Chiltern House, Seven Stars Industrial Estate, Wheler Road, Coventry, CV3

A substantial detached 32,541 sq ft industrial and warehouse facility with two-storey offices, extensive loading and yard areas, on a secure 1.5-acre site.

The property comprises a substantial detached industrial/warehouse facility with ancillary office accommodation, situated on a self-contained site of approximately 1.5 acres. The main building provides approximately 30,732 sq ft, together with a 556 sq ft lean-to/canteen/store, 914 sq ft external
single-skin shed and 63 sq ft entrance porch, providing a total GIA of approximately 32,541 sq ft with an additional 2,844 sq ft provided by way of an external canopy. The canopy was a previous tenant improvement which has remained given its value to the user.

The property is of steel portal frame construction beneath a pitched roof incorporating extensive rooflights, with predominantly brick and profile-clad
elevations. The main warehouse is complemented by two-storey office accommodation to the front elevation, while loading is provided from the side/
rear of the building.

Externally, the property occupies a secure, predominantly surfaced site providing extensive yard/loading areas together with car parking to the front and side of the building. The site extends to approximately 1.5 acres providing good circulation and servicing around the unit.

Location
Chiltern House is situated within the established Seven Stars Industrial Estate, approximately 1.5 miles south-east of Coventry city centre. The estate is accessed from Wheler Road, close to its junction with the B4110 Humber Road, which provides convenient access to the A45 and A46 dual carriageways approximately 1 mile to the south-east. These routes provide excellent connectivity to the wider Midlands motorway network, including the M6, M69, M40 and M1.

Seven Stars is an established commercial and industrial location accommodating a diverse mix of engineering, manufacturing, logistics and service-sector businesses, with occupiers including AP Racing and HD Storage Solutions. The wider Coventry area is one of the UK’s principal automotive and advanced manufacturing centres, with major occupiers and facilities including Jaguar Land Rover and the UK Battery Industrialisation Centre, while Coventry’s central location provides access to a substantial regional workforce and the wider West Midlands industrial market.

Investment Summary
Located on Seven Stars Industrial Estate which is to the south east of the city centre and close to the A45

Modern, steel framed industrial unit comprising a large warehouse area with associated offices arranged over two floors totalling 32,541 sq ft (GIA) with an additional external canopy of 2,844 sq ft

The warehouse is let to Priority Freight (Midlands) Ltd at a current passing rent of £240,000 per annum for a term of 15 years (without break) until 14.01.2031

The current passing rent equates to £6.78 psf on an overall basis which is highly reversionary

The lease is subject to fixed uplift to £290,000 per annum in January 2028

Long leasehold from Coventry City Council with approximately 89 years unexpired

Proposal
We are seeking offers in excess of £2,000,000 subject to contract and exclusive of VAT.

After allowing for purchaser’s costs of 6.80%, this would reflect:
Net initial yield: 8.75%
Capital Value: £61 psf
Reversionary Yield: 11.08% in January 2028*

*Based on the fixed uplift of £290,000 per annum

Anti Money Laundering
In accordance with Anti-Money Laundering Regulations, two forms of identification and confirmation of the source of funding will be required from the successful purchaser.

Tenure
The building is held on a long leasehold basis from Coventry City Council under the title number: WM532770. The long lease is for a term of 99 years commencing on 16 July 1990 with c.63 years unexpired and is subject to a Head Rent of £53,340 per annum. The Lessee also benefits from the right
to renew for a further 26 years after the expiry of the original 99 year term. Notice of the intention to renew must be served not more than 12 months
and not less than 6 months before expiry. The Head Rent is reviewed 5 yearly with the next review on 16 July 2030 to 22% of market rent of property
when totalling 31,284 sq ft.

Planning
The property is situated within the Coventry City Council local authority area. We understand that it benefits from Warehouse use for storage and distribution with ancillary offices now defined as use Class E (B1 as previously known) as well as B2/B8 use classes.

VAT
The property is elected for VAT and it is anticipated the transaction will be structured as a transfer of a going concern (TOGC).