Victoria House, 49 Clarendon Road, Watford, WD17 1HP
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Victoria House, 49 Clarendon Road, Watford, WD17 1HP Prominent multi-let office investment in Watford town centre Victoria House | 49 Clarendon Road Investment Summary • Watford is a recognised major office centre in the north west sector of the M25, benefitting from excellent transport connections. • Comprising a total of 2,028.45 sq m (21,834 sq ft), arranged over ground and three upper floors. • Multi let to 7 tenants, with 4 vacant suites. • AWULT of approximately 2.9 years to breaks and 3.6 years to expiries on the let accommodation. • Current rent passing of £441,823 per annum, including rental top ups, which equates to a low average rent of £217.81 per sq m (£20.24 per sq ft). • Various asset management opportunities to enhance the rental income through letting the recently vacant suites, re-gearing leases and improving the specification of the building. • Excellent town centre car parking provision of 92 spaces, providing a ratio of 1:22.0 sq m (1:237 sq ft). • Freehold. • We have been instructed to seek offers in excess of £5,500,000 (Five Million, Five Hundred Thousand Pounds). • A purchase at this price would reflect a net initial yield of 7.54% and a potential reversionary yield of 8.5% based on current ERV, assuming purchasers costs of 6.6%. • A low capital value of £2,711 per sq m (£252 per sq ft). Prominent multi-let office investment in Watford town centre Watford Junction M1 1 2 Holiday Inn 3 4 5 12 Victoria House 49 Clarendon Road 6 11 7 9 10 8 A411 M25 Jury’s Inn Sainsburys Occupiers nearby 1 T K Maxx 4 TK Maxx 7 NHS Professionals | Corona Energy | McGinley 10 HM Revenue & Customs | Mapeley Estates Ltd 2 KPMG | Royal Insurance UK 5 TK Maxx | Ralph Lauren 8 Efunds International Ltd | FIS Global 11 Hillier Hopkins LLP | The Employment Tribunal Service | Vinci Construction 3 Regus Business Centre (UK) Limited 6 TK Maxx 9 Veale Wasbrough Vizards | NIG 12 ACI Payment Systems Victoria House | 49 Clarendon Road Watford Junction Denmark St Clarendon Rd Clarendon Woodford Rd Alexandra Rd Communications A412 Holiday The Inn Watford benefits from extensive transport communications: Avenue Essex Rd St Johns Rd Road St Johns Rd Estcourt Rd Sotheron Rd Hyde Rd A411 The town has excellent motorway connections; Junction 19 of the M25 is 6 km (4 miles) to the A411 Albert Rd N Beechen Grove north west and this provides access to the rest of the national motorway network. Junction 5 49 Clarendon Rd of the M1 is 3 km (2 miles) to the north east which provides a direct route southbound into Central London. The M1 northbound offers access to Luton, 25km (18 miles), and the North of Sainsbury’s England. Jury’s Inn Rickmansworth Rd Rail A4178 Intu Watford Watford is served by three mainline stations; Watford Junction, Watford North and Watford Exchange Rd High Street. At peak times, ten trains per hour run from Watford Junction to London Euston, with a fastest journey time of 16 minutes. London Overground services run from both Watford Junction and Watford High Street with Luton Stansted St. London Underground services provided from Watford tube station on the Metropolitan Line. Hemel Albans Hempstead M1 A414 These lines provide direct links to Euston, Kings Cross and Liverpool Street Stations. Potters M25 Bar A1 (M) The Croxley Rail Link is due for completion in 2020, with works having commenced earlier in M25 2016. This will extend the Metropolitan Line from Croxley to Watford Junction via Watford High Watford A1 Junction M1 Barnet Street. Watford A41 Air M25 A1 Watford is located within close proximity to a number of international airports. London Luton M40 A41 Airport is 30 km (19 miles) to the north, approximately a 25 minute drive from the town centre. A40 London Euston Heathrow Airport is 35 km (22 miles) to the south with a drive time of approximately 30 London minutes. Gatwick Airport is situated 96 km (60 miles) to the south and can be accessed via the M4 M4 A4 M25, with an approximate journey time of 70 minutes. London Stansted Airport is 75 km London Heathrow (46 miles) to the north east with an approximate journey time of 50 minutes. Victoria House | 49 Clarendon Road Situation Description The property is located in a prominent position on the west side of Clarendon Road, Watford’s Victoria House, constructed in the early 1980s, comprises an office building providing total prime office pitch. Clarendon Road is home to a number of global occupiers, attracted by the accommodation of approximately 2,028.45 sq m (21,834 sq ft). The accommodation is transport links and amenities of the town. KPMG, ACI Worldwide, TK Maxx, Ralph Lauren and arranged in a T shape layout, providing the opportunity to easily sub-divide the floors. the Inland Revenue all have offices on Clarendon Road. Internally, the accommodation is arranged over ground and three upper floors with floor A short walk to the south of the property is the town centre and the Intu Watford Shopping plates of circa 650 sq m (7,000 sq ft) on the first, second and third floors. The ground floor Centre, anchored by John Lewis and Marks & Spencer. contains a reception and lift lobby. The office floor space is finished with suspended ceilings and lightweight partitions. Carpeted raised floors are provided throughout. Sanitary facilities Watford’s major mainline railway station, Watford Junction, is located at the northern end of comprise separate male and female WCs on each floor. There are two 8 person passenger lifts Clarendon Road, less than five minutes walk from the property. providing access to all floors. Kitchen accommodation is located in the common areas on the 1st and 2nd floors. The property benefits from 92 on site car parking spaces providing a generous ratio of 1:22.0 sq m (1:237 sq ft). Specification • Landlord comfort cooling to the refurbished suites. • Gas fired central heating to un-refurbished suites, with tenant comfort cooling. • Ground floor manned reception. • Suspended ceilings. • LG7 lighting included in the recently refurbished offices. • Two 8 person passenger lifts. • Onsite security/FM presence. 5 Prominent multi-let office investment in Watford town centre Victoria House | 49 Clarendon Road Accommodation Plan The property has been measured in accordance with International Property Measurement Standards (IPMS.3) and the RICS Code of Measuring Practice (6th Edition) and provides the following areas: 7 7 a 70.1m Gresham House 3 5 4 6 M Area (IPMS.3) Area (NIA) O N M O Vicarage Floor Sq M Sq Ft Sq Ft U TH R 9 O A Ground Floor Reception 44.99 484 484 D Wilton Court 1 1 4 1 5 2 t o First Floor 679.77 7,317 7,109 4 4 Second Floor 664.91 7,157 6,952 Third Floor 699.84 7,533 7,289 1 9 Victoria House 4 0 Total 2,089.51 22,491 21,834 Estcourt Road Cambridge House 7 Site 4 We have calculated a site area of approximately 0.259 hectares (0.64 acres). 3 8 MD & C House Edward Hyde Building B E E C B H 5 E E 4 Tenure E N CHE G R O N V Freehold G E RO 71.6m 0m V 10m 20m 30m El Sub Sta E 71.8m Ordnance Survey © Crown Copyright 2016. All rights reserved. Licence number 100022432. Plotted Scale - 1:1250 6 Prominent multi-let office investment in Watford town centre Victoria House | 49 Clarendon Road Tenancy Area Tenant Demise Sq Ft Sq M Lease Start Term Lease Expiry Break Next Review Current Rent Per Sq Ft Comments Reception 484 44.99 Annual capped RPI linked S/C of Part First Floor Mai Day Recruitment Services Ltd 820 76.14 23/09/2015 5 22/09/2020 £17,952 £21.89 £7,096.36, a current budgeted shortfall Front North of £363.07 per annum. Part First Floor International Trade Corporation Ltd 1,088 101.05 09/12/2015 5 08/12/2020 08/12/2018 £27,300 £25.09 Front Middle Part First Floor 12 months rent, rates and service charge Vacant (Rent Guarantee) 1,527 141.86 1 £30,540 £20.00 Front South top up to be provided by the landlord. Part First Floor Wilsonart Ltd 1,683 156.36 25/03/2013 5 24/03/2018 £30,276 £17.99 An initial rent deposit of £30,276. Rear South Part First Floor Hays Specialist Recruitment Ltd 1,992 185.07 25/03/2013 9 24/03/2022 24/03/2019 25/03/2018 £35,766 £17.95 Rear North Part Second Floor 12 months rent, rates and service charge Vacant (Rent Guarantee) 1,521 141.33 1 £30,420 £20.00 Front North top up to be provided by the landlord. Service charge cap of £9.50 per sq ft Part Second Floor Procap Services Ltd 1,878 174.46 09/01/2015 5 08/01/2020 £41,600 £22.15 increasing annually by 50p per sq ft. An Front South initial rent deposit of £12,480. Part Second Floor Lease guaranteed by CH Robinson CH Robinson Worldwide (UK) Ltd 1,852 172.08 12/10/2016 5 11/10/2021 11/10/2019 £46,675 £25.20 Rear North Europe BV. Part Second Floor 12 months rent, rates and service charge Vacant (Rent Guarantee) 1,700 157.95 1 £34,000 £20.00 Rear South top up to be provided by the landlord. Part Third Floor Heads of terms agreed.