2 queen’s square, ascot business park · 2016. 11. 3. · ascot business park 2 queen’s square,...

2 QUEEN’S SQUARE, ASCOT BUSINESS PARK2 Queen’s Square, Ascot Business Park, Lyndhurst Road, Ascot, SL5 9FE

Prime South East Office Investment

2 QUEEN’S SQUARE, ASCOT BUSINESS PARK

ASCOT RACECOURSE HIGH STREET

ASCOT STATION

TO BRACKNELL TO EGHAM/STAINES

2 QUEEN’S SQUARE


INVESTMENT SUMMARY • Modern Grade A south east office building

• Located in the affluent Berkshire town of Ascot

• Self contained building totalling 906.83 sq m (9,761 sq f)

• Fully let producing a rental of £217,981 pa (£23 psf)

• Proven reversion with an ERV of £246,800 pa (£26 psf)

• Established rental growth of around 10% pa over the last 4 years

• AWULT to expiry 8.5 years (4.7 years to break)

• Virtual freehold (999 years)

• Price £3,400,000 which reflects NIY of 6.00%, a reversionary yield of 6.8%.

LOCATIONAscot is an affluent Berkshire town in the Thames Valley located 25 miles west of London, 5 miles from Bracknell and 10 miles from both Staines and Slough. With easy access to the M3, M4, M25 and M40 motorways, Ascot benefits from excellent road links to surrounding locations including Heathrow & Gatwick Airports, Bracknell, Staines, Windsor and Maidenhead. The town also has a frequent rail service to both Reading and London Waterloo. The average journey time is 27 minutes to Reading and 46 minutes to Waterloo.

Ascot Business Park is situated adjacent to Ascot mainline railway station just off the A330 and a short walk to both the High Street and the world renowned racecourse. Other occupiers in the area include Sytner, Howdens Joinery, Jakks Pacific Inc. and FDD International.


ASCOT

A329A330

A330

STATION HILL

LONDON RD

LYNDHURST RD

CHURCH RD

VICTORIA RD

OLIVER RD

LIDDELL WAY

BOULDISH FARM RD

ASCOT RACECOURSE

ASCOT TOWN CENTRE

SOUTHASCOT

A329 To Bracknell

To Staines (A30)

A30

A332

ST GEORGE’S LANE

HIGH ST

A30

A30

M4

A329(M)

M4

M25

M25

M3

M25

M3

J10

J8/9 J4b

J12

J3

J10J4J4a

A329A329

A329

A30

J6

M3

ASCOT

WOKING

FARNBOROUGH

EGHAM

WINDSOR

ASHFORD

HEATHROW

MAIDENHEAD

BRACKNELL

WOKINGHAM


DESCRIPTIONAscot Business Park is a modern development providing an attractive mixed use scheme in a parkland setting, close to all the high street facilities and transport links. The Park totals around 8,715.80 sm (93,816 sf) divided between 3,947.73 sm (42,493 sf) of offices, 997.87 sm (10,741 sf) of studios and 3,770.19 sm (40,582 sf) of warehouse accommodation. The office element comprises four blocks in nine units, in a courtyard setting; the first two being self contained headquarter buildings and the other two divided into smaller self contained units.

2 Queen’s Square is one of the headquarter style office buildings constructed in 2009. The property is arranged over ground, first and second floors and totals 906.83 sq m (9,761 sq f).

QUEENS SQUARE

E1

E5

E2

E6

E3

E7

E4

E8

J1J2J3J4

H1 H2 H3

UNIT G

BLOCK F1

2

3 4 5 6 7 8 9

SUBJECT PROPERTY


AREASA measured survey has been undertaken by Carless & Adams Partnership LLP and the recorded IPMS 3 floor areas are summarised as follows:-

Level sq m sq ft

Second 303.42 3,266

First 302.12 3,252

Ground 274.53 2,955

Reception 26.76 288

906.83 9,761

www.ascotbusinesspark.com

2 Queen’s Square - FIRST FLOOR

2 Queen’s Square - GROUND FLOOR

Plans are not to scale. For indicative purposes only.

Typical Floor Floorplan - OFFICE 2

The offices are fitted out to a Grade A specification and include the following features:

• Suspended ceilings with motion activated LG7 compliant lighting.

• Energy efficient air conditioning systems.

• Fully access raised floors.

• Good floor to suspended ceiling height of 2.68m ( 8.8 ft).

• WC facilities on each floor including disabled WC and showers.

• 12 person passenger lift

• Generous reception area.

• BREEAM rating – Very Good.

Each tenant has designated parking bays as outlined in the tenancy schedule and there is an overflow and visitors parking area to the rear of the estate.


TENANCYThe property is let to 4 tenants with a total passing rent of £217,981pa; further information is set out in the tenancy schedule.

Level Tenant ParkingAreas Lease Terms Rent ERV

Commentsq m sq ft Term yrs From To Break £ pa £psf £ pa £psf

Second Loyalty Angels (t/a Bink) 9 303.42 3,266 10 8-Jul-16 7-Jul-26 7-Jul-21 £81,725 £25.00 £85,000 £26.00 Tenant to receive 6 months rent-free if break is not activated. Lease contracted outside L&T Act ‘54

First Flying Colours 9 302.12 3,252 10 23-Sep-16 22-Sep-26 22-Sep-21 £84,552 £26.00 £85,000 £26.14 24 months half rent. 6 months rent deposit held for Flying Colours. Lease contracted outside L&T Act ‘54

Ground East R&J International 4 120.50 1,297 5 3-Jun-13 2-Jun-18 - £23,617 £18.21 £33,700 £26.00 June 2016 break not activated.

Lease contracted outside L&T Act ‘54

Ground West Svenska Handelsbanken AB 5 154.03 1,658 11 1-Mar-12 28-Feb-23 - £28,087 £16.94 £43,100 £26.00 Rent review to higher of OMV or £40,125.

Lease contracted outside L&T Act ‘54

Ground Reception Area - 26.76 288 - - - - - - - - -

27 906.83 9,761 217,981 £246,800

*The residual rent free will be ‘topped’ up by the vendor.

Handelsbanken was founded in 1871. Today it is one of the leading banks in the Nordic region and Europe’s most cost-effective bank. Handelsbanken is one of the most solid and profitable banks in the world. The bank offers a range of financial services including traditional personal and corporate banking, financing, mortgage loans, investment banking, private banking, cash management, asset management, trading, investments and life insurance. Credit Safe Score 73 A - Very Low Risk

Loyalty Angels Limited trade as Bink. The company operates a smart phone app designed to automatically collect your loyalty points and offers, without the need to show your loyalty cards at the till.Credit Safe Score 87 A - Very Low Risk


R&J International Limited is a privately owned international trading & investment company with headquarters in London, and offices in Hong Kong and Mainland China. The company has three principle lines of business; Carbon trading, Metals trading and Private equity investment.Credit Safe Score 23 D - High Risk

Flying Colours Finance Limited are financial advisors and their services include Investment Management, Financial Planning and Tax planning.Credit Safe Score 74 A - Very Low Risk

COVENANT


SERVICE CHARGEThere are 3 elements to the current service charge for this property being –

• The Estate charge, which covers the maintenance of the entire estate and refuse, is currently budgeted at £41,750 for the year ending 31st December 2016. Of this the anticipated share for 2 Queen’s Square is £4,818 (£0.51psf) based on their apportionment.

• Refuse collection (office units 1-9 Queen’s Square) which totals £3,000 with 2 Queen’s Square current element being £859 (£0.09psf).

• The Building charge which includes maintenance for the actual building is currently budgeted at £15,200 (£1.60psf) for the year ending 31st December 2016.

EPC RATINGEPC - B36. A copy of the certificate is available if required.

VATThe property is elected for VAT and the sale will be treated by way of a Transfer of a Going Concern (TOGC).

RENTAL VALUERents have risen steadily on the estate as illustrated by the levels achieved in this building over the last four years. The first lettings in 2012 were just under £17 psf with the last letting achieving £26 psf. This is a 53% increase in rents over four years, equating to 9.83% pa growth.

Based on the recent letting, our estimate of the rental value is £246,800 (£26 psf).

TENUREA new 999 year lease at a peppercorn rent is to be granted from completion.


FURTHER INFORMATIONFor further information or to make an arrangement for viewing, please contact:

DISCLAIMERHoddell Stotesbury Morgan ltd. for themselves and for the vendors of this property whose agents they are give notice that:- (i) the particulars are set out as a general outline only for the guidance of intending purchasers and do not constitute, nor constitute part of, an offer or contract; (ii) all descriptions, dimensions, references to conditions and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchaser should not rely upon them a statement or representations of fact but should satisfy themselves by inspection or otherwise as to the correctness of each of them; (iii) no person in the employment of Hoddell Stotesbury Morgan ltd. has any authority to make or give any representation or warranty whatever in relation to this property. (iv) unless otherwise stated all rents or prices quoted are exclusive of VAT which may be payable in addition. (v) Hoddell Stotesbury Morgan ltd. has not made any investigations or otherwise of any issues concerning pollution and potential land, building, air or water contamination. Prospective purchasers must undertake their own enquiries and satisfy themselves in this regard. Date: November 2016.

Tim Morgan [email protected] DDI: 020 7318 1933

Brook Stotesbury [email protected] DDI: 020 7318 1938

Hoddell Stotesbury Morgan115 Mount Street, London W1K 3NQTelephone 020 7629 2030

PROPOSALWe are seeking £3,400,000 for the virtual freehold, subject to contact and exclusive of VAT. A purchase at this level provides a net initial yield of 6%, a reversionary yield of 6.8% and an equivalent yield of 6.7%, assuming purchasers costs of 6.49%.

2 queen’s square, ascot business park · 2016. 11. 3. · ascot business park 2 queen’s square,...

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