SINGLE LET INDUSTRIAL INVESTMENT OPPORTUNITY ON A RENEWED 10 YEAR LEASE WITH A FIXED INCREASE Ardagh Glass Limited BEDALE DRIVE Ardagh Glass Limited Part of the ARDAGH GLASS LIMITED Unit 2 Headlands Lane, Knottingley WF11 0HP INVESTMENT SUMMARY • Single let industrial investment opportunity let on a re-geared lease • 10.5 years unexpired on full repairing and insuring terms We are seeking offers in excess of £2,698,000 • Min 8m eaves on a building of 40,407 sq ft which reflects a net initial yield of7.0% NI, assuming • Current passing rental of £201,000 pa with a fixed increase to £210,000 pa in November 2023 standard purchase costs of 6.41% with the benefit • Single let to the undoubted tenant covenant of Ardagh Glass Limited with shareholders’ funds of £260m of a fixed increase in November 2023 showing a • Excellent location being in close proximity to the M62, A1M and A1 proving excellent links to the national and guaranteed reversionary yield of 7.31%. regional road networks • Forms part of a larger facility owned by the tenant and is an integral part of the site and operation which produces over 970 million bottles per year at this facility M62 TO LEEDS, MANCHESTER TRAIN LINE HAZEL ROAD Unit 2 ACCESS ROAD Ardagh Glass Ltd BEDALE DRIVE JCT 33 M62 Ripon 49 A61 BOROUGHBRIDGE A19 BRIDLINGTON LOCATION A64 Knottingley is a town in West Yorkshire and forms part of WF11 0HP the wider borough of Wakefield with a current resident A614 A166 A166 population of c. 13,500 people. HARROGATE A1237 47 A59 It occupies a strategic location immediately adjacent to the A614 M62, A1M and A1 roads providing direct access to both the YORK A165 46 A1M national and regional road networks. Knottingley is 14 miles A1237 A1079 southeast of Leeds, 24 miles northeast of Sheffield, 18 miles A64 A65 A61 south of York and 160 northwest of London. 45 45 A64 It benefits from a railway station situated on the Pontefract MARKET A1035 A660 WEIGHTON Line run by Northern Trains with a direct train to Leeds (40 44 A19 A6120 A1079 mins) and London Kings Cross under 3 hours changing at A650 A658 BEVERLEY Wakefield. 43 A165 A6120 LEEDS A614 BRADFORD 47 A1079 46 SELBY A164 A647 3 A63 2 3 4 45 A63 M621 5 44 A63 38 2 1 43 KINGSTON UPON HULL 27 6 A63 1 A1246 A19 M606 28 7 37 26 29 A63 A53 29 KNOTTINGLEY 42 M62 30 A645 A645 31 25 41 32 33 A644 WAKEFIELD 34 35 24 M62 A628 40 A15 HUDDERSFIELD A19 39 A1 A629 A180 M1 SCUNTHORPE 5 M180 M161 5 38 2 BARNSLEY A1(M) 3 38 4 4 37 M18 M180 A629 DONCASTER 37 36 A628 A46 3 35 A15 36 A159 2 A46 35 ROTHERHAM 34 A631 BAWTRY 1 34 A1103 33 A631 A631 SHEFFIELD A630 32 A631 A STRATEGIC LOCATION 31 Peak District A57 A46 IMMEDIATELY ADJACENT TO A6102 National Park THE M62, A1M AND A1 ROADS A15 A61 A1 30 SITUATION B ANE 6 S L 1 D 3 AN 6 GL The property is located on Headlands N A TR 2 S Lane which accessed via the main A645 36 61 61 B A Pontefract road in the main industrial B A1(M) 6 1 area of the town within 1.5 miles of the 3 6 F motorway junctions. Knottingley Train ISG D Station is situated at the junction of the A E O R R A645 and Headlands Lane within a 1/2 CT G S RA A mileHE C ofRO theFT subject property. S T TEF TE N A PO P Y The property is approximately 1/2 mile B E L TOP to the Southwest of Knottingley town IL G 45 H A6 Centre. F D E I RNL FERRYBRIDGE A EY R GR 6 EE N R B AD 4 LAND ROOAAD Y 5 O E D R E R T A AC 645 W R R EF KNOTTINGLEY E T N STATION F O P D 5 2 4 A A6 O 1 R 6 T LANE A NE D BO RAC AW F SP E T N KNOTTINGLEY O P M62 W O M 45 E 6 A R S L E Y R DGATE O A 5 BON A 4 A6 6 D 1 2 5 64 PONTEFRACT A HAZEL ROAD 33 A1(M) CLOSE TO WF11 0HP M62 KNOTTINGLEY TRAIN STATION DESCRIPTION The property comprises a single let industrial building of a steel portal frame construction under a pitched roof with part brick and part clad elevations. The building benefits from a generous eaves height of 8.09m rising to 10.88m at the apex and is accessed by way of 4 roller shutter doors. The property forms part of a larger site owned and operated by the tenant and is an integral part of the whole operation and we understand that they have been on site for over 50 years. BEDALE DRIVE MAIN WORKS The tenant (Ardagh Glass Limited) is one of the world’s largest producers of glass wear and this wider facility is their UK operation for beer bottles on behalf of third party drinks manufacturers. On site they produce the glass bottles and then ship their products all around the MAIN CAR PARK world, the facility we understand produces 970 million bottles per year. FOR ENTIRE SITE The subject property is used as their main storage of new products post production and therefore forms an integral part pf their operation. ACCESS ROAD In addition, Ardagh Glass Limited operate a gated site and therefore if they were not ONE WAY to renew the site would require significant expenditure on reconfiguration due to the SYSTEM one way system currently in use. The subject property sits towards the entrance to the site and could easily be re-let to a third-party tenant. The road highlighted in red hatched provides rights co-terminus with the head lease for access onto Bedale Drive. The property has been measured in accordance of the RICS Code of Measuring Practice and extends to 40,407 sq ft on a site of 2.27 acres representing a site density of 41%. Ardagh Glass Ltd k an T RESIDENTIAL K AL W EE R T RY ER CH TENANCY The property is fully let Ardagh Glass Limited on a recently re-geared lease upon full repairing and insuring provisions providing c. 10.5 years unexpired. The initial passing rental is £201,000 pa (£4.97 psf) increasing to £210,000 (£5.19 psf) on 14th November 2023. The tenant has been in occupation for over 50 years. The unit forms part of a 50 acre specialist bottling production unit owned by the tenant. TENURE The property is held by way of a new 125-year leasehold interest. Further details can be supplied to interested parties upon request. COVENANT The property is let to the undoubted tenant covenant of Ardagh Glass Limited. For the year ending 31st Dec 2018 they reported a turnover of £349.3m, a pre-tax profit of £42.7m and Shareholders funds of £260.9m. For the year ending 31st Dec $8.6bn Group 108 Production 23,300 Employees Manufacturing in 2017 they reported a turnover of £327.8m, a pre-tax profit of Revenue Facilities Globally 22 Countries £46.0m and Shareholders funds of £204.9m. They form part of the larger Ardagh Group who are a leading global supplier recyclable metal and glass packaging for international brands. They produce over 970 million bottles per year at this facility. They operate from 108 facilities in 22 countries across 5 continents employing over 23,000 people with global sales in-excess of $8bn. They are listed on the NYSE (ARD). Further information can be found at https://www.ardaghgroup.com/ VAT We understand that the property has been elected for VAT which will therefore be chargeable on the sale. We would envisage the sale being treated by way of transfer of going concern (TOGC). EPC A set of EPC reports are available on request. PROPOSAL We are seeking offers in excess of £2,698,000 which reflects a net initial yield of 7.0% NI, assuming standard purchase costs of 6.41% with the benefit of a fixed increase in November 2023 showing a guaranteed reversionary yield of 7.31%. FURTHER INFORMATION If you require any further information or wish to arrange an inspection, please contact: - Gurminder Manak Abid Jaffry [email protected] [email protected] 07903 056 596 07836 264 427 Misrepresentation Act 1967. These details are provided only as a general guide to what is being offered subject to contract and subject to lease being available and are not intended to be construed as containing any representation of fact upon which any interested party is entitled to rely. Other than this general guide neither we nor any person in our employ has any authority to make, give or imply any representation or warranty whatsoever relating to 0161 200 8590 the properties in these details. May 2019. Designed and produced by Richard Barber & Co. 0161 833 0555. www.richardbarber.co.uk.