Well Let Industrial Investment Opportunity
Stoke-on-Trent is strategically located in the heart of the UK, 44 miles south of Manchester, 45 miles north of Birmingham and 35 miles west of Derby. With a population in excess of 250,000 Stoke is both a regional hub and the principal city within the North Midlands. The region is home to a number of multinational companies including JCB, Bet 365, Amazon, Jaguar Land Rover, Michelin and Alstom Grid. The strength of the region’s industrial sector is exemplified by JCB’s decision to create a further 2,500 jobs in Staffordshire, whilst Jaguar Land Rover have recently gained planning consent for a new £40m car storage depot. Stoke-on-Trent’s long history of industrial manufacturing continues to the present day, with 27% of the workforce employed in manufacturing and elementary occupations. This is considerably higher than the UK average of 17%. Businesses looking to relocate to the region are also attracted by the competitive wage costs which are 14% lower than the UK average.
• The properties benefit from excellent road communications having close proximity to the A34, A500 and M6 Motorway
• Jamage Industrial Estate is situated within a well established industrial area
• The investment comprises 2 industrial units extending to 109,320 sq ft overall
• Unit 2 extends to 54,814 sq ft on a site of 2.90 acres
• Unit 4 extends to 54,506 sq ft on a site of 2.86 acres
• Unit 2 is occupied by Service Metals (Midlands) Ltd, at a rent of £177,079 per annum (£3.23 per sq ft)
• Unit 4 is occupied by National Veterinary Services Ltd, at a rent of £226,446 per annum (£4.15 per sq ft)
• Extremely favourable Average Weighted Unexpired Lease Term of 9.00 years to expiry and break
• Both tenants provide excellent covenant strength – reflecting minimum risk of business failure
• Freehold / Virtual Freehold
The vendor is seeking offers in excess of £4,675,000 subject to contract and exclusive of VAT for their freehold interest in both buildings. A purchase at this level reflects an attractive Net Initial Yield of 8.10% and a low capital value of £42.76 per sq ft, assuming standard purchaser costs.
The surrounding area comprises a mix of industrial and trade counter accommodation, where surrounding occupiers include: B&Q, Jewson and CAEM UK. The area is complimented by a strong retail offering via the adjacent Freeport Talke Retail Park where tenants include GAP, Nike, Holland & Barrett, Costa Coffee and Marks & Spencer.