PRICE S CANDLES UK DISTRIBUTION CENTRE 16 HUDSON ROAD, ELMS FARM INDUSTRIAL ESTATE, BEDFORD MK41 0LZ
INVESTMENT SUMMARY Well configured industrial warehouse located on one of Bedford s most established industrial estates. Strategically located just off the A421 dual carriageway, which provides easy access to the M1, A1, M25 and M11 motorways. Recently refurbished cross-docked industrial warehouse totalling 44,228 sq ft (4,109 sq m) GIA with ancillary office s and excellent circulation space. The site extends to 2.24 acres (0.91 hectares). Fully let to Price s Patent Candles Limited (Experian rating: Very Low Risk) for a term of 10 years expiring 23rd June 2022. The lease provides an unexpired term of 4.40 years. Current rent passing of 265,000 per annum, reflecting a very low 5.99 per sq ft ( 64.49 per sq m) Taking account of the Long leasehold structure, the Net rent passing is 227,500 per annum. Long Leasehold We are instructed to seek offers in excess of 3,050,000 (Three Million and Fifty Thousand Pounds) which reflects a NIY of 7.00% based on the Net Income (allowing for purchaser s costs of 6.46%) and reflecting a very low capital value of 68.96 per sq ft.
LOCATION SITUATION Bedford is the county town of Bedfordshire, situated approximately 50 miles (80km) north west of London and 75 miles (121 km) south east of Birmingham. The property is situated 2.5 miles (4 km) east of Bedford Town Centre within the established Elms Farm Industrial Estate, on Hudson Road. Price s Candles Nearby regional hubs include: Milton Keynes 18 miles (29 km) south west, Northampton 21 miles (33 km) north west and Cambridge 30 miles (48 km) east. Access to the property is gained from Norse Road which links to the A421 dual carriageway via St Neots Road. The A421 dual carriageway in turn provides easy access to the M1 motorway, Junction 13, 11 miles (18 km) south west. Road A1 11/ M / 21 A4 to The town is strategically located on the recently improved A421 dual carriageway, which provides direct access to the M1 Motorway (Junction 13) and the A1, which in turn links the town with the wider national motorway network including the M11 and M25 motorways. A1 Northampton M11 Junction 12 Cambridge M25 Junction 21 London Birmingham 11 miles ROAD LINKS Milton Keynes rd dfo tre Be Cen o t wn To 8 miles M1 Junction 13 Notable occupiers include Travis Perkins, Asda, Howdens, Matthew Clark, Go Outdoors, 3M UK and Booker Wholesale. Prices Candles, Bedford, MK41 0LZ 18 miles 21 miles 27 miles 30 miles 34 miles 50 miles 14 75 miles Rail Bedford benefits from an excellent rail network. The station is served by three operators: East Midlands Trains, London Midlands and Thameslink. Journey time to London s Kings Cross takes approximately 40 minutes. 13 CAMBRIDGE 15A 12 M11 15 A421 11 BEDFORD 10 M1 Air Bedford is served by Luton airport 20 miles (32km) south via the A6, London Stansted airport, 45 miles (72km) south east via the A1 and London Heathrow 55 miles (88km) south via the M1 and M25.. A421 9 M11 14 13 10 A (M1)
DESCRIPTION The Property comprises a cross-docked industrial warehouse totalling 44,228 sq ft (4,109 sq m) GIA and incorporates two storey ancillary office accommodation and excellent circulation space. In addition, the property underwent extensive refurbishment in 2012 to include a new roof and external cladding. The Property benefits from the following key specifications: Steel portal frame construction Clear working eaves height of 5.5m Three level access loading doors Cross-docked loading capability Large secure hardstanding service yard LED lighting throughout the warehouse Dual access off Hudson Road allowing for 360-degree circulation Two storey ancillary office accommodation Trade counter element within the warehouse totalling 1,502 sq ft. ACCOMMODATION The property has been measured in accordance with the RICS Code of Measuring Practice (Seventh Edition) on a Gross Internal Area (GIA) basis, and provides the following approximate areas: Description Sq M (GIA) Sq Ft (GIA) Warehouse Ground 3,655 39,347 Office - Ground 227 2,441 Office - First 227 2,441 Total 4,109 44,228 SITE The site extends to 2.24 acres (0.91 hectares), providing a low site cover of 45%.
31 19 41 37 5 TENANCY The Property is fully let to Price s Patent Candles Limited for 10 years, from 24th June 2012 and expiring 23rd June 2022, providing 4.40 years term certain. The current rent passing is 265,000 per annum, reflecting a low 5.99 per sq ft ( 64.49 per sq m). Tenant Sq ft Lease Start Lease End Rent pa Rent psf Price s Patent Candles Limited 44,228 24/06/2012 23/06/2022 265,000 5.99 TENURE The Property is held Long Leasehold from Bedford Borough Council for a term of 150 years from 21st June 2017 and expiring 20th June 2167. The rent passing is 37,500 per annum. The Long Leasehold is reviewed on a 5 yearly basis to the greater of: 1. The current rent; 2. 22.5% of the open market rent, assuming a 25 year hypothetical term. ROAD 33 Path 5 27 3 16 HUDSON ROAD ETL 2 17 1 0m 10m 20m 30m Ordnance Survey Crown Copyright 2018. All rights reserved. Licence number 100022432. Plotted Scale - 1:914
COVENANT INFORMATION Price s Patent Candles Limited was founded in 1830 and is an importer and retailer of candles. The subject property is their headquarters where they hold the Royal Warrant for the supply of candles. They have been in occupation of the subject property since 1998 and in 2003 were taken over by the Italian company Sintesi E Ricerca S.p.A. (SER), which is controlled by the Ambroggio family and is the leader in the production of special waxes in Europe. Price s Patent Candles distribute their products UK wide to wholesalers including Waitrose, Tesco and Brakes. Price s Patent Candles Limited (Company No. 04130027) has an Experian rating of 100/100, reflecting a Very Low Risk company. In the year to 31 December 2016 the company had net assets of 1.387 million, a slight increase on the previous 12 months. OCCUPATIONAL MARKET COMMENTARY The Bedford Industrial Market has experienced a resurgence in recent years. The completion of the A421 dual carriageway bypass and improvements to Junction 13 of the M1 Motorway have significantly improved the accessibility and speed of links from Bedford to the M1, A1(M) and the wider UK motorway network. These improvements to infrastructure, coupled with the comparatively lower rental levels in contrast to other nearby centres has led to increased demand from distribution and logistics occupiers in the location. Property Size (sq ft) Tenant Rent (psf) Term Units 1 & 2 Hammond Rd, Bedford 60,008 PW Gates Distribution Ltd 6.25 10 years (5 year break) 3 Hammond Road, Bedford 53,333 Home Hardware Distribution Ltd 6.03 10 years (5 year break) Apex Park Business Park, Bedford 103,969 PrimaFlow Ltd 6.25 20 years Apex Park, Bedford 31,343 Mathew Clark Wholesale Ltd 7.25 20 years (15 year break) Woodside, Dunstable 63,605 DPD Geopost 8.25 15 years M1tre, Kingston, Milton Keynes 73,000 Wincor Nixdorf 7.15 10 years (5 year break)
EPC The Energy Performance Certificate is available on request and provides a rating of C (60). VAT The Property has been elected for VAT and therefore it is envisaged that the sale will be treated as a Transfer of a Going Concern (TOGC). PRICING We are instructed to seek offers in excess of 3,050,000 (Three Million and Fifty Thousand Pounds) which reflects a NIY of 7.00% based on the Net Income (allowing for purchaser s costs of 6.46%) and reflecting a very low capital value of 68.96 per sq ft. ADDITIONAL INFORMATION Should you require any additional information or wish to carry out an inspection of the property, please do not hesitate to contact: St Christopher s House, St Christopher s Place, London W1U 1NZ 6 Cavendish Square London, W1G 0PD John Reavley 0203 667 8404 07899 841 312 jreavley@bcmre.com Andrew Dobson 020 3667 8402 07789 690 753 adobson@bcmre.com Patrick Windle 0203 889 1014 07714 145 931 patrick.windle@m1agency.co.uk Will Bishop 0203 889 1015 07714 733 128 will.bishop@m1agency.co.uk SUBJECT TO CONTRACT & EXCLUSIVE OF VAT February 2018 Important Notice M1 Agency LLP, their clients and any joint agents give notice that: 1. They are not authorised to make or give any representations or warranties in relation to the property either here or elsewhere, either on their own behalf or on behalf of their client or otherwise. They assume no responsibility for any statement that may be made in these particulars. These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. 2. Any areas, measurements or distances are approximate. The text, photographs and plans are for guidance only and are not necessarily comprehensive. It should not be assumed that the property has all necessary planning, building regulation or other consents and M1 Agency LLP have not tested any services, equipment or facilities. Purchasers must satisfy themselves by inspection or otherwise. Adrian Gates Photography & Brochures 07710 316991