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1-8 MOORFIELD INDUSTRIAL ESTATEGATEHEAD ROAD, KILMARNOCK KA2 0BAHIGH YIELDING UK DISTRIBUTION HQ LET TO OFFICE HOLDINGS LTD FOR A FURTHER 7.5 YEARS
INVESTMENT CONSIDERATIONS
• Detached distribution hub extending to a gross internal area of 236,615 sq ft (21,878.6 sq m)
• Predominantly let to OFFICE Holdings Ltd for a further 7.5 years
• Acts as the main distribution centre for Office across the UK
• Large site area of 14.24 acres (5.76 ha)
• Well located close to main arterial routes of the M77 and M74.
• Current rent passing of £558,753.70 pa equating to a low £2.36 psf.
• Offers sought in excess of £5,400,000 (Five Million Four Hundred Thousand Pounds) reflecting an attractive net initial yield of 9.75% assuming purchaser’s cost of 6.13% and a low capital value of £23 psf.
1-8 MOORFIELD INDUSTRIAL ESTATE, GATEHEAD ROAD, KILMARNOCK KA2 0BA
LOCATION
Kilmarnock is the principal and administrative centre for East Ayrshire, with a population of approximately 46,000. The town is located 32.2 km (20.0 miles) south east of Glasgow and 18.6 km (11.4 miles) north east of Ayr. The town benefits from a mainline railway service with regular trains to Glasgow Central (36 minutes). Glasgow International Airport and Prestwick Airport are both within close proximity to the town.
1-8 MOORFIELD INDUSTRIAL ESTATE, GATEHEAD ROAD, KILMARNOCK KA2 0BA HIGH YIELDING UK DISTRIBUTION HQ LET TO OFFICE HOLDINGS LTD FOR A FURTHER 7.5 YEARS
B7081
Dumfries Drive
Mount Village
Porter Drive
Glen Orrin Avenue
St Michael’s M
ount
Jean Armour Drive
A71 Hurlford Road
A71
Hurlford Road
A759
B7064 A
759
A759
Dundonald Road
M11
M25
M25M40
M50
M48
M27
M27
M3
M4M4
M23M20
M2
M40
M42
M6 Toll
M1
M6M5
M5
M5
A1
A1
A1
A1
A7
A75
A7
A19
A64
A66
A69
A76 A68
A68A71
A77
A595
A66
A63
A15
A1
A1
A23
A428
A14
A43
A47
A11
A11
A46
A38A52
A52
A1(M)
A1(M)
M74
M55
M53
M65
M58M180
M62
M18
M62
M60
M62
M6
M6M1
A1 (M)
A1 (M)
A1 (M)
M8
M9
M80
M90
M73
M77
MANCHESTER
BRISTOL
PLYMOUTH
LONDON
BIRMINGHAM
CAMBRIDGE
LIVERPOOL
NEWCASTLE UPON TYNE
EDINBURGH
YORK
GLASGOW
SWANSEA
CARDIFF
LEEDSHULL
PORTSMOUTH BRIGHTON
EXETER
DOVER
OXFORD
MILTONKEYNES
BATH
SHEFFIELD
NORWICH
IPSWICH
PERTHDUNDEE
ABERDEEN
MANCHESTER
BRISTOL
PLYMOUTH
LONDON
BIRMINGHAM
CAMBRIDGE
LIVERPOOL
NEWCASTLE UPON TYNE
EDINBURGH
YORK
GLASGOW
SWANSEA
CARDIFF
LEEDSHULL
PORTSMOUTH BRIGHTON
EXETER
DOVER
OXFORD
MILTONKEYNES
BATH
SHEFFIELD
NORWICH
IPSWICH
PERTHDUNDEE
ABERDEEN
KILMARNOCKKILMARNOCK
Wind Turbine
A 759
Pond
22.3m
23.5m
25.0m
LB
MP 2
ESS
Moorfield Industrial Estate
Thirdpart Cottage
7
6
1
3 42
5
6
1
34
Garage
Block 5
Block 8
6
0m 25m 50m 75m
1-8 Moorfield Industrial Estate, Gatehead Road, Kilmarnock KA2 0BA
Ordnance Survey © Crown Copyright 2016. All rights reserved. Licence number 100022432. Plotted Scale - 1:1487
1-8 MOORFIELD INDUSTRIAL ESTATE, GATEHEAD ROAD, KILMARNOCK KA2 0BA HIGH YIELDING UK DISTRIBUTION HQ LET TO OFFICE HOLDINGS LTD FOR A FURTHER 7.5 YEARS
© Crown Copyright, ES 100004106. For identification purposes only.
SITUATIONThe property is situated on the southern side of Moorfield Industrial Estate, a short distance south of Kilmarnock Town Centre and has a prominent frontage onto the A759.
Moorfield Industrial Estate is well located for access to the local and national road network and is principally connected with Kilmarnock and the neighbouring Ayrshire towns by the A71 carriageway, which is located to the north of the estate with access via the A759. Access north to Glasgow and south to Ayr is available via the A77/M77 motorway, approximately 6.4 km (4.0 miles) to the north.
DESCRIPTIONThe property comprises a large industrial facility, purpose built at the time for Massey Ferguson, however has subsequently been reconfigured to be used as a storage and distribution facility. The property acts as the home delivery hub for one of the UK’s leading shoe retailers OFFICE. It is OFFICE’s sole distribution centre in the UK.
The property also benefits from having an associated two storey office and ancillary accommodation, together with private secure yard and large car park.
The warehouse is of steel framed construction with brick and steel clad elevations beneath a pitched double skin steel clad roof, arranged in a series of bays. Internally the property consists of an open storage space with a screeded concrete floor slab. The eaves height is circa 7.5m.
The property provides the following gross internal areas:
Description Area (Sq m) Area (Sq ft)
Warehouse 20,487.2 220,524
Office 1 & 3 746.0 8,030
Office 2 374.4 4,030
Office 4 374.4 4,030
Total 21,982.1 236,615
TENANCY SCHEDULE
Unit Tenant Use Lease Start
Next Review
Lease End
Annual Rent
Area (sq ft)
Rent (£psf )
Comments
Warehouse Office Holdings Ltd Industrial 01/01/10 01/01/15 31/12/24 £547,303.70 220,524 £2.48
Office 1 & 3 Office Holdings Ltd Office 01/02/12 31/01/18 £0.00 8,030 Tenant paying rates, insurance and service charge only.Internal repairing lease subject to photographic schedule of condition.
Office 2 DHL GBS (UK) Ltd Office 18/06/99 17/06/17 £11,450.00 4,030 £2.84 Lease assigned from DHL Express (UK) Ltd. Tenant is holding over.
Office 4 Vacant Office £0.00 4,030 Rates payable £5,150pa
Total £558,753.70 236,615
1-8 MOORFIELD INDUSTRIAL ESTATE, GATEHEAD ROAD, KILMARNOCK KA2 0BA HIGH YIELDING UK DISTRIBUTION HQ LET TO OFFICE HOLDINGS LTD FOR A FURTHER 7.5 YEARS
TOTAL SITE AREAThe property has a total site area of 14.24 acres (5.76 ha).
TENUREFeuhold.
EPCAvailable upon request.
VATThe property will be subject to VAT although we anticipate the sale will be treated as a Transfer of a Going Concern.
COVENANTOFFICE was established in 1981 and has grown to be an established name on the UK High Street with over 150 stores. The business has a global presence with stores across Europe and the USA.
The subject property is the main UK distribution and home delivery facility for OFFICE. The operation includes the delivery and storage of goods destined for all high street stores throughout the UK and overseas. Distribution to single customers ordering products online is also handled at this facility.
The company is privately held:- in December 2015 it was bought by South African clothing retailer Trueworths from Silverfleet Capital for £256m.
OFFICE Holdings Ltd produced the following headline accounts over the last 3 years:
26/01/2014 25/01/2015 26/06/2016
Turnover £256,044,000 £270,242,000 £387,780,000
Pre-Tax Profit £28,106,000 £56,522,000 £29,333,000
Total Net Worth £103,595,000 £88,965,000 £108,703,000
PROPOSALOffers sought in excess of £5,400,000 (Five Million Four Hundred Thousand Pounds) reflecting an attractive net initial yield of 9.75% assuming purchaser’s cost of 6.13% and a low capital value of £23 psf.
Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property. The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP.
Design: Command D www.commandHQ.co.uk 07.17
For further information or to arrangements for viewing please contact:
Jonathan Butcher020 7543 [email protected]
Alex Butler020 7543 [email protected]
www.allsop.co.uk
DATAROOMFor access to the Allsop Dataroom please use the following link: https://datarooms.allsop.co.uk/register/Kilmarnock
