PIONEER Pioneer Business Park, Ellesmere Port, CH65 1AQ

PIONEER Pioneer Business Park, Ellesmere Port, CH65 1AQ

Strategically located modern cross docked distribution investment opportunity

PIONEERPioneer Business Park, Ellesmere Port,CH65 1AQ

STRATEGICALLY LOCATED MODERN CROSS DOCKED DISTRIBUTION INVESTMENT OPPORTUNITY



INVESTMENT SUMMARY• Excellentopportunitytoacquireahighquality,

moderncrossdockeddistributionwarehouse

• Pioneer210benefitsfromexcellentconnectivity,locatedimmediatelyadjacenttoJunction7and8oftheM53

• Moderndistributionwarehousemeasuring211,921sqft

• Siteareaof9.79acres,whichrepresentsasitecoverof49%

• LettoNovarED&SLtdonanew10yearlease

• CommercialDelphiScoreof100,representingaVeryLowRiskcompany

• Passingrentof£1,112,585.25perannumreflecting£5.25persqft

• Freehold

Offerssoughtinexcessof£16,680,000 (Sixteen Million, Six Hundred and Eighty Thousand Pounds)whichreflectsanattractiveNet Initial Yield of 6.25%assumingpurchaser’scostsof6.74%.

Low Capital Value of £78 psf

PIONEER

M8

M74

M62

M6

M5

M1

M40

M4

M3

M25

A1(M)

Hull

Liverpool

Chester

Mancester

Preston

Port ofLiverpool

LiverpoolJohn Lennon

Airport

ManchesterAirport

Aberdeen

Newcastle

Durham

Sunderland

Inverness

London

Birmingham

LOCATION AND COMMUNICATIONSEllesmere Port is an established commercial location situated approximately 13 miles south of Liverpool, 7 miles north of Chester and 39 miles south west of Manchester. The town enjoys an excellent industrial heritage with a workforce of 560,000 people located within a 30-minute drivetime and 20% of local jobs in the manufacturing sector – well above the national average.

Theareabenefitsfromexcellentroadcommunications,situatedadjacenttotheM53providingaccesstoBirkenheadandLiverpoolviatheMerseyTunneltotheNorthandtheM56tothesouth.TheM56inturnlinkstotheM6,approximately20milestotheeast.Furthermore,theA55providesquickandeasyaccesstoNorthWales,AngleseyandthePortofHolyhead.

HighspeeddirectVirginPendolinotrainstravelfromLiverpool,ChesterandRuncorntoLondonontheWestCoastMainline,withajourneytimeofaroundtwohours.AcomprehensivelocalrailsystemalsolinksEllesmerePorttoLiverpool,WarringtonandManchester.EllesmerePortisfortunateinbeingclosetobothManchesterAirport-thebusiestairportintheUKoutsidetheLondonregion-andLiverpoolJohnLennonAirport.Thereare30-minutedrivetimestobothairports,whichlinktheregiontotherestoftheworld.

ELLESMERE PORT HAS ITS OWN COMMERCIAL PORT FACILITIES LINKING TO THE MANCHESTER SHIP CANAL AND THE RIVER MERSEY.

Ellesmere Port

Great Sutton

Whitby

Whitbyheath

South WirralLedsham

Capenhurst

Dunkirk

Little Stanny

Stoak

Thornton-le-Moors

Stanlow

MountManisty

ChilderThornton

M53

M53

M53

M53

M53

M56M56

M56

M53

A550

A550

A5117

A5117

A5012

A5012

A5012

A5117

A41

A41

A41

J7

J8



PIONEER

PIONEER



ROADSSITUATIONThepropertyformspartoftheestablishedPioneerBusinessPark,locatedadjacenttoJunction7and8oftheM53andisservedbyamulti-modaltransportnetworkofroad,railandsea.

Majoroccupiersintheimmediatevicinityinclude,Regatta,Vauxhallcarplant,Prowell,Scania,DBHServicedBusinessCentre,SPLInternationalandEvansEasySpaceamongstothers.ThesubjectpropertyhasanexcellentfrontageontotheM53andalsoPooleHallRoad,whichinturnlinksdirectlywithJunction7oftheM53motorwayandJunction8viaNorthRoad.

Source: Freight Journey Planner

Destination Distance HGV drivetime

M53/M56 5miles 5mins

Chester 11miles 26mins

M6/M56intersection 22miles 36mins

Liverpool 20miles 45minutes

Manchester 39miles 1hr14mins

Birmingham 86miles 2hrs56mins



DESCRIPTIONThepropertycomprisesamoderncrossdockedhighbaydistributionfacilitycompletedin2007andofsteelportalframeconstructionwithinsulatedprofilecladdingandametalroof.Theunithasrecentlybeencomprehensivelyrefurbishedandcomprisesthefollowingspecification:

• Steelportalframeconstruction

• 10%rooflights

• Maximumeavesheightof15meters

• 18dockloadingdoors

• 4levelloadingdoors

• Newconcretefloor-50KN/m2loading

• LEDlighting

• Gasheating

Warehouse

• GatehouseSecurity

• Securesitewithperimeterfencing

• 2Largeconcreteserviceyardsupto55metersindepth

• Substantialcirculationareas

• Separatedelineatedcarparkingareaapprox.110spaces

• 46lorryspaces

• 2accesspoints

External

• Doubleglazing

• Passengerlift

• Fullaccessraisedfloors

• Suspendedceilings

• LEDlights

• Gas-firedcentralheating

Thereisatwo-storeyofficebuilding:

Office

55metres

50m

108m

176m

s

ACCOMMODATIONThepropertyhasbeenmeasuredonagrossinternalbasis,inaccordancewiththeRICSCodeofMeasuringPractice(6thEdition)andextendstoapproximately211,921sqft(19,688sqm).

Accommodation Area (sq ft) Area (sq m)

Warehouse 206,977 19,229

Groundflooroffice 2,722 253

Firstflooroffice 2,222 206

Total 211,921 19,688

SiteThepropertyoccupiesasiteareaof3.964hectares(9.79acres),whichrepresentsalowsitecoverof49%.

TenureFreehold.





TENANCY

COVENANT INFORMATION

ThepropertyislettoNovarED&SLtdonanew10-yearleaseincorporatingabreakclauseinthe6thyear.Thepassingrentis£1,112,585.25perannum,reflecting£5.25persqft.

NovarED&SLtdisownedbyHoneywellInternationalInc,whichisaglobalFortune100technologyconglomeratecompanythatproducescommercialandconsumerelectricalandelectronicproducts,engineeringservicesandaerospacesystems.

Novar ED&S Ltd accounts as follows:

Ordnance Survey © Crown Copyright 2019. All Rights Reserved.Licence number 100022432Plotted Scale - 1:2750. Paper Size - A4

31/12/2017(GBP £000’s)

31/12/2016(GBP £000’s)

31/12/2015 GBP £000’s)

Turnover 135,212 175,125 131,475

Pre-Tax Profits 8,827 59,437 17,170

Net Worth 113,451 56,924 14,467

Furtherinformationisavailableatwww.honeywell.com

NOVAR ED&S LTD HAVE A COMMERCIAL DELPHI SCORE OF 100, REPRESENTING VERY LOW RISK.



OCCUPATIONAL MARKETTheNorthWestindustrialmarketiswellpositionedwhencomparedwithotherregionsandsectorsduetocontinuedinvestmentininfrastructure.KeyexamplesofthisincludetheopeningofPeelPorts’£400milliondeepwatercontainerterminalLiverpool2in2016,the£600millionNewMerseyGatewayBridgein2017,thecompletionofthe£190millionA556trunkroadbetweentheM56andM6motorwaysin2017andcontinuedexpansion/developmentofManchesterAirportasamajorglobalhub.

ThedistributionmarketintheNorthWestisexperiencingconsistentandsignificantlevelsofdemandforgoodquality‘bigbox’accommodationwithanaveragetakeupof4.3millionsqftperannum,makingitthemostactiveregionoutsidetheSouthEastoverthelast24months.Unitsabove200,000sqfthaveseenconsistentstrongdemandwithover2.1millionsqftoftransactionsinthelast12months,representingover50%ofoverall‘bigbox’take-up.ThecurrentshortageofdeliverablesitesacrosstheNorthWesthasresultedinlimitedlarge-scalebuildingsupplyacrosstheregion.ThesimilarlackofGradeA/Bsupply,togetherwithconsistentoccupierdemandintheNorthWest,hasresultedinreducedvoidperiodsandstrongheadlinerentalsbeingachieved.Assuch,rentalgrowthintheNorthWesthasout-performedmostpartsoftheUKandremainsakeyperformancedriverwithNorthWestindustrialrentalgrowthforecasttobeover2.20%perannum(source:CBRE).

Key recent lettings in the North West are as follows:

Date Property Tenant Area Sq Ft Rent (£ psf) Comments

Oct–2019 OmegaSouth,Warrington DeliveryGroup 137,000 £6.50 NewBuild

Nov–2018 OmegaSouth,Warrington RoyalMail 346,150 £6.50 NewBuild

Oct–2018 LogisticsNorth,Bolton MBDA 175,000 £6.75 NewBuild

Oct–2018 Link95,Heywood McCormick 95,000 £6.35 NewBuild

PRIME DISTRIBUTION RENTS ARE NOW ESTABLISHED IN

EXCESS OF £6.50 PER SQ FT



INVESTMENT MARKETTheUKlogisticsinvestmentmarkethadaverystrongyearin2018,with£10.6bntransacted-anincreaseofmorethan30%onlastyear’sinvestmentvolume.

SalesvolumesintheNorthWestarecurrentlywell-aheadofthe10-yearaverageasinvestordemandfortheregioncontinuestosurge.Thereremainsasignificantweightofcapitalchasingtheindustrialsector,withinvestorsbuoyedbystrongoccupationalfundamentalsincludingrecordlevelsoftake-up,

historicallylowavailabilityrateandaconstraineddevelopmentpipeline.

Currentinvestordemandisbeingdrivenbysectorsofferingstrongoccupationalgrowthandpotentialtoenhanceincomereturns.Thecontinuedstructuralshiftprovidedbythe‘evolution’ofonlineretailing,theconsolidationofretailers,andtheautomotivepushonoccupationaldemand,allsetagainstabackdropofhistoricallylowavailabilityandlackofalternativeinvestmentopportunities,hasresultedin

theindustrialandlogisticsmarketattractingstrongattentionfromawiderangeofinvestors.

Themarketfundamentalsoflimitedsupply,coupledwiththedemographicsandmacrotrendsinplay(increasingurbanisation,growingonlineretailsector,risingmanufacturerorders)willensurestrongperformancefromthelogisticssectorovertheshorttomediumterm.

Date Property Tenant / AWULT Size Sq Ft Price NIY Capital Value (£ psf)

Aug-2019 RoyalMailUnit,StakehillIE,Middleton RoyalMail/10years 104,345 £9,115,000 5.15% £87

April–2019 JohnLewis,Brackmills,Northampton JohnLewis/5years 335,668 £26,233,000 5.90% £78

Jan–2019 Link95,Heywood McCormick/5.4years 95,980 £10,385,000 5.50% £108

Nov–2018 GAPetFoods,Chorley GAPetFoods/10years 185,191 £20,540,000 4.64% £111

Jul-2018 Antolin,Droitwich Antolin/6.5years 203,442 £16,900,000 5.44% £83

Jan-2018 AO.com,Crewe AO.com/8.8years 386,750 £35,188,000 5.25% £91

There have been a number of notable warehouse investment transactions in the region, details of which are summarised below:



DISCLAIMER:CBREforthemselvesandforthevendorsorlessorsofthepropertywhoseagentstheyaregivenoticethat:(i)theseparticularsaregivenwithoutresponsibilityofCBREorthevendorsorlessorsasageneraloutlineonlyfortheguidanceofprospectivepurchasersortenants,anddonotconstitutethewholeoranypartofanofferorcontract;(ii)CBREcannotguaranteetheaccuracyofanydescriptions,dimensions,referencestocondition,necessarypermissionsforuseandoccupationandotherdetailscontainedhereinandanyprospectivepurchaserortenantshouldnotrelyonthemasstatementsorrepresentationsoffactbutmustsatisfythemselvesbyinspectionorotherwiseastotheaccuracyofeachofthem;(iii)noemployeeofCBRE(andtheirjointagentswhereapplicable)hasanyauthoritytomakeorgiveanyrepresentationorwarrantyorenterintoanycontractwhatsoeverinrelationtotheproperty;(iv)VATmaybepayableonpurchasepriceand/orrent,allfiguresarequotedexclusiveofVAT,intendingpurchasersorlesseesmustsatisfythemselvesastotheapplicableVATposition,ifnecessarybytakingappropriateprofessionaladvice;(v)exceptinrespectofdeathorpersonalinjurycausedbythenegligenceofCBRE,itsemployeesorservants,CBREwillnotbeliable,whetherinnegligenceorotherwisehowsoever,foranylossarisingfromtheuseoftheseparticularssavetotheextentthatanystatementmadeintheseparticularshasbeenmadefraudulently.DesignedandproducedbyCBRE.Oct2019

FURTHER INFORMATION PROPOSALPlanningWeunderstandthepropertyhasplanningforB8use.Prospectivepurchasersareadvisedtoundertaketheirowninvestigationsinthisregard.EPCThepropertyhasanEPCratingofB-50.Acertificateisavailableonrequest. VATWeunderstandthatthepropertyhasbeenelectedforVAT.AssuchitisanticipatedthatthesalewillbetreatedasaTransferofGoingConcern(TOGC).

Dataroom AccessAdditionalinformationisavailableviaamarketingdataroom.FurtherdetailsareavailableuponrequestfromCBRE.

Weareinstructedtoseekoffersinexcessof£16,680,000 (Sixteen Million, Six Hundred and Eighty Thousand Pounds).

ApurchaseatthislevelreflectsanattractiveNet Initial Yield of 6.25%afterallowingforpurchaser’scostsof6.74%,subjecttocontractandexclusiveofVAT.

This reflects a low capital value of £78 psf.

CONTACTForfurtherinformationortoarrangeaviewingpleasecontact:

Robert WoodsT:01612335668M:07826278439E: [email protected]

Frankie IsherwoodT: 01612335428M:07464491654E: [email protected]

Jack FarmerT: 02071828035M:07956094081E:[email protected]

PIONEER Pioneer Business Park, Ellesmere Port, CH65 1AQ

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