UPS LIMITED PRIME DISTRIBUTION WAREHOUSE INVESTMENT OPPORTUNITY

M8 CENTRAL | NEWHOUSE INDUSTRIAL ESTATE | NEWHOUSE | ML1 5SQ Investment Summary • Prime industrial asset in Scotland’s premier distribution location. • Site extending to approximately 1.59 hectares (3.69 acres) with a • Located just 16 miles east of Glasgow and 34 miles west low site coverage of 30%. of Edinburgh. • Absolute Ownership (Scottish equivalent of English Freehold). • Modern, purpose built, distribution warehouse and storage facility • Offers in excess of £4,450,000 (Four Million, Four Hundred and Fifty extending to 4,427.29 sq m (47,656 sq ft). Thousand Pounds Sterling), subject to contract and exclusive of VAT • Let to UPS Limited on a Full Repairing and Insuring lease expiring are invited for the Absolute Ownership in the property. 11th January 2020. • A purchase at this level would represent an attractive net initial yield • Current passing rent of £353,682 per annum (£7.42 per sq ft). of 7.49%, after allowing for purchaser’s costs based on LBTT.

John o' Groats

Thurso

A9 Wick

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Dornoch

Location Fraserburgh A96 Newhouse is located in north Lanarkshire, within the central belt of Inverness Inverness A90 A9 Scotland, approximately 16 miles east of Glasgow city centre and 34 A96 miles west of Edinburgh city centre. The property is located within

Newhouse Industrial Estate which is immediately adjacent to Eurocentral, Aviemore Scotland’s premier distribution warehouse park. Kingussie Aberdeen Braemar ABERDEEN Newhouse Industrial Estate benefits from immediate access to the A8/ Fort M8 motorway, which connects Scotland’s principal cities and provides William access to the central belt of Scotland and the national motorway network. A90 A92 The M73/M74 interchange is situated 3 miles to the west via the A8/M8.

A9 Dundee Edinburgh and Glasgow airports are approximately 30 minutes drive from A90 Oban Newhouse and Scotland’s principal air freight terminal, Prestwick Airport, Perth is approximately 45 miles south west from the subjects. St Andrews

M9 M90 Eurocentral is also the location of Scotland’s first Channel tunnel rail STIRLING freight terminal. The Euro terminal provides a domestic and European rail M80 North Berwick M9 Edinburgh link for freight services and is operated by DB Schenker Rail (UK) Limited. GLASGOW A1 M8 Glasgow EDINBURGH A68 M77 A7 Berwick-upon A78 -Tweed IRVINE M74 Prestwick

A68

Lockerbie Dumfries

Stranraer 3 1 BT Fleet Airdrie 4 2 Honeywell Control Systems 3 BioCity Scotland M8 Edinburgh 4 Hermes Parcelnet M8 Glasgow 5 Weatherseal M8 5

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Eurocentral

Motherwell

1 Bearsden > Situation TO STIRLING AND FALKIRK The property is situated on Rowantree Avenue, Newhouse A80 Industrial Estate, in close proximity to Eurocentral. The site is bounded to the north by Rowantree Avenue/Beech Road A803 A82 Stepps and by Westfield Road to the west. GLASGOW A80 INTERNATIONAL A739 The Eurocentral/Newhouse location continues to flourish AIRPORT M73 J13/1 as the most accessible commercial hub in central Scotland A814 M8 J26 and has attracted a number of high profile occupiers, M8 GLASGOW A8 Coatbridge Airdrie including Wincanton, Eddie Stobart, Hovis, Citylink, Fedex, J25 J8/2 Morrisons, TSV, TDG, Warburtons, Hermes Parcelnet and J24 J22 J1 A89 TO EDINBURGH > A74 Chapelhall J1A A8 BT Fleet. J1 J2 J7 M77 J2A J6 M74 J4/1 Birkenshaw M8 In addition Co-Op and Brake Brothers occupy significant A730 A77 regional distribution premises nearby, extending to Newhouse J2 A775 46,730.27123.4m sq m (503,000 sq ft) and 16,072.24 sq m Uddingston D Bellshill A Cambuslang O R M74 E

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T r a c k Description The subjects were completed in December 2004 and comprise a purpose built, single storey, industrial/ distribution unit, with ancillary office accommodation arranged over two floors. The property is of steel portal frame construction, with a shallow pitched portal roof incorporating translucent panels. The property benefits from the following features: • 49 sectional, overhead, roller shutter doors. • Clear minimum eaves height of 6.81 metres to the underside of haunch. • 35 kN/m2 floor load capacity. • Modern office/staff accommodation over ground and first floors. • Secure site with 24 hour security and CCTV cameras. • Designated parking for 70 cars (providing a ratio of one space per 680 sq ft). Accommodation The property has been measured on a gross internal area basis in accordance with the RICS Code of Measuring Practice (Sixth Edition) and provides the following approximate areas:

Description GIA Sq M GIA Sq Ft Warehouse 3,856.57 41,513 Offices 570.72 6,143 Total 4,427.29 47,656

Site area The site extends to approximately 1.59 hectares (3.69 acres) giving the property a low site coverage of 30% or thereby.

Tenure Absolute Ownership (Scottish equivalent of English Freehold).

Tenancy The property is let to UPS Limited on a Full Repairing and Insuring lease for a term of 15 years from 12th January 2005, expiring on 11th January 2020. The current rent passing is £353,682 per annum excluding VAT (£7.42 per sq ft). Tenant Covenant VAT UPS, or United Parcels Services Inc, is the largest express carrier and package delivery The property has been elected for VAT and therefore VAT will be payable on the purchase company in the world and is a leading provider of specialised transportation, logistics, price, however it is anticipated the sale will be dealt with as a Transfer Of a Going Concern capital and e-commerce services. (TOGC). Founded in the US in 1907, the company has global revenues of $58.2 billion and employs more than 435,000 team members worldwide, operating in over 200 countries. UPS Limited (Reg Number: 01933173) has a Dun & Bradstreet rating of 5A1, representing a minimum risk of business failure. EPC The property has an EPC rating of D. A full EPC can be provided upon request. Year Ending 31st December 31st December 31st December 2013 (000s) 2012 (000s) 2011 (000s) Turnover £758,021 £697,347 £669,631 Pre-Tax profit £39,575 £20,368 £14,966 Proposal Total Net Worth £121,411 £100,151 £82,964 We are instructed to seek offers in excess of £4,450,000 (Four Million, Four Hundred and Fifty Thousand Pounds) subject to contract and exclusive of VAT for the Absolute Ownership in the property. A purchase at this level would represent an attractive net initial yield of 7.49%, after allowing for purchaser’s costs based on Land & Buildings Transaction Tax. Calum Cowe Steven Newlands Telephone: 0131 226 8759 Telephone: 0131 226 8756 Email: [email protected] Email: [email protected]

Misrepresentations Act 1967 Cushman & Wakefield, their clients and any joint agents give notice that: (i) These particulars do not form part of any offer or contract and must not be relied upon as statements or representations of fact. (ii) No person in the employment of the agents(s) has any authority to make or give representation or warranty whatever in relation to this property. (iii) Floor areas, measurements or distances given are approximate. Unless otherwise stated, any rents, or outgoings quoted are exclusive of VAT. (iv) Any descriptions given of the property cannot be taken to imply, it is in good repair, has all necessary consents, is free of contamination, or that services and facilities are in working order. Interested parties are advised to carry out their own investigations as required. June 2015.