Inner London Light Industrial Investment
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INNER LONDON LIGHT INDUSTRIAL INVESTMENT Unit 3 Glengall Business Centre, 43-47 Glengall Road, London SE15 6NF 2 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF INVESTMENT SUMMARY · Rare opportunity to acquire a prime · Modern facility providing 6,992 sq ft · Neighbouring industrial rents established at Inner London light industrial investment. (649.60 sq m) of light industrial and office levels in excess of £18.00 per sq ft. accommodation. · Located just 2.5 miles from the City of · Offers are invited in excess of £1,460,000, London and 4.5 miles from London’s · Freehold. subject to contract and exclusive of VAT. West End. · Let to the strong covenant of Morrison · A purchase at this level would reflect a Net · Outstanding connectivity, situated just off Facilities Services Ltd for a further Initial Yield of 6.00%, after allowing for the A2 (Old Kent Road), providing direct 1.5 years. purchaser’s costs of 6.08%. This reflects a access to Central London and the M25. capital value figure of £209 per sq ft. · Total passing rent of £93,000 per annum, · Diverse Business Centre in a Zone 2 location reflecting a low passing rent of £13.30 with a varied mix of commercial occupiers. per sq ft. 3 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF LOCATION LOCATION DISTANCE (MILES) Peckham is a densely populated south eastern (A205), 3.4 miles (5.5 kms) to the south. The Numerous buses pass along the Old Kent Old Kent Road (A2) 0.2 suburb of central London, located within the A2 also provides direct access to Junction 2 Road, providing frequent access to the Peckham 0.7 Borough of Southwark. The property lies in (Darenth Interchange) of the M25, some 15.2 Elephant & Castle to the northwest (53, 172 a mixed use area and is located just 2.5 miles miles (24 kms) to the east, while the London and 453 routes). South Bermondsey Rail Station 1.1 (4 kms) from the City of London’s square mile Docklands area is some 3 miles (4.8 km) to The ‘Old Kent Road Area Action Plan’ is Queens Road Peckham Rail Station 1.2 financial district and 4.5 miles (7.2 kms) from the north. currently being promoted by Southwark Elephant and Castle 1.2 the UK’s primary media and cultural centre of Bermondsey overground railway station is Council and is aimed at significantly London’s West End. Peckham Rye Rail Station 1.3 approximately a mile away and provides a regenerating the neighbouring area. This The area benefits from excellent transport direct service to London Bridge (7 minutes), project will include significant infrastructure Camberwell 1.6 links. The A2 (Old Kent Road) trunk road while Bermondsey tube station (Jubilee line) improvements, most notably two new tube Bermondsey Tube Station 1.6 provides access to both the City and West and Elephant & Castle (Northern and Bakerloo stations on the Bakerloo line extension and a End to the north and the South Circular Road lines) are both within walking distance. new overground station at New Bermondsey. Denmark Hill Rail Station 2.2 City of London 2.5 D South Circular Road 3.4 R E S G S O D T I U R J T B A R H E A M 22 London’s West End W 4.5 W 06 E O S A ’ R L T S K O A R P 20 A W 1 O R ER K A201 A R M25 15.2 D O R A ELEPHANT & CASTLE O D A D Southwark Park A 2206 A WOOD GREEN RO DN 2 EY A RO 3 22 8 WALTHAMSTOW A 0 0 20 ROMFORD D 2 6 A2 HARROW B STOKE W A Walworth NEWINGTON L ILFORD W CAMDEN O R TOWN T 8 B T O 0 H 2 BARKING D UXBRIDGE STRATFORD H L 2 0 R U D A 2 7 CLERKENWELL O A R PROPOSED K O B A L E R O N SOUTH U WEST END D NEW STATION S CITY OF LONDON ’ W T S R S BERMONDSEY H SHEPHERDS E S O T D R BUSH R A M O E A EALING CANARY WHARF D A E O A Central London J T R D KENSINGTON Y T WOOLWICH N S 8 A 0 CHISWICK B 2 L 2 A A FULHAM CAMBERWELL PECKHAM O S S A O 2 OLD KENT ROAD RICHMOND HOUNSLOW PUTNEY CLAPHAM BRIXTON R Y OPPORTUNITY AREA R B G D 2 L 1 HORN PARK Burgess Park E 5 D N ROA NY G A A STREATHAM ALB PROPOSED L GLENGALL MITCHAM L D NEW STATION R BUSINESS MORDEN O A A O CENTRE R D BROMLEY K KINGSTON R A P A A 7 M 2 2 1 A 1 2 B H 5 K CROYDON C E C P P SUTTON A PROPOSED N E E M W B21 C NEW STATION B 7 K C E R H O R A S W AY S AL W M R E I RC H O L ME A M I P L CO L D E R B L C O 2 S K 1 T H A 7 A D M RO A D Camberwell ROAD Peckham QUEEN’S ROAD HAM QUE PECKHAM PECK EN’S ROAD 4 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF SITUATION Glengall Business Centre is approached via The proximity to Central London is appealing either Glengall Road to the west or Ossory to a diverse range of tenants. Nearby occupiers Road to the east. The property is within a short include Newey & Eyre, ABC Storage, Tesco, walking distance of the A2 (Old Kent Road), Asda, Currys PC World, Edmundson Electrical, which lies 0.2 miles (320 m) to the north. Plumb Center, Selco Builder’s Merchants and Southern Wood Retail Park where traders Unit 3 is situated in the centre of the eastern include Argos, DFS and Maplin. terrace opposite the estate’s car park and the Glengall Road entrance. 1 OSSORY GLENGALL ROAD 2 ROAD 3 4 9 5 10 6 11 7 12 Subject 8 Property 13 5 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF WEST END CITY OF LONDON M A C B A D E B C UNIT 3 GLENGALL BUSINESS D CENTRE D SOUTHERN WOOD OA E R RETAIL PARK L AL NG DAMIEN HIRST LE F G K D A H G F O R A2 Y O R L O D H S KE S N O T R L G OA I D J I K SIX BRIDGES TRADING ESTATE L J ELEPHANT & CASTLE M TUBE STATION 6 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF DESCRIPTION PLANNING The Glengall Business Centre was constructed The ground floor warehouse benefits from a The first floor office accommodation The current permitted use of the property falls in 2007 by Exton Estates and comprises 13 roller shutter door, floor loading of 30kn/sq m, incorporates a raised access floor, double within Classes B1(c) or B8 of the Town and light industrial units arranged in two terraces. 4.4 metres (14.4 ft) clear floor to ceiling height glazed windows, recessed lighting, gas-fired Country Planning (Use Classes) Order 2005. Unit 3 is arranged over two floors and provides and a small kitchen area and a disabled WC. central heating and male and female WCs. ground floor warehouse accommodation with a The tenant has largely fitted out the ground full floor of offices above. floor as office accommodation. 7 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF ACCOMMODATION TENURE The property has been measured in accordance The property is held Freehold. with the RICS Property Measurement (1st Edition) and provides a total gross internal floor area of 6,992 sq ft (649.60 sq m). DESCRIPTION SQFT SQM Ground Floor Warehouse 3,496 324.80 First Floor Offices 3,496 324.80 Total Area (GIA) 6,992 649.60 The tenant has 2 spaces within their lease demise and reserves the right to park on 6 defined spaces on the estate car park, opposite the entrance to their unit. 8 UNIT 3 GLENGALL BUSINESS CENTRE, 43-47 GLENGALL ROAD, LONDON SE15 6NF TENANCY COVENANT INFORMATION The property is let on fully repairing and (Company reg: SC120550) insuring terms for a period of 10 years from Morrison Facilities Services specialises in providing facilities services to private businesses and 12th June 2009 expiring on 11th June 2019. central and local government bodies. The core area of the business is the repairs and maintenance The current passing rent of £93,000 per annum of social housing. Morrison is responsible for the maintenance of more than 400,000 properties in represents a low rent of £13.30 per sq ft. the United Kingdom. Morrison Facilities Services Ltd was purchased by Mears Group Plc in November 2012 and the SERVICE CHARGE company has produced the following accounts over the last three years: ACCOUNTING PERIOD ENDING TURNOVER NET ASSETS SHAREHolders FUNDS The tenant is liable for a contribution to the general maintenance, upkeep and security of 31st December 2016 £72,453,000 £2,599,000 (£954,000) the Glengall Business Centre. The total service 31st December 2015 £85,767,000 £4,383,000 (£9,189,000) charge budget for the year ending the June 2018 is £54,860, which reflects approximately 31st December 2014 £93,422,000 (£770,000) (£8,740,000) £0.61 per sq ft.