lattimore road · investment summary 3 • located in the affluent m25 city of st albans ... r a...
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Single let M25 office Investment For Sale
ST ALBANS
44-52 lattimore road
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St Albans City
VICTORIA STREET
LATTIMORE ROAD
THE MALTINGSSHOPPING CENTRE
St Albans, Hertfordshire AL1 3XL
44-52 lattimore road
LON
DO
N R
OA
D
ALMA ROAD
LORETOCOLLEGE
CITY COUNCILOFFICES
Investment Summary
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• LocatedintheaffluentM25cityofStAlbans
• Prominentsingleletofficebuildingintheheartof thecitycentre
• Comprising7,163sqft(665.53sqm)NIAover groundandtwoupperfloors
• LettoHSBCBankPlconaFRIleasefrom8thApril 2015to7thApril2025providinganunexpired leaseterminexcessof8.5years
• A tenant’s option to determine the lease on the 8thApril2020
• 26carparkingspaces(1:275sqft)
• Freehold
• Passingrentof£135,750pax(£18.95persqft)
• Excellentpotentialforlongertermresidential conversion
• Offerssoughtinexcessof£1,900,000(OneMillion, NineHundredThousandPounds)reflectinganet initialyieldof6.72%afterallowingforpurchaser’s costsof6.25%.Apurchaseatthislevelreflectsa lowcapitalvalueof265persqft
St Albans, Hertfordshire AL1 3XL
44-52 lattimore road
FOLLY L ANEVERULAM ROAD
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MOUNT PLEASANT
ABBEY MIL
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KING HARRY LA
VICTORIA STREET
LONDON ROAD M25/ M1
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VERULAMIUMPARK
CATHEDRAL
ST ALBANSCITY
MALTINGSSHOPPING
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HATFIELD ROAD A1(M)
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StAlbansislocatedinthenorth-westquadrantoftheM25approximately22milesnorth-westofCentralLondonand6mileseastofHemelHempstead.Thecityhasaresidentpopulationofapproximately140,000andahighlyskilledworkforcewiththefourthhighestpopulationofmanager,seniorofficialsandprofessionaloccupationsinthecountry.
Thecitybenefitsfromexcellentrailandroadcommunications.RailservicesfromStAlbansCityStationprovideafastestjourneytimetoStPancrasInternationalof18minutes.ThameslinkrailservicesfromthecityconnectdirectlytoBrightontothesouthandBedfordandLutontothenorth.Stansted,HeathrowandLutonAirportsareallwithinaneasydrive.
Thehistoricalcitycentreprovidesmoderncommercialandbusinessaccommodationandanexcellentmixofleisureandshoppingfacilitieswithawideselectionofnationalandlocalretailers,restaurants,pubsandcafés.
TheexcellentcommunicationswithCentralLondonandthenationalmotorwaynetworkalongwithaneducatedpopulationhascontributedtothepresenceofmajoroccupiersinStAlbansincludingDeloitte,PremierFoods,Logica,AecomandAonHewitt.
M25
M11
M11
WELWYNGARDEN
CITY
A414
A414
A41
A41
A5183
A5183
A5
LUTON
LUTONAIRPORT
STANSTEADAIRPORT
BOREHAMWOODWATFORD
A10
A10
A10
A602
A414A414A1000
ENFIELD
HERTFORD
HATFIELD
HARLOW
STEVENAGE
GREATER LONDON
A406
A111A1000
A5
HARPENDEN
ST.ALBANS
A1081
WHEATHAMPSTEAD
M10
7
27
2526
24
4
11
20
5
22 23
7
8
9
1010a
2
1
3
4
5
6
7
6
21a21
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HEMELHEMPSTEAD
M25
M1
M1
A1(M)
location St Albans, Hertfordshire AL1 3XL
44-52 lattimore road
44-52 lattimore road
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ThepropertyissituatedonLattimoreRoadwhichconnectsVictoriaStreetandLondonRoad,thecity’smaincommerciallocations.StAlbansCityRailwayStationisashortwalkfromthebuildingasistheprimeretailinglocationsofStPeter’sStreetandtheMaltingsShoppingCentre.
Thepropertysitsonarectangularsiteofapproximately0.28acres(0.11hectares).
situation siteSt Albans, Hertfordshire AL1 3XL
44-52 lattimore road
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Thepropertywasconstructedin1990andcomprisesanofficebuildingarrangedongroundandtwoupperfloors.
Thebuildingisofsteelframeconstructionunderaflatroofwithbrickandglazedelevations.Thepropertyissetbackfromtheroadandthereisbothsteppedandrampedaccesstothemainentrance.
Thebuildingprovidesbrightopenplanofficeaccommodation.HSBCoccupythebuildingastheirHerts&SouthBedscommercialcentre.Theyhaverefurbishedandrefittedthegroundfloorcustomermeetingareasandthesecondfloorandareplanningtorefitthefirstfloorinthenearfuture.Generousonsitecarparkingisprovidedtotherearoftheproperty.Anadditionaldisabledpersoncarspaceisprovidedtothefront.
Themodernspecificationincludesthefollowing:•SuspendedceilingswithLG7lighting•Fullaccessraisedfloors•8personpassengerlift•Doubleglazing• Central heating •WC’sonallfloors•Air conditioning(tenantimprovement)•26carparkingspacesprovidinganexcellentcarparkingratioof1:275sqft
AccommodationThebuildingprovidesthefollowingaccommodation.
Floor Sq m (NIA) Sq ft (NIA) Sq m (IPMS 3) Sq ft (IPMS 3)
Ground 231.35 2,490 236.72 2,527
First 247.98 2,669 267.10 2,851
Second 186.20 2,004 188.37 2,011Total 665.53 7,163 692.19 7,389
descriptionSt Albans, Hertfordshire AL1 3XL
44-52 lattimore road
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TenancyThepropertyisentirelylettoHSBCBankPlcwhohavebeeninoccupationsinceconstructionin1990.Theleaseisforatermof10yearsonfullrepairingandinsuringtermsfrom8thApril2015andexpiringon7thApril2025,thusprovidinganunexpiredleaseterminexcessof8.5years.
Thepassingrentis£135,750perannumexclusive(£18.95persqft)andwillbesubjecttoanopenmarketrentreviewonthe8thApril2020
Thetenanthasanoptiontodeterminetheleaseonthe8thApril2020.
TenureThepropertyisheldfreehold.
Tenant InformationHSBCisoneoftheworld’slargestbankingandfinancialservicesorganisations.Theyservemorethan47millioncustomersthroughtheirfourglobalbusinessesofRetailBankingandWealthManagement,CommercialBanking,GlobalBankingandMarkets,andGlobalPrivateBanking.Theirnetworkcovers71countriesandterritoriesinEurope,Asia,theMiddleEastandAfrica,NorthAmericaandLatinAmerica.
HSBC’sheadquartersisat8CanadaSquareinCanaryWharf,Londonandtheyoperatemorethan1,100retailbranchesacrosstheUK.
HSBC Bank Plc 31/12/15 31/12/14 31/12/13
Turnover £18,630,000,000 £18,313,000,000 £20,302,000,000
Pre-Tax Profit £2,971,000,000 £1,953,000,000 £3,294,000,000
Net Worth £30,486,000,000 £28,784,000,000 £24,436,000,000
tenancy / tenant informationSt Albans, Hertfordshire AL1 3XL
44-52 lattimore road
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StAlbansisoneofthemajornorth-westM25officelocations.IthasprovedpopularwithlocalandinternationaloccupiersduetoitsproximitytoCentralLondon,itshighlyskilledworkforceanditsexcellentroad,railandairlinks.Thereislimitedofficeavailabilityinthecitycentrewithmanysecondaryofficeshavingbeenconvertedtoresidentialuse.ThenorthM25markethasseentakeupincreaseby28%resultinginalowvacancyratethroughoutthearea.PrimeheadlinerentsinStAlbansstandatcirca£34persqftwithanumberofquotingrentsinthecitynowataround£30persqftinlinewithcomparableM25officelocations.
NCFEhasrecentlyacquired3,500sqftofgroundfloorofficeaccommodationatTridentHouseonVictoriaStreetatarentof£120,000pa,equatingto£34persqft.YumRestaurantshasacquired5,425sqftatBuilding2AbbeyView,EverardCloseatarentof£149,000paequatingto£27.50persqft.
DemandforofficeinvestmentsaroundtheM25hasincreasedsubstantiallyoverthelast12months.SignificantlyhigherrentsinCentralLondonhasbuoyedtenantdemandandrentallevelsinwell-connectedM25centressuchasStAlbans.Institutionalandprivateinvestorscontinuetoseekoutqualitypropertiesthatofferrealopportunitiesforrentalgrowth.
st albans office market St Albans, Hertfordshire AL1 3XL
44-52 lattimore road
MISREPRESENTATIONACT1967Mellersh&HardingLLPandChristopherChaplinforthemselves,herebygivenoticethat:(i)Theseparticularsdonotconstituteanypartofanofferorcontract.(ii)Mellersh&HardingLLPandChristopherChaplinacceptnolegalresponsibilityforanystatementorrepresentationwhetherwritten,oralorimpliedorwhethercontainedinanyadvertisementparticularsorothermattersissuedbyanycorrespondenceenteredintobythemandwhethermadeinanyantecedentpresentorsubsequentenquiriesornegotiations.(iii)NeitherMellersh&HardingLLPandChristopherChaplinnortheirprincipals,agents,servantsorrepresentativeshaveanyauthoritywhatsoevertomakeorgiveanyrepresentationorwarrantywhatsoeverwhetherwrittenorimpliedinrelationtothisproperty.(iv)Anyintendingpurchasermustsatisfyhimselfbyinspectionorotherwiseastothecorrectnessofanyantecedentpresentorsubsequentstatementsorrepresentations,andshouldnotrelyuponthesameunlesshehassatisfiedhimselfaccordingly.(v)Unlessotherwisestated,allpricesandrentsarequotedexclusiveofValueAddedTax(VAT).AnyintendingpurchasersorlesseesmustsatisfythemselvesindependentlyastotheincidenceofVATinrespectofanytransaction.
NOTE.TheenclosedplansarebasedupontheOrdnanceSurveyMapwiththesanctionoftheControllerofHMStationeryOffice(CrownCopyrightReserved),ChasEGoadLimited,GeographiaLimitedandGeographersA-ZMapCoLimited,whereapplicable.Theseplansarepublishedforthepurposesofidentificationonlyand,althoughbelievedtobecorrect,theiraccuracyisnotguaranteedandtheydonotformanypartofanyContract.DetailspreparedAugust2016
DavidMundyDirectDial:02075228513Mobile:[email protected]
JeremyWaterworthDirectDial:02075228504Mobile:[email protected]
PaulBrewsterDirectDial:02075228523Mobile:[email protected]
Christopher ChaplinDirectDial:[email protected]
mellersh& hardingwww.mellersh.co.uk020 7522 8500
VATVATwillbepayableonthepurchasepricealthoughweanticipatethatthetransactionwillbetreatedasaTransferofaGoingConcern(TOGC).
EPCThepropertyhasanEPCratingofC53.
ProposalWeareinstructedtoseekoffersinexcessof£1,900,000(OneMillion,NineHundredThousandPounds)subjecttocontractwhichreflectsanetinitialyieldof6.72%afterallowingforpurchaser’scostsof6.25%.Apurchaseatthislevelreflectsalowcapitalvalueof265persqft.
Further Information
St Albans, Hertfordshire AL1 3XL
44-52 lattimore road