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On the Instructions of
2450-2480, Regents Court, The CrescentBirmingham Business Park, Birmingham
2450-2480, Regents Court, The CrescentBirmingham Business Park, Birmingham
Investment Summary� Birmingham Business Park is situated approximately 13 km (8 miles) to
the east of Birmingham City Centre and 6 km (4 miles) to the north east of
Solihull Town Centre. Birmingham International Airport lies about 1.6 km
(1 mile) south of the Park together with Birmingham International Railway
Station and the NEC.
� Birmingham Business Park has been developed and continues to be
developed by Arlington Securities and forms a high quality mixed use
business park. In total, Birmingham Business Park provides approximately
139,000 sq m (1.5 million sq ft) of office accommodation on
a site of approximately 95.25 ha (235 acres).
� The property comprises 5 self contained office buildings totalling
approximately 2,578.41 sq m (27,754 sq ft).
� Built to a high specification including full access raised floors and suspended
ceilings.
� Excellent parking ratio of 1:16.85 sq m (1:181 sq ft).
� Freehold.
� Current rent of £525,806 per annum. (£18.94 per sq ft average)
� Currently let to 5 tenants with a range of unexpired lease terms.
� Offers in excess of £6.2 million, subject to contract and exclusive of VAT.
� An acquisition at this level will provide the purchaser with a net initial yield
of 8% after purchaser's costs of 5.7625%
LocationBirmingham Business Park lies within the Metropolitan Borough of Solihull
within the West Midlands and the commercially expanding M42 corridor. It is
located approximately 16 km (10 miles) to the south east of Birmingham City
Centre and 21.4 km (13 miles) to the west of Coventry.
Communications are excellent with the M42 providing links to the M6, M40 and
M5. Birmingham International Airport, Birmingham International Station and the
NEC are all located within approximately 1.6 km (1 mile) of the business park.
The airport has over 50 airlines serving approximately 100 destinations both to
Europe and North America. The airport handles approximately 9 million
passengers a year. www.bhx.co.uk
Solihull forms the major out of town office market within The Midlands. It has
become a popular choice for National Headquarters, for both domestic and
international companies. www.solihull.gov.uk
SituationLocated between Junction 4 of the M6 and Junction 6 of the M42, Birmingham
Business Park lies adjacent to the A452 Chester Road.
The Crescent forms a phase of the business park developed in the 1990's and
lies adjacent to the Chester Road (A452). Access is via the main estate road
to the Business Park.
2450-2480, Regents Court, The CrescentBirmingham Business Park, Birmingham
2450-24Birmingham Bu
Plan Kindly Supplied by Arlington Securities Plc
480, Regents Court, The Crescentusiness Park, Birmingham
2450-2480, Regents Court, The CrescentBirmingham Business Park, Birmingham
Birmingham Business Park is the pre-eminent commercial
centre along the M42 Corridor. www.arlington.co.uk/parks
The main office market along the M42 is located between
Junctions 4 & 6, due to the location's proximity to the
M40, M6 and M6 Toll Road.
Take up in the M42 Corridor during 2003 was estimated
to be 305,000 sq ft and 385,000 sq ft in 2002. (Source:
Promis).
Occupier enquiries for small buildings and suites on the
park have improved in line with the general economy.
Arlington have recently let small suites (900-1,400 sq ft)
within the Waterside complex at £19.50 per sq ft and
report increased levels of enquiries. On the vacant
ground floor of unit 2470, they are quoting £19.50 per
sq ft.
Arlington are nearing completion of the next phase of
the park, known as The Forum (Phase 1) buildings -
5510 and 5520. These buildings are due for completion
in December 2004, the quoting rent is £21.50 per sq ft.
The buildings measure 35,641 sq ft and 47,950 sq ft
respectively.
Other owners on the park include Insight (Equitable and
CMG), BBC Pension Fund, Legal and General, Alba
Life, British Steel Pension Fund and Stargas.
Significant recent lettings on Birmingham Business Park
include the following:
� In January 2004, Costain acquired the first floor of
unit 2425, The Crescent at £213.77 per sq m
(£19.86 per sq ft). The suite measured 2,392 sq ft.
� Nextira One, acquired 6230 Bishop's Court in
January 2004, the building measured 8,345 sq ft
and the rent equated to £204.50 per sq m (£19.00
per sq ft).
� Soft Lab acquired the last speculative units at 4020
Lakeside, in October 2003. The building is owned
by Arlington and measures 1,445 sq m (15,554 sq
ft), a 16 year lease was secured with a break clause
at year 8. The rent equates to £215.28 per sq m
(£20 per sq ft).
� Beiersdorf (UK) Ltd acquired 2,552 sq m (27,473
sq ft) at 2010. The building is owned by Legal &
General and was let on a 15 year lease with breaks
at years 10 and 12 in July 2003. The rent equates
to £199.13 per sq m (£18.50 per sq ft) for the
refurbished building.
� Unit 6230 Bishop's Court, was acquired in June
2003 by Support Services Group on a 5 year lease
at £19.50 per sq ft.
Birmingham Business Park
DescriptionDesigned as an office campus, buildings 2450-2480 form part of the 2000
series of development undertaken by Arlington in the mid-1990's. This element
of the campus was completed in 1992. The accommodation provides 5 self
contained, 2-storey office buildings forming approximately 50% of Regents Court,
the other half is owned by the BBC Pension Fund.
The offices are set in a landscaped environment and are of a steel framed
construction with brick elevations to first floor sill level with glazing panels
above, under a pitched tiled roof. Windows are tinted double glazed units.
The office accommodation is arranged around a central staircase and core.
The specification includes fully accessible raised floors, central heating with
low level panel radiators, suspended mineral fibre ceilings with recessed
Category 2 lighting. Male and Female toilets are provided at ground and first
floor. The units were not built with air conditioning, however air conditioning
can be retrospectively fitted (Unit 2460/Unit 2480 - Tenant's improvement).
With the exception of Unit 2480, none of the buildings have a lift.
PlanningPlanning consent was granted for the business park in the late 1980's. Consent for Plot 2400 was
granted in 1990 to provided 8 x 2 storey office units.
AccommodationThe property provides the following accommodation measured in accordance
with the RICS Code of Measuring Practice.
Unit Area Sq m Area Sq ft
2450 501.14 5,394
2460 462.45 4,978
2470 431.30 4,643
2475 367.43 3,955
2480 816.09 8,784
Total net Internal Floor Area 2,578.41 27,754
Car ParkingApproximately 153 spaces are provided to the property both to the front and
rear of the buildings. All spaces are demised to individual buildings as follows:
Unit Car Spaces
2450 30
2460 27
2470 27
2475 21
2480 48
Total 153
The parking ratio is 1:16.85 sq m
(1:181 sq ft).
TenureFreehold.
Site AreaThe property has a site area of approximately 0.75 ha (1.85 acres).
Unit Tenant Start Term End Next Rent Area Rent ERV ERV pa Comments
Date Date Review p.a. sq ft per sq ft
2450 Norwich Union Life & Pensions Co. Ltd 25/03/1992 15 yrs 24/03/2007 N/A £101,300 5,394 18.78 19.00 £102,500 Co. no. 38832
2460 Sensormatic Camera Ltd 25/12/1994 15 yrs 24/12/2009 25/12/2004 £94,000 4,978 18.88 19.00 £94,600 Co. no. 1776842
2470 Arlington Property Developments Ltd 17/10/1996 15 yrs 25/11/2011 26/11/2006 £87,056 4,643 18.75 19.00 £88,200 Co. no. 2467143
2475 Ennstone Plc 01/03/1995 15 yrs 28/02/2010 01/03/2005 £78,000 3,955 19.72 19.00 £75,100 Co. no. 185664
2480 Honeywell Control Systems Ltd 24/03/1993 15 yrs 23/03/2008 N/A £165,450 8,784 18.83 19.00 £166,900 Co. no. 217803
Totals: £525,806 27,754 18.94 £527,300
Tenancy Schedule
Tenant's Covenant Strength
Unit 2450Norwich Union have sublet to Prudential Assurance CoLtd on a Co-terminus lease. The Prudential have theirlease on the market through DTZ Birmingham. Theyhave recently applied to sub underlease the property.Further details on the tenant are available atwww.aviva.com
Unit 2460Sensormatic Camera are a subsidiary of SensormaticLtd, in turn a subsidiary of Sensormatic ElectronicCorporation of USA. www.sensormatic.com
The company design and manufacture Tyco Fire andSecurity Systems, CCTV and a range of anti shopliftingservices. Sensormatic have sublet the whole building
co-terminusly to Frontstep (UK) Ltd, trading as Mapics,an international company specialising in design ofmanufacturing software www.mapics.com
Unit 2470Arlington Property Developments Ltd are a subsidiaryof the park developer, Arlington Securities Plc, one ofthe UK's major business park developers who in turnare over 50% owned by Legal and General.www.arlington.co.uk. Arlington are proposing to assigntheir lease to a sister company, Arlington BusinessParks GP Ltd.
Arlington have sublet the 1st Floor to NWS Bank Plc coterminusly, who in turn have assigned the lease to CareerManagement Consultants Ltd. www.cmc-careers.com
Arlington are marketing the ground floor suite at £19.50per sq ft.
Unit 2475Ennstone Plc is a producer of aggregates, concreteand building products www.ennstone.co.uk. Currentlythe property is available for assignment throughLambert Smith Hampton in Birmingham.
Unit 2480Honeywell Control Systems are a subsidiary ofHoneywell Inc. of America. www.honeywell.com. Thecompany is a world leader in control systems withinbuilding and aviation.
Tenant D & B Rating Year End Turnover Pre-tax Profit Net Worth % of Rent
Norwich Union Life & Pensions Co Ltd 5A1 31/12/2003 £4,414,000,000 £171,000,000 £2,432,000 19.3%
Sensormatic Camera Ltd A2 30/9/2003 N/A N/A £617,000 17.9%
Arlington Property Developments Ltd H2 31/12/2002 N/A N/A £2 16.6%
Ennstone Plc 5A1 31/12/2003 £87,700,000 £5,563,000 £49,943,000 14.8%
Honeywell Control Systems Ltd 5A2 31/12/2002 £325,124,000 £14,162,000 £52,140,000 31.4%
Service ChargeThe Units have two service charges. The first "Park" service charge covers the
common parts throughout the business park. The second service charge
"Plot" covers landscaping and maintenance within this property.
In addition, Units 2470 and 2475 have a third service charge and are effectively
full repairing and insuring via the service charge.
The property owner has a shareholding in the management company which
will be transferred to the purchaser as part of the sale.
Further information available upon request.
EnvironmentalNo environmental report is available.
VATVAT will be payable upon the purchase price.
Capital AllowancesWe are advised that the vendor has not claimed the benefit of Capital
Allowances to date. These will be available to a purchaser by negotiation.
PriceOur clients are seeking offers in excess of £6.2 million representing a net
initial yield of 8.0% after purchaser's costs of 5.7625%, subject to contract and
exclusive of VAT.
Misrepresentation Act:Misrepresentation Act 1967
Ashworth Sibal Welch (ASW) for themselves and for the vendors of this property whose agents they are give notice
that:
1. These particulars are a general outline only, for the guidance of prospective purchasers and do not constitute the
whole or any part of an offer or contract;
2. ASW cannot guarantee the accuracy of any descriptions, dimensions, references to condition, necessary
permissions for use and occupation and other details contained herein and therefore prospective purchasers much
not rely on them as statements of fact or representations and must satisfy themselves as to accuracy;
3. ASW or their employees do not have any authority to make or give representation or warranty or enter into any
contract whatever in relation to this property;
4. Rents and prices quoted may be subject to VAT in addition;
5. ASW will not be liable in negligence or otherwise for any loss arising from the use of these particulars;
6. No responsibility can be accepted for any expenses occurred by intending purchasers in inspecting properties
which have been sold or withdrawn;
7. ASW have not made any investigations into the existence or otherwise of any issues concerning pollution, potential
land, air or water contamination. The purchaser is responsible for making their own enquiries in this regard.
Aug 2004
ContactFor further information please contact
Arun Sibal
020 7534 0992
James Welch
020 7534 0993
7 Cork Street
London W1S 3LH
Switchboard: 020 7534 0990
Fax: 020 7534 0999
