Status Under Offer
Price/Rent £ 3,250,000
Size 94,994 - 94,994 sq ft
(8,825 - 8,825 sq m)
- Well specified distribution/industrial investment, which extends to a total of 94,994 sq ft (8,824 sq m) with an eaves height of approximately 5.85m, on a self-contained site.
- Andover is a principal town and a commercial centre in the county of Hampshire and is strategically located on the A303 and M3 motorway serving London.
- The property is situated on the well-established East Portway Industrial Estate on the western side of Andover, and is the town’s most established industrial and trade counter location.
- Andover town centre is less than a half mile away, and the estate has a range of local amentities close by.
- The property is let on FRI terms to AET Transport Andover Ltd (with a guarantor of AET Transport Services Ltd) on a 15 year lease from January 2016, with 7.3 years remaining to break option.
- A low passing rent of £379,200 pa (£4.00 psf) with a fixed upwards reversion of £426,600 p.a. (£4.50 psf) in January 2021.
- The property is held long leasehold.
- Low passing rent with prime industrial rents in Andover now at £7.50 psf and rental value in competing centres as high as £11.75 psf for large logistics space.
- The tenant is very wedded to this facility as it is of key importance to their occupational requirements and growth.
- AET Transport was established in 1977 and is a leader in global logistics with a loyal client base including the likes of Sunseeker, Rolls Royce, Britax, Estee Lauder and Airbus, and has an excellent Dun & Bradstreet rating of 2 A2 representing a “minimal risk” of business failure.
- Offers are sought in excess of £3,250,000 (Three Million, Two Hundred and Fifty Thousand Pounds), reflecting an attractive Net Initial Yield of 9.40%, which rises to 10.76% in January 2021 based upon a fixed rental uplift, assuming purchasers cots of 6.48%.
- The purchase price reflects a very low capital value of just £34 psf.