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HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL WHINBANK PARK INDUSTRIAL ESTATE AYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY Outline for indicative purposes only.

WHINBANK PARK INDUSTRIAL ESTATE - Allsop...INVESTMENT CONSIDERATIONS Whinbank Park Industrial Estate forms part of the Aycliffe Business Park, the second largest industrial estate

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Text of WHINBANK PARK INDUSTRIAL ESTATE - Allsop...INVESTMENT CONSIDERATIONS Whinbank Park Industrial Estate...

  • HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY

    Outline for indicative purposes only.

  • INVESTMENT CONSIDERATIONS

    ■ Whinbank Park Industrial Estate forms part of the Aycliffe Business Park, the second largest industrial estate in the North East region, situated adjacent to Jct 59 of the A1(M).

    ■ Aycliffe Business Park is a key component of the North East economy extending to almost 1,000 acres and is the home of 500 companies employing 10,000 people.

    ■ The estate benefits from 24/7 on-site security, a major attraction to local occupiers.

    ■ Freehold.

    ■ Total site area of 18.78 acres (7.60 hectares) with 7.63 acres (3.1 Hectares) of potential development land.

    ■ The estate comprises 90 units with a total floor area of 285,239 sq ft (26,499.6 sq m) with individual unit floor areas ranging from 145 - 57,487 sq ft.

    ■ The estate is let to a total of 47 individual tenants and is currently 98% occupied.

    ■ WAULT: 3.51 years to expiry (2.24 to breaks).

    ■ The total contracted rent is £780,515 p.a., equating to £2.40 psf on industrial accommodation and £7.32 psf on office accommodation.

    ■ The total Net Operating Income (NOI) is £702,752 p.a.

    ■ Industrial accommodation has achieved sustained rental growth of late with significant additional short term reversion.

    ■ The property offers a purchaser numerous asset management opportunities including:

    • refurbishment and letting vacant units

    • negotiating the removal of tenant break options

    • relocating tenants within the extensive ownership

    • extending existing lease terms

    • development sites

    INVESTMENT CONSIDERATIONS

    ■ We are instructed to seek offers in excess of £7,000,000 (Seven Million Pounds), subject to contract and exclusive of VAT. A purchase at this level reflects a Net Initial Yield of 9.40% and a low capital rate of £24.54 psf.

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

  • Tees Port

    Port of Sunderland

    Port of Tyne

    Tees Valley

    Port of Hartlepool

    A66

    A19

    A66

    A69

    A19

    A19A68

    A1

    A1

    A689A177A688

    A691

    A690

    A167

    A694

    A693

    A174

    A1(M) HARTLEPOOL

    DARLINGTON

    BISHOPAUCKLAND

    NORTHALLERTON

    BARNARDCASTLE

    NEWCASTLEUPON TYNENEWCASTLEUPON TYNE

    MIDDLESBROUGHMIDDLESBROUGH

    SUNDERLANDSUNDERLAND

    DURHAMDURHAMPETERLEE

    NEWTON AYCLIFFENEWTON AYCLIFFE

    COMMUNICATIONSNewton Aycliffe is situated adjacent to A1(M), the main north/south link road serving the region. The A1(M) provides a direct link to major centres including Newcastle upon Tyne (31 miles) and Edinburgh (136 miles) to the north and Leeds (63 miles) and London (250 miles) to the south.

    Intercity rail services are available from Darlington station providing quick access to major cities on the East Coast Main Line. Newcastle upon Tyne and Leeds can be reached in 30 minutes and one hour respectively. There are 3 direct rail services to London Kings Cross each hour with a fastest journey time of 2 hours and 21 minutes.

    Newton Aycliffe is well served by airports with Newcastle International Airport located 37.9 miles to the north and Durham Tees Valley Airport located only 11.1 miles to the south east. The town benefits from easy access to some of the UK’s busiest east coast ports including Teesport and the Port of Tyne.

    ROAD LINKS

    A1(M) 2.0 miles

    M6 55.9 miles

    M1 60.7 miles

    M62 70.0 miles

    PORTS

    Teesport 21.6 miles

    Port of Hartlepool 24.6 miles

    Port of Sunderland 31.0 miles

    Port of Tyne 32.7 miles

    AIRPORTS

    Tees Valley Airport 11.1 miles

    Newcastle Airport 37.9 miles

    Leeds/Bradford Airport 60.4 miles

    Edinburgh Airport 162 miles

    RAIL

    Durham 15 min

    Middlesbrough 26 min

    Newcastle upon Tyne 30 min

    London Kings Cross 141 min

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

  • J59

    A1(M

    )

    To Newton AycliffeTown CentreNewton

    AycliffeStation

    ToDurham &

    Spennymoor

    Aycliffe Village

    ToDarlington

    HeighingtonStation

    To A6072

    COATHAM AVENUE

    GURNEY WAY

    LEASIDE

    LEASIDE NORTH

    HORNDALE AVENUE

    HILTO

    N RO

    AD

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    FULBECK RO

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    WA

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    RTH RO

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    BURTREE ROA

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    WD

    EN RO

    AD

    GRO

    AT D

    R

    GROAT AVENUE

    REDWORTH WAY

    HORNDALE AVENUE

    DURHAM WAYWHITWORTH AV

    HURWORTH ROAD

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    INBA

    NK RO

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    PRESTON

    ROA

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    RTH D

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    BEAUMONT WAYREMBRANDT WAY

    CUMBRIE WAY WELBURY WAY

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    RLBURY ROA

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    AN

    GELS C

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    PRESTON ROAD

    WHINFIELD DRMEN

    HA

    M W

    AY

    HOLLIN WAY

    HEIGHINGTON LANE

    GRINDON WAY

    LON

    G T

    ENS

    WA

    Y

    HEIGHINGTON STREET

    STATION ROAD

    NORTHFIELD WAY

    STC

    UTHBERT’S W

    AY

    B6448

    DURH

    AM

    WA

    Y SOUTH

    A1

    67

    B6444

    B6444

    MILLENNIUM WAY

    STA

    ND

    REW

    S W

    AY

    KETTON WAY

    RIDGE WAY

    SPRING RD

    forrest park

    AYCLIFFE BUSINESS PARK Aycliffe Business Park, extending some 400 hectares (980 acres), is home to over 500 companies employing over 10,000 people and is the largest employment location in County Durham. (Source: ABPC, 2017)

    Major national occupiers include Gestamp Tallent, Hitachi Rail Europe, EBac, Tekmar, Husqvarna and Lidl. Engineering and manufacturing remain at the core of Aycliffe Business Park, however dozens more SMEs from the services and leisure sectors have come to the park in recent years. The result is a dynamic and a vibrant employment hub catering for a wide range of occupiers.

    The recently constructed £82 million Hitachi Rail Europe plant in Aycliffe has significantly enhanced the location and now employs over 1,100 people. Key projects include the assembly of Class 800 trains for Great Western Railway and Class 385 trains for ScotRail; the company has also recently been shortlisted for the £2.75bn HS2 rolling stock contract which may contribute towards a significant anticipated increase in staff numbers and on-site investment.

    Newton Aycliffe hosts a significant volume of off-shore contractors and manufacturers. Sub-sea and cable protection specialist Tekmar Energy Limited

    have been awarded multimillion pound contracts to supply TekLink cable protection systems (CPS), cable hang-off clamps (HOC) and cable joint protection products for the Hornsea ONE Project. The scheme will become one of the world’s largest offshore windfarms once operational in 2020, comprising 174 Siemens 7MW turbines.

    Car components manufacturer Gestamp Tallent employs over 1300 people at its Aycliffe plant. The company produce chassis structural and body components for the likes of Jaguar, Landrover, Volvo, Ford , BMW, Nissan and Honda, recorded a turnover of £517.6m in 2017.

    Stiller Warehouse and Transporting are long established in Aycliffe. Their 22 acre Aycliffe site stores goods and parts for local businesses and national brands including Gestamp and 3M. The company is investing £2m in a new 50,000 sq. ft. distribution centre and creating up to 25 new jobs on their site. This follows a recent acquisition by the company of a 70,600 sq. ft. modern warehouse unit on Grindon Way in Aycliffe in March 2017 at a rent of £3.25 per sq. ft.

    Husqvarna UK Limited recently produced its 1 millionth robotic lawnmower at their unit on the park.

    Outline for indicative purposes only.

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

    Durham County Council’s commitment to the Park is evident in the preparatory ground and infrastructure works being carried out at Forrest Park, which will be a 52 hectare addition to Aycliffe Business Park. The Local Enterprise Partnership has invested £13m to provide power as well as access into the scheme. It will target large scale manufacturing and distribution occupiers, including potential rail freight interchange. Business Durham report that the site could see the creation of an estimated 3,200 jobs and deliver a Gross Value Added (GVA) boost of £495 million over the next twenty years.

  • TENANCIESThe scheme is let in accordance with the Schedule of Accommodation and Tenancies.

    In summary the estate provides:

    Contracted Rent (£ p.a.) £780,515

    Landlord Service Charge Liability £66,635

    Landlord Rates Liability £10,776

    Landlord Insurance Liability £352

    Net Operating Income £702,752

    SERVICE CHARGEThe service charge is apportioned on a weighted floor area basis.

    The following table sets out the service charge expenditure apportions by use class;

    Year End Expenditure 2018

    Industrial £186,650

    Office £86,668

    Total £273,318

    © Crown Copyright, ES 100004106. For identification purposes only.

    WHITWORTH AVENUE

    CarPark

    REDWORTH WAY

    WH

    INBA

    NK

    ROA

    D

    COATHAM AVENUE

    FULB

    ECK

    ROA

    D

    WILLOWTREE CARAVAN STORAGE

    L

    SECURITYOFFICE

    3C

    4C

    25

    26

    27

    31

    32A

    W HOWARD TRANSPORT

    YARD 2: AYCLIFFE SELF STORAGE YARD 1:FULLBECK

    32B 32C

    BLOCK A

    BLOCK B

    WORKSHOPS

    201816 1917 21

    2322

    2 - 4

    10 11 12

    9

    8

    7C 7B 7A

    13 14 - 15 24A 24B24D

    24C

    1C

    1 5

    6

    YARD 3:DAVECLARK SITE

    The site area totals 18.78 acres (7.60 hectares), providing a low site coverage of 36%.

    The Caravan Storage site totals 3.36 acres (1.40 hectares) and may lend well to future re-development, subject to vacant possession.

    The industrial income is let at very modest levels with 65% of leases commencing in the previous 3 years. The Estate is therefore particularly well placed for future rental growth.

    Additional lease documentation is available in the Allsop Marketing Data Room.

    TENUREFreehold.

    Industrial Office Car Parking Caravan Park

    70%

    ACCOMMODATION TYPE

    ■ INDUSTRIAL INCOME■ OFFICE INCOME■ EXTERNAL STORAGE INCOME

    6%

    24% 64%

    10%

    ■ >7 YEARS■ 3-7 YEARS■

  • WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

    Demise Tenancy Information Rent Management Landlord Liabilities

    Comments

    Unit Area (Sq M)

    Area (Sq Ft)

    Tenant Lease Start

    Lease Expiry

    Rent Review

    Break Net Operating

    Income (£ pa)

    Contracted Rent

    (£ pa)

    Contracted Rent

    (£ psf)

    Service Charge (£ pa)

    Rateable Value (£ pa)

    Insurance(£ Pa)

    Total Landlord Liabilities (£ pa)

    INDUSTRIAL ACCOMMODATION

    B1-B4, 2C, & L 5,340.7 57,487 Techwax Ltd 01/04/16 31/03/26 01/04/21 31/03/20 £135,000 £135,000 £2.35 £37,367 £64,800 £4,299 Open Market Rent Review subject to a cap of 12% of the rent payable prior to the Rent Review.

    1C 60.5 651 Fox Gas 01/11/12 31/10/15 £1,653 £1,653 £2.54 £423 £2,700 £49

    3C & 4C 99.7 1,073 Interiors4you NE Limited 01/10/16 30/09/21 01/10/19 £3,000 £3,000 £2.80 £697 £6,450 £80 Fixed Rent Increases on 01/10/2019 to £3,500 pa

    B5 1,884.1 20,280 Parkin & Denwood ltd 11/08/17 10/08/20 £35,490 £35,490 £1.75 £13,182 £28,500 £1,517

    B6 922.2 9,927 Filrite Limited 01/04/17 31/03/20 £27,000 £27,000 £2.72 £6,453 £15,000 £742

    Units 7A-B & 8 2,359.7 25,400 Trinity Kitchens NE Ltd 08/01/18 07/01/28 £50,802 £50,802 £2.00 £16,510 £36,500 £1,899

    Unit 7C 464.5 5,000 Revolution Power Ltd 01/02/16 31/01/21 £17,700 £17,700 £3.54 £3,250 £9,500 £374 Rent paid monthly in advance

    Unit 9 1,715.6 18,467 Stiller Warehousing & Distribution Limited

    02/01/17 01/01/18 £29,750 £29,750 £1.61 £11,050 £26,250 £1,381 Holding Over. Lease renewal in progress

    Unit 10 363.3 3,910 Beer Express Limited 01/12/16 30/11/21 £10,000 £10,000 £2.56 £2,542 £8,800 £292 Rent paid monthly in advance

    Unit 11 363.3 3,910 Red-D-Arc Limited 01/10/16 30/09/19 £10,000 £10,000 £2.56 £2,542 £9,200 £292

    Units 12-15 1,594.8 17,166 Fabtech Limited 01/05/16 30/04/19 £41,200 £41,200 £2.40 £11,158 £24,250 £1,284 Rent paid monthly in advance

    Unit 16 111.5 1,200 Dee Dees Café 01/09/14 01/10/17 £3,120 £3,120 £2.60 £780 £4,750 £90 Holding Over. Rent paid monthly in advance

    Unit 17 101.7 1,095 Quality Hydraulics Limited 01/04/16 31/03/21 01/04/18 31/03/19 £3,285 £3,285 £3.00 £712 £4,250 £82 Stepped Rent: Y1-£3,011, Y2-£3,285, Y3-£3,559, Y4-£3,833, Y5-£4,106. Rent paid monthly in advance

    Unit 18 105.9 1,140 Resinance Flooring Limited 01/04/17 31/03/20 £3,990 £3,990 £3.50 £741 £4,400 £85 Rent paid monthly in advance

    Unit 19 113.1 1,217 William Howard Trading 01/04/17 31/03/20 £4,550 £4,550 £3.74 £791 £4,550 £91 Rent paid monthly in advance

    Unit 20 139.4 1,500 Multi-Surface Fabrications Limited 01/07/17 30/06/20 £4,425 £4,425 £2.95 £975 £2,360 £112

    Unit 21 140.7 1,514 HB Technologies Limited 01/11/15 31/10/20 30/04/19 £4,550 £4,550 £3.01 £984 £113 Stepped Rent: Y1-2-£4,350, Y3-5-£4,550. Tenant break option subject to 3 months notice

    Unit 22 929.0 10,000 PRD Warehouse Services Ltd 01/07/17 30/06/20 £30,000 £30,000 £3.00 £6,500 £16,750 £748

    Unit 23 759.9 8,180 Multi-Surface Fabrications Limited 01/07/17 30/06/20 £24,130 £24,130 £2.95 £5,317 £12,890 £612 Rent paid monthly in advance

    Unit 24A 599.2 6,450 Custom Finishes Limited 15/09/17 14/09/20 £19,350 £19,350 £3.00 £4,193 £482 Year 1 Rent: £9,675 pa, to be topped up by the Vendor to the contracted rent of £19,350 pa.

    Unit 24B 571.4 6,150 Denholm Industrial Services Limited

    01/06/17 31/05/22 £15,045 £15,045 £2.45 £3,998 £10,750 £460 Stepped Rent: 01/06/2017-30/11/2017 - £7,522.50, 01/12/2017 - 30/05/2018 - £15,045, 01/06/2018 - 30/07/2018 - £7,522.50, 01/08/2018 - 31/05/2022 - £15,045.

    Unit 24C 380.9 4,100 Mill Masters International Limited 27/03/17 14/06/21 £12,300 £12,300 £3.00 £2,665 £307

    Unit 24D 778.7 8,382 Mill Masters International Limited 15/06/16 14/06/21 £25,146 £25,146 £3.00 £5,448 £20,750 £627 Rent paid monthly in advance

    Unit 25 103.7 1,116 Allan Sangster Electrics 01/04/16 31/08/20 £1,785 £1,785 £1.60 £725 £7,000 £83 Rent paid monthly in advance

    Unit 26 185.8 2,000 Vacant 01/04/13 31/03/18 -£4,152 £41,687 £1.60 £1,300 £5,800 £150 +£4,152 Open fronted storage unit.

    Unit 27, 32C & Yard

    2,414.2 25,986 Fulbeck Limited 01/03/15 01/04/18 £41,687 £2,100 £1.50 £29,241 £25,500 £1,943 Lease renewal ongoing,

    Unit 31 130.1 1,400 Commercial Vehicle Services 03/08/17 02/02/18 £2,100 £9,000 £1.48 £910 £4,850 £105 Rent paid monthly in advance

    Unit 32A 563.6 6,067 Parnaby Removals UK Ltd 19/10/17 18/10/18 £9,000 £25,200 £2.31 £3,944 £9,400 £454 Holding Over. Lease renewal in progress

    Unit 32B 1,014.5 10,920 Roman Limited 01/09/15 31/08/20 £25,200 £10,000 £7,098 £15,500 £817 Lease renewal in progress. Proposed 3 year term

    Yard 2 Aycliffe Storage Limited 03/08/15 02/08/18 £10,000 £3,785 £2,400 Initial Service Charge of £2,400 subject to annual RPI indexed increase. Rent paid monthly in advance

    Yard 3 David Clark 03/08/15 02/08/25 £3,785 £15,000 £757 Initial Service Charge of £756.70 subject to annual 3% increases.

    Caravan Storage Park

    Willowtree Limited 25/09/15 03/08/18 03/08/21

    03/08/2003/08/22

    £15,000 £2,167 £2,000 £36,500 Service Charge Cap: £2,000 pa. Tenant break option: 03/08/2020, subject to 6 month notice period Landlord break option: 03/08/2022, subject to 9 month notice period

    Lorry Parking Space

    Bio Marsh Environmental Limited

    £2,167

    SUB-TOTAL 24,311.6 261,688 £618,057 £622,210 £2.40 £186,650 £417,950 £19,570 £4,152

    TENANCY SCHEDULE

  • TBC

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

    Demise Tenancy Information Rent Management Landlord Liabilities

    Comments

    Unit Area (Sq M)

    Area (Sq Ft)

    Tenant Lease Start

    Lease Expiry

    Rent Review

    Break Net Operating

    Income (£ pa)

    Contracted Rent

    (£ pa)

    Contracted Rent

    (£ psf)

    Service Charge (£ pa)

    Rateable Value (£ pa)

    Insurance(£ Pa)

    Total Landlord Liabilities (£ pa)

    OFFICE ACCOMMODATION

    BLOCK A

    Ground 768.7 8,274 HB Technologies Limited 01/11/15 31/10/20 30/04/19 £27,652 £58,100 £7.02 £30,448 £25,500 £619 £30,448 Tenant break option (30/04/2019) subject to 3 month notice period.

    GA1 71.5 770 Management Suite -£4,942 £2,834 £4,400 £58 £4,942

    GA2 & 5 83.1 894 Capture Films 01/10/14 30/09/17 £4,812 £4,812 £5.38 £3,290 £6,100 £67 Holding Over

    GA3,4 & 6 124.6 1,341 C&P Interiors 01/09/14 31/08/17 £4,800 £4,800 £3.58 £4,935 £6,100 £100 Holding Over

    W1 (Workshop) 46.5 500 Thelectronics Ltd 01/10/16 30/09/19 £2,045 £3,885 £7.77 £1,840 £2,700 £37 £1,840

    W2 (Workshop) 78.0 840 None Stop Vinyl Records 01/04/16 31/03/19 £1,309 £4,400 £5.24 £3,091 £2,900 £63 £3,091 Rent deposit held: £450

    FA1-2 36.3 391 Special Touches Limited 01/12/16 30/11/17 £4,017 £5,456 £13.95 £1,439 £1,050 £29 £1,439 Holding Over

    FA3 27.0 291 William Robinson 01/04/16 31/03/19 £1,257 £2,328 £8.00 £1,071 £3,150 £22 £1,071

    FA4 27.9 300 Vacant -£1,919 £1,104 £1,700 £22 £1,919

    FA5-8 & 10 137.0 1,475 Morses Club Plc 27/10/17 26/10/19 £7,111 £12,539 £8.50 £5,428 £8,825 £110 £5,428

    FA9 53.9 580 Platinum Property Services 01/01/15 31/12/18 £4,930 £4,930 £8.50 £2,134 £3,350 £43 £0

    FA11 13.5 145 Lead Talent Resourcing Limited 15/02/17 14/02/18 £916 £1,450 £10.00 £534 £920 £11 £534

    FA12 13.5 145 GE Telecom Ltd 14/10/15 13/04/16 £771 £1,305 £9.00 £534 £920 £11 £534

    FA13 13.5 145 Hawk Shield Security Limited 01/10/16 31/03/17 £916 £1,450 £10.00 £534 £910 £11 £534 Holding Over

    FA14 40.7 438 Vacant -£2,879 £1,612 £2,650 £33 £2,879

    FA15 49.9 537 KHK People Development Limited

    01/02/16 31/01/19 £2,324 £4,300 £8.01 £1,976 £3,200 £40 £1,976

    FA16 22.1 238 Vacant -£1,593 £876 £1,500 £18 £1,593

    FA17-20 53.9 580 Vacant -£4,391 £2,134 £4,750 £43 £4,391

    FA21-22 60.4 650 KHK People Development Limited

    01/10/16 31/01/19 £2,158 £4,550 £7.00 £2,392 £3,400 £49 £2,392

    BLOCK B

    GB1-5 & FB5-6

    152.7 1,644 Communicators 01/03/15 28/02/18 £19,431 £19,431 £11.82 £6,050 £15,700 £123 Tenant rolling break option subject to 3 month notice period.

    FB1 29.6 319 Tees Vale Ltd 01/08/15 31/07/16 £1,076 £2,250 £7.05 £1,174 £2,650 £24 £1,174 Holding Over

    FB2-3 43.5 468 Multi-Surface Fabrications Limited

    01/07/17 30/06/20 £2,022 £3,744 £8.00 £1,722 £1,975 £35 £1,722

    FB4 18.6 200 Diamond Cleaning 01/01/15 31/12/18 £1,700 £1,700 £8.50 £736 £1,200 £15

    FB7 24.2 261 MultiSurface Fabrications Limited

    01/02/16 31/01/19 £1,650 £2,610 £10.00 £960 £2,050 £20 £960

    FB8 105.7 1,138 Hillman 01/10/14 30/09/17 £9,665 £9,665 £8.49 £4,188 £7,300 £85 Holding Over

    FB9 35.6 383 Vacant -£2,522 £1,409 £2,325 £29 £2,522

    FB10 56.1 604 Nims Freight Services Limited 01/02/16 31/01/19 £2,377 £4,600 £7.62 £2,223 £3,550 £45 £2,223

    SUB-TOTAL 2,188.0 23,551 £84,694 £158,305 £7.32 £86,668 £120,775 £1,761 £73,611

    TOTAL 26,499.6 285,239 £702,752 £780,515 £2.77 £273,318 £538,725 £21,331 £77,763

  • WHITWORTH AVENUE

    CarPark

    REDWORTH WAY

    WH

    INBA

    NK

    ROA

    D

    COATHAM AVENUE

    FULB

    ECK

    ROA

    D

    CARAVAN STORAGE PARK• Let to Willowtree Limited

    • Landlord Break Option: August 2022

    • Lease Expiry: July 2025

    • Current income is significantly reversionary

    • Medium term site redevelopment opportunity

    • Additional on-site car parking with potential to consolidate parking areas and increase space provision

    • Site Area: 3.36 Acres (1.14 Hectares)

    TECHNOLOGY COURT • 47 units let to 19 individual tenants

    • 92% Occupied with significant and immediate asset management potential

    • WAULT: 1.43 years to expiry (0.88 to breaks)

    • Potential to provide additional car parking to the rear of the building

    • Potential to improve existing plant equipment and significantly decrease service charge budget

    • Total Floor Area: 23,551 sq ft (2,188.0 sq m)

    YARD AREA • Vacant possession possible from

    August 2020

    • Dual access site from Whitworth Avenue and Fulbeck Road

    • Unit 26 is vacant and offers immediate redevelopment potential

    • Medium term site redevelopment potential

    • Site Area: 2.12 Acres (0.86 Hectares)

    ASSET MANAGEMENT

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

  • MIDDLESBROUGH£3.25 - £3.75

    MIDDLESBROUGH£3.25 - £3.75

    DURHAM£4.50 - £4.75

    DURHAM£4.50 - £4.75

    NEWTON AYCLIFFE£2.40

    NEWTON AYCLIFFE£2.40

    TEAM VALLEYTRADING ESTATE

    £5.50 - £5.75

    TEAM VALLEYTRADING ESTATE

    £5.50 - £5.75 WASHINGTON£4.25 - £4.75

    WASHINGTON£4.25 - £4.75

    PETERLEEBUSINESS PARK

    £3.25 - £3.50

    PETERLEEBUSINESS PARK

    £3.25 - £3.50

    MARKET COMMENTARYAycliffe Business Park continues to benefit from supply chain opportunities predominately linked to manufacturing sectors and this has underpinned demand on the estate. Take-up levels have proved consistently strong over recent years, whilst at the same time, there has been very little speculative development on the estate or indeed the wider region.

    Speculative development remains difficult primarily due to the costs associated and lack of gap funding, and as a result, landlords have been improving existing secondary space to capitalise on strong demand.

    Examples include M7 Real Estate’s refurbishment of older industrial stock in 2016. This resulted in successful lettings to the likes of Vantec Europe (50,000 sq. ft), Ceva Logistics (20,000 sq. ft) and PWS (29,000 sq. ft).

    The supply and demand dynamics across all of the size ranges has fuelled rental growth on the Park and this is anticipated to continue, particularly for secondary assets.

    Examples of recent transactions below and support strong reversionary potential on Whinbank Park Industrial Estate.

    Property Date Size (Sq. Ft.)

    Term Rent (psf)

    Comments

    2 Maple Way, Aycliffe Business Park

    July ‘17 5,000 3 years £5.00 Modern semi-detached unit with min 6.4m eaves. Let to Cam-Tech Limited.

    3 Maple Way, Aycliffe Business Park

    May ‘17 5,018 6 years £4.75 Modern semi-detached unit with min 6.4m eaves. Tenant break at year 3. Let to Radius-Plus Limited.

    Hurworth Road, Aycliffe Business Park

    Sept ‘16 6,545 5 years £3.50 Secondary industrial space built in 1980’s. Two storey offices, parking and shared yard. Occupier – Confidential

    4 Redworth Way, Aycliffe Business Park

    Aug ‘17 15,000 10 years £3.50 Lease subject to break options in years 3 and 5. 1980’s secondary unit let to Schlegel

    J372 Durham Way South, Newton Aycliffe Industrial Estate

    March ‘17 25,000 5 years £3.75 Detached 1980’s secondary unit. Lightly refurbished. Tenant break year 3. Let to the Centre for Process & Innovation.

    2-5 Central Park, Aycliffe Business Park

    Lease Agreed

    48,247 10 years £4.15 Lease agreed with PWS Distributors Ltd subject to completion of landlord’s works (expected March 2018)

    COMPARABLES

    WHINBANK PARK INDUSTRIAL ESTATEAYCLIFFE BUSINESS PARK, NEWTON AYCLIFFE, COUNTY DURHAM, DL5 6AY HIGHLY REVERSIONARY MULTI-LET INDUSTRIAL INVESTMENT WITH DEVELOPMENT POTENTIAL

    INDUSTRIAL RENT ANALYSISRental values achieved on refurbished secondary (1980s/1990s) accommodation. Sample unit size approx. 5,000 sq ft.

  • Misrepresentation Act: 1. Allsop LLP and Naylors on its own behalf and on behalf of the instructing party of this portfolio whose agent Allsop and Naylors 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 instructing party does not make or give, and neither Allsop or Naylors nor any of their 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 instructing party are those contained and expressly referred to in the written contract for sale or agreement for lease between the instructing party 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. Naylors are a trading name of Naylors Properties (Northern) Limited. Design: Command D - www.commandHQ.co.uk 02.18

    For further information or to make arrangements for viewing please contact:

    Guy Scott Plummer020 7543 [email protected]

    Tom Dales020 7543 [email protected]

    Chris Donabie01912 111 [email protected]

    Fergus Laird01912 111 [email protected] www.naylors.co.uk

    PROPOSAL

    We have been instructed to seek offers in excess of £7,000,000 (Seven Million Pounds) for Whinbank Park Industrial Estate, subject to contract and exclusive of VAT. A purchase at this level reflects a Net Initial Yield of 9.40% and a low capital rate of £24.54 psf.

    DATA ROOMFor further information, please register to the Allsop Marketing Data Room on the following link: https://datarooms.allsop.co.uk/register/whinbankpark

    EPCFurther information is available on the Allsop Marketing Data Room.

    VATThe property is elected for VAT and it is anticipated the transaction will be treated as a Transfer of a Going Concern (TOGC).