FOR SALE Stirling City Centre Townhouse Investment 7 MELVILLE TERRACE STIRLING
7 MELVILLE TERRACE STIRLING FK8 2ND INVESTMENT SUMMARY: Stirling is the gateway to the Scottish Highlands and a major retail, commercial and administrative centre. City Deal expected to be announced soon, which will attract significant investment into Stirling and surrounding area. Prominent standalone townhouse with single storey open plan extensions. Net internal area extending to 964.4 sq.m/10,383sq.ft. Current passing rent of 50,940 per annum. Heritable Interest (Scottish equivalent to Freehold). Excellent opportunity to acquire substantial townhouse investment with significant asset management opportunities. Offers in excess of 800,000 are invited, reflecting a net initial yield of 6.06%, allowing for purchaser s costs at the standard rate. Projected ERV of 107,500pa reflects a reversionary yield of 12.79%
Location: Stirling is located within the heart of the Central Belt of Scotland, situated equidistant between both Edinburgh and Glasgow and within easy access of Central Scotland s motorway network. It is the administrative centre for the Stirling Council area and acknowledged as the Gateway to the Highlands. Stirling is a historic city with tourist attractions including The National Wallace Monument and Stirling Castle. Stirling University is highly regarded and is home to The Scottish National Swimming Academy and The Scottish Institute of Sport. It is estimated that around 55% of Scotland s population lives within an hour s drive of Stirling City Centre. The city benefits from excellent transport links with the M9 linking to Edinburgh and the M80 to Glasgow. Stirling also benefits from a mainline railway station with frequent services to all major business centres throughout Scotland. Edinburgh International Airport is 25 30 minutes drive from the property. Stirling Council are currently in discussions with both Scottish and UK Governments, in relation to a City Deal, that is expected to attract significant investment into Stirling and the surrounding area. Description: 7 Melville Terrace comprises a prominent standalone townhouse with single storey open plan extensions to the side and rear. Internally the original building has been configured to form 3 office suites on the ground, first and basement floors. The two storey rear extensions were added in the late 1980 s. The main building retains many original features including: impressive open fireplaces, ornate cornicing, large bay windows etc. There are attractive, well maintained garden grounds to the rear of the property and an extensive car parking area, accessed from a private lane. The total site area extends to approximately 1 acre (0.45 hectares). The building is category B Listed. It is important to note that the photographs within this brochure were taken when the building was last redecorated and are not current. The Vendors do, however, intend completing a programme of external redecoration work to return the building to a similar appearance. Melville Terrace is immediately adjacent to one of the principal arterial routes into Stirling City Centre and is within a short walk of The Thistle Marches Shopping Centre and Stirling s mainline railway and bus stations. Accommodation: We understand the property extends to the following approximate net internal areas: Areas / Floor Sq M Sq Ft Suite 1 (Garden Floor) 109.5 1,179 Suite 2 (First Floor) 140.8 1,515 Suite 2 (Attic) 68.7 740 Suite 3 (Ground Floor) 197.0 2,121 Suite 4 (Left hand extension) 239.0 2,573 Suite 5/6 (Right hand extension) 209.5 2,255 TOTAL 964.6 10,383 Almost half of the accommodation is open plan in nature which, along with the size of the vacant period office accommodation, is particularly attractive to the current Stirling office market.
Current Income: The tenancy schedule below provides details of the occupational leases, rental income and ERV s. UNIT TENANT LEASE START TERM RENT pa AREA sq.ft RENT psf S/C % ERV COMMENTS Suite 1 Garden Floor Trustees of Agape for All Nations Ministry Int. Charity Trust 13.10.2010 6 years 7,540 1,179 6.40 11.36% 8.00-8.50psf Whilst running on tacit relocation, the owners are in negotiations with the tenant to extend the lease for 3 5 years. Suite 3 Ground Vacant 1,791 17.25% 11.50psf Suite 3 Ground (Room) Vacant 330 3.18% 11.50psf Suite 2 First Floor Svenska Handelsbanken 05.10.2012 10 years 17,400 1515 11.49 14.59% 11.50psf Suite 2 Second Floor Suite 4 Modern Extension Vacant 740 7.13% Attic Floor Storage Space, Accessed via Fixed Stair in First Floor Suite Vacant 2,573 24.78% 11.50psf Suite5/6 Modern Extension Scottish Childminding Association 14.10.2004 15 years 26,000 2,255 11.53 21.72% 11.50psf Stepped Rent with Further Increase to 26,750 from 14.10.18. There is potential to negotiate an extension of the ease with the current tenants. Totals 50,940 10,383 100% 107,355 Asset Management: 7 Melville Terrace offers excellent asset management opportunities in terms of extending existing leases, rental uplifts and prospects of early lettings of the vacant space, subject to carrying out elements of refurbishment. Principal Tenant Covenant Information: Svenska Handelsbanken: Moody s rating of UK banks rate Svenska Handelsbanken as Aa2, with a stable outlook. Scottish Childminding Service: Dun and Bradstreet rating for Scottish Childminding Association is 1A1, minimum risk, with the company s current net worth being 863,808. Planning/General Information: The building sits on an attractive large site extending to approximately 1 acre, situated within a desirable mixed residential/commercial area of Stirling. It is considered that there is medium to long term potential for redevelopment of the site for alternative uses, such as residential (subject to relevant planning consents). Office Market Prospects: There is currently limited availability of good quality office accommodation within Stirling, due to a lack of speculative development during recent years. The lack of supply and increasing demand is leading to prospects of further rental growth. VAT: All prices, rents, premiums etc are quoted exclusive of VAT, if applicable. The building is VAT elected. EPC: A copy of the Energy Performance Certificate can be supplied upon request. Price: Offers in excess of 800,000 are being sought, reflecting a net initial yield of 6.06%, allowing for purchaser s costs at the standard rate. Consideration will only be given to clean, unconditional offers. IMPORTANT NOTICE Please read carefully 1. These particulars are intended as guide only. Their accuracy is not warranted or guaranteed. Intending Purchasers/Tenants should not rely on these particulars but satisfy themselves by inspection of the property. Photographs only show parts of the property which may have changed since they were taken. 2. Graham & Sibbald have no authority to give any representation other than these particulars in relation to this property. Intending Purchasers/Tenants take the property as they find it. 3. Graham & Sibbald are not authorised to enter into contracts relating to this property. These particulars are not intended to nor shall they form part of any legally enforceable contract and any contract shall only be entered into by way of an exchange of correspondence between our client s Solicitors and Solicitors acting for the Purchaser/Tenants. 4. All plans based upon Ordnance Survey maps are reproduced with the sanction of Controller of HM Stationery. 5. A list of Partners can be obtained from any of our offices. Date of Publication March 2017
Premier Inn Stirling Railway Station Thistle Marches Shopping Centre Burghmuir Retail Park 7 Melville Terrace Premier Inn 20 min walk. Railway Station 10 min walk. Thistle Marches Shopping Centre 5 min walk. Burghmuir Retail Park 10 min walk Stirling Bus Station - 10min walk. VIEWING AND FURTHER INFORMATION: Strictly by prior arrangement with the Sole Agents: Graham & Sibbald 22 Allan Park, Stirling FK8 2QG Tel: 01786 463111 Fax: 01786 450281 Contact Andrew Peel Email apeel@g-s.co.uk Aberdeen 01224 625 024 Ayr 01292 271 030 Dundee 01382 200 064 Edinburgh 0131 225 1559 Falkirk 01324 638 377 Glasgow 0141 332 1194 Hamilton 01698 422 500 Inverness 01463 236 977 Kilmarnock 01563 528 000 Kirkcaldy 01592 266 211 Paisley 0141 889 3251 Perth 01738 445 733 Stirling 01786 463 111 Weybridge 01932 260 726