Cadent Planetary Rd 33 780 pi² 4-Étoile Local d'activités Immeuble Willenhall WV13 3XD 18 502 328 $ CAD (547,73 $ CAD/pi²) 7,45% Taux de capitalisation

We are instructed to seek offers of £10,000,000 (Ten Million Pounds) subject to contract and exclusive of VAT. A purchase at this level based upon purchaser’s costs at 6.70% reflects a 7.45% NIY on a topped up basis.
The property is let by way of a 20 year lease to Cadent Gas Ltd from 13 April 2022. The property is let on Full Repairing and Insuring terms and includes 5 yearly rent reviews linked to RPI indexation. The property has a current rental income of £660,500 per annum exclusive. The lease contains a rent review in April 2027 which is calculated using annual RPI indexation with a 2-4% cap and collar. The income provides a WAULT of over 16 years to expiry. The vendor will top up the rent to a level of £795,215 per annum exclusive until the April 2027 review. This assumes existing RPI and projections going forward.
The property comprises a Grade A office building and ancillary warehouse set within a substantial 2.95 acre (1.19 hectares) site. The buildings were built and funded for Cadent and completed in 2022 to support their network of customers. The office building provides one of four mission critical regional hubs for Cadent to service their network of customers in the West Midlands. Their hubs require regional administrative support, fleet and equipment storage, network control and coordination, and 24/7 emergency response, and the layout of the buildings allows this to be provided.
The office is of steel frame construction and provides Grade A office accommodation on ground and first floors. The office includes a full height reception, flexible open plan floorplates with raised floors, suspended ceilings, VRF/VRV heating and cooling, and WCs on each floor. Externally there is parking for 119 cars (1:220 sq ft), and also secure cycle storage.
The warehouse is of steel portal frame construction with profile metal sheet elevations and roof. The warehouse has an eaves height of 6.25m and has a concrete floor with 37.5kn/m2 loading capacity. A first-floor mezzanine has been installed to provide further storage capacity. The industrial unit sits on 1.25 acres (0.51 hectares) of the total 2.95 acre site. There is a loading canopy and significant concrete yard area to the front of the unit, giving a site coverage of only 10% for the industrial element of the site. The industrial accommodation is capable of being let separately and shares access with the office building.
The tenant has moved from two former facilities in Wolverhampton to these new bespoke buildings which are tailored to Cadent’s regional requirements and support their longterm occupational commitment. Cadent undertook an extensive £3 million fit out which was designed to greatly enhance the staff experience. The buildings include multi-faith facilities, canteen and kitchens, showers and rest room, solar panels, rainwater harvesting and EV charging points.
The subject property is situated in an established commercial area of Willenhall, within the Metropolitan Borough of Walsall. The location provides convenient access to the M6 motorway (J10) approximately 3 miles to the east, the M54 motorway 6 miles to the north, together with the wider West Midlands and national motorway network. The property provides straightforward access to Wolverhampton 3 miles to the west, Walsall 6 miles to the east, and Birmingham 15 miles to the south east. The area is an established commercial location supporting strong occupier demand from a wide range of office, industrial, trade counter and out of town retail operators.