SOUTHALL ENTERPRISE CENTRE BRIDGE ROAD SOUTHALL UB2 4AE - WEST LONDON MULTI LET INDUSTRIAL - Allsop
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SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•SOUTHALL•UB2 4AE
WEST LONDON MULTI LET INDUSTRIAL
INVESTMENT OPPORTUNITY
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
WEMBLEY CENTRAL LONDON
STADIUM
PARK ROYAL
EALING STATION
PERIVALE PARK
IND ESTATE
EALING HOSPITAL
SOUTHALL
ENTERPRISE CENTRE
Quayside Quarter
Consented mixed-use scheme
including 1,997 dwellings
Southall Sidings
A4020 Consented 460 unit PRS SUTAKA UK LTD
scheme (TFL)
CHANCERYGATE
OPEN STORAGE
LAND
CHARLES THE BRIDGE
HOUSE BUSINESS CENTRE
The West Works
GRAND UNION
ENTERPRISE PARK
MIDDLESEX BUSINESS CENTRE
SOUTHALL STATION
Greenview
Place
SOUTH
ROAD
Planning consent granted for a mixed use scheme
comprising c.2,000 new flats, a hotel and over
150,000 sq ft of commercial floorspace
Southall Waterside
Berkley Homes regeneration project
on former 88 acre gas works site.
Site outline for identification purposes only.
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
INVESTMENT CONSIDERATIONS
• Revisionary West London multi let industrial
investment opportunity.
• Southall is experiencing significant
regeneration and investment in anticipation
of Crossrail opening.
• Southall Enterprise Centre is located just
2 miles from Junction 3 of the M4 and
5 miles from Junction 15 of the M25.
• Prominent site fronting Bridge Road.
• The property comprises 25 units extending
to a GIA of 25,970 sq ft (2,412.7 sq m).
• Multi let to 19 tenants on monthly licenses with
an exceptional occupancy rate of 95% over
the last 5 years.
• The property is generating a passing rent of
£687,800 p.a. reflecting a low average rent
of £24.04 psf.
• Freehold.
• The site extends to 1.49 acres (0.6 hectares)
providing a site cover of 50%.
• Opportunity to add substantial value by
implementing formalised leases, enhancing the
rent roll, refurbish and extend the units as well
as long term alternative use potential (STP).
PROPOSAL
• Offers sought in excess of £14,750,000
(Fourteen Million, Seven Hundred and
Fifty Thousand Pounds) subject to contract
and exclusive of VAT. This reflects a net initial
yield of 4.37% and an estimated reversion
to 5.26% after deductions of purchase costs
of 6.73%.
Site outline for identification purposes only.
A505 Stevenage
Dunstable Bishop’s Stansted
A418 LUTON Luton
Stortford A120
A5 A10
A1(M) A602
A44 M1 A131
A34 Aylesbury Harpenden
SOUTHALL A130
ENTERPRISE CENTRE
A40
BRIDGE ROAD•
• SOUTHALL
Hertford
A414 M11
Hemel Harlow
OXFORD A41
St Albans Hatfield
A12
Thame Hempstead
A4142 Chelmsford A138
M10 A414
A420 A414
A404 Chesham Epping Chipping
A4010
M25 Ongar
Borehamwood
Watford A1 Enfield
High M1 M11 A130
Wycombe A355 A413 Billericay
Wickford
M40
Harrow A10 A127
Ruislip Brent A12
Basildon
A404 Cross Romford
LONDON
A40
Wembley Benfleet Southend-on-Sea
A34 Maidenhead
Slough SOUTHALL A13 M25 Stanford-le-Hope
A404(M) London
M4 Fulham
City
Windsor Hounslow
READING Clapham
A2
M25 Heathrow Dartford
A316 Gravesend
A329(M) Staines Kingston Sheerness
Bracknall Egham
Upon Thames A20
Ascot Bromley
A309 A23
M3 A3
A322 Rochester Gillingham
Walton-on Croydon
A232 A21 M2
-Thames Sutton M25 M20
Sandhurst Epsom Sittingbourne
Snodland
Woking A217
A339 A22 M26 M20
M3 Sevenoaks
LOCATION Fleet A331 Maidstone
A3
A34 Southall is in the London Borough of Ealing, West London. It lies approximately 12 miles west of Oxted
Aldershot Reigate
Central London, 5.7 miles north east of Heathrow Airport, the largest and busiest airport in theGUILDFORD Didcot Parkway London A26 Stratford Ilford Shenfield
UK.
With a capacity for at least 6,000 new homes and 3,000 new jobs over 520ha, Southall is one Swindon Dorking Reading Redhill
Maidenhead Slough Southall Paddington
of the biggest opportunity areas in west London. Bath Spa A21
Bristol A24
The industrial economy of Southall remains relatively robust supporting more than 6,000 jobs. M23 Tonbridge
Tottenham Liverpool
A303 Godalming Temple Meads
Ealing has more self employed people than any other London Borough, equating to 19% of the Horley Royal
Court Road Street
Canary Abbey
workforce. Since the announcement of Crossrail the industrial areas have experienced significant Staplehurst
renewal with a mix of new industrial units andAlton
land previously allocated as brownfield or obsolete
Witley
Basingstoke Gatwick Heathrow Airport Tunbridge Wharf Wood
industrial stock, seeing redevelopment. Cranleigh A264 Wells
A229
A31 Crawley Three Bridges
A264 East Grinstead
TRAVEL TIMES Horsham From 2022 the Elizabeth Line the largest railway interchanges it will provide a
(Crossrail) will be operational catalyst to drive forward the projected delivery
SOUTHALL STATION LONDON PADDINGTON LONDON WATERLOO READING
via Ealing Broadway Line of 25,000 new homes and 65,000 new jobs
0.5 miles 13 mins 35 mins 40 mins
providing additional accessibility to facilitate London and UK growth and global
A23 Haywards into the West End and City of London. In competitiveness.
Heath time, Old Oak Common will provide ‘super- The proximity and connectivity to these road,
M4 (J3) MOTORWAY A40 M25 MOTORWAY hub’ connectivity through the Elizabeth Line rail and air networks makes Southall an
2.3 miles 3.2 miles 5.3 miles (Crossrail) and HS2 at its epicentre. It will attractive proposition to occupiers who fulfil
DRIVE TIMES
Burgess Hill arguably be the most connected rail station in manufacturing, logistics and other functions
LONDON HEATHROW LONDON GATWICK LONDON LUTON the UK, connecting London to Heathrow, the across London.
5.7 miles 26 miles 37 miles Midlands, the North and Scotland. As one of
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
SITUATION SOUTHALL’S OPPORTUNITY AREA PLANNING FRAMEWORK
The property occupies a large site with good road frontage that is currently brownfield or obsolete industrial stock is
onto Bridge Road. It is surrounded by predominately industrial likely to be redeveloped in the medium term. The area
with the Great Union Enterprise Park adjacent to the west, the has been specifically released from being a ‘strategically
Bridge Business centre to the east and quasi retail/industrial industrial location’. Major companies with a presence in
occupiers operating out of Charles House opposite. To the the local area includes DPD, Toolstation, Screwfix and Selco.
south is residential. The immediate area forms part of Southall’s Opportunity Area. This
Whilst the area is predominantly dated industrial stock there is has led huge inward investment from the local authority and blue
significant regeneration planned for the area and therefore land chip developers who are assisting in the gentrification of Southall.
G R E E NFORD RO
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IDGE R
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HIGH A402
ST R E ET 0 UX
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BRID
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SOUTHALL OA D
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WAY
PARK
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SOU
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L AN
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COUNTRY PARK SOUTHHALL
THE
WINDMILL
005
A312
A3
GLADE LANE
HAYES &
D
BR I D G E PARK
HARLINGTON
R
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NE
EE
B4
GR LA
MERRICK ROAD
54
W
THE
W
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IN
TE
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IL
TEN
LL
AN
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1 27
NO M O NTA
GUE WA
RT AD YE SOUTHALL
A4
HH RO ENTERPRISE CENTRE
YD HAYES ROAD N
E R OAD ER
WES T
A3
0 05
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OR
WOO
DR
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AIRLINKS
J3
GOLF CLUB
M4
M4 H
ES
TO
N RD
The unique opportunity presented
by the arrival of Crossrail at Southall
is reflected by the preparation of
the Southall’s Opportunity Area
Planning Framework. The OAPF is
promoting the provision of affordable
workspace for small and medium-
sized businesses located southeast
of the station. The Southall Gateway
is one of the key redevelopment
opportunities within Southall.
© Crown Copyright, ES 100004106. For identification purposes only.
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
Southall Business Centre, Bridge Road, UB2 4AE
24/23
2
1
25
22
21
3
4
19 8
20 6 7
5
18
16 17
15
9
10
11
12
13
14
DESCRIPTION
Southall Enterprise Park is a secure The estate is well configured with each
self-contained site comprising of 5 unit benefitting from the following:
industrial/trade counter terraced units
• Level access loading door
constructed in the early 1980’s. The estate
provides 25 units totalling a GIA of 25,970 • Hardstanding loading area
sq ft with individual unit sizes ranging from to the front of each unit
250 sq ft to 3,001 sq ft. • Dedicated car parking
The buildings are of steel portal frame • Palisade fencing to the perimeter
construction with part profile metal clad/part with secured access
brick elevations under pitched composite
metal sheeting roofs with rooflights.
TENURE
THE SITE The site is held Freehold, edged red for
The site extends to 1.49 acres. indicative purposes on the plan.
(0.6 hectares) providing a low Units 2 and 21 have been sold off on 999 year
site coverage of 50%. LLH interest providing a ground rent of £200 p.a.
Site outline for identification purposes only. © Crown Copyright, ES 100004106. For identification purposes only.
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
TENANCY SCHEDULE
• The property comprises 25 units accommodating 19 tenants. • The estate has an excellent tenant retention rate and has seen a 95% occupancy rate over the last 5 years.
• The property is generating a net rental income of £687,800 p.a. reflecting a low average rent of £24.04 psf. • To the rear of the estate is a strip of land that is being used for Container storage producing £63,600 p.a.
• All units are let on rolling monthly tenancies providing excellent short term asset management potential. • Two units (2 & 21) have been sold off on LLH interests producing a ground rent of £200 p.a.
UNIT TENANT AREA (SQ FT) AREA (SQ M) RENT (£PCM) RENT (£P.A) RENT (£PSF) ERV (£P.A) ERV (£PSF) COMMENTS
1 Original Edge Ltd 1,871 173.8 3,600 £43,200 £23.09 £56,130 £30.00
Sold off on a 999 year LLH interest from 14/03/2018. Ground rent of £100 per annum
2 (Sold off) One Life Reality £100 £100
to be doubled every 25 years. Service charge of £210 pcm.
3 Phone Concept UK 1,040 96.6 2,500 £30,000 £28.85 £31,200 £30.00
4 Phone Concept UK 1,223 113.6 2,500 £30,000 £24.53 £36,690 £30.00
5 Madan Enterprises Ltd 708 65.8 1,350 £16,200 £22.88 £21,240 £30.00
6 Madan Enterprises Ltd 507 47.1 1,300 £15,600 £30.77 £17,745 £35.00
7 Select Accessories 507 47.1 1,200 £14,400 £28.40 £17,745 £35.00
8 NSK Tech Zone Ltd 516 47.9 1,300 £15,600 £30.23 £18,060 £35.00
9 Mr. Ali & Alam 1,217 113.1 2,500 £30,000 £24.65 £36,510 £30.00
10 My Fone UK 3,001 278.8 4,000 £48,000 £15.99 £75,025 £25.00
11 Mr A M Sidiqi 2,096 194.7 3,250 £39,000 £18.61 £52,400 £25.00
12 Super Miss UK 2,096 194.7 3,250 £39,000 £18.61 £52,400 £25.00
13 Remax Phones UK 2,108 195.8 4,000 £48,000 £22.77 £52,700 £25.00
14 My Fone UK 2,108 195.8 3,200 £38,400 £18.22 £52,700 £25.00
15 Karman Fashions 516 47.9 1,050 £12,600 £24.42 £18,060 £35.00
16 Speed Juice Ltd 507 47.1 1,300 £15,600 £30.77 £17,745 £35.00
17 East West Clearance 507 47.1 1,300 £15,600 £30.77 £17,745 £35.00
18 Parcel World 708 65.8 1,800 £21,600 £30.51 £24,780 £35.00
19 Fone Master 1,223 113.6 2,500 £30,000 £24.53 £36,690 £30.00
20 Fone Master 1,040 96.6 2,500 £30,000 £28.85 £31,200 £30.00
Sold off on a 999 year LLH interest from 26/02/2018. Ground rent of £100 per annum
21 (Sold off) Sold off LLH interest £100 £100
to be doubled every 25 years. Service charge of £210 pcm.
22 Blaze Mobile Accessories 1,871 173.8 4,100 £49,200 £26.30 £56,130 £30.00
23 Shop 23 London Ltd 250 23.2 2,000 £24,000 £96.00 £24,000 £96.00
24/25 Phone World Mobile Accessories 350 32.5 1,500 £18,000 £51.43 £18,000 £51.43
Storage Containers Various £63,600 £63,600
25,970* 2,413 52,000 £687,800** £24.04 £828,695 £29.46
MANAGEMENT FEES £1,500 £18,000
Service Charge (Unit 2) £210 £2,520
Service Charge (Unit 21) £150 £1,800
SUB TOTAL £22,320
*Areas exclude all mezzanine levels. **Rents are exclusive of rates but inclusive of service charge and building insurance.
SOUTHALL
ENTERPRISE CENTRE
BRIDGE ROAD•
• SOUTHALL
ASSET MANAGEMENT INITIATIVES SOUTHALL INDUSTRIAL SNAPSHOT
The property provides the investor with significant asset
management opportunities to add value to the estate
by implementing the following initiatives. VACANT
FORMALISE LEASES
Exploring the opportunity of moving occupiers INVENTORY VACANCY RENTAL GROWTH PIPELINE
from licences to leases will improve the
security of the income whilst extending the
AWULT of the estate. 3.7M SQ FT 3.2% 6% 0 SQ FT
(150k sq ft lost to resi development (Lowest vacancy rate on record) (Over the past 12 months) (No industrial accommodation
in the past 12 months) currently under construction)
DRIVE ON RENTS
The reversionary rents can be driven forward
in line with the rental tone of the estate.
West London rents are projected to continue
on an upward trajectory, largely due to a lack INVESTMENT MARKET OVERVIEW
of supply. The Industrial sector proved highly resilient over the last 12 months, the pandemic accelerating consumer adoption of online commerce, food delivery and
home improvements meaning the provision of industrial stock has never been more critical. The severely restricted supply of existing and pipeline stock
continue to put an upward pressure on rents with London stock experiencing c.6% rental growth over the past 12 months. The record-high levels of leasing
INCREASE UNIT SIZES activity in 2020 will continue to drive even more investor interest in an already crowded sector, and thus put further downward pressure on yields.
The Vendor has recently submitted
a planning application for additional first floor PROPERTY DATE SIZE (SQ FT) TERM CERTAIN PRICE YIELD (NIY) CAP VAL (PSF)
accommodation on the units as a response to Phoenix Trading Estate, Perivale U/O 36,161 2.4 yrs £12.25m 2.94% £403
the excellent occupancy levels achieved over Art Logistics, 5-7 Park Royal, Acton Jan 2021 14,229 3.2 yrs £5.85m 2.70% £411
the last 5 years. This will significantly increase
New England Industrial Estate, Barking Nov 2020 144,000 3.5 yrs £41.75m 2.07% £290
the rental income of the estate.
Electra Business park, Canning Town Oct 2020 228,137 4.3 yrs £133m 2.58% £583
Viper Industrial Estate, Romford Oct 2020 43,419 7.8 yrs £12m 3.42% £276
CAPITAL EXPENDITURE Brentside Crescent, Hanger Lane Sept 2020 63,371 2.0 yrs £19.05m 3.83% £301
The purchaser will have the opportunity
to further enhance rental value through
refurbishing units.
ALTERNATIVE USE OPPORTUNITY
Southall is undergoing a period of
transformation with the property strategically
positioned for potential long term alternative use.
EPC
Please refer to the Allsop Dataroom for supporting documentation
VAT
The property is elected for VAT and it is proposed that the sale will
be treated as a Transfer of Going Concern (TOGC).
ANTI-MONEY-LAUNDERING
A successful bidder will be required to provide information to satisfy
the AML requirements when Head of Terms are agreed.
DATAROOM
For access to the Allsop dataroom please use the following link:
https://datarooms.allsop.co.uk/register/southall
PROPOSAL
Offers sought in excess of £14,750,000 (Fourteen Million, Seven
Hundred and Fifty Thousand Pounds) subject to contract and exclusive
of VAT. This reflects a net initial yield of 4.37% and an estimated
reversion to 5.26% after deductions of purchase costs of 6.73%.
For further information or to make arrangements for viewing please contact:
Richard Gale James Salmon
07527 388 024 07720 400 306
richard.gale@allsop.co.uk james.salmon@allsop.co.uk
allsop.co.uk
Misrepresentation Act: 1. Allsop LLP on its own behalf and on behalf of the vendor/lessor of this property whose agent Allsop LLP is, gives notice that: (a) these particulars do not constitute in whole or in
part an offer or contract for sale or lease; (b) none of the statements contained in these particulars as to the property are to be relied on as statements or representations of fact; and (c) the vendor/lessor
does not make or give, and neither Allsop LLP nor any of its members or any person in its employment has any authority to make or give, any representation or warranty whatsoever in relation to the property.
The only representations, warranties, undertakings and contractual obligations to be given or undertaken by the vendor/lessor are those contained and expressly referred to in the written contract for sale or
agreement for lease between the vendor/lessor and a purchaser or tenant. 2. Prospective purchasers or tenants are strongly advised to: (a) satisfy themselves as to the correctness of each statement contained
in these particulars; (b) inspect the property and the neighbouring area; (c) ensure that any items expressed to be included are available and in working order; (d) arrange a full structural (and where appropriate
environmental) survey of the property; and (e) carry out all necessary searches and enquiries. Allsop is the trading name of Allsop LLP. Design CommandD www.commandHQ.co.uk 03.21
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