premises for whatever reason, at any time. Customer management of guests and visitors willbestrictly controlled to ensure minimal disturbance to neighboring residents.

Staff presence at the entrance will be in strict compliance with the premises licence, and shall be of adequate resource at all times, including allowing for clearing the premises at the end of the each trading period and will remain in position after closing until guests have dispersed peacefully. Notices will be placed reminding patrons to leave quietly. Staff will take active and courteous steps to ensure that guests exit the premises in an orderly and quiet manner.

  1. Parking arrangements

No staff, guest or visitor car parking exist on site. Private off street parking can be arranged locally through the landlord.

  1. Staff Access/Egress Strategy

Staff will access through the main entrance on Kings Road.

  1. Emergencies

The tenant will have a well-considered Health & Safety plan and business operation plan approved by the landlord prior to opening, such policies to include a developed plan catering for staff action in the event of emergency.

The plan shall be designed so as to ensure the welfare and safety of guests, visitors and staff in the premises as well as those in neighbouring/adjoining premises and such that the implementation of the plan will cause the minimal to neighboring properties when emergency arrangements are in place.

  1. Repairs and maintenance

The Premises will be let in wind and watertight shell condition on a new lease including covenants on the part of the occupier to maintain and repair the premises through the term of the tenancy.

The occupier shall require the Landlords consent for all alterations and improvements to the premises, structural alterations shall be expressly excluded, non-structural alterations shall be subject to the landlords consent, such consent not to be unreasonable withheld or delayed.

  1. Operational considerations

The Tenant is responsible to comply with the Operations Management Strategy. Deliveries and refuse collections.

The Tenant is responsible for maintaining an appropriate waste management plan, and will manage deliveries during the day. The tenant shall be required to liaise with other occupiers of the Landlord and neighbouring business to ensure its waste management programme is coordinated with their waste management and delivery programme where reasonably practical to do so. Waste collection arrangements to be made with RBKC

The Tenant is responsible for the movement of the refuse bins in a safe manner for collections.

Health and Safety Certificates to be supplied frequently.

Food and liquor licenses to be supplied and any changes notified to the landlord.

The premises should be monitored for security purposes when not trading.

Acoustic performance – the tenant must comply at all times with relevant noise standards.

  1. Business rates

Current RV=£195,000

Proposed RV=£250,000, estimated rates payable will be £120,000 per annum from April 2017.

SCHEDULE 3

Legal Information

(subject to final agreement)

Night Club Premises 107 Kings Road. Chelsea, London, SW3 4PA

Report Title / Schedule 3 Legal Information
Report Author / Richard Abbey
Version Control / 08.05.17

Legal Information

  1. Club condition on handover

The club unit will be handed over in a wind and watertight serviced shell condition. The Tenant will be required to fit out according to Martin’s Properties License to Alter Guidelines.

  1. Access

The Landlord retains external access rights to the club unit to undertake any building repairs as necessary.

  1. Lease term

Subject to Contract a new internal repairing and insuring lease limited by reference to a schedule of condition for 10 years subject to annual upward only RPI rent reviews.

The Lease will be granted outside the security and compensation of the Landlord & Tenant Act 1954. The premises will be available from July 2017.

There will be a Base Rent, plus a Turnover Top Up payable where the base rent is less than 8%of the

premises annual turnover.

The base rent bid required will be not less than £275,000pax.

An initial 6 month rent free period will be offered.

Insurance premium and service chargeto be advised.

  1. User

It is expected that the space will be suited to a commercial club operator. The operator is likely to be:

1)A night club operator, or

2)A high class bar/restaurant (subject to planning)

3)A gym D2 Use, (subject to planning)

The user clause will be restricted to the above.

The Operations will need to demonstrate to the Landlords satisfaction that its operation will comply with all appropriate statutory requirements satisfy planning regulations.

  1. Alienation

There will be a total bar on alienation for the first 2 years of the term. After 2 years, the Tenant will be permitted to assign the whole of the premises, subject to the Landlord’s consent (not to be unreasonably withheld). Assignment of part or subletting of whole or part and sharing will be prohibited.

  1. Pre-Emption

In the event that the Tenant wishes to assign the premises, the Landlord will have four weeks to respond stating that they wish to exercise a right of pre-emption and matching a bona fide offer from the proposed assignee. In the event of a change of control the Landlord reserves their right to pre-emption under the same timetable.

  1. Fitting out

Internal fitting will be subject to the Landlord’s approval of detailed fitting out proposals, landlords consent is not to be unreasonably withheld or delayed.

  1. Possession

Possession will be available from July 2017.

  1. Costs

Each party to bear their own legal and professional costs incurred.

SCHEDULE 4

Statutory Consents and Licenses

(subject to final agreement)

Night Club Premises 107 Kings Road. Chelsea, London, SW3 4PA

Report Title / Schedule 1 Consents and Licenses
Report Author / Richard Abbey
Version Control / 08.05.17

Schedule 4 Statutory consents and licenses

  1. Planning

The club has Sui Generis Use Classification.

It benefits from a premises license LICIR/05/917185 attached.

  1. Servicing arrangements

Servicing would take place via the Kings Road entrance. Loading will be controlled by a management clause within the lease to ensure that there are no traffic hold ups on Kings Road. The operator would take all necessary steps to ensure that deliveries are efficient.

  1. Refuse, glass and recycling storage and collection arrangements

The arrangements for waste and recycling storage will need to be approved by the Landlord, and comply with local Authority Regulations.

  1. Signage

Signage will be permitted, subject to appropriate statutory and Landlord consents and other suchapprovals:

a.Projecting sign will be considered as part of an occupier’sproposals.

  1. Fitting out

Internal fitting will be subject to the Landlord’s approval of detailed proposals.

APPENDIX 1

Licence to Alter Information Required

Schedule

GENERAL DETAILS & INFORMATION REQUIRED
IN RESPECT OF LICENCES/APPROVALS FOR ALTERATIONS ETC
1 / Twosetsofproposeddrawings,as-completedrawingsrequiredifalteredfromthoseapproved(for incorporationwithinlicense).
2 / Two copies of the general specification and the mechanical and electrical specifications
3 / Structural engineers drawings and calculations – relevant especially to the rear staircase
4 / Listed Building Consent (documentation issued after fit-out completed).
5 / Building Regulation Certificate of Completion (documentation issued after fit-out completed)
6 / Planning Consent/Advertising Consent (if applicable)
7
8 / Electrical Completion Certificate (documentation issued after fit-out completed)
Emergency Lighting Completion Certificate (documentation issued after fit-out completed)
9 / Fire Alarm Test Certificate (documentation issued after fit-out completed).
10 / Mechanical Drawings and any proposed works (if applicable)
11 / Health & Safety file in compliance with the CDM Regulations 2007
12
13 / Disability Discrimination Act Compliance (occupational Health document to be issued after completion)
Health & Safety General and Fire Risk Assessments (occupational Health document to be issued after completion)
14 / Any other statutory consent if not mentioned above
15 / MethodstatementsandworkingRiskassessmentsandmeasuresshouldworkaffectthegeneral public,commonorothertenantedareas(weassumethesewillbeissuedasrelevantworksarise)
INFORMATION REQUIRED BEFORE ON SITE COMMENCEMENT
16 / Cost of the works excluding VAT (or current estimated cost). This cost is to exclude any furniture/tenant’sfittingssuchasallfixedorfreestandingrackingandfridgesetc.andisfor building insurancepurposes
CONTRACTS QUESTIONNAIRE
CONTRACTOR
Name
Address
WORKS
Location
Description of works
Contract Period / Start date
Contract Value £ / Maintenance Period
Contract Conditions
EMPLOYER
Name
Address
ARCHITECT / CONSULTING ENGINEER
Name
Address
INSURANCESINSURERINDEMNITYLIMIT
Employers Liability / £
Public Liability / £
Contract Works / £
Above insurances include indemnity to principals clause: / Y/N

SignedDate

Print name

MARTIN’S PROPERTIES RESERVE THE RIGHT TO REQUIRE THE OCCUPIER TO PRODUCE THE CONTRACTOR’S POLICY DOCUMENTS AT ANY TIME DURING THE DURATION OF THE CONTRACT