WORTHING EUROTHERM UNIT, FARADAY CLOSE WEST SUSSEX, BN13 3PL - FREEHOLD LABORATORY/OFFICE INVESTMENT - Allsop
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EUROTHERM UNIT, FARADAY CLOSE
WORTHING WEST SUSSEX, BN13 3PL
FREEHOLD LABORATORY/OFFICE INVESTMENT
WITH 10.76 YEARS TO EXPIRY (5.72 YEARS TO BREAK) TO GLOBAL
BLUE-CHIP TENANT, WITH FUTURE DEVELOPMENT POTENTIAL
EUROTHERM UNIT, FARADAY CLOSE
WORTHING
WEST SUSSEX, BN13 3PL
INVESTMENT CONSIDERATIONS PROPOSAL
• 4,757 sq m (51,205 sq ft) laboratory/office building • The tenant is undertaking a multi million pound Offers are invited in excess of £4,240,000 (Four Million Two
located close to the A27 in Worthing, West Sussex refurbishment program illustrating commitment Hundred and Forty Thousand Pounds). A purchase at this level
to the property reflects an attractive Net Initial Yield of 7.75% and Low Capital
• Freehold
Value of £82.80 psf assuming standard purchasers costs of 6.55%,
• Let to Eurotherm Ltd with a guarantee from Invensys • AWULT of 10.76 years to expiry and 5.72 years
exclusive of VAT and subject to contract.
Ltd (5A1) on a 30 year FRI lease from 7th February 2002. to break
Schneider Electric (5A1) is the holding company of • Site area approximately of 3.9 acres providing
DATA ROOM ACCESS
Invensys and Eurotherm Ltd a low site cover of 31%
• Low passing rent of £350,000 per annum (£6.85 psf) • Excellent alternative use potential (STP) For access to the Allsop Marketing Data Room, please click on the
following link: https://datarooms.allsop.co.uk/register/eurotherm
• Tenant has recently moved their 2022 break option
to 2027
EUROTHERM UNIT, FARADAY CLOSE
M3
WORTHING WEST SUSSEX, BN13 3PL M20
LONDON
M25
M26
A25
LOCATION A331
A3
M25
Worthing is an affluent seaside town in West Sussex on the South Coast, approx. 100 km (60 miles) GUILDFORD
Reigate 1 HR
A26
Dorking 23 MINS
south of London. The town benefits from excellent east/west road links via A27, which links A31 A21
Worthing to Brighton, Hove, Portsmouth and the M27. Worthing also sits at the end of the A24 which A24
M23
Edenbridge TUNBRIDGE
runs north to the M23 and M25, approximately 48 km (29 miles) and 69 km (40 miles) respectively. GATWICK ROYAL
TUNBRIDGE
Direct rail services run from Worthing to London Victoria with a journey time of 80 minutes. East WELLS
Grinstead
Rail services also run to Brighton and to Gatwick Airport which is 50 km (30 miles) to the north. Crawley
A264 A26
51 MINS
Horsham Balcombe Crowborough
A22
Billingshurst
Haywards
Heath
A272
Uckfield
Burgess Hill A2
A24 A23
ROAD TRAIN AIR
Hassocks
A27 1.9 miles Brighton 25 mins London Gatwick 40 mins A22
A24 2.1 miles Chichester 28 mins Southampton 60 mins A283 LEWES
48 MINS Hailsham
M25 40 miles Portsmouth 50 mins London Heathrow 75 mins
A27 A27 Bexhi
Central London 60 miles London Bridge 90 mins Hove
A259
A259 LITTLEHAMPTON WORTHING BRIGHTON
A26
Bognor
Regis Peacehaven EASTBOURNE
Seaford
A2 80
A 24
SITUATION A27
A27 ARUNDEL ROAD
The property is accessed off Faraday Close and sits
A 280 A2
4
WA
RR
EN
between the A27 and the A2032 Littlehampton Road,
A2 NEW ROAD R
A2031 OFFINGTO N LANE
70 SALV INGTO N ROAD
OA
0 POND LANE
HAL F
T IT
D
PARK
N
with access to the A2032 via Romany Road and DURRINGTON LANE
MO
OR E LA
O N LANE
A2 7
STON E LANE
FU LLBAC K AVE
NE
Yeoman Road. FARADAY CLOSE
COLUMBIA D R IVE
The site is located to the north of Worthing town centre
D
TLE HA MP TON ROA
AD
A20 32 LIT A2
RO
4
R EC TO R Y RD
Y
in a mixed use location predominantly residential in
BROA DWAT ER
AN
M
LONGCROFT
RO
PARK
0 32
A2
nature. The Cignet Trading Estate is located to the rear
S FARM ROA
TERRINGES AVENUE
ROAD
of the property comprising seven mixed use units, two
ROAD
TI N E
THE BOULEV
PA LA
S ST
of which are occupied by Eurotherm. Littlehampton
D
ROAD
TAR R IN G
PTO N
ARD
EH AM
LIT TL
Book Services are located adjacent to the property,
A2 59
West Worthing Worthing
whilst The Pines Daycare Centre is located opposite
SH A F TES
R I NG ROA D A20 31
TA R
Goring-by-Sea
WORTHING
Durrington-on-Sea
to the property at the Faraday Close entrance.
BU RY AV
GOR ING WAY OAD
A25 9 M I LLR
EN UE
G ROA D
A 2 59 GO R I N
EUROTHERM UNIT, FARADAY CLOSE
WORTHING
WEST SUSSEX, BN13 3PL
REFURBISHMENT
PROGRAMME
The tenant is currently undertaking a multi-
million pound refurbishment of the property as
part of their strategy to concentrate Eurotherm’s
UK operations within the subject property.
The refurbishment programme is extremely
comprehensive and budgeted to provide best
in class technology and specification. Notable
upgrades included within the refurbishment
programme include;
• New suspended ceilings and carpeting
• Full independent LED light throughout
• Upgrades to air-conditioning/ climate control
• Upgraded glazing to part
• Full roof over-clad
• Resurfacing of the car park
• New laboratory, design and testing areas
• Upgrades to landscaping and courtyard area
• New kitchen and restaurant/ canteen
facilities
• Upgrades to loading area
The refurbishment programme clearly
illustrates the tenants commitment to the unit
and their intentions for continued occupation of
the property.
DESCRIPTION
The property comprises a single storey facility with open There is a canteen with kitchen as well as shower facilities
plan office totalling 51,205 sq ft (4,757 sq m). and locker rooms. A small landscaped courtyard is located
The property, built in 1980, is of brick construction with in the centre of the building.
Secured Very low 37%
a pitched aluminium roof. Internally the accommodation The building sits on a landscaped and self-contained site of 51,205 sq ft 3.9 acre (1.6 ha) site site cover
of flexible accommodation
is predominantly open plan with a reception area, approximately 1.6 ha (3.9 acres) with 120 car parking spaces.
meeting rooms and breakout areas along with some Visitor car parking is at the front of the site adjacent to the
cellular offices and specialist testing/laboratory suites. reception area with staff car parking to the rear.
Whilst the property is currently fitted out for office and
laboratory use, it is capable of conversion to provide 120 2x Tenant
either use solely. car parking spaces roller shutter doors heavily invested
EUROTHERM UNIT, FARADAY CLOSE
WORTHING
WEST SUSSEX, BN13 3PL
Cignet Trading Estate
Drain
2
The Laurels
First School
1
Path
El Sub Sta
9
The Pines
Stanhope Lodge
Works
6
10
ASH
FA
RA
DA
BUR
12
35
Y
CL
N
OS
14
HAM
E
2
DEERSWOOD CLOSE
C
LOS
E
CL
OS
E
SITE ACCOMMODATION
8
5
7
49
3.9 acres (1.6ha) site providing a low site cover of 31%.
1
1
1 to 12
Penhurst Court
44 GIA (sq m) GIA (sq ft)
Ground floor 4,694.1 50,527
1
TENURE
43
1 External stores 63.0 678
The property is held freehold under title number:
WALNUT TREE
WA
Y
SE
5
Total 4,757 51,205
O
CL
0m 25m 50m 75m WSX37872.
S
AD
HE
33
RO
2
RC
1 to 9
Y
BI
12
AN
38
M
1 to 9
14
RO
Ordnance Survey © Crown Copyright 2014. All rights reserved. Licence number 100022432. Plotted Scale - 1:1406
© Crown Copyright, ES 100004106. For identification purposes only.
TENANCY INVESTMENT RATIONALE
The property is fully let to Eurotherm Limited 2027. In return, the tenant will benefit from a 12
Let to a highly secure and Attractive unexpired term
(with a parent guarantee from Invensys Limited) month rent free period (to be topped-up by the
fully committed tenant with of 10.76 years to expiry
on a 30 year FRI lease from 7th February 2002. Vendor). An additional 9 month rent free period
a blue-chip parent guarantee / 5.72 years to break
will be provided if tenant does not exercise there
The passing rent is £350,000 per annum reflecting
2027 break.
only £6.85 psf. The lease is subject to rent reviews
on 5th May 2022 and 6th February 2027. The next rent review date has moved to 5th May
Low passing rent of Strategically located 3.9 acre site
2022 (i.e. the date the first rent free period ends).
A deed of variation was recently signed moving £6.85 psf with the next providing excellent alternative
The review on the 25th anniversary remains
the tenants 2022 break option to the 6th February review on 5th May 2022 use potential including; trade, light
unchanged.
industrial and residential (STP)
EUROTHERM UNIT, FARADAY CLOSE
WORTHING
WEST SUSSEX, BN13 3PL
LIFE SCIENCE
There is growing demand for flexible lab
space suitable for the UK’s expanding life
science sector. The lack of both “graduation space”
between incubator units and full, fixed-term space
is being picked up on by an increasing number
of developers and landlords who are considering
developing suitable space in order to attract life
science occupiers. Buildings which offer such
provisions enable life science occupiers to create
bespoke facilities without the associated costs,
adding flexibility to futureproof their assets.
COVENANT
(Ultimate Holding Company)
Originally founded in Worthing in 1956, Eurotherm Limited focuses Schneider Electric is the holding company of Invensys and Eurotherm Limited.
on the manufacture of temperature controllers. Eurotherm later went
Schneider is a European multinational company providing energy and automation digital solutions for efficiency
global, setting up three further companies under the Eurotherm
and sustainability. The company has operations in over 100 countries and employs 135,000+ people.
umbrella which focused on the research and development of
electronic products. In 1978 Eurotherm went public and it became
quoted on the London Stock Exchange. In June 1998 the company Schneider Electric in numbers:
was acquired by Invensys plc who were ultimately acquired in
January 2014 by Schneider Electric for $5.5 billion.
Free Adjusted
Experian Score: 87 (Low Risk) D&B: N3 Revenues: Cash Flow EBITA margin
(Guarantee)
Founded in 1999 through the merger of BTR plc and Siebe
€25.2B €3.7B 15.6%
plc, Invensys Plc is a multinational engineering and information
technology company headquartered in London, United Kingdom.
Proposed Dividend Adjusted Share Price
Prior being acquired by Schneider Electric, Ivensys Plc had offices per Share Net Income (at December 31, 2020)
€2.60 €2.6B €118.3
in more than 50 countries and distributed its products to over 180
countries worldwide.
Experian Score: 100 (Very Low Risk) D&B: 5A1
EPC
The property has an EPC rating of 86 (Grade D).
PROPOSAL
VAT Offers are invited in excess of £4,240,000
The property has been elected for VAT.. (Four Million Two Hundred and Forty Thousand
Pounds). A purchase at this level reflects an
ANTI-MONEY-LAUNDERING
A successful bidder will be required to provide information to satisfy the AML attractive Net Initial Yield of 7.75% and Low Capital
Value of £82.80 psf assuming standard purchasers
requirements when Head of Terms are agreed.
DATAROOM costs of 6.55%, exclusive of VAT and subject
For access to the Allsop dataroom please use the following link:
https://datarooms.allsop.co.uk/register/eurotherm
to contract.
For further information or to make arrangements for viewing please contact:
James Salmon Richard Gale
07720 400 306 07527 388 024
james.salmon@allsop.co.uk richard.gale@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 06.21You can also read
