SOUTH EAST HEADQUARTERS OFFICE INVESTMENT OPPORTUNITY

Transcription

1 SOUTH EAST HEADQUARTERS OFFICE INVESTMENT OPPORTUNITY

2 Bourne End Train Station Pilot Pen Kawasaki Renesas Electronics Zebra Technologies INVESTMENT SUMMARY n Well positioned office in Bourne End, close to local amenities and the railway station. n Attractive setting adjacent to River Wye forming part of the Dukes Meadow estate. n Substantial office of 27,314 sq ft (2,538 sq m) over ground and first floors. n Good base specification with raised floor to ceiling height of 3.35m (ground floor) / 2.60m (first floor) and an excellent car parking ratio of 1:235 sq ft. n Currently let to Zebra Technologies Europe Limited on a FRI lease expiring 23rd June 2019 at a passing rent of 485,196 per annum ( per sq ft). n Freehold. n We are instructed to seek offers in excess of 5,100,000 (Five Million, One Hundred Thousand Pounds) subject to contract and exclusive of VAT. A purchase at this price provides a net initial yield of 9.00%, after deduction of purchaser s costs of 5.80%, and a capital value of 187 per sq ft.

3 LOCATION Bourne End is an affluent town in the heart of the Thames Valley corridor located 3.7 miles (5.9km) east of Marlow, 4.4 miles (7.1km) north of Maidenhead, 5 miles (8km) south of High Wycombe and 29 miles (47km) west of central London. The town benefits from good road communications with the A4094 providing direct access to Junction 3 of the M40 motorway approximately 3 miles (4.8km) to the north and to Maidenhead to the south. Furthermore, the A404(M) is located approximately 2 miles (3.2km) to the west which provides direct access to junction 4 of the M40 motorway and junctions 8/9 of the M4 motorway. Bourne End has a regular train service to Maidenhead, with a fastest journey time of 12 minutes, which connects to wider train services to London Paddington and Reading every 15 minutes. London Heathrow Airport, the world s busiest international airport handling approximately 65.7 million passengers per year, is located approximately 21 miles (34km) to the south east via either the M40 or M4. SITUATION The property is situated on the established Dukes Meadow Business Park fronting Millboard Road. Occupiers on the park include the UK headquarters for Kawasaki Motors, Renesas Electronics and Pilot Pen UK. Bourne End railway station and town centre amenities are situated approximately 250m to the west. The area around the property is mixed in nature including a residential area to the east via Bridgestone Drive. To the immediate south is Wessex Road Industrial Estate and other industrial premises including significant units for Polytint Cards Limited and Printing & Graphic Machinery Limited. To the west are the Meadowbank and Courtyard office developments. 5 READING THE AVE SAILING CLUB RD RIVERSIDE RD Henleyon-Thames A329(M) 10 TO MARLOW A4155 OAKFIELD RD A4010 HIGH WYCOMBE MARLOW THE PARADE WHARF LN 4 A404 A404(M) Bourne End M Bourne End Business Park 3 AMERSHAM Hazlemere Tylers Green MAIDENHEAD M4 7 2 A355 6 WINDSOR A413 BEACONSFIELD Wooburn Green BOURNE END FISHERMAN S WAY HIGHFIELD RD Boston Drive Business Park CORES END RD A4094 FURLONG RD Burnham NEW RD Meadowbank Business Park Chorleywood Gerrards Cross SLOUGH ETON EGHAM Dukes Meadow Business Park MILLBOARD RD M A M B STAINES 19 UXBRIDGE WATFORD RICKMANSWORTH A4094 River Wye BRIDGESTONE DR 4 4A HEATHROW A40 A4 3 A41 HAYES CORES END RD 5 Bushey M1 South Oxhey HARROW M4 A4 HOUNSLOW TO HIGH WYCOMBE 2 4 BROOKBANK KILN LN River Thames CAMDEN PL STATION RD HEDSOR RD A4094 CLAYTONS MEADOW Wessex Road Industrial Estate HAWKS HILL TO MAIDENHEAD WESSEX RD

4 DESCRIPTION The building was constructed in 1989 and provides 27,314 sq ft (2, sq m) of office accommodation arranged over ground and first floors. The property is of steel frame construction with external brick and glazed elevations beneath a pitched concrete tiled roof. Internally, the property benefits from: Four pipe fan coil air conditioning. Suspended ceilings with recessed lighting. Full access raised floors. Two male, two female and one disabled shower/wc facility. One 800 kg / 10-person passenger lift. Double glazed aluminium powder coated windows. Ground floor: raised floor to ceiling height of 3.35m. First floor: raised floor to ceiling height of 2.60m. The property also benefits from a separate staff canteen/dinning core and gymnasium on the ground floor. There are 116 landscaped car parking spaces provided on site reflecting an excellent ratio of 1:235 sq ft. FLOOR AREAS The property has been measured in accordance with the RICS Code of Measuring Practice (6th Edition) and provides the following net internal floor areas: Floor Sq Ft Sq M Ground Floor Office 13,651 1, First Floor Office 13,663 1, Total 27,314 2,537.63

5 TENURE FLOOR PLANS The property is held freehold. Ground Floor The site area of the office and car park (bounded red) totals 1.92 acres with a site coverage of approximately 19%. The annual estate charge budget for the year ending 30th June 2015 stands at 33,333 in total. The proportion charged to building 3, at 8,470 per annum ( 0.31 per sq ft) is fully recoverable from the occupational tenant. First Floor Renesas Zebra Technologies Pilot Pen

6 TENANCY The property is let entirely to Zebra Technologies Europe Limited on a 25 year FRI lease from 25th March 1990, expiring on 23rd June The property is used as their UK Headquarters. A five year revisionary lease was agreed on 1st March 2013 extending the term to 23rd June 2019 (4.62 years unexpired). The revisionary rent agreed was 485,196 per annum ( per sq ft) with a 12 month rent free conceded, which expired in February TENANT COVENANT Zebra Technologies is a global leader manufacturing and selling marking, tracking and printing technologies such as thermal barcode label and receipt printers, RFID smart label printers/ encoders, and card and kiosk printers. Zebra s products are used for barcode labelling, personal identification and specialty printing solutions principally in the manufacturing supply chain, retail, healthcare and government sectors. The company has offices in 26 countries and more than 2,500 employees worldwide. Zebra printers are used by more than 90 percent of Fortune 500 companies. Zebra Technologies Europe Limited has a Dun & Bradstreet rating of 5A1 representing minimum risk of business failure and their last 3 years trading figures are: 31 Dec s 31 Dec s 31 Dec s Sales Turnover 328, , ,396 Pre-Tax Profit (Loss) 80,598 68,290 78,973 Tangible Net Worth 227, , ,063 Current Net Assets (Liabilities) 224,573 70, ,850 VAT The property is elected for VAT and it is proposed that the sale will be treated as a Transfer of Going Concern (TOGC). ENERGY PERFORMANCE CERTIFICATE The property has an EPC rating of 97 (D). A copy of certificate is available on the Lewis Ellis website.

7 LOCAL OFFICE MARKET Bourne End is an established office centre which is close to some of the Thames Valley s prime commercial conurbations and is therefore inextricably related to Maidenhead, Marlow and High Wycombe. The town provides a very attractive working environment with good access to other larger towns, the M4 and M40 motorways and Heathrow airport. Its excellent communication links and skilled workforce have led to a number of business park developments in addition to Dukes Meadow including Bourne End Business Park, Boston Drive Business Park and Meadowbank/The Courtyard. These developments have attracted a number of large UK and multi-national companies such as Renesas Electronics, Pilot Pen, Kawasaki Motors UK, Grays Mechanical Services, Acorne Plc, Spin Master, 2Heads, KOE Europe and Dormeo. In the last cycle office rents reached per sq ft in Maidenhead (in and out of town), per sq ft at Globeside, Marlow and per sq ft at Glory Park, High Wycombe. Current Grade A rents stand at per sq ft in central Maidenhead, per sq ft out-of-town Maidenhead, per sq ft in Marlow and per sq ft in High Wycombe. There is upwards pressure on rents for the very best new Grade A offices in central Maidenhead with new developments such as Tor and The Point quoting per sq ft. Furthermore, rents in the hinterland of Maidenhead still have some way to go to reach previous highs. In light of this, Bourne End is well place to take advantage of the improving market and lack of new office development in the Thames Valley. psf Property Town Tenant Date Size (sq ft) Globeside Marlow King Street Maidenhead Globeside Buckingham Court Business Park, Kingsmead Hampden Court, Business Park, Kingsmead Windsor Court Business Park, Kingsmead Marlow High Wycombe TNT Post regear Dialogic (UK) Ltd BWP Group Ltd MWH (Engineers) Rent (per sq ft) In negotiation 24, Q , Q , Q , High Wycombe Staples Q , High Wycombe Veolia Environmental Services Q , Horizon (Out of town) Hurley Geo Amey Q , Horizon (Out of town) Hurley Leo Pharma UK Q , DATA ROOM There is a data room on the Lewis Ellis website ( containing relevant documents including: occupational lease, reversionary lease, EPC, floor plans and title information.

8 PROPOSAL We are seeking offers in excess of 5,100,000 (Five Million, One Hundred Thousand Pounds), subject to contract and exclusive of VAT. This reflects an attractive net initial yield of 9.00%, after the deduction of the usual purchaser s costs of 5.80%, and a capital value of 187 per sq ft. FURTHER INFORMATION Should you require any additional information or wish to view the property please contact either: John Ellison Julian Gallagher David Kos Tel: Tel: Tel: Mob: Mob: Mob: jellison@lewisellis.co.uk jgallagher@lewisellis.co.uk dkos@lewisellis.co.uk Lewis Ellis LLP for themselves or nominees or lessors of this property whose agents they give notice that: (1) the particulars are set out as a general outline only for the guidance of the intending purchasers or lessees, and do not constitute part of an offer or contract; (2) all descriptions, dimensions, references to condition and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct, but any intending purchasers or tenants should not rely on them as statements or representations of fact but satisfy themselves by inspection or otherwise as to the correctness of each of them; (3) no person in the employment of Lewis Ellis LLP has any authority to make or give any representation or warranty whatever in relation to the property. Designed and Produced by Creativeworld. Tel: November 2014.