For Sale - Under OfferRoyal Mail investments

Royal Mail investments, Whisby Way, Lincoln, Lincolnshire, LN6 3LQ

Description

Both properties comprise detached sorting warehouses of steel portal frame construction with brick/block walls surmounted by corrugated sheet clad elevations and similarly clad roofs. Internally the buildings provide main warehouse areas with ancillary staff/WC facilities. The tenants have installed certain additional office accommodation.

Externally, both properties provide ample car parking, loading/unloading and circulation areas.

Further details can be provided on request.

LOCATION

The properties are located within the main business districts of Lincoln and Spalding, full addresses are:

Royal Mail, Unit 3, Whisby Way, Whisby Road Industrial Estate, Lincoln LN6 3LQ

Royal Mail, Enterprise Way, Pinchbeck, Spalding PE11 3ZU

The Lincoln Royal Mail Depot is situated on Whisby Road within the south west business quarter of Lincoln. It has an excellent strategic position providing quick access to the A46 Lincoln bypass, which in turn leads to the A1 (11 miles) and all other major road links.

Spalding Royal Mail Depot is located on Enterprise Way located to the north east of Spalding town centre. The property has good access to the A17, A16 and A52.

Tenancy

Unit 3, Whisby Way, Whisby Road Industrial Estate, Lincoln LN6 3LQ is occupied by Royal Mail Group Limited by way of a lease that expires 2nd September 2031.  The current rent payable is £95,725 p.a.x. It is drafted on Full Repairing and Insuring Terms. The lease is subject to an upwards only rent review on the 3rd September 2026 and tenant only break options on the 3rd September 2024 and 3rd September 2026, subject to 6 months prior written notice.  The first break has a £15,000 penalty payment.

Enterprise Way, Pinchbeck, Spalding PE11 3ZU is occupied by Royal Mail Group Limited by way of a lease that expires on the 19th July 2032.The rent payable from 20th October 2022 to rent review will be £76,398 p.a.x.  It is drafted on Full Repairing and Insuring Terms. The lease is subject to an upwards only rent review on the 20th October 2027 and a tenant only break on the 20th October 2027, subject to 6 months prior written notice.

Town & Country Planning

We understand that the properties have consent for uses falling within Class B8 (Storage and Distribution Use) of the Town and Country Planning (Use Classes Order 1987 (as amended 2020).

Interested parties are advised to make their own investigations with the Local Planning Authority.

Price

Offers in the excess of £2,800,000 are invited for the Freehold interest subject to the occupational tenancies. This reflects a Net Initial Yield of 5.78% after allowing standard Purchaser’s costs.

The vendors may consider a sale of each property individually.

VAT

The property is elected for VAT, however, the sale of the property will be treated as a TOGC and therefore VAT will not be payable on the purchase price.

Legal Costs

Each party is to be responsible for their own legal costs incurred in documenting the transaction.