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PRIME MIDLANDS DISTRIBUTION INVESTMENT

Barsan Global LogisticsPrologis Park, Coventry, CV6 4QG

Investment Summary

• Prime Midlands distribution warehouse totalling approximately 73,000 sq ft.

• Situated on the established Prologis Park in Coventry.

• Excellent road connections with immediate access to the M6 and M69 motorways.

• Sale and Leaseback to Barsan Global Logistics on a new 10 year lease with a Parent Guarantee from Barsan Global Logistik Anonim Sirketi.

• Passing rent of £492,755 per annum (£6.75 psf), subject to an RPI linked review (2-4% pa compounded) in Year 5.

• Freehold.

We are instructed to seek offers in excess of £8,720,000 (Eight Million, Seven Hundred and Twenty Thousand Pounds), subject to contract and exclusive of VAT. A purchase at this price reflects a Net Initial Yield of 5.25% and a guaranteed minimum Reversionary Yield of 5.80% in Year 5, assuming purchaser’s costs of 7.66%.

Unit H6, Pilgrims Walk, Prologis Park, Coventry, CV6 4QG

Barsan Global Logistics Prologis Park, Coventry, CV6 4QG

LUTON

BIRMINGHAM

EASTMIDLANDS

GLOUCESTERSHIRE

M1A1(M)M40

M40

M1

M1

M1 M1 1

M5

M5M50

M45

M6

M6

M6

M5 M42

M42

M42

M69

M54

KETTERINGKETTERING

WELWYNGARDEN

CITY WARE

ROYSTON

BIGGLESWADE

MELTON MOWBRAY

BOSTON

WISBECH

SPALDING

MARCH

LOUGHBOROUGH

HUNTINGDON

ST NEOTS

WELLINGBOROUGH

MARKETHARBOROUGH

WIGSTON

NEWPORTPAGNELL

BISHOP'S STORTFORD

KIDLINGTON

LETCHWORTH

DUNSTABLE

LEIGHTONBUZZARD

BICESTER

AYLESBURY

DAVENTRY

BANBURY

GRANTHAM

CONGLETON

HUCKNALL

CLAYCROSS

RIPLEY

MATLOCK

EVESHAM

WARWICKWARWICKDROITWICH

STRATFORDUPON AVON

GREATMALVERN

BRIDGNORTH

BROWNHILLS

LICHFIELD

RUGELEY ASHBY-DE-LA-ZOUCH

UTTOXETERSTONE

SANDBACH

ASHBOURNE

COALVILLE

BEDWORTH

SLEAFORD

CONINGSBY

STEVENAGE

CAMBRIDGE

CORBY

REDDITCH

NORTHAMPTON

CHELTENHAM LUTON

MANSFIELD

LEAMINGTONSPA

WORCESTER

STOURPORT-ON-SEVERN

GLOUCESTER

SHREWSBURY

WEST BROMWICH

WALSALL

CANNOCK

KIDDERMINSTER SOLIHULL

NUNEATON

RUGBY

HINCKLEY

STAFFORD

BURTON UPONTRENT

CHESTER

TAMWORTH LEICESTER

NOTTINGHAM

STOKE-ON-TRENT

WOLVERHAMPTON

BIRMINGHAM

DERBY

LUTTERWORTH

WELWYNGARDEN

CITY WARE

ROYSTON

BIGGLESWADE

MELTON MOWBRAY

BOSTON

WISBECH

SPALDING

MARCH

LOUGHBOROUGH

HUNTINGDON

ST NEOTS

WELLINGBOROUGH

MARKETHARBOROUGH

WIGSTON

NEWPORTPAGNELL

BISHOP'S STORTFORD

KIDLINGTON

LETCHWORTH

DUNSTABLE

LEIGHTONBUZZARD

BICESTER

AYLESBURY

DAVENTRY

BANBURY

GRANTHAM

CONGLETON

HUCKNALL

CLAYCROSS

RIPLEY

MATLOCK

EVESHAM

WARWICKWARWICKDROITWICH

STRATFORDUPON AVON

GREATMALVERN

BRIDGNORTH

BROWNHILLS

LICHFIELD

RUGELEY ASHBY-DE-LA-ZOUCH

UTTOXETERSTONE

SANDBACH

ASHBOURNE

COALVILLE

BEDWORTH

SLEAFORD

CONINGSBY

STEVENAGE

CAMBRIDGE

CORBY

REDDITCH

NORTHAMPTON

CHELTENHAM LUTON

MANSFIELD

LEAMINGTONSPA

WORCESTER

STOURPORT-ON-SEVERN

GLOUCESTER

SHREWSBURY

WEST BROMWICH

WALSALL

CANNOCK

KIDDERMINSTER SOLIHULL

NUNEATON

RUGBY

HINCKLEY

STAFFORD

BURTON UPONTRENT

CHESTER

TAMWORTH LEICESTER

NOTTINGHAM

STOKE-ON-TRENT

WOLVERHAMPTON

BIRMINGHAM

DERBY

LUTTERWORTH

COVENTRY

Location Coventry is located in the West Midlands and lies within the ‘Golden Triangle’ – regarded as the UK’s premier distribution location with approximately 85% of the UK’s population (c.47m people) being accessible within the 4.5-hour HGV drive-time limit. The City is approximately 19 miles south east of Birmingham, 26 miles south west of Leicester and 93 miles north west of Central London.

By Road: Coventry benefits from excellent road connectivity with immediate access to the M6 (Junctions 2&3) and M69 (Junction 2) motorways. The M6/M1 interchange at Rugby lies 16 miles east of the city providing access to the wider motorway network. The M6 motorway is accessed via the A46 and A444. The M1 motorway (Junction 19) is accessed via the M45/A45 and the M69 motorways, providing access to London and the wider South East. The A45 Birmingham to Coventry trunk road provides access to the M42 which in turn, links the M40 and M5 motorways.

By Rail: Frequent direct trains run from Coventry Railway Station to Birmingham in just 22 minutes and regular services operate to London Euston in approximately 1 hour.

By Air: Coventry is within close proximity to Coventry Airport, Birmingham International Airport and East Midlands International Airport (the UK’s second largest freight airport).

Destination Miles Drive Times

M6 Motorway (Junction 3) 2.5 miles 10 mins

M6/M69 Interchange 5.5 miles 12 mins

M6/M42 Interchange 11 miles 20 mins



Birmingham 21 miles 30 mins

Approximate distances and journey times from subject property



J3

M6

M6

M6A444

A444

PILGRIMS WALKCENTRAL BLVD

VESPA POINT

Ricoh Arena Arena Shopping Park

To Birmingham

To M69/M1

SUBJECT PROPERTY


To Birmingham

To Coventry Centre

A44

4

A44

4

A44

4

A444

B4113

B4113

LON

GFO

RD

RD

C

OV

ENT

RY

RO

AD

BO

WLI

NG

GR

EEN

LN

EXHALL ROAD NEW ROAD

NEW

ROAD

VICARAGE LANE

RO

YAL O

AK

LAN

E

ASH

GREEN LANE

WHEELW

RIGHT LANE

WH

EELWR

IGH

T LAN

E

PARKVILLE HIGHWAY

GOODYERS END LANE

BENNETTS ROAD NORTH

BEN

NET

TS R

OA

D

B

ENN

ETT

S R

OA

D SO

UTH

FIVEFIELD ROAD

WINDING HOUSE LANE

CENTRAL BLVD

CENTRAL BLVD

CENTRAL BLVD

CE

NTRAL BLVD

PILGRIMS WALK

Prologis Park

M6

M6

M6

Jct 3SUBJECT

PROPERTY

CoventryArena

Ricoh Arena

To M69/M1

Situation Prologis Park Coventry is located approximately 5 miles north of Coventry City Centre, approximately 2 miles west of the M6 motorway (junction 3). The M6 motorway provides direct access to the M1 motorway (junction 19) a further 14 miles to the east (20 mins) and the M42 motorway (junction 7) a further 11 miles to the west (16 mins). The Park is approximately 6 miles from the M6/M69 interchange.

Prologis Park has established itself as one of the premier distribution parks in the West Midlands and has attracted major occupiers across a range of sectors. Occupiers located on the estate include British Gas, Parcelforce, The Co Op Group and DHL.



DescriptionThe subject property comprises a two-bay distribution warehouse with ancillary offices totalling approximately 73,000 sq ft on a site of approximately 2.96 acres. The property was built in 2006 and is of steel portal frame construction with profiled metal cladding to the roof and side elevations.

The property benefits from the following specification:

• Minimum eaves rising from 10m to 12m at the apex.

• Access via 10 electronically operated dock level loading doors and one level access loading door.

• Yard depth extending to 72m.

Externally, the property benefits from an extensive service yard on the Western elevation providing adequate loading, circulation and parking.

The property is utilised as Barsan’s sole UK facility and the Tenant has undertaken significant works to the property to suit their occupier requirements, namely the recent installation of the substantial two-tier mezzanine floors extending to approximately 32,726 sq ft highlighting their long term commitment to the property. The Tenant Works are subject to reinstatement.

Accommodation The property has been measured in accordance with the RICS Code of Measuring Practice (Sixth Edition) and has the following approximate gross internal floor areas:

Description sq m sq ft

Main Warehouse 6,150 66,198

Offices (Ground Floor) 213 2,291

Offices (First Floor) 213 2,291

Office Mezzanine 206 2,220

Total 6,782 73,000

Site The site extends to approximately 1.20 ha (2.96 acres).


Ordnance Survey © Crown Copyright 2020. All Rights Reserved.Licence number 100022432Plotted Scale - 1:1250. Paper Size - A4


Tenure Freehold.

TenancyThe property will be let to Barsan Global Logistics Limited by way of a Sale and Leaseback on a new 10 year Full Repairing and Insuring Lease. The initial passing rent will be £492,755 per annum, reflecting £6.75 per sq ft. The rent will be subject to five yearly rent reviews in line with RPI subject to a cap and collar (2-4% per annum compounded).

The lease will be guaranteed by Barsan Global Logistik GmbH and the ultimate parent company Barsan Global Logistik Anonim Sirketi.

A copy of the proposed occupational lease is available upon request.

Covenant Analysis Barsan Global Logistics (BGL) was founded in 1982 in Istanbul. BGL have expanded their operations since and now have established themselves as a global brand providing logistics services with 81 logistics facilities across 39 countries spanning the United States, China, Europe and Asia.

The property is utilised as Barsan’s sole UK facility. Barsan employ approximately 40 people across the facility and have invested into the building to improve their operations, this includes the recent installation of a substantial two storey mezzanine.

Barsan Global Logistics Limited

Barsan Global Logistics Limited 31/12/2018 31/12/2017 31/12/2016

Turnover £6,014,200 £3,616,900 £3,193,300

Profit / (Loss) Before Tax £37,600 £394,400 £355,700

Tangible Net Worth £3,368,100 £3,352,300 £3,052,200

Barsan Global Logistik GmbH

Barsan Global Logistik GmbH 31/12/2018 31/12/2017 31/12/2016

Turnover €34,486,700 €24,384,000 €17,806,500

Profit / (Loss) Before Tax -€263,860 €362,500 -€579,200

Tangible Net Worth €8,490,600 €8,943,700 €8,510,700

Barsan Global Logistik Anonim Sirketi

Barsan Global Logistik Anonim Sirketi 31/12/2018 31/12/2017 31/12/2016

Turnover £145,263,800 £105,221,700 £53,807,400

Profit / (Loss) Before Tax £2,741,300 £9,046,200 £1,447,500

Tangible Net Worth £19,353,500 £19,099,000 £11,589,100



Occupational MarketThe Midlands industrial market continues to strengthen with a number of notable occupiers located to the region. A schedule of comparable letting evidence is outlined below:

Property Date of letting Occupier Size(sq ft)

Rent(£ psf)

Lease terms

Vespa Point, Prologis Park, Coventry

Feb-20 Network Rail 59,000 £6.93 10 yrs(5 yrs)

Unit 5, Connexions, Solihull

Feb-20 Under Offer 56,888 £8.00 10 yrs

Unit 4, Connexions, Solihull

Nov-19 Evac + Chair International

38,000 £8.00 15 yrs

Unit 3A, Merlin Park, Erdington

Oct-19 Amazon 44,000 £7.00 10 yrs

Bermuda Park, Coventry

Sep-19 Park Sheet Metal 35,000 £6.95 10 yrs(5 yrs)

Dolomite Avenue, Coventry Business Park, Coventry

Aug-19 SES Engineering 59,355 £6.75 10 yrs(5 yrs)

Unit 1 Meteor Park,Birmingham

Jun-19 Network Rail 36,000 £7.25 10 yrs(5 yrs)

Birmingham Business Park, Birmingham

May-19 Sulzer 80,000 £7.75 15 yrs

Unit 6 Spa Park,Leamington Spa

Feb-19 Liberty Vehicle Group

50,000 £7.25 20 yrs

Panattoni Park,Nottingham

Feb-19 Hermes Parcelnet

75,402 £6.98 10 yrs

Unit 2 Hurricane Park, Birmingham

Jan-19 Rak Ceramics 58,715 £6.95 psf 5 yrs

Barberry 65,Daventry

Nov-18 Mayflex 65,000 £6.82 10 yrs

Unit 8, Chalker Way, Banbury

Jul-18 Rinkit Ltd 78,000 £6.95 10 yrs



Investment Market The UK Industrial market continues to be favoured by investors with particular attention to opportunities in the Midlands. Below are some recent transactions in the industrial sector:

Property Date Tenant Size (sq ft) UXT Price Yield

Ceva Logistics, Danny Morson Way, Tamworth Dec-19 Ceva Logistics 55,400 5 years £6,900,000 5.05%

Walkers Crisps, Middlemarch, Coventry Dec-19 Walkers Crisps 202,452 11 years £25,350,000 4.85%

Belron UK Ltd, Bardon Business Park, Bardon Oct-19 Belron UK Ltd 149,827 10.5 years £17,300,000 4.84%

Deta Electrical, Panattoni Park, Luton Sep-19 Deta Electrical Company Ltd 68,610 15 years £16,100,000 4.29%

Puma, Super G, Whistler Drive, Castleford Aug-19 Puma 260,992 10 years £30,650,000 4.60%

Royal Mail, Middleton, Stakehill Industrial Estate Aug-19 Royal Mail 104,345 9 years £9,115,000 5.15%

Primaflow, Birmingham 100, Birmingham Feb-19 Primaflow 100,511 10 years £12,480,000 4.71%

Mayflex, Birmingham Jan-19 Mayflex 65,710 10 years £9,040,000 4.67%



EPC The property has a current EPC rating of C59. A copy of the EPC is available upon request.

VAT VAT will be payable on the purchase price due to the sale not being be treated as a Transfer of a Going Concern (TOGC).

ProposalWe are instructed to seek offers in excess of £8,720,000 (Eight Million, Seven Hundred and Twenty Thousand Pounds), subject to contract and exclusive of VAT. A purchase at this price reflects a Net Initial Yield of 5.25% and a guaranteed minimum Reversionary Yield of 5.80% in Year 5, assuming purchaser’s costs of 7.66%.

Further Information For further information or to arrange an inspection, please contact:

John HansonTel: 020 7487 1871Mob: 07825 251 894Email: [email protected]

Jonathan O’ConorTel: 020 7344 6937Mob: 07913 239 895Email: [email protected]


DISCLAIMER. Colliers International gives notice that these particulars are set out as a general outline only for the guidance of intending Purchasers or Lessees and do not constitute any part of an offer or contract. Details are given without any responsibility and any intending Purchasers, Lessees or Third Party should not rely on them as statements or representations of fact, but must satisfy themselves by inspection or otherwise as to the correctness of each of them. No person employed or engaged by Colliers International has any authority to make any representation or warranty whatsoever in relation to this property (February 2020). Colliers International is the licensed trading name of Colliers International Property Advisors UK LLP which is a limited liability partnership registered in England and Wales with registered number OC385143. Our registered office is at 50 George Street, London W1U 7GA. Designed and produced by Creativeworld. Tel 01282 858200.


prologis park, coventry, cv6 4qg€¦ · unit h6, pilgrims walk, prologis park, coventry, cv6 4qg....

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