L L O Y D -R O B E R T SI N V E S T M E N T S
High yielding manufacturing warehouse providing over 6 years unexpired income and a RPI uncapped review in 2021.
UNIT 1 WESTFIELD TRADING ESTATE FIRST AVENUEMIDSOMER NORTONBATH, BA3 4BS
Investment Summary
• Westfi eld Trading Estate is the principal manufacturing and distribution location for the area and is located in close proximity to Bath and Bristol.
• Industrial warehouse extending to 43,125 sq ft (4,006 sq m).
• Freehold.
• Let to Communisis UK Limited (guaranteed by Communisis Plc) until June 2023 (6.25 years unexpired).
• Current passing rent of £185,810 per annum equating to £4.30 per sq ft.
• Index linked rent review to uncapped RPI in June 2021.
• Communisis UK Ltd has a CreditSafe rating of 79, refl ecting a very low risk of business failure.
Location & Situation
Midsomer Norton is a Somerset market town located 11 miles (17km) to the South West of Bath and 15 miles (24 km) to the South East of Bristol.Midsomer Norton benefi ts from good road communications being situated on the A367 and A37, providing direct access to Bath and Bristol. Junction 18 of the M4 is approximately 24 miles (38 km) to the North. Junction 21 of the M5 is approximately 23 miles (37 km) to the West. Bristol International Airport is situated 21 miles (33 km) to theNorth West.
The subject property lies in a prominent position at the entrance to the Westfi eld Trading Estate, which is the main industrial and distribution location in the Midsomer Norton area. Other occupiers include Dickies, Techniglaze, Hearlad Electronics and Parker Transport. Integrity Print (sub-tenant of Unit 1) also occupy three other adjoining industrial units, which forms their HQ, on Westfi eld Trading Estate.
Site
The total site area is approximately 1.53 hectares (3.77 acres) which equates to a low site cover of approximately 26%. There is an electricity substation to the South West corner of the site. The property benefi ts from substantial car parking provision.
Description
The property was constructed in 1979 and comprises of a main warehouse used as a printing production facility along with offi ce and ancillary facilities.
The unit is of steel portal frame construction with internal block work and steel profi le metal clad walls, under a pitched roof. The production facility has a concrete fl oor. The unit benefi ts from an eaves height of approximately 5.08 m (16’5”).
The main production area has been extensively fi tted out by the tenant with printing machinery and paper reels. The area benefi ts from fl uorescent lighting with a number of blow heaters and extractor fans. The unit benefi ts from two dock levellers, one at either end of the property. There is a large water storage tank to the rear of the property which is used to feed the sprinkler system. This sprinkler system serves Units 1, 2 and 3.
The electricity and compressed air supply serving units 1, 2 and 3 comes through the subject property’s demise making unit 1 integral to the tenant’s operations at the Westfi eld Estate.
Accommodation
The unit provides the following gross internal fl oor areas:
Area (Sq M) Area (Sq Ft)
Warehouse 3,949.1 42,508Offi ces and Ancillary 57.3 617
Total 4,006.4 43,125
Tenure
Freehold.
Tenancy
The property is let to Communisis UK Limited, with a guarantee from Communisis Plc, on a 17 year full repairing and insuring lease from 26 June 2006, expiring 25 June 2023 at a current rent of £185,810 per annum. This equates to a rent of £4.30 per sq ft.
There is an upward only review in 2021 to uncapped RPI.
The property was sub-let to Integrity Print Limited in June 2008, after a management buyout byIntegrity Print from its former parent company Communisis. The company has been based in thearea since 1918 and have consolidated into the four units on Westfi eld Trading Estate from other facilities within close proximity.
VAT
The property is elected for VAT.
Covenant
Communisis is a leading marketing services company which provides services to support its customers’ marketing programmes and transactional communications. The company has numerous high profi le clients including Barclays Bank, Tesco, RBS, M&S, Everything Everywhere, Procter & Gamble, BBC TV Licensing and HSBC. Communisis has recently signed major contracts with BT and Nationwide Building Society.
EPC
An EPC is available upon request.
Proposal
We are instructed to seek offers in excess of £1,950,000 (One Million, Nine Hundred and Fifty Thousand Pounds) for the freehold interest, subject to contract and exclusive of VAT. A purchase at this level would refl ect an attractive net initial yield of 9%, (with a guaranteed uplift in 2021) based on purchaser’s costs of 6.72%. This equates to a capital value of £45.20 per sq ft.
MISREPRESENTATION ACT: Lloyd-Roberts Investments LLP give notice to anyone who may read these particulars as follows:- 1. Particulars: These particulars are not an offer or contract, nor part of one. You should not rely on statements by Lloyd-Roberts Investments LLP in the particulars or by word of mouth or in writing (“information”) as being factually accurate about the property, its condition or its value. Neither Lloyd-Roberts Investments LLP nor any joint agent has any authority to make any representations about the property, and accordingly any information given is entirely without responsibility on the part of the agents, seller(s) or lessor(s). 2. Photos etc: The photographs show only certain parts of the property as they appeared at the time they were taken. Areas, measurements and distances given are approximate only. 3. Regulations etc: Any reference to alterations to, or use of, any part of the property does not mean that any necessary planning, building regulations or other consent has been obtained. A buyer or lessee must fi nd out by inspection or in other ways that these matters have been properly dealt with and that all information is correct. 4. VAT: The VAT position relating to the property may change without notice. Knight Frank LLP is a limited liability partnership registered in England with registered number OC352032. Our registered offi ce is Unit 1, Downs Farm, Ewell, Surrey KT17 3BY. April 2017
Contact
if you have any queries please contact Henry Lloyd-Roberts:
Tel: +44 (0)203 642 1588Email: [email protected] www.lri.uk.com
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