16
ORION PORTFOLIO ELLESMERE CHESTER WAKEFIELD • •
O R I O N P O R T F O L I O E L L E S M E R E C H E S T E R W A K E F I E L D• •
2
Executive SummaryOpportunity to obtain a mixed
industrial and retail portfolio
comprised of three properties
Properties located in Ellesmere,
Wakefield and Chester
Let to 5 tenants with a WAULT of
4.68 years to expiry and 3.43 years
to break
Total income of £313,342 per annum
66% of the income secured against
4A D&B rated covenant and above
Our client is seeking offers in excess
of £3,760,000 exclusive of VAT and
subject to contract which reflects a
net initial yield of 7.82% assuming
purchaser’s costs of 6.52% with a
minimum reversion in 2021 of 8.1%
ORION PORTFOLIO
4 A1 - 42%2A2 - 33% OTHER 1%
5A4 - 24%
Sector Percentage Distribution by Income
D & B Covenant Strength Percentage Distribution by Income
CHESTERCHESTERCHESTER
WAKEFIELDWAKEFIELDWAKEFIELD
ELLESMEREELLESMEREELLESMERE
LONDONLONDONLONDON
MANCHESTERMANCHESTERMANCHESTER
LEEDSLEEDSLEEDS
BIRMINGHAMBIRMINGHAMBIRMINGHAM
INDUSTRIAL 75%
OTHER 1%
RETAIL 24%
Investment Summary
Predominately let to Hiab Ltd
(D&B rating of 4A1) until 29/09/2022
Freehold
47,045 sq ft of office, industrial
buildings and a builders yard
Tenant in occupation at site for over
25 years
Tenant has recently undertaken
major works on site
Asset management and development
opportunities
Producing £133,750 per annum
ORION PORTFOLIO ELLESMERECARGOTEC INDUSTRIAL PARK, ELSON, ELLESMERE, SHROPSHIRE SY12 9JW
3
4
ORION PORTFOLIO ELLESMERE
ELLESMEREELLESMEREELLESMERE
ShrewsburyShrewsburyShrewsbury
WrexhamWrexhamWrexham
OswestryOswestryOswestry
M54
A528
A528
A483
A534
A5
A5
A5
A458
A483
A495
A495
A53
A41
A49
A49
WhitechurchWhitechurchWhitechurch
A4
GRANGE ROAD
DAOR YRTSEWSO
ELSON ROAD
A495
A528B5068
ELLESMEREELLESMEREELLESMERE
Location Cargotec Industrial Park is an established commercial location just
outside of Ellesmere town centre. It sits approximately 18 miles
north of Shrewsbury, 10 miles south of Wrexham, and 8 miles
north east of Oswestry.
Ellesmere benefits from good road communications. It is
connected by the A495 to Oswestry to the south west and the
A528 which connects to Shrewsbury in the south and Wrexham
to the north.
The A495 via the A525 and A53 provide access to Junction 15
on the M6 approximately 35 miles to the east. The A495 also links
into the A5 which provides good road access to mid and northern
Wales as well as the M54, 25 miles to the south east.
Situation Cargotec Industrial Park is situated
on the south west side of the B5068
provides direct access to the A495
which links to the A5 and M54 to the
south and to the A525 and A53 which
provides access to the M6 motorway to
the east. The proximity to the A5 also
provides good links on to Mid and
Northern Wales.
ETC Sawmills Ltd occupy a similarly
sized industrial site opposite the
subject property to the north.
2.887ha
0.363ha
2
9
1
8
LB
El
Oak
Oa
k
Old
Pond
View
Pond
LANE
View
Felo
South
99.1m
Elson
98.9m
Berse
97.4m
Elson
98.7m
Tanks
Villas
Leorin
Winton
Braemar
Cartre f
Sub Sta
CAEG
OO
DYFa irview
Mayfield
Beaumaris
Killkenny
Pinehurst
ELM
CO
UR
T
Five Oaks
Brynderwen
Mead ow
Den e
Heatherdown
Weighbridge
Sewage Works
Cargotec Industrial Park
5
ORION PORTFOLIO ELLESMERE
Description Cargotec Industrial Park is a multi-let industrial
estate comprising a mix of industrial and office
buildings totalling 6,370.63 sq m (47,045 sq ft)
over approximately 8.11 acres.
The majority of industrial units are of steel portal
frame construction with a brick base and corrugated
metal over-cladding with the office building being of
brick built construction with tiled roofs.
The buildings are serviced by tarmacadam
access roads with concrete yard areas.
The estate is protected via secure gates.
The largest tenant, Hiab Ltd has been in
occupation at the site for in excess of 25
years. They have recently made a number
of improvements including replacing
temporary staff facilities with more
permanent ones, constructing
new canteens in Units D and E,
as well as a new locker room and
toilets in Block E.
Ellesmere is Hiab's main UK base
of operation, where the tenant
also holds their stock of plant
and machinery.
Tenancy & Accommodation
Unit Lease start Lease Expiry Break (Tenant Only) Rent Review Area sq m Rent PA Comments
.... (sq ft) (psf ) ...... A, D & B Hiab Ltd 29.09.16 28.09.2022 29.09.2019 29.09.2019 1,733.10 £65,000 The tenant had an option
(the gatehouse) (18,655) (£3.48) to break in September 2018
.... which it did not exercise. E Hiab Ltd 29.09.16 28.09.2022 29.09.2019 29.09.2019 2,632.51 £65,000 The tenant had an option to
....... (28,390) (£2.29) break in September 2018
....... which it did not exercise.
....... ....... There is a schedule of
.......... condition on this unit.
....... Builders Yard John and 01.08.2017 31.07.2019 N/A 0.4 acres £1,500
.... Carl Dulson
Income from Perpetuity £2,250 9 x £250 payments per house
9 house plots towards site foul drainage.
.... (Houses are liable for any
......... substantial repair works in
....... addition) RPI annual increase
.......... from 2020.
Total 4,365.51 £133,750
......... (47,045)
Tenure Freehold
Tenant Covenant Hiab is the world leading provider of
on-road load hauling equipment. Their
brands include HIAB loader cranes,
LOGLIFT and JONSERED Forestry as
well as MOFFETT and MULTILIFT forklift,
skiploaders and hooklifts www.hiab.com
Hiab Ltd are owned by Cargotec
Corporation. A Finnish-owned business
which is the world leader in cargo and load
handling solutions. Their brands include
Macgregor and Cargotec.
www.cargotec.com
Hiab ltd have a D&B rating of 4A1
Their annual accounts dated 31.12.2016
report a:
Sales / Turnover £88,141,000
Pre tax Profits £30,747,000
Net assets £34,687,000
EPC The units have an EPC ratings as follows:
Block A E111
Block B D98
Block D G171 Block E E116
VAT We understand that the property is
elected for VAT.
6
ORION PORTFOLIO ELLESMERE
QUAKER MEETING HOUSE, 30A FRODSHAM STREET, CHESTER CH1 3JL
Investment Summary
Let to the national covenant of
BrightHouse (D&B 5A4)
Top 15 UK retail centre
Long leasehold at a peppercorn rent
(107 years remaining)
Asset management and regear
opportunities
Producing £75,000 per annum
ORION PORTFOLIO CHESTER
7
Location Chester is an affluent and historic Cathedral city located 20 miles south of Liverpool. Manchester is
40 miles to the north east and Birmingham is 72 miles to the south east. Chester has excellent road
and railway communications with the M53 and M56 motorways linking it directly into the national
motorway network.
The city’s mainline railway station provides regular services to Liverpool (c.45mins) and Manchester
(c.1 hour and 10 mins) and trains run hourly to London with a journey time of around 2 hours.
Chester is one of the country’s premier retail destinations, benefiting from a population of 132,000
and an affluent primary catchment of over 810,000. The city is ranked 15th in UK retail centres in the
Promis Centre rankings.
The city is also home to The University of Chester which was established in 1839 and has c.19,000
students on five campuses around Chester. Chester is also an important tourist destination
attracting over 8 million tourists each year with an annual spend in excess of £800m.
Situation The subject property occupies a prominent position on the west side of
Frodsham Street, one of the busiest shopping streets in Chester.
Frodsham Street has recently undergone substantial public realm
improvements consisting of a new pedestrianised zone, York stone paving
and public benches to create recreational areas and encourage shoppers.
Directly opposite is the Temple Bar public house and restaurant and behind
is a Tesco Superstore, which draws footfall.
Surrounding occupiers and restaurants include Steak ‘n Shake, Rigby
Jewellers, Card Factory, H. Samuel, Marks & Spencer, Lush, Paperchase,
Boots, River Island, Holland & Barrett, The Body Shop, Disney, JD Sports,
WHSmith, Clarks, Next, Waterstones, Boodles, Links London, Fat Face,
Jo Malone London, Beaverbrooks The Jewellers and Swarovski.
8
CHESTERCHESTERCHESTER
CITY
ROA
D
LIVERPOOL ROAD
PARKGATE ROAD
HOOL
E WAY
ChesterChesterChesterA56
A52
A584
A5516
A5268A5268
FRODSHAM STREET
NICHOLAS ST.
BRIDGE ST.
NORTHGATE STREET
EASTGATE STREET
WATERGATE STREET
FOREGATE STREET
THE BARS
Shropshire Union Canal
ChesterCathedral
ST MARTINS W
AY
UNION WALK
A550
A556A533
A534
A483
A495
A623
A458
A41
A41A49 A54
M57M62
M53M56
M60
M54
M6
M6
M5
CHESTERCHESTERCHESTER
LiverpoolLiverpoolLiverpool
ManchesterManchesterManchester
ShrewsburyShrewsburyShrewsbury
WrexhamWrexhamWrexham Stoke on TrentStoke on TrentStoke on Trent
BirminghamBirminghamBirmingham
ORION PORTFOLIO CHESTER
9
ORION PORTFOLIO CHESTER
6
6
4
8
51
3
21
4
Ps
18
39
34
21
Ps
41
43
47
51
55
53
62
58
56
54
52
50
46
383
63
4
51
SM
12
30
28
20
15
16
26
11
13
PH
10
14
El
1612
23
37
3028
43
4036
19
25
23
PH
30
a
TCB
The
The
Sta
PCs
TCBs
Bank
WA
LL
Ramp
27.7m
Tower
22
.6m
PLACE
21.6m
21.6m
21
.9m
Temple
1 to 3
CHESTER
1
to
10
Car Park
20 to 28
35
to
39
27 to 35
Play Area
Kaleyards
School House
Frods ham Court
FR
OD
SH
AM
ST
RE
ET
Frodsham Square
Multistorey Car Park
PH
27
Old
Sub
Bank
Ramp
RO
MA
N
31
to
33
Chambers
VICTORIA
Addleshaw
UNION WALK
RO
MA
NW
AL
L
FOREGATE STREET
FR
OD
SH
AM
ST
RE
ET
OL
DP
O
Tenancy and Accommodation The property is split between ground floor retail and
first floor storage of 4,764 sq ft and first floor offices of
2,268 sq ft to provide a total net internal of 7,032 sq ft.
... sq m sq ft Gross frontage 12.73 42
Ground floor sales 328.24 3,533
Ground floor ITZA 133.31 1,435
Ground floor ancillary 21.19 228
First floor storage 93.14 1,003
Total 442.50 4,764
Ground floor office entrance 13.67 167
First floor office 197.01 2,121
Total 210.68 2,268
Description The property comprises a two-storey building of
concrete and brick construction with a pitched tiled
roof. The property is configured as ground floor
retail and upper floor as office accommodation
which is separately accessed from Union Walk.
The upper parts also contain a Quaker meeting hall,
(sold off on a long leasehold on an IRI basis).
Tenure The property is held under a long leasehold
interest title number CH103198 of 150 years, at
a peppercorn rent from 10th November 1975,
giving 107 years remaining.
The ground floor retail and first floor
office is let to Caversham Trading Ltd t/a
BrightHouse on a FRI basis for a term of
10 years from 30th June 2010 giving
approximately 1.5 years unexpired.
The passing rent is £75,000 per annum
which equates to £15.74 psf.
The first floor Quaker meeting hall is
let on a long leasehold of 150 years
less one day from 01/01/1975, giving
approximately 107 years unexpired to
Friends Trust Limited (Quakers), at a
peppercorn rent.
ORION PORTFOLIO CHESTER
10
Tenant Covenant BrightHouse is a leading provider of
top branded products, cutting edge
technology and essential household
goods at affordable weekly or monthly
repayment plans spread over 1-3 years.
(www.brighthouse.co.uk.) BrightHouse
is a trading name for part of Caversham
Trading Ltd.
Caversham Trading Ltd has a D&B rating
of 5A4. In their financial accounts
published 31st March 2017 they
reported the following:
Turnover of £63,362,000
Pre tax loss of £817,000
Net assets of £52,878,000
EPC The property has an EPC rating of C66.
VAT We understand that the property is
elected for VAT.
11
ORION PORTFOLIO WAKEFIELD
Investment Summary
SILKWOOD BUSINESS PARK, FLANSHAW WAY, WAKEFIELD, WF2 9LP
Long let (until 2026) trade/industrial
unit (guarantor D&B 2A2) with RPI
increase (1-5%)
Freehold
Located close to J40 of the M1 in
prime industrial location
22,356 sq ft with low site cover (c.20%)
Producing £104,592 per annum
Low passing rent of £4.67 per sq ft
Minimum fixed uplift in 2021
Min increase to £115,631
Max increase to £129,921
ORION PORTFOLIO WAKEFIELD
12
ManchesterManchesterManchester
SheffieldSheffieldSheffield
DoncasterDoncasterDoncaster
YorkYorkYork
HarrogateHarrogateHarrogate
M62
M55M65
M61
M62M60
M62
M61
M1
M6
M6
M18
A1(M)
M621
A58(M)
M629
A628
A638
A642A642
A638
A569
A569A658
A64
A58A61
A1
A1
A6120
LiverpoolLiverpoolLiverpool
WAKEFIELDWAKEFIELDWAKEFIELD
LeedsLeedsLeeds
BlackpoolBlackpoolBlackpoolLeedsLeedsLeeds
WAKEFIELDWAKEFIELDWAKEFIELD
BROADWAY
SBURW Y E ROD AD
WAKEFIELD ROAD
FLAN
SHAW
ROA
D
M1
M1
A638A638
WakefieldWakefieldWakefieldSilkwoodSilkwood
Business ParkBusiness ParkSilkwood
Business Park
SilkwoodSilkwoodIndustrialIndustrial
EstateEstate
SilkwoodIndustrial
Estate
A642
J40J40J40
Location Wakefield is the premier distribution location in the north of England. It is
strategically located 10 miles south of Leeds and 38 miles east of Manchester,
and approximately 25 miles north of Sheffield.
Wakefield is readily accessible via junction 40 of the M1 motorway providing fast
connections north and south and, in turn, connecting to junction 29 of the M62
motorway running east-west.
Wakefield also benefits from high quality rail links. Wakefield Westgate is situated
on the London to Leeds East Coast Mainline and benefits from a fastest journey
time to London of approximately 2 hours.
Leeds Bradford Airport is 18 miles north of Wakefield.
Situation The property is situated on Silkwood Business Park and has its own separate
access off the south side of Flanshaw Way.
Silkwood Business Park is approximately 2 miles west of Wakefield town centre and
benefits from being less than 1 mile from Junction 40 of the M1 motorway.
Other occupiers on the park include GS-Hydro UK Ltd, SandalAuto.com, TECHNAL
Headquarters, Sapa Building Systems, Vantage Toyota Wakefield, Earthmover
Tyres, STG Performance, Gjh Commercial Vehicles and Stamberg Autos.
YAW WAHSNALF
ORION PORTFOLIO WAKEFIELD
4
8
5
1
7
SP
Def
Tank
El Sub Sta
Woods Court
Silkwood Court
DAUGHTER'S
COURT
0.594ha
Tank
Description The site covers an area of 1.465 acres.
The property is of steel portal frame construction
with exterior cladding and a sloping corrugated
metal roof of 22,357 sq ft GIA. This gives a very low
site coverage ratio of 20.38%.
To the front of the property are 7 rolling shutter
doors. The sides of the building are serviced by
additional full height rolling shutter doors.
Tenure Freehold. Title number WYK876314.
Tenancy The property is let McConechy’s Tyre Service Ltd t/a
Gordon’s Tyres, with a guarantee from McConechy
Holdings Ltd for a term of 15 years from 21st June
2011. There are 5 yearly upward only rent reviews
based on the RPI lifts compounded annually with a
cap and collar of 1% and 5%.
The current rent is £104,592 per annum (£4,67 per
sq ft) with next review on 21/06/2021 with a
minimum uplift to £115,631 per annum and a
maximum uplift of £129,921.
13
ORION PORTFOLIO WAKEFIELD
Tenant Covenant McConechy’s Tyres Service Ltd (t/a
Gordon’s Tyres) www.Gordonstyres.co.uk
is one of the country’s largest independent
suppliers of tyres and high quality
automotive products. They were
established in 1957 and now employ
over 330 staff across 56 branches.
www.mcconechys.co.uk
McConechy’s Tyre Service Ltd have a
D&B rating of N1. Their latest financial
accounts as reported on 11th
September 2018 are as follows:
Turnover of £43,012,520
Pre-tax loss of £280,748
Net liabilities of £4,657,087
McConechy Holdings Limited provide the
guarantee to the lease and have a D&B
rating of 2A2. They reported their financial
accounts on 23rd August 2018 as follows:
Turnover of £42,012,520
Pre-tax profit of £383,937
Net assets of £24,493,492
VAT We understand that the
property is elected for VAT.
EPC The property has an EPC
rating of C70.
141
ORION PORTFOLIO
Mike Fox
DD: 020 7297 6273
Richard Walden
DD: 020 3761 3649
Further Information Portfolio Proposal Our client is seeking offers in excess of
£3,760,000 exclusive of VAT and subject to
contract for their portfolio interest which
reflects a net initial yield of 7.82%
assuming purchaser’s and a minimum
reversion of 8.1% costs of 6.52%.
Should you have any
queries or wish to make
a site inspection, please
contact:
Bidwells
25 Old Burlington Street
London W1S 3AN
Tel: 020 7493 3043
October 2018
ELLESMERE CHESTER WAKEFIELD
15
Bidwells
25 Old Burlington Street
London W1S 3AN
Tel: 020 7493 3043
bidwells.co.uk
IMPORTANT NOTICE
Bidwells LLP act for themselves and for the vendors of this property, whose
agents they are, give notice that:
Nothing contained in these particulars or their contents or actions, both
verbally or in writing, by Bidwells LLP form any offer or contract, liability or
implied obligation to any applicants, viewing parties or prospective
purchasers of the property to the fullest extent permitted by law and should
not be relied upon as statements or representative of fact. No person in the
employment of Bidwells LLP or any joint agents has authority to make or give
any representation or warranty whatever in relation to this property. Any
areas of measurements or distances are approximate. The text, photographs
and plans are for guidance only, may not be to scale and are not necessarily
comprehensive. No assumptions should be made that the property has all
necessary planning, building regulation or other consents. Bidwells LLP has
not carried out a survey, nor tested the services, appliances or facilities.
Purchasers must satisfy themselves by inspection or otherwise. All rentals
and prices are quoted exclusive of VAT unless otherwise stated. Prospective
purchasers may be asked to produce identification of the intended Purchaser
and other documentation in order to support any conditional offers
submitted to the vendors. Bidwells LLP accepts no liability of any type arising
from your delay or other lack of co-operation. We may hold your name on our
database unless you instruct us otherwise.
OS licence no. ES 100017734. © Copyright Bidwells LLP 2017. Bidwells LLP
is a limited liability partnership registered in England and Wales (registered
number OC 344553). Registered office is Bidwell House, Trumpington Road,
Cambridge CB2 9LD where a list of members is available for inspection.
Your statutory rights are not affected by this notice.
