one elmfield park
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ONE ELMFIELD PARK Bromley, Br1 1lU
SoUTH eAST loNDoN oFFICe reFUrBISHmeNT oPPorTUNITy
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU2
ExEcutivE SummaryWell located town centre office building, with the majority of the accommodation vacant by 4th July 2016. Excellent opportunity to undertake a refurbishment and re-let in to a rapidly improving and under-supplied occupational market, where rents have reached £25.00 per sq ft. Low site cover of 28%, providing potential to extend, subject to planning.
• BromleyisanaffluentGreaterLondonsuburb,11miles southeastofcentralLondon.• Excellentcommunications,withajourneytimetoVictoriaof16minutes.
• SituatedwithinthecommercialcentreofBromley,withina2minutewalkofBromleySouthRailwayStation.
• Self-containedtowncentreofficebuildingextendingtoapproximately24,092sqft(2,238.1sqm).
• 12onsitecarspaces.• Freehold.
• GroundtothirdfloorslettoMTASolicitorsandSolexLegalServicesunder4leasesexpiringon4thJuly2018.
• Allleasescontaintenantoptionstobreakon4thJuly2016.• Fourthfloorvacant(vendortoproviderentguaranteeuntil4thJuly2016).
• Thetenanthasservednoticetoexercisetheirbreak optionsonthegroundtosecondfloors,thereforethe majorityofthebuildingwillbefullyvacantby4thJuly2016• Totalcurrentincomeof£350,313(£14.75persqft).
Offersaresoughtinexcessof£4,000,000forthefreeholdinterestin1ElmfieldPark,Bromley,subjecttocontractandexclusiveofVAT.
Apurchaseatthislevelwouldreflectanet initial yield of 8.28%afterallowingforstandardacquisitioncostsof5.8%,andacapitalvalueof£166 per sq ft.
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU3
Location
NoT To SCAle
BromleyisanaffluentGreaterLondonsuburblocatedapproximately11milessoutheastofCentralLondonand7milesnortheastofCroydon. Itbenefits fromexcellentcommunications,beinglocatedofftheA21whichprovidesquickaccesstojunction4oftheM25,approximately7milestothesoutheast. Thetownhasexcellentpublictransportconnectionswithtworailwaystations:BromleySouthandBromleyNorthwhichprovidedirectservicestoLondonVictoria,BlackfriarsandCharingCrosswithafastestjourneytimeofonly16minutes. LondonGatwickInternationalAirportislocatedaround25milessouthwest. TheLondonBoroughofBromleyisthelargestoftheLondonBoroughswitharesidentpopulationofapproximately310,000andthetowniscategorisedbyCACIasa“MajorDistrictCentre”.Some1,800,000peoplelivewithin6milesofBromleytowncentre. Thetown’sresidentpopulationisaffluentcomparedtonationalaveragesandhasanunemploymentrateof3.6%comparedtoanationalaverageof5.3%atthelastCensus.
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU4
Situation
SUBJECT PROPERTY
NoT To SCAle
2
1
3
4
5
6
ThesubjectpropertyissituatedtothenorthernendofElmfieldPark,atitsjunctionwithElmfieldRoad,whichiswithinthecommercialcentreofBromley,andlieswithina2minutewalkofBromleySouthRailwaystation. ThepropertyalsobenefitsfromeasyaccesstotheHighStreetaswellastheIntuandTheMallshoppingcentres. OfficeoccupiersclosebyincludeBankofAmerica,RoyalBankofScotland,ChurchillandDirectLineGroupInsurance,CapitaandBakerTilly. ClosebytothesubjectpropertyCathedralGrouparedevelopinga£90mmixed-usescheme(StMark’sSquare)whichwillsignificantlyenhancethesouthernendofBromleyTownCentre.Itwillcomprise200apartmentswithalandscapedpublicsquaresurroundedbyaninescreenmultiplexVUEcinema,25,000sqftofcafésandrestaurants,a130bedroomPremierInnhotelandanew400spacesecureundergroundcarpark.Completionisscheduledforlate2015.
KEy1. BankofAmerica2. RoyalBankofScotland3.ChurchillInsuranceandDirectLineGroup
4.Capita5.BakerTilly6.StMarksSquare
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU5
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU6
DEScription
Floor Description (sq ft) (sq m)Ground Office 284 26.4Ground Office 4,767 442.8First Office 4,739 440.3Second Office 4,742 440.5Third Office 4,767 442.8Fourth Office 4,793 445.3total 24,092 2238.1
accommoDation ThebuildinghasbeenmeasuredbyLaneandFrankhamin2015inaccordancewiththeRICSCodeofMeasuringPractice(6thEdition)andprovidesthefollowingapproximatenetinternalfloorareas:
1 Elmfield Park comprises a self-containedofficebuilding arrangedoverground and fourupper floors, extending to approximately 24,092 sq ft (2,238.2 sq m). The property wasoriginally constructed in 1980and thecladdingwas refurbished in 2004.There ison siteparkingfor12cars.
Thebuildingisofcastin-situreinforcedconcreteframedconstructionwithflatroofslargelyweatheredwith asphalt. Aluminium framedcurtainwalling encloses the elevations to theofficeareas.Openingwindowsareof thehorizontallypivoting typeandallwindowshavesealeddoubleglazedunits.
Thepropertycomprisesa rectangular-shapedconfigurationand isaccessedat thesouthwesterncornerviaareceptionleadingtotwoeight-personpassengerliftsservingallfloors.
The offices provide clear open-plan office accommodation which benefit from excellentlevelsofnaturallight. The property is finished to the following specification-
• Suspendedceilingswithrecessedfluorescentlighting• Gasfiredcentralheating• Comfortcoolingtofirst,secondandthirdflooroffices.• TwoKone8-personpassengerliftsservingallfloors.• Double-glazedwindows.• WC’sonfirsttofourthfloors• 12on-sitecarspaces
GroundFloor
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU7
SitE
tEnurE ThepropertyisheldfreeholdunderTitlenumberSGL295193.
HIGH
STREET
ELMFIELD
RO
AD
ELMFIELD
PARK
39
1
47
59
2
51
37
52
31
46
19
25Coach
HouseM
ews
44
Kingfisher
ESS
YorkHouse
21to
23
Wells
15to
17
House
26
1
29
5753
27
4
43
47c
Car Park
3
ElizabethWheelerHouse
50
41
Prospects
Club
2725
1a
House
House
0m 10m 20m 30m
Ordnance Survey © Crown Copyright 2015. All rights reserved. Licence number 100022432. Plotted Scale - 1:947
Thefreeholdtitleextendstoapproximately0.48acres(0.194hectares). Thepropertyisletinaccordancewiththetenancyschedulebelow,detailsofwhichcanbesummerisedasfollows:
• Thefirst,secondandthirdfloorsarelettoMTASolicitorsLLPunderthreeseparateleases from5thJuly2013until4thJuly2018,withtenantbreakson4thJuly2016.
• ThetotalrentpayablebyMTASolicitorsis£210,189perannumreflectingapproximately £14.75persqft.
• ThegroundfloorislettoSolexLegalServicesLimitedfrom5thJuly2013until4thJuly 2018,withatenantbreakon4thJuly2016.
• ThetotalrentpayablebySolexLegalServicesLimitedis£70,063perannumreflecting approximately£14.75persqft.
• Thefourthflooriscurrentlyvacant,andarentcoverof£70,063perannum (£14.75persqft)willbeprovideduntil4thJuly2016.
• Thetenanthasservednoticetoexercisetheirbreakoptionsonthegroundtosecond floors.Thereforethemajorityofthebuildingwillbefullyvacantby4thJuly2016.
• Theleasesaredrawnonfullrepairingandinsuringtermswiththetenantcontributingto aservicecharge.
• AlloftheleasesaredrawnoutsidethesecurityprovisionsoftheLandlordandTenantAct 1954.
• Thetotalrentfromtheentirepropertyis£350,313perannum(£14.75persqft)including therentcoverwithregardtothefourthfloor.
tEnancy
tEnancy ScHEDuLEtenant Floor use area (sq ft) passing rent
(pa)passing rent
(psf) term (Break) comments
SolexLegalServicesLimited GroundFloor Office 4,767 £70,063 £14.75 05/07/2013-04/07/2018
(04/07/2016)
Tenanthasservednoticetoexcercisebreakon04/07/2016;LeaseoutsideLandlordandTenantAct
1954.
MTASolicitorsLLP
FirstFloor Office 4,739 £70,063 £14.75 05/07/2013-04/07/2018(04/07/2016)
Tenanthasservednoticetoexcercisebreakon04/07/2016;LeaseoutsideLandlordandTenantAct
1954.
SecondFloor Office 4,742 £70,063 £14.75 05/07/2013-04/07/2018(04/07/2016)
Tenanthasservednoticetoexcercisebreakon04/07/2016;LeaseoutsideLandlordandTenantAct
1954.
ThirdFloor Office 4,767 £70,063 £14.75 05/07/2013-04/07/2018(04/07/2016) LeaseoutsideLandlordandTenantAct1954.
Vacant FourthFloor Office 4,793 £70,063 £14.75 Vacant Vendortoproviderentcoveruntil04/07/2016.total 23,808 £350,313 £14.75
1 ElmfiEld PARK, BRomlEy, KEnt, BR1 1lU8
covEnant inFormationMTASolicitorsLLPisamulti-practicelawfirmwithofficesinLondon,BromleyandManchester.Thefirmoffersabroadrangeoflegalservicesincluding:personalinjuryclaims,employmentlaw,wills and probate, commercial litigation, civil Litigation, business law, debt recovery forbusinessesandindividuals,medicalnegligenceandfamilylaw.
Thecompany’swebsiteiswww.mtasolicitors.com
SolexLegalServicesLimitedarespecialistpropertylawyersthatofferlegalservicesinallareasofresidentialandcommercialpropertylaw,focusingonconveyancing,remortgagingservicesandgenerallitigation.Theyrepresentbanks,buildingsocieties,propertymanagementcompanies,financecompaniesandGovernmentagencies.
Thecompany’swebsiteiswww.solexlegalservices.com
pLanninGThepropertyisnotlistedandisnotlocatedwithinaconservationarea.
oFFicE marKEt commEntaryBromley is a well-established and popular office location which has attracted a range ofprofessionalserviceorganisationsovertheyears,inthemainduetotherapidjourneytimetoCentralLondonand itsability toofferspacewhich isatadiscount to theneighbouringmarketsofCroydon,Redhill,ReigateandEpsom. Bromley’smainofficepitchliesalongElmfieldRoad(wherethesubjectpropertyislocated)adjacenttotheHighStreetanddirectlynorthofBromleySouthStation,andalsoalongTweedyRoad/KentishWaytothenorthofthetowncentre,incloseproximitytoBromleyNorthstation. ForanumberofyearsBromleyhassufferedfromalackofGradeAofficespaceinthetowncentre. PermittedDevelopment rights have also impacted on office supplywith buildingssuchasTitleHouse(26,500sqft)onElmfieldRoadbeingsoldforresidentialconversion. Consequentlytherehasbeensignificantupwardpressureonrentsforwhatlimitedrefurbishedspacehasbecomeavailable.Sinceearly2014rentsforrefurbishedspacehaveincreasedfromc£18.00persqft(achievedonRoyalCourtonTweedyRoadwhichwassubsequentlyacquiredbyThreadneedle)toacurrentlevelof£25.00persqft.Thislevelwasrecentlyachievedonalettingof10,000sqft(10yearlease,nobreakand6monthsrentfree)atNorthsideHouse(ownedbyHermes). ConsequentlyweconsiderarefurbishmentofthesubjectpropertywillbewelltimedtotakeadvantageofthesevereshortageofgoodqualityspaceinBromley.
EpcFulldetailsofEPCavailableuponrequest.
vatThepropertyisregisteredforVATandthereforeVATwillbepayableonthepurchasepriceunlessthepropertyissoldbywayofatransferofagoingconcern(TOGC).
propoSaLOffersaresoughtinexcessof£4,000,000forthefreeholdinterestin1ElmfieldPark,Bromley,subjecttocontractandexclusiveofVAT.
Apurchaseatthislevelwouldreflectanet initial yield of 8.28%afterallowingforstandardacquisitioncostsof5.8%,andacapitalvalueof£166 per sq ft.
contact richard pope E: [email protected] M: 07879 630 681
Will collis E: [email protected] M: 07912 603 525
38 Berkeley Square, London W1J 5AE T: +44 (0) 20 7399 0640 www.nightingalepartners.com/sales
A data room has been set up and access can be supplied upon request. Information includes-
• Occupational Leases • Title Information • Floor Plans • EPC
MisrepresentationAct1967&DeclarationNightingalePartnersLtdforthemselvesandforthevendorsorlessorsofthispropertywhoseagentstheyaregivenoticethat:(i)Theparticularsaresetoutasageneraloutlineonlyfortheguidanceofintendingpurchasersorlessees,anddonotconstitute,norconstitutepartof,anofferorcontract.(ii)Alldescriptions,dimensions,referencestoconditionandnecessarypermissionsforuseandoccupation,andotherdetailsaregiveningoodfaithandarebelievedtobecorrectbutanyintendingpurchasersortenantsshouldnotrelyonthemasstatementsorrepresentationsoffactbutmustsatisfythemselvesbyinspectionorotherwiseastothecorrectnessofeachofthem.(iii)NopersonintheemploymentofNightingalePartnersLtdhaveanyauthoritytomakeorgiveanyrepresentationorwarrantywhateverinrelationtothisproperty.AllrentalsandpricesarequotedexclusiveofVAT.Allplansandmapsprovidedwiththeparticularsareforidentificationpurposesonly.MarketinformationhasbeenprovidedbyThirdPartiesandshouldbeverified.NOVEMBER2015.