Price Offers in excess of £2,000,000

Rates Payable Upon Enquiry

BER Rating This property has been graded as B (46)

Description

A substantial detached 32,541 sq ft industrial and warehouse facility with two-storey offices, extensive loading and yard areas, on a secure 1.5-acre site.

The property comprises a substantial detached industrial/warehouse facility with ancillary office accommodation, situated on a self-contained site of approximately 1.5 acres. The main building provides approximately 30,732 sq ft, together with a 556 sq ft lean-to/canteen/store, 914 sq ft external single-skin shed and 63 sq ft entrance porch, providing a total GIA of approximately 32,541 sq ft with an additional 2,844 sq ft provided by way of an external canopy. The canopy was a previous tenant improvement which has remained given its value to the user.

The property is of steel portal frame construction beneath a pitched roof incorporating extensive rooflights, with predominantly brick and profile-clad elevations. The main warehouse is complemented by two-storey office accommodation to the front elevation, while loading is provided from the side/rear of the building.

Externally, the property occupies a secure, predominantly surfaced site providing extensive yard/loading areas together with car parking to the front and side of the building. The site extends to approximately 1.5 acres providing good circulation and servicing around the unit.

Situation

Chiltern House is situated within the established Seven Stars Industrial Estate, approximately 1.5 miles south-east of Coventry city centre. The estate is accessed from Wheler Road, close to its junction with the B4110 Humber Road, which provides convenient access to the A45 and A46 dual carriageways approximately 1 mile to the south-east. These routes provide excellent connectivity to the wider Midlands motorway network, including the M6, M69, M40 and M1.

Seven Stars is an established commercial and industrial location accommodating a diverse mix of engineering, manufacturing, logistics and service-sector businesses, with occupiers including AP Racing and HD Storage Solutions. The wider Coventry area is one of the UK’s principal automotive and advanced manufacturing centres, with major occupiers and facilities including Jaguar Land Rover and the UK Battery Industrialisation Centre, while Coventry’s central location provides access to a substantial regional workforce and the wider West Midlands industrial market.

Communications

The property benefits from excellent road communications, with the A45 and A46 approximately 1 mile to the south-east, providing convenient connections to the M6, M69, M40 and wider national motorway network. Coventry Railway Station, approximately 2 miles away, provides regular direct services to London Euston in around 55–60 minutes, as well as Birmingham New Street. Air connections are provided by Birmingham Airport, approximately 15 miles to the west, offering an extensive range of domestic and international destinations.

Proposal

We are seeking offers in excess of £2,000,000 subject to contract and exclusive of VAT. After allowing for purchaser’s costs of 6.80%, this would reflect:
Net initial yield: 8.75%
Capital Value: £61 psf
Reversionary Yield: 11.08% in January 2028*
*Based on the fixed uplift of £290,000 per annum

Planning

The property is situated within the Coventry City Council local authority area. We understand that it benefits from Warehouse use for storage and distribution with ancillary offices now defined as use Class E (B1 as previously known) as well as B2/B8 use classes.

Tenure

The building is held on a long leasehold basis from Coventry City Council under the title number: WM532770. The long lease is for a term of 99 years commencing on 16 July 1990 with c.63 years unexpired and is subject to a Head Rent of £53,340 per annum. The Lessee also benefits from the right to renew for a further 26 years after the expiry of the original 99 year term. Notice of the intention to renew must be served not more than 12 months and not less than 6 months before expiry. The Head Rent is reviewed 5 yearly with the next review on 16 July 2030 to 22% of market rent of property when totalling 31,284 sq ft.