LANGSTONE TECHNOLOGY PARK HAVANT 6229 - Langstone Technology Park_Stage 17.indd 1 29/09/2017 12:24 DRAFT
LANGSTONE TECHNOLOGY PARK HAVANT
LANGSTONE TECHNOLOGY PARK HAVANT
6229 - Langstone Technology Park_Stage 17.indd 1 29/09/2017 12:24
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› Large freehold site of c.39.5 acres held freehold.› Excellent connectivity via road and rail.› 481,772sq.ftofflexibleaccommodation.› Goodcarparkingprovisionandexcellenton-siteamenities.› Low average rent of £9.00 psf which reflects a substantial discount to the competing business parks. › Recentlettingsconfirmthepotentialtodriverentalgrowth.› Severely reduced supply in the south coast corridor.› Multiple business plansapplicabletotheproperty.› Offersinvitedinexcessof£x› Attractive net initial yield of x% assumingfull purchase costs of 6.75%. › Low capital value of £x per sq ft.
InvestmentSummaryLocationCatchmentDemographicsDescriptionBuilding 6000Building 7000Building 1000Building 5000Building 4000AmenitiesAccommodationTenureTenancyCovenantInformation&EPCOpportunities to Add ValueEstimateRentalValueSouthCoastOfficeMarketInvestmentMarketComparablesVATProposalFurtherInformation
CONTENTS INVESTMENT SUMMARY
LANGSTONE TECHNOLOGY PARK HAVANT
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THE OFFICES HERE ARE BEAUTIFULLY PRESENTED AND HAVE A REAL ‘WOW’ FACTOR. TREVOR LINN, CEO, TURBULENT DESIGNS LTD.03
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LANGSTONE TECHNOLOGY PARK HAVANT
4 55
LANGSTONETECHNOLOGY PARK
A27
Apollo Fire Detectors
Lewmar
Solent Trade Park
Solent Retail Park
Beaver Industrial Estate
Scottish & Southern Electric
Langbrook Farm Pub & Premier Inn
Endeavour Business ParkCoopers Fire
Building 1000
Building 5000
Building 6000
Building 4000
Building 7000
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LANGSTONE TECHNOLOGY PARK HAVANT
LOCATION
Langstone Technology Park is located on the south coast, close to the southern end of the A3(M) at its junction with the A27. TothewestlieSouthamptonandPortsmouth,andtotheeastChichester.TheA3(M)providesaccesstotheM25,andtheA27isthekeysouthcoastlinkroadextendingfromSouthamptonviaHavanttoBrightonandEastbourne.Havanttowncentreisa5minutewalk,witha wide range of retail provision and the train station.
LangstonecanbeaccessedfromtheA27,orthroughHartsFarmway,whichleadsdirectlyfromtheA3junctionthroughamixedcommercialareatothewestofthesubjectproperty.
Theimmediatevicinitycomprisesamixofuses.Totheeastthesiteisboundedbyresidentialdevelopment(some on land previously owned by IBM). To the westisHartsFarmWay,amixedcommercialestate.Tothenorth,overtheA27,liesSolentRetailPark(tenantsincludeTescoandNext)andHavanttowncentre.
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CATCHMENTDEMOGRAPHICSHampshire has a total population, including Southampton and Portsmouth, of 1,760,000 (Census 2011) which is witnessing steady growth. The economy is worth £46.5 billion, and the county is home to c.65,000 businesses. LangstoneTechnologyParkislocatedinthePorstmouthconurbationinbetweenthecityandHaylingIsland.Portsmouthhaswitnessedsignificantpopulationgrowthover the last 5 years.
HistoricallyanchoredbyalargeNavalpresence,morerecentlytheCityhasenjoyedthesuccessofthecommercialport,whichnowhandles3.5millionpassengers(withanewterminalopenedin2011)andover2milliontonnesoffreight(includingimportsandexports)todestinationsacrosstheglobe.
TheUniversityofPortsmouthhasgrownrapidly(nowover20,000students)andisdevelopingspecialismsinMarinescience.
ThecompletionoflargeregenerationprojectslikeGunWharfQuaysandtheSpinnakerTowerhaveaddedtotheamenityofferinthecityandcreatedadestinationtorivalSouthampton.
Portsmouth population
269,593
258,837
248,081
241,532
217,321
205,400
2016 est.
2015
2014
2013
2012
2011
PE TERSF
IELD
RO
AD
NEW ROAD PARK ROAD N
.
WEST ST
EMSWORTH ROAD
NEW
LAN
E
HART S FARM WAY
HULBERT ROAD
BARNCROFT WAY
A27A27
A27
HAVANT
HAVANT
BEDHAMPTON
Solent Retail Park
BROAD LAKE
JUNCTION 5
JUNCTION 4
A3(M)
PORTSMOUTH & SOUTHAMPTON
BRIGHTON
TOWARDS LONDON
1
12
1110
8
9
7
54
4/14
5
4
3
2
1
M27
M27
M27
M3
A3(M)
PORTSMOUTH
GOSPORT
FAREHAMPORTCHESTER
HAYLING ISLAND
EMSWORTH
HORNDEAN
BISHOP’SWALTHAM
HAVANTSOUTHAMPTON
WATERLOOVILLE
PETERSFIELD
L A N G S T O N EH A R B O U R C H I C H E S T E R
H A R B O U R
T H E S O L E N T
T H E S O L E N T
I S L A N D O F W I G H T
A3023
A2030
A27
A27
A27
A32
A3
A3
A27
A259
A288
A272
A334
A32
A32
Langstone Technology Park
Destination Distance (miles) Journey TimePortsmouth 7 9 minsChichester 10 15 minsLondon 70 1 hr 40 minsA3(M) Junction 5 1 2 minsM25 Junction 10 44 49 mins
Airport Distance (miles) Journey TimeSouthamptonParkway 22 27minsLondon Gatwick 59 1hr21minsLondonHeathrow 65 1hr48mins
Train Station Fastest TrainChichester 12 minsPortsmouth 14 minsLondon Waterloo 1 hr 17 minsHavant railway station is 1 mile to the north providing direct trains to London Waterloo, Portsmouth and Chichester.
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DESCRIPTION
Langstone Technology Park comprises a 481,772 sq.ft. campus originally built by IBM in the 1970s. Themainbuildingsprovideamixofofficeandmanufacturingaccommodation,withthemajorityofthespacecurrentlyusedasoffices. The site is large, extending to a total of c.39.5 acres(16hectares),andprovides1,560surfacelevelcarparkingspaceswhichreflectsaratioof1:295 sq.ft.
Havingbeenestablishedsolong,andbeenassociatedwithIBM,thecampusisverywellknownintheregion,andbenefitsfromahighprofileinthelocalbusinesscommunity.Theparkhasbuiltupanenviablelevelofamenityprovision,includinghighqualityrestaurant/caféfacilitiesandacrècheandgym,whicharevaluableto the occupiers.
TheParkiscurrentlyhometoc.37companiesrangingfromlargemulti-nationalslikeSeagateandLockheedMartintolocalstart-upslikeJobsite.
ThePremierInnandfamilypubsituatedattheentrancetotheParkarenotwithintheownership,butareanimportantpartoftheamenityandweredevelopedinparttomeetdemandfromthepark’soccupiers.
Langstonebenefitsfromanupgradedpowersupplyof16 MVa which was originally installedbecauseofPeer1’srequirementsfortheirdatacentre.Thisincreasedpowersupplyisattractivetomanyoccupiers.Thesitehasthecapacityforthepowertobeincreasedbya further 16MVa.
470,000 sq.ft.
1,560car
spaces
THEY ALSO IMPRESS WITH THE WAY THEY ARE CONSTANTLY LOOKING TO IMPROVE THE FACILITIES HERE AND OFFER EXTRA VALUE ADD FOR ALL THE TENANTS.
Courtyard - Building 6000. Meeting room - building 4000. Car Park - 9am.
Courtyard - Building 4000.Courtyard - Building 4000.
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LANGSTONE TECHNOLOGY PARK HAVANT
•ThisbuildingwastheoriginalIBMheadoffice,and provides129,238sq.ft.NIAofofficeaccommodation over 3 levels. • Occupiedby27tenants.• Theaccommodationbenefitsfromairconditioning.• KeytenantsincludeJobsiteandAT&T.• Fittedouttoprovideamixofsuitesizesand servicedaccommodation.• Currently 28,372 sq ft vacant.• Average rent passing is £12.40 per sq ft.• Latest letting agreed at headline rent of £15.00 psf.
BUILDING6000
OUR BUSINESS HAS GROWN EXPONENTIALLY, STAFF COUNT HAS DOUBLED AND THE FASSET MANAGEMENT TEAM AT LANGSTONE HAVE REALLY EASED THIS PROCESS WITH A FLEXIBLE AND DYNAMIC RESPONSE TO OUR EVER-EVOLVING NEEDS
JOBSITE13
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LIFT
JOBSITE
JOBSITE
JOBSITE
SERVICEDOFFICES
TELEPLAN
TELEPLAN
TELEPLAN
MIXEDUSE
TELEPLAN
TELEPLAN
TEMPLELIFTS
LOCKHEED
LOCKHEED
FAST
OS
GLORYGLOBAL
VACANT PROPERTY DEPARTMENT
THIS DOCUMENT IS THE PROPERTY OF fasset business property solutions CAND MUST NOT BE COPIED OR DISCLOSED TO A THIRD PARTY
WITHOUT PRIOR CONSENT OF THE OWNER
DRAWN : CHECKED : DATE :
SCALE : SHEETOF SHEETS
PLOT DATE :
TITLE :
DRAWING NO :
CAD FILE NAME :
REVISION
DP MC 30/07/2015
1:400 @A31
1 18/05/16
LANGSTONETECHNOLOGY PARK
TENANT SPACEBD 6000 (26)
FIRST FLOOR
##
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LTP-Tenant plan.dwgB14
131,051 sq.ft.
BUILDING6000
Jobsite.
Courtyard. Typical floor plan.
LANGSTONE TECHNOLOGY PARK HAVANT
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• 63,296sq.ft.ofofficeaccommodation over 3 levels. • FullylettoLockheedMartin.• Highlysecurefacility.• Thetenantrefurbishedthepropertyand regeared the lease in 2015. • Rentpassingequatestojust£9.00 per sq ft.
BUILDING7000
PLANT
(A)ROOM
ROOMPLANT
(B)
LOCKHEED
PROPERTY DEPARTMENT
THIS DOCUMENT IS THE PROPERTY OF fasset business property solutions CAND MUST NOT BE COPIED OR DISCLOSED TO A THIRD PARTY
WITHOUT PRIOR CONSENT OF THE OWNER
DRAWN : CHECKED : DATE :
SCALE : SHEETOF SHEETS
PLOT DATE :
TITLE :
DRAWING NO :
CAD FILE NAME :
REVISION
DP MC 30/07/2015
1:200 @A31
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LANGSTONETECHNOLOGY PARK
TENANT SPACEBD 7000 (27)
GROUND FLOOR
##
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##
##
#
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LTP-Tenant plan.dwgB
Typical floor plan.
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BUILDING7000
63,296 sq.ft.
Main entrance.
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LANGSTONE TECHNOLOGY PARK HAVANT
• Thisbuildingwasoriginallyaproductionunitand comprises149,943sq.ft.GIAoveronelevel.• Theaccommodationbenefitsfromahighfloorto ceilingheightandlargeflexiblefootprint.• Threeseparateentrances-fromBuilding4000 and at western and eastern elevations.• Thebuildingismulti-letatanaveragerentof£9.40 per sq.ft.• Latest letting agreed at headline rent of £13.50 psf.• Thespaceprovidesmainlyofficeaccommodation, with ancillary datacentre and storage facilities.• The largest tenant, Seagate, is vacating their accommodationin28thFebruary2018.Thisspacewill offerthelargestcontiguousfloorplateavailableintheM27 corridor,andcouldattractinterestfromawiderangeof occupiers.
BUILDING1000
151,377 sq.ft.
Seagate Reception.
6858
V V V V V V V
D D D D D D D DD
V V V V
V V VV V V V V
MANHOLE
SMOKINGSHELTER
V D
(23)(22) (24)
1000
3000 4000
1000 100010001000(21)
Gas Gov
A 27
AREA 1AREA 2AREA 3AREA 4
6858
DK DK
V
D D D D D D D DDV V VV V V V V
MANHOLE
SMOKINGSHELTER
MOTORCYCLES
V D
A27 TRUNK ROAD EASTBOUND CARRIAGEWAYA27 TRUNK ROAD WESTBOUND CARRIAGEWAY
VISITORS PARKING NINE BAYS DISABLED PARKING TEN BAYS DROP KERBPermiable Blocks over Soakaway Trench Construction
Permiable Blocks Construction
Cycle StandsSMOKINGSHELTER
SEAGATE SEAGATE SEAGATESEAGATE
LOCKHEED
LOCKHEED
RAYTHEON
MIXED USE
LOCKHEED
LOCKHEED
LOCKHEED
SACKE
PIRAMAL
MICROSECK
BATTELLE JOBSITE
BATTELLE
SEAGATE
PROPERTY DEPARTMENT
THIS DOCUMENT IS THE PROPERTY OF fasset business property solutions CAND MUST NOT BE COPIED OR DISCLOSED TO A THIRD PARTY
WITHOUT PRIOR CONSENT OF THE OWNER
DRAWN : CHECKED : DATE :
SCALE : SHEETOF SHEETS
PLOT DATE :
TITLE :
DRAWING NO :
CAD FILE NAME :
REVISION
DP MC 30/07/2015
1:750 @A31
1 30/07/2015
LANGSTONETECHNOLOGY PARK
TENANT SPACEBD 1000 (21)
FIRST FLOOR
##
##
##
##
##
#
############
LTP-Tenant plan.dwgA
Typical floor plan.
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BUILDING1000
Images of existing Seagate fitout and loading bay. This page and overleaf - architects images showing refurbishment option for Seagate accommodation.
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BUILDING1000
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• 100,381 sq.ft. NIA.• Originallybuiltasahighbaywarehouse.• MajorityoccupiedbyPeer1foraDatacentre at a very low rent of £4.95 psf. •Onefloorofofficesandamezzanine production area.• Average rent £4.93 psf• Current vacancy of 14,372 sq.ft.• Latest letting at headline rent of £13.50 psf.
BUILDING5000
99,183 sq.ft.
Reception.
View from main car park.SSE meeting room.SSE offices.
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• 32,535sq.ftofofficeandamenity accommodation.• Thisblockactsasthecommunityhubforthe scheme.Thereisalargecafé/restaurantarea and shop.• Meetingroomsandalargerconferenceroom areavailabletoalltenants.• Courtyardareashavebeenlandscapedto provideattractiveamenityforoccupiers.• Average rent passing is £7.80 per sq ft.
BUILDING4000 18,509
sq.ft.
Conference facility.
Typical meeting room.
Restaurant.
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AMENITIESGYM NURSERY
•Previouslyoperatedinthebasementofbuilding 7000.•Newlargerfacilitybuiltinthecarparkin2015.•Wellequippedgymwithexperiencedoperator.•Importantpartoftheamenityforstaffonsite.
•Wellusedbystaffonsite.• New lease signed in 2011.
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BUILDING SUMMARY
Building Total Area (Sq Ft) Total Area (Sq M) Let Area (Sq Ft) Let Area (Sq M) Vacant Area (Sq Ft) Vacant Area (Sq M)
1000 149,943 13,930 143,620 13,343 6,323 587
4000 32,535 3,023 18,109 1,682 - -
5000 100,381 9,326 83,761 7,782 14,372 1,335
6000 129,238 12,007 99,348 9,230 28,372 2,636
7000 63,296 5,880 63,296 5,880 - -
Other 6,379 593 6,379 593 - -
Total 481,772 44,758 414,513 38,509 49,067 4,558
ACCOMMODATION
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LANGSTONE TECHNOLOGY PARK HAVANT
TENUREThe property is held freehold.
TENANCIESThepropertyismulti-letinaccordancewiththescheduleprovided.Thecurrentnetoperatingincomeisc.£4,234,112perannum.WeunderstandthatSeagatearevacatingtheiraccommodationinFebruary2018,atwhichpointthenetoperatingincomewilldroptoc.£2,100,000perannum.
ThecurrentWAULTacrosstheparkis1.7years.
SERVICE CHARGETherearecurrentlytwoservicechargesinoperationatthepark.ThefirstisahistoricalFacilitiesManagementChargewhichisalegacyoftheIBMownershipofthesite.ThesecondisastandardservicechargewhichwasintroducedbyourclientsinApril2017.
FacilitiesManagementCharge-Thebudgetforthey/eNovember2016was£4,700,000,andforthey/eNovember2017is£3,744,000.Theseratesequatetoc.£10.50 per sq.ft. and £8.00 per sq.ft. respectively.
ServiceCharge-Theservicechargebudgetforthey/e??????is£3,013,000,whichequates to c.£6.50 psf.
SinceApril2017alllettingshavebeendoneonthestandardarrangement.Howevercurrentlybyfloorarea385,000 sq.ft.remainsletonhistoricalleasesundertheFacilitiesManagementregime.
Fullservicechargeschedulesareavailableonrequest.
EPCAllthebuildingsatLangstoneTechnologyParkare currentlyratedD.
COVENANTINFORMATION Lockheed Martin 2016 2015
Turnover $47,248,000(NetSales) $46,132,000
PreTaxProfit $5,302,000(NetEarnings) $3,605,000
Net Assets $47,806,000(totalassets) $49,128,000
At&T Global Network Services
2015 2014
Turnover £270,960,000 £238,900,000
PreTaxProfit £2,276,000 £1,486,000
Net Assets £163,560,000 £167,679,000
Jobsite 2016 2015
Turnover £30,382,000 £31,416,000
PreTaxProfit £5,652,000 £8,276,000
Net Assets £9,439,000 £15,115,000
HGST Europe Ltd 2016 2015
Turnover £13,599,000 £13,791,000
PreTaxProfit £1,507,000 £586,000
Net Assets £5,534,000 £4,531,000
Teleplan 2015 2014
Turnover £3,984,000 £2,320,000
PreTaxProfit (£530,000) (£1,635,000)
Net Assets £3,868,000 £4,493,000
Advanced Resource Managaers Limited
2016 2015
Turnover £44,930,000 £53,689,000
PreTaxProfit £261,000 £513,000
Net Assets £2,923,000 £2,326,000
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OPPORTUNITIES TOADDVALUE Weareoftheopinionthattheparkoffersmultiple different business plans to investors.
OPTION 1 - MANAGE THE EXISTING REAL ESTATE AND OCCUPIER BASE • 80%oftheaccommodationiscurrentlyletunderthehistoricalregime,which meansaninflatedservicechargeandlowrent.Astheseleasesexpiretenants canbebroughtintothenewservicechargeregime,andrentalupliftssecured.
• There is currently c.49,000 sq.ft.ofvacantaccommodation,whichisimmediately availableforoccupation.
• InMarch2018theSeagateleasesexpireandweunderstandthecompanywillbe vacatingallitsaccommodation.Thisaccommodationisinbuilding 1000,inalargecontiguousfloorplateofc.100,000sq.ft.Thisspaceoffersself storage, education or datacentre.potential for a variety of usesincludingoffices, high tech production, or datacentre.
• Increased data centre provision. The potential exists to create further datacentre facilitieswithintheexistingbuildings.
Astheabovebusinessplanisimplemented,theincomeprofilecouldlookasfollows.
goingfrom£4.2millto£2.2millto£6mill.
OPTION 2 - PHASED REDEVELOPMENT Thesiteextendstonearly40acresandisveryprominentlysituatedadjacenttotheA27dualcarriageway.Itthereforewouldsuitamixeduseredevelopmentcomprisingoffices,retailwarehousing,residentialorindustrialuses.Primerentsintheareaarecurrently at the following levels
Office £20.00psf+RetailWarehousing £32.50psfIndustrial £8.00psf+TradePark £13.50psf+
LangstoneisoneofthemostimportantemploymentsitesinHavantBorough,andweunderstandthecouncilwouldbesupportiveofawiderangeofusesaspartofaredevelopmentofthefacility.
OPTION 3 - DATA CENTRE HUBThegrowingdemandfordatastoragecreatedbytechnologicaladvancesmeansthataregionaldemandforhubsisgrowing.Therearetwodatacentresonthesitealready,lettoPeer1andLockheedMartin.
Thecurrentpowerprovisionis16MVa,andiscapableofbeingupgradedtobetween30and40MVa.Combinedwiththeexcellentfibreconnectivity,thismeanthatthereissignificantpotentialtoincreasethedatacentreprovisiononthesite.
OurclienthastakenspecialistadviceonthepotentialofLangstone,andtheimageoppositeshowshowthesitecanbeextended.
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TheSouthCoastofficemarketisundergoingamajortransformation,withsignificantpublicandprivatesectorinvestmentinnewinfrastructure,amenitiesandmixed-usecommercialdevelopment.AlliedPropertieshasundertakenamajorresidentialledmixed-usedevelopmentinOceanVillageandHarbourHotelisduetoopena5-starhotelinOctober2017.HammersonhascompletedthedevelopmentofanewshoppingandleisuredevelopmentatWestQuayWatermarkandthereisalsoanew£400mretailandresidentialschemeproposedatMayflowerPark,Southampton.
WithsignificantinvestmenttakingplacealongtheSouthCoast,businessesarefocusingontakingadvantageofacquiringaccommodation.However,therecentriseinoccupierdemand,coupledwiththereductioninsupply,partlybroughtaboutbyachangetoplanninglegislation,meansthatthereisalackofqualityofficesinthecitycentre.Withlittleprospectofdevelopersundertakingspeculativeofficedevelopmentthedemandforrefurbishedspacewillcontinuetoincrease.LandlordsinBournemouthappeartobemakingthefirstmoveindevelopingthreebrandnewGradeAoffices.
SOUTH COAST OFFICEMARKET
ThefirstofwhichwillbeavailableinSpring2018.LymingtonisleadingthewayinGradeAdevelopmentwithStirleyHouse(circa13,500sqft)whichcompletedMay2017.ThreebrandnewGradeAofficesarealreadybeingdevelopedinBournemouth,withthefirstbeingavailableinSpring 2018.
Wehavewitnessedanumberofpropertiesexceedingrental expectations. One Insurance took Grade A space at GatewayHouse,achievingaheadlinerentof£21.00persqft.DaisyWholesaleisduetocompleteatNatwestHouseona10-yearleaseatarentof£19.75persqft.RadcliffetookGradeBrefurbishedspaceatMeridiansHouseachieving£18.00persqftona10-yearleasewithabreakatyearfive.PWCachievedastraight10-yearleaseatarentof£19.25persqft.Smith&Williamson,atCumberlandHouse,achieved a rent of £19.50 per sq ft, which was quoting £17.50 per sq ft in 2015.
AtLakeside,whichisdirectcompetitiontoLangstone,takeuphascontinuedtobestrongin2017.ThemostrecentlettingwasinMarch17,whenSPBacquired8,090sq.ft.inBuilding3000ona5yeartermataheadlinerentof£18.00psf.
Thesoutheastofficemarkethasseencontinuedhighlevelsofactivityduring2017,withjustover£2billiontransactedbytheendofSeptember.Anunusuallyhighlevel,c.75%,comprisedbusinessparkassets.ThislevelhasbeenskewedbyseverallargerdealsincludingaportfoliosalebyOaktreetoFrasersandtheacquisitionoftheABBPportfoliotoTPGRealEstate.
Investordemandhasremainedstrong,reflectingcontinuedstrongperformanceoftheeconomy,whichgrew1.8%in20216.Thisgrowthcamedespitethereferendumresult,andtheBankofEnglandispredictinggrowthtobe1.9%in2017.LocalAuthoritieshaveremainedactive,althoughfocusedonprimeassetsorthosesituatedwithintheirownjurisdictions.TheInstitutionshavebeenwatchingthemarketcarefully,withsomeconcernovershorttermperformance.Howeverasthesummerhaspastanumberhavebeenactive,againfocusingontheprimeendofthemarket,andselectinglargerlotsizes.
Thesecondarymarkethasseenreducedlevelsofactivity,withc.£150millofsub-£10millionpropertiestradedinthesoutheast.Investordemandremainsstrong,butatpricinglevelswhichoffervalue.
INVESTMENT MARKETCOMPARABLES
DATE ADDRESS TENANT TERM CERTAIN
PRICE NIY CAPITAL VALUE (PSF)
AUG 17 CAPITAL PARK, LEEDS MULTI-LET 4.5 YEARS £18.225M 8.9% £200
JUL 17 MARLOW INTERNATIONAL MULTI-LET 6.8 YEARS £68.5M 7% £320
JUN 17 CAPABILITY GREEN MULTI-LET 4.75 YEARS £19.9M 7.5% £230
SEPT 16 THE FORUM, SOLENT BP MULTI-LET 5.3 YEARS £42M 7.5% £166
MAR 16 FUSION 1/2/3 SOLENT BP MULTI-LET 5 YEARS £34.7M 7.6% £200
ESTIMATE RENTAL VALUEThehistoricFMregimehadtheeffectofsuppressingrental levels across the park, so the average rent passing equatestojustbelow£9.00 psfperannum.
Thelatestlettingsofstandardofficesuitesacrosstheparkaresignificantlyaheadofthislevel,atheadlinerentsof £14.50 - £15.00 psf. At these levels, Langstone still offersarentaldiscounttothecompetingbusinessparks.Seemapopposite.
-
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
ANNUALISEDNOI
Inbuilding1000termshavebeenagreedwithBatelleforexpansionintoafurther7,000sq.ft.tocreatelaboratoryaccommodation,andthislettingreflectsaheadlinerentof £13.50 psf.
Our client has taken specialist advice on the data centre, and their opinion of ERV is £15.00 psf.
Applying the latest levels across the park shows that the ERV is c.£6,000,000perannumatanaveragerentof c.£12.75 psf.ThegraphbelowshowshowtheNetoperatingincomewillimproveastheaccommodationislet at full ERV.
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LANGSTONE TECHNOLOGY PARK HAVANT
3938
LANGSTONE TECHNOLOGY PARK HAVANT
VATWeunderstandthatthepropertyiselectedforVATandthereforeVATwillbepayableuponthepurchaseprice,andthesalewillbebywayofaTOGC.
PROPOSALWeareinstructedtoseekoffersinexcessof£xx subjecttocontractandexclusiveofVATforourclient’sfreeholdinterest.
This would equate to a net initial yield of xx% net of purchasers costs of xx%, and an attractive capital value of £xx psf(beforeacquisitioncosts).
ThepropertyisheldinanSPVwhichcouldbeacquired.Furtherdetailsavailableuponrequest.
FURTHERINFORMATIONTim WillsDD:02036678405M: 07789690863E: [email protected]
Andrew DobsonDD: 020 3667 8402M: 07789690753E: [email protected]
Tom SteadmanDD: 020 3667 8406M: 07904276239E: [email protected]
BCMStChristopher’sHouse,StChristopher’sPlace,LondonW1U1NZ
Misrepresentation Act: These particulars are issued, without responsibility on the part of the vendor, BCMRE, or any of their respective employees or agents and serve only as an introductory guide to the premises. No part of them constitutes a term of a contract or a statement or representation upon which any reliance can be placed. Any person with an actual or prospective interest in the premises must satisfy themselves as to any matter concerning the premises by inspection, independent advice or otherwise. Neither BCMRE, nor any of their employees or agents have authority to make or give any representation or warranty as to the premises whether in this report or otherwise. Unless otherwise stated all figures quoted are to be considered exclusive of VAT. The plans are published for convenience of identification only, and although believed to be correct, their accuracy is not guaranteed and does not form part of any contract. October 2017.Design and produced by PLP London T:020 3137 3079 • plplondon.com
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