Modern Low Site Cover South East Industrial Investment East Kent Audi Vehicle Repair Centre, Ashford Road, Chartham, Canterbury, CT4 7HB
East Kent Audi Vehicle Repair Centre Chartham, Canterbury, CT4 7HB Investment Summary Modern high specification industrial property. Low site cover of 25%. Affluent south-east location. Over 8 year s secure income. 5A1 tenant covenant of Inchcape Estates Limited. Offers in excess of 1.25 million / 6.42% Net Initial yield.
M11 HOWFIELD LANE A28 J6 MILTON MANOR ROUNDABOUT M25 BRENTWOOD HATCH LANE CHARTHAM A28 ASHFORD ROAD MILTON MANOR ROAD DARTFORD A20 J2 J3 A21 J4 M20 J5 M26 M25 A2 A228 J4 J2 J3 MAIDSTONE M2 A299 A28 CANTERBURY CHURCH LANE STATION ROAD CHARTHAM GREAT STOUR COCKERING ROAD A26 ROYAL TUNBRIGE WELLS A228 A21 A229 M20 A28 J9 ASHFORD J10 A2070 A2 DOVER Location Chartham is an affluent village forming part of the wider Canterbury conurbation in the county of Kent. Canterbury is well connected being intersected by the A28 and the A2 which provide onward access, via the M20 and M2 respectively, to the M25 and wider motorway network. Canterbury city centre lies approximately 2 miles to the north-east where access is provided to mainline train services into both London Victoria and London St Pancras with a fastest journey time of 52 minutes. Situation The property occupies a prominent position fronting the A28, Ashford Road, linking Canterbury with Ashford. The adjoining property to the west is an Inchcape Audi dealership for which the subject property acts as a motor service centre. Motor trade operators Lipsomb Volvo and KAP Suzuki Canterbury are located opposite and there is a Wyvale Garden Centre, Stour Valley Business Park and a mix of other commercial and residential occupiers nearby.
Description The property comprises a modern, well specified industrial building extending to a total of approximately 997.78 sq m (10,740 sq ft). The building is of brick and block work construction beneath a steel portal framed roof with profile metal covering incorporating translucent panels. External elevations are part brickwork and part profile metal cladding. The property benefits from an enhanced specification including 12 roller shutter doors, three on the west flank and nine on the east flank. Internally the property has a sealed concrete floor incorporating 12 vehicle ramps. Ancillary accommodation including offices and staff canteen area is provided at part first floor. Currently utilised as the motor vehicle repair facility for the adjoining East Kent Audi, the property has been fitted out to suit their requirements. The property sits on a secure site with gated access and palisade fencing. The yard area is fully concreted and provides parking for approximately fifty vehicles. Access to the property is provided from Ashford Road. Areas The property has been measured in accordance with the RICS Code of Measuring Practice (Sixth Edition) and provides the following gross internal floor areas. Level Sq ft Sq m Ground Floor 9,126 847.83 First Floor 1,614 149.95 Total 10,740 997.78 The minimum internal eaves height to the underside of the haunch is 20 ft 6 / 6.25m The property occupies a site of 0.83 acres giving a site cover of only 25%.
Tenancy The property is let to Inchcape Estates Limited on an FRI basis at a rent of 84,860 per annum. The lease runs until 25th February 2025 without break giving an unexpired term certain of over 8 years. There is provision for an open market rent review in February 2020. Covenant Rental The current rent passing is 84,860 per annum which was set at the February 2015 open market rent review. This represented a significant uplift over the previously passing rent of 65,000 per annum which was set at lease commencement in August 2012. On our analysis the passing rent equates to 6.55 per sq ft on the building and 1.15 per sq ft on the additional yard. Inchcape are one of the leading franchised motor-retailer groups in the UK, partnering many of the World s best brands including, Audi, BMW, Jaguar, Land Rover, Mercedes-Benz, Toyota and Volkswagen. Inchcape Estates Limited have a Dunn & Bradstreet rating of 5A1 representing a minimum risk of business failure. The company has reported the following financial information for the last three years: Year End 31 Dec 2015 Year End 31 Dec 2014 Year End 31 Dec 2013 Turnover 24,485,000 21,906,000 20,139,000 Pre-Tax Profit 6,668,000 7,212,000 8,657,000 Shareholders Funds 53,024,000 54,450,000 55,990,000 EPC Rating D 88. A copy of the certificate is available on request.
VAT The property is elected for VAT and it is envisaged that the sale will be treated as a Transfer of a Going Concern (TOGC). Tenure Freehold Price We are instructed to seek offers in excess of 1,250,000 (One Million Two Hundred and Fifty Thousand Pounds) subject to contract and exclusive of VAT for the freehold interest. This reflects a net initial yield of 6.41% assuming purchaser s costs of 5.96%. Further Information For further information or to arrange an inspection please contact: Andrew Taylor art@hsmuk.com DDI: 020 7318 1934 Brook Stotesbury bs@hsmuk.com DDI: 020 7318 1938 DISCLAIMER Messrs Hoddell Stotesbury Morgan Ltd for themselves and for the vendors of this property whose agents they are give notice that:- (i) the particulars are set out as a general outline only for the guidance of intending purchasers and do not constitute, nor constitute part of, an offer or contract; (ii) all descriptions, dimensions, references to conditions and necessary permissions for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchaser should not rely upon them as statements or representations of fact but should satisfy themselves by inspection or otherwise as to the correctness of each of them; (iii) no person in the employment of Messrs Hoddell Stotesbury Morgan Ltd has any authority to make or give any representation or warranty whatever in relation to this property. (iv) unless otherwise stated all rents or prices quoted are exclusive of VAT which may be payable in addition. (v) Messrs Hoddell Stotesbury Morgan Ltd has not made any investigations or otherwise of any issues concerning pollution and potential land, building, air or water contamination. Prospective purchasers must undertake their own enquiries and satisfy themselves in this regard. Some images have been added for indicative purposes only. Date: January 2017