3 & 5 Freeston Drive, Blenheim Industrial Estate, Nottingham, NG6

Location

Strategic East Midlands Industrial Location.

Nottingham is recognised as one of the East Midlands' principal commercial and industrial centres. The city benefits from a diverse economic base, a substantial labour force and excellent connectivity to the national motorway network.

The estate benefits from excellent road connectivity, with convenient access to the A610 and A6002. Junction 26 of the M1 is approximately 2 miles to the south-west.

To Sheffield Eastwood A610 Ilkeston Junction 26 Trowell Services A6002 East Midlands Airport lies approximately 16 miles to the south-west and provides access to one of the UK's most significant freight handling facilities.

The property occupies a prominent position on Freeston Drive within the well-established Blenheim Industrial Estate approximately 5 miles north-west of Nottingham city centre.

Blenheim Industrial Estate is one of Nottingham's premier industrial and trade locations, benefitting from excellent access to the M1 motorway and the wider national motorway network.

The estate is home to a range of national, regional and trade occupiers and continues to experience strong occupational demand due to its strategic location and established industrial environment.

Description

Comprising 39,306 sq ft across two industrial/trade counter units, the property currently produces £264,460 per annum, with an attractive WAULT of 5.22 years to expiry. The investment has also benefited from over £660,000 of recent capital expenditure, significantly enhancing the specification and presentation of the property.

- £264,460 pa passing rent (£6.73 psf).
- £294,795 pa ERV, providing clear rental reversion.
- Terms agreed with ASHI Group on a new 15-year lease to Unit 3 at £116,393 pa (£6.82 psf).
- Immediate 6.3% rental uplift on completion of the agreed Unit 3 letting.
- Improved covenant profile, with ASHI rated Very Low Risk (91A).
- Smith Brothers Stores also provides a Very Low Risk (77A) covenant.
- £446m+ combined tenant turnover assuming completion of the ASHI letting.
- Established Blenheim Industrial Estate location with excellent access to the A610 and M1 Junction 26.
- Over £660,000 of recent capital investment in the estate.
- Offers in excess of £3.3m, reflecting a 7.53% NIY and 8.39% reversionary yield.
- Attractive capital value of just £83.97 psf.
- Further potential to enhance long-term value through extension of the two long leasehold interests.

The agreed letting to ASHI provides an investor with immediate income growth and a significant improvement in covenant strength, whilst the current ERV of £294,795 provides further rental upside over the medium term.

Combined with the recent capital investment, attractive entry pricing and the property's position within one of Nottingham's established industrial locations, we believe 3 & 5 Freeston Drive represents an excellent opportunity to acquire a high-quality industrial investment with both secure income and identifiable growth potential.

EPC

Further information is available upon request.

VAT

Unit 3 is not elected for VAT. Unit 5 has been elected for VAT and part of the transaction will be treated as a Transfer of a Going Concern (TOGC).

Legal Costs

Each party to bare their own legal costs in the transaction.