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September 2017

Western Body Hardware, Crossgate Road, Park Farm Industrial Estate, Redditch, B98 7SN

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sold

The property is located on Crossgate Road on the established Park Farm Industrial Estate in Redditch.  The property comprises a 39,725 sq.ft industrial unit on a site of 2 acres.  The property is let to Western Body Hardware Ltd on a 15 year lease from December 2010.  Annual RPI reviews with a collar and cap of 2% and 5%.  Current rent £129,806 per annum (£3.27 per sq.ft).  Expected rental increase in December 2017 to £134,608 per annum, based on forecast RPI.  Underlying capital value of £158,900 per annum (£4.00 per sq.ft).  Offers sought in excess of £1,500,000 which reflects a net initial yield of 8.16%, with an expected increase in December 2017 to 8.46% and a reversionary yield of 9.98%.  The price reflects a low capital value of £37.76 per sq.ft.

Franck Steier Price has recently completed the sale of a single let industrial investment on behalf of OLIM.

The property is located on the established Park Farm Industrial Estate south east of the town centre.

The property comprises a detached industrial unit dating from the 1970’s which is arranged in three bays. The property is primarily used for engineering and manufacturing.

The accommodation extends overall to 39,725 sqft.

The property is let to Weston Body Hardware Ltd on a 15 year term from December 2010. The passing rent is £129,806 – £3.27 per sqft. The lease has annual RPI rent reviews with cap and collar of 2% and 5%.

The property was sold to a private property company for £1,710,000 which reflected a yield of 7.15%.

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