Tewkesbury Industrial Centre Shannon Way

• A self-contained detached industrial unit located in an established commercial location.
• Prime location within close proximity to junction 9 of the M5 Motorway.
• Occupiers in the vicinity include: Screwfix, DHL, Royal Mail, GAP, Porsche and Auto Windscreens.
• Building totals 17,886 sq ft (GIA).
• Unit refurbished in 2021 for a cost of c.£495,000 (c.£28.00 per sq ft).
• Freehold site of 0.89 acres which provides a very low site coverage of c.30%.
• EPC Rating of B-45.
• Single let by way of an assignment to Mitie limited.
• Current tenant is ultimately owned by Mitie Group PLC who have a revenue in excess of £4.5bn.
• Let for a term of 10 years from 29th September 2021 with a tenant break option at the end of the 5th year (2 month rent penalty on break).
• Passing rent of £123,892 per annum equating to a low £6.93 per sq ft overall.
• Term of 7.07 years to expiry and 2.07 years to break.
• Open market upwards only rent review in the 5th year (29th December 2026).
• Rent considered to be reversionary with headline rents in the region of £9.00 psf in Tewkesbury.
Proposal
Offers sought in excess of £1,945,000 subject to contract and exclusive of VAT reflecting a low capital value of £109 psf.
A purchase at this level would reflect a Net Initial Yield of 6.00% and a Reversionary Yield of 7.50% (assuming an ERV of £8.75 psf), after purchasers’ costs of 6.26%.