About this property

Detailed Description

The property comprises a modern, detached and bespoke Distribution Facility Investment with Packaging & Ripening Facilities with ancillary Office and Staff accommodation situated on a large site affording dock-level access to the main space, plentiful Yardage and perimeter Car Parking where scope exists on a Subject to Planning basis for further extensions to be built to the existing property.

We believe that the original structure was constructed during the late 1980's / early 1990's and substantial investment has occurred since construction to ensure that the Premises meet the most modern and stringent standards for their current use. The tenant has also spent considerable sums recently upgrading aspects of the property to suit their business requirements which demonstrates a commitment to the building, potentially beyond the July 2025 lease expiry date.

The property is of steel portal frame construction with a mixture of brick and insulated profiled metal cladding to the external elevations under a insulated and profiled metal roof covering. Eaves heights within the Stores and Packaging areas range from approximately 6 metres to 9 metres (20 ft to 30 ft). The two storey Office and Staff accommodation to part of the building is air conditioned and with heating being gas-fired via radiators. The main space has halogen lighting together with a 3 phase electricity supply and also level access and dock level entry points to the main areas.

Location

As of the 2011 Census, Spalding had a resident population of approximately 31,500 people with the Town being located approximately 23 miles North of the City of Peterborough where access to the A1(M) can be obtained.

This bespoke detached and modern Food Factory and Cold Stores with ancillary Office and Staff accommodation occupies a prominent position at the heart of Spalding's Premier Business Park affording easy access to the A16 Trunk Road. There are many similar businesses located within close proximity in addition to Manufacturing and Logistics businesses.

Spalding has a long history of being a base for businesses associated with food, produce and flowers with the immediate vicinity offering available and skilled labour to suit most business requirements in this sector

Accommodation

In terms of gross internal area, the property comprises as follows:

Floor Description Sq M Sq Ft
Ground Packaging Areas 1296 1,395
Ground Assembly Area 892 9,602
Ground Ripening Units 98 1,055
Ground Cold Stores 2173 23,391
Ground Stores, Plant Room & Workshop 687 19,950
Ground Office & Staff Accommodation 619 6,663
First Offices 594 6,394
TOTAL 6,359 68,450

Business Rates

The property is assessed under the 2017 Rating List as a Warehouse & Premises with a Rateable Value of £252,500.

Services

We understand that mains electricity (with 3 phase supply), gas, water and drainage are connected to the property.

Prospective purchasers are advised to check upon the adequacy and provision of services with the relevant Statutory Authorities prior to making an offer to acquire this investment property. None of the services or apparatus contained within the property have been tested by Brown & Co and as such no warranty is either given or implied as to their provision or condition.

Viewing

VIEWING AND FURTHER INFORMATION
Strictly by prior appointment with the Sole Selling Agents:

Brown & Co
5 Oakwood Road
Lincoln
LN6 3LH
Tel: 01522 457800

James Cameron
01522 457172
07768 465753
james.cameron@brown-co.com

VAT

The asking price quoted herein is exclusive of VAT at the appropriate rate and we understand that VAT will be charged upon the sale price negotiated.

Legal Costs

Each party will be responsible for their own legal costs in respect of any sale negotiated.

Other

EPC RATING
The property has an EPC Rating of D79.

Terms

LEASE & RENTAL TERMS
The property is occupied on an effective full repairing and insuring lease (excluding roof & structure) for a 5 year term expiring on 31st July 2025 by Karsten UK Ltd at a rent fixed for the duration of the lease term of £362,500 per annum exclusive of VAT at the appropriate rate. The lease has a Schedule of Condition attached. The lease contains Options to Determine at the end of Years 3 & 4 upon service of at least 12 months prior written notice.

Karsten UK Ltd forms part of a Multi-National Food Business with the Group of Companies being under South African ownership. The subject property is Karsten's main UK operational base.

ASKING PRICE
We are quoting an asking price of £4,835,000 for the freehold interest in this property subject to the terms of the existing lease to Karsten UK Ltd.

A purchase at the asking price will produce a net initial yield of 7% after the addition of standard acquisition costs.