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The UK’s Self Storage Companies have seen the Highest Growth and Highest Yielding Returns within the commercial property sector over the last decade. Store First Ltd is proud to offer the first affordable self storage commercial property investment to be released into the UK. You will receive guaranteed returns from a 6 year lease already in place upon completion, making this a high yielding, hassle-free investment which has been specifically designed to meet the needs of today’s astute investor.

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Welcome to a new self storage concept, with guaranteed income and what is fast becoming an investment revolution... the Storepod.

INVEST

A Storepod is an individual, high security storage unit set in a Store First self storage Centre. This is the easiest way to allow both individuals and businesses to manage belongings, equipment, furniture, stock and any other storable items in a secure and safe storage facility with 24hour access 7-days a week. Storepods come in a variety of sizes and have all the facilities and support provided by Store First’s management team at very competitive rental rates. Store First Ltd is producing new self storage facilities across the United Kingdom. We use the same successful blueprint as many other large PLC self storage companies around the country but with an improved business model and an aggressive profit driven marketing strategy.


Investment Highlights This is a SIPP (Self Invested Personal Pension) approved commercial property investment. Low purchase prices with Storepods starting at only £3,750 + VAT.

A Guaranteed Return… You will receive a 6 year lease in place upon completion with Store First Management Ltd. The lease produces an excellent return of 8% (guaranteed for the first 2 years) rising to over 12% in years 5 and 6. The lease contains upward-only rental reviews and break clauses for both parties every two years. New purpose built self storage facilities in the best locations with high visibility to traffic flow on main roads or motorways. A hands-off, hassle-free investment fully managed and maintained on your behalf by Store First Management Ltd. A unique investment opportunity in what is currently the strongest sector within the UK’s commercial property market. Independent pension and financial advice available on request.

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What service does a Store First Centre offer its customers? • For people on the move who have sold their home and the moving dates haven’t quite matched up or are de–cluttering to show their home in the best possible light to potential buyers

Our corridors are wide, well lit and there’s a large loading bay. We provide pallet trucks and large trolleys to move their equipment – and they can even hire a fork lift.

• For companies who need more archiving or have too much stock to hold or maybe just need an office clear out

We offer an extensive range of packing materials including boxes, tape and bubble wrap that we can send out to customers’ homes. We can also help to arrange van hire online or when they call into their nearest Store First location.

Either way, Store First can help to make a move go as smoothly as possible with one of our self storage facilities. As soon as they sign up, customers can use their space immediately. They can store by the week, month, year or longer and we only ask for seven days notice when they want to leave. We have self storage spaces from 10 sq ft to 500 sq ft or more, and we give customers the flexibility to move without penalty - they only pay for the space they need.

For total peace of mind, all our customers must insure their goods through Store First’s Open Cover Policy. Our policy is specifically designed for self storage, so customers can be sure that their possessions are fully protected. They’ll simply pay a price for cover based on the replacement value of what they’re storing with us. Ample customer car parking is free at all of our Store First Centres and our staff on-site are friendly and always happy to help!

They have access to their belongings 24 hours, 7 days a week at Store First including the generous reception opening hours of 8.30am to 5pm Monday to Friday and 10am to 4pm Saturdays and Sundays. Not only do we have 24 hour digital CCTV, but every Store First Centre has its own alarm. We also have coded electronic gates, perimeter security fencing, smoke detectors and fire alarms to protect customers’ belongings.

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Shuttleworth Mead Business Park / Padiham

Value: ÂŁ30 million


K2 Storage Facility

Business Park Entrance

Harley Scott Business Centre

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Blackpool Airport Business Park / Blackpool

Value: ÂŁ10 million


Blackpool Airport Storage Facility

Harley Scott Business Centre

Business Centre Reception

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Empire Business Park / Burnley

Value: ÂŁ9.6 million


Empire Storage Facility

Harley Scott Head Office

Sycamore Farm Restaurant

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Hattersley Court Business Park / Ormskirk

Value: ÂŁ20 million


Harley Scott Business Centre

Hattersley Court Business Park

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Centurion Business Park / Blackburn

Value: ÂŁ10.5 million


Harley Scott Business Centre

Storage Facility

Storage Facility

Canteen

Storage Facility

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Centurion Business Park Ample parking is provided. The unit has ideal motorway access, located next to the M65 and with easy access to the M6, M61, and M66.

Storepod Sizes

25 sq ft

35 sq ft

50 sq ft

75 sq ft

100 sq ft

150 sq ft

Hotpods

Breakout Area

Location: Davyfield Road, Blackburn BB1 2QY email: sales@storefirst.com website: www.storefirst.com

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The Self Storage Market – What the experts say… In the USA, and to a certain degree the UK, experience illustrates the potential of the Self Storage Market. The USA self storage market has been established for far longer than any of the European markets including the UK. The industry has grown steadily for more than 30 years and is now worth an estimated $15bn per annum. The US self storage association has around 30,000 members centres registered with over 1.5 billion sqft of lettable space. It is estimated that there are a further 6,000 – 8,000 centres not registered with the association, and despite the maturity of the market, the US market continues to grow by 10-15% per annum (based on net lettable space). Similarly the UK market is estimated to have grown at a rate of 10-15% per annum over the last decade and the increasing interest in the sector is a reflection of the belief that growth will continue to accelerate. There are approximately 500 self storage facilities operational in the UK. As impressive as that may sound, it represents about the same number of self storage facilities as exist in San Diego County, California. Compare that to the total population of San Diego which is 2.75 million, the UK with a population of 60 million the under development of UK self storage is evident. Additionally, the UK self storage market is very concentrated: indeed, out of 300 facilities registered with the UK self storage association, nearly 75% are located in the South East of England. Greater London itself accounts for 200 centres and operators are still developing within the M25. Now that enough outlets have been opened to prove that the concept works in the UK the industry has entered a new phase of rapid growth, and all the main players are working hard to take advantage of the returns available. It is likely that the second period of growth, which is marked by the ability to open outlets that have a strong competitive position in their location, will last for 5-10 years. Thereafter, it is expected that the industry will enter the third, mature phase, with an outlet in most towns, and with competition between outlets located in the same catchment area. Demographic projections and factual self storage information provide us with a clear image of magnitude self storage is likely to reach, even making a conservative assumption that the UK market will never exceed 25% of the present USA self storage supply. There is currently 5sqft of Self Storage Space for every man woman and child in the USA and only 0.21 currently in the UK. That equates to just 8700 people in America for every self storage facility, compared to one storage facility for every 147,500 people in the UK. The penetration of the self storage in the USA is 23 times that in the UK on a space per head of population basis, and 17 times on a number of facilities per head of population basis. On this evidence the UK could support 6,800 storage centres. Continuing with our penetration rate of 25% of that of the US the current UK population could support 1700 self storage facilities or around 4.5 times the current number.

There are varying reasons why the Self Storage market is predicted to grow a leading property management company in London gives the following reasons: Social factors including a high divorce rate and an aging population resulting in demand for single occupancy housing units, which are usually smaller than family homes. Rapid rise of the small business community demanding flexible storage accommodation. - Fulfilment needs driven by the rise in e-commerce. - Increasing population mobility. - Increased public awareness of self storage as a service. - There is currently low awareness as low as 10%. Significant pressure on housing stock in the South of England, as a result of central government initiatives, town planning and fiscal policy, encouraging housing development on Brownfield sites. A shift predominantly in cities and towns, towards high density housing developments with consequential pressure on storage space. An increasingly affluent and acquisitive society with the result that self storage will be seen as a necessity. Demand for self storage in the UK remains robust. The market is considerably less mature than in the USA and remains highly fragmented. There have been a number of high profile entrants recently. However, the rate of growth in the industry will more than accommodate the increase in capacity. Indeed it can be argued that it is actually good for the long term health of the market. Greater public awareness of flexible self storage will stimulate further demand. Recently there has been considerable media interest in the financial activity in the Self Storage market. A number of corporate reorganisations and mergers have been announced where significant property investors have identified the attractiveness of the Self Storage industry. The benefits of this are growing customer awareness of the product and a growing willingness amongst institutional landlords to consider selfstorage tenants. Set against this is the greater competition for new stores. After some 20-30 years the industry in the USA is now in the third phase. Returns to investors remain healthy, and competition does not necessarily result in a reduction in profitability. Indeed, there is a saying in the industry that “one salesman in a town has a hard time selling his product, but two or three do very nicely”. Most of the senior players in the UK market look forward to the time when self storage has become so common that most of the population understands the concept.

Information source - UK Self Storage Association.

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Storepod Prices & Rental Income...


Price List - Years 1&2 - Based upon an 8% Return Property Type (Store First Ltd)

Size Sq/Ft

Sale Price

Rental Income

Ground Rental

Management Fee

Service Charge

Net Rental Return

(per Storepod)

(per Storepod)

(£17 per Sq/Ft)

(per annum)

(15% per annum)

(£1.95 per Sq/Ft)

(8% for Years 1&2)

Storepod 25 £3,750 £425 £12.50 £63.75 £48.75 £300.00 Storepod 50 £7,500 £850 £25.00 £127.50 £97.50 £600.00 Storepod 75 £11,250 £1,275 £37.50 £191.25 £146.25 £900.00 Storepod 100 £15,000 £1,700 £50.00 £255.00 £195.00 £1,200.00 Storepod 125 £18,750 £2,125 £62.50 £318.75 £243.75 £1,500.00 Storepod 150 £22,500 £2,550 £75.00 £382.50 £292.50 £1,800.00 Storepod 175 £26,250 £2,975 £87.50 £446.25 £341.25 £2,100.00 Storepod 200 £30,000 £3,400 £100.00 £510.00 £390.00 £2,400.00 Store First Ltd

General Sizes

Excluding VAT

Gross Income

Cost once let

Cost once let

Cost once let

Net Income

Storepods have the benefit of an established 6 year lease via Store First Management Ltd with fixed and upward facing rental reviews and bi-annual break clauses. Figures shown are for illustration purposes. All agreements are subject to contract.


Price List - Years 3&4 - Based upon an 10% Return

Property Type (Store First Ltd)

Size Sq/Ft

Sale Price

Rental Income

Ground Rental

Management Fee

Service Charge

Net Rental Return

(per Storepod)

(per Storepod)

(£21 per Sq/Ft)

(per annum)

(15% per annum)

(£1.95 per Sq/Ft)

(10% for Years 3&4)

Storepod 25 £3,750 £525 £12.50 £78.75 £48.75 £385.00 Storepod 50 £7,500 £1,050 £25.00 £157.50 £97.50 £770.00 Storepod 75 £11,250 £1,575 £37.50 £236.25 £146.25 £1,155.00 Storepod 100 £15,000 £2,100 £50.00 £315.00 £195.00 £1,540.00 Storepod 125 £18,750 £2,625 £62.50 £393.75 £243.75 £1,925.00 Storepod 150 £22,500 £3,150 £75.00 £472.50 £292.50 £2,310.00 Storepod 175 £26,250 £3,675 £87.50 £551.25 £341.25 £2,695.00 Storepod 200 £30,000 £4,200 £100.00 £630.00 £390.00 £3,080.00 Store First Ltd

General Sizes

Excluding VAT

Gross Income

Cost once let

Cost once let

Cost once let

Net Income

Storepods have the benefit of an established 6 year lease via Store First Management Ltd with fixed and upward facing rental reviews and bi-annual break clauses. Figures shown are for illustration purposes. All agreements are subject to contract.


Price List - Years 5&6 - Based upon an 12% Return

Property Type (Store First Ltd)

Size Sq/Ft

Sale Price

Rental Income

Ground Rental

Management Fee

Service Charge

Net Rental Return

(per Storepod)

(per Storepod)

(£25 per Sq/Ft)

(per annum)

(15% per annum)

(£1.95 per Sq/Ft)

(12% for Years 5&6)

Storepod 25 £3,750 £625 £12.50 £93.75 £48.75 £470.00 Storepod 50 £7,500 £1,250 £25.00 £187.50 £97.50 £940.00 Storepod 75 £11,250 £1,875 £37.50 £281.25 £146.25 £1,410.00 Storepod 100 £15,000 £2,500 £50.00 £375.00 £195.00 £1,880.00 Storepod 125 £18,750 £3,125 £62.50 £468.75 £243.75 £2,350.00 Storepod 150 £22,500 £3,750 £75.00 £562.50 £292.50 £2,820.00 Storepod 175 £26,250 £4,375 £87.50 £656.25 £341.25 £3,290.00 Storepod 200 £30,000 £5,000 £100.00 £750.00 £390.00 £3,760.00 Store First Ltd

General Sizes

Excluding VAT

Gross Income

Cost once let

Cost once let

Cost once let

Net Income

Storepods have the benefit of an established 6 year lease via Store First Management Ltd with fixed and upward facing rental reviews and bi-annual break clauses. Figures shown are for illustration purposes. All agreements are subject to contract.


Meeting Rooms

Storepods

Hotpods

Hotpods

Storepods

Storepods

Conference Room

Storepods

Hotpods

Storepods


Meeting Room

Storepods

Business Centre Reception

Hotpod

1000 sq ft Office

Harley Scott Business Centre - Liverpool

Conference Room


What is self storage? With housing in short supply, a more transient population and more and more of us finding it difficult to organise our own personal possessions, Store First self storage offers the opportunity to rent a unit of space (a Storepod), chosen from various sizes, in a secure location, where the tenant is the only person to own the key. Access into the storage unit can be made at any time, and the self storage facilities offer 24 hour access 7 days a week. The facilities are secure and friendly and sell other useful items such as boxes, tape and bubble wrap.

Your Questions Answered...

What is the history of self storage? The practice of storing goods in a unit of space rented from the owner for the purpose, which allows you to have sole access, is not a 1960s’ U.S. originated concept; it is a practice, which has existed around the world for centuries, if not millenniums – the Chinese were known to store their personal belongings in clay pots as long as 6000 years The practice of renting car garages for general storage has existed in the U.K. since the 1940s and 1950s when the building of rows of garages near housing developments became popular. What the U.S. industry has done since the 1960s is take the basic concept and develop it, improve it and market it. Thirty years later we have a highly refined quality, flexible self-storage product that is universally acceptable as a valuable utility concept by both consumers and businesses. Whenever the concept of self storage is introduced to a new market place, in whatever country or region, it has proved to be embraced by the market and replicated. Markets as far afield as South Africa, Brazil, Venezuela and Japan have shown similar development patterns to the early stages of the larger markets of the US, UK & Australia. In fact Europe’s growth trend is showing similar patterns to that of the U.S. in the 70s with growth potential in the short term (5-10 years) in the UK being 7 times current supply.

What is the capital cost? Storepods range in price from £3,750 for a 25 Sq/Ft Pod, up to to £22,500 for 150 Sq/Ft. The most common sizes are 75 Sq/Ft which cost £11,250 and 100 Sq/Ft which cost £15,000. A full Storepod price list can be downloaded from www.storefirst.com/ pricelist. These prices all exclude VAT. We believe Storepods are the most cost effective property investment with the highest yields on the market today. Multiple Storepods can be purchased using one Land Registry title deed, this saves on completion costs on larger property investment portfolios.


Is there VAT to pay on completion?

When can I expect rental reviews to take place?

Each Storepod can normally be sold as a going concern due to the fact that a 6 year tenancy/lease is in place on completion. This means VAT would not normally be payable on a going concern completion. If you would rather pay the VAT on completion then as long as you are VAT registered usually the VAT can be reclaimed in full on your next VAT return, although depending on your circumstances you may need to seek professional advice.

Rental reviews take place every 2 years.

What costs will I incur if my Storepod is vacant? There is a small annual ground rental charge to pay as per the size of your Storepod. No other charges are applicable if your Storepod is vacant.

What costs will I incur when my Storepod is let? What rental income can I expect? Storepod rental starts at £17 per Sq/Ft per annum (+ VAT), please download the pricelist as it also has all of the relevant rental income information for each size of Storepod www.storefirst.com/pricelist. The 6 year tenancy/lease in place on your Storepod has fixed upwards only rental reviews and break clauses (for both parties) every 2 years.

A 15% management charge will be deducted from the rental income received along with the service charge for the property. The annual ground rental charge is also payable - full details of all these charges and the rental returns are outlined on our current price list. Please download a price list from our website - www.storefirst.com/pricelist. All percentage returns are quoted after management and service charges have already been deducted.

Is there a single title deed? Yes, as with all commercial property purchases you will receive the ‘Title Deed’ registered in your name at Land Registry from your solicitor after completion.

Is this a leasehold or freehold property? Storepods are sold as a 250 year long leasehold property. (Banks consider anything over 100 years just the same as owning a freehold).

What else do I get with my Storepod? All Store First self storage Centres have excellent security alarm systems and the latest CCTV.Your Storepod can be accessed 24 hours, 7 days a week. The large Storepods have lights fitted with motion detectors. All Store First centres have office accommodation available to rent and include meeting rooms and break out areas. Your Storepod has a high security steel entrance door with concrete secure ceilings. All Storefirst centres have free parking for all clients and a manned reception area during working hours. Boxes and packaging materials can also be purchased from all centres.

How many Storepods are in a full centre? Each Storefirst.com Self Storage facility has an estimated 500 Storepods, all of our centres are located in well populated areas and can be seen from the main road or motorway by potential customers. Most customers will rent multiple pods as their requirement for space grows.

Can I easily re-sell my Storepod? Yes, you can re-sell your Storepod at any time and selling your Storepod couldn’t be simpler. Store First Ltd can market your Storepod upon your request. We believe that because Storepods are so competitively priced when new, they will make a very attractive sale proposition in the future. We also expect that many tenants will wish to purchase the Storepod they are using. For example, other self storage PLCs usually achieve rent of between £20.00 - £25.00 per square foot. Our Storepods are costed at a rent of only £17.00 per square foot; once higher rents are achieved the capital value of the Storepod will increase. Most investors are driven to keep the property investment they have purchased and carry on receiving the rental yield produced for years to come, this means only a very limited number of Storepods per centre will ever come onto the resale market, this creates a high sale value and demand for the future. Local businesses will also be very interested in purchasing your Storepod as its always better to own a property long term than to rent one, and archiving for most businesses is a very long term process.

Do I need to use a solicitor to prepare the leases? Our in-house commercial agent Store First Management Ltd will prepare a licence agreement for tenants to sign and therefore no solicitors are (legally) required; this makes the process simple, fast & straightforward, although you are welcome to use your own legal advisors if you should choose to do so.

All sales subject to contract, terms and conditions apply. Figures for illustration.

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The Works Manchester

Mann Island Liverpool Docklands

Inside Mann Island

Henry Street Liverpool Docks

Harley Scott Holdings / A history of successful developments


Inside FRESH

Warrington Town Centre

Inside FRESH

Inside Skyline Chambers

FRESH Manchester Chapel Street


info@storefirst.com www.storefirst.com Store First Centre Locations Shuttleworth Mead Business Park Padiham | Blackpool Airport Business Park | Empire Business Park Burnley | Hattersley Court Business Park Ormskirk | Centurion Business Park Blackburn

Although every care has been taken to make sure that the information in this brochure is accurate, Harley Scott Holdings Ltd cannot accept any responsibility for mistakes or omissions. You should take your own professional advice before taking or refraining from any action based on the contents of this brochure which are only intended as a general outline to the matters referred to in it. All content is under copyright and remains the property of Harley Scott Holdings Ltd unless otherwise agreed. Storepod is a copyrighted product of Harley Scott Holdings Ltd, for more information visit our website www.harleyscott.com


HOLDINGS LIMITED


Storefirst Brochure