Key statistics at 31 March 2020
Valuation at 31 March 2019:
Valuation at 31 March 2020:
Size at 31 March 2020:
112,200 sq. ft
Contracted Rent at 31 March 2020:
Occupancy at 31 March 2020:
Kent Frozen Foods Ltd, Autoparts and Diagnostics Ltd
What is it?
Witan Park is a multi-let warehouse estate of 12 units totalling 112,200 sq. ft, located on a six-acre site in a strategic location adjacent to the A40, 14 miles from Oxford, in an area with limited supply of warehousing. We acquired the property on IPO for £8.6 million.
Why did we buy it?
On acquisition, the passing rent averaged just £5.20 per sq. ft, which we judged to be reversionary. The units offered the potential to drive rental growth through capital expenditure. The site also included underutilised car parking with development potential.
What have we done since purchase?
We have comprehensively refurbished eight units at a cost of approximately £0.7 million, with the work almost complete. In April 2019, we accepted a surrender premium and dilapidations payment of £0.8 million, which provided effective income cover until early 2020 on the units taken back, as well as a contribution to the refurbishment cost.
What is the future?
Rental levels have responded well to our investment, with notable interest in several units at rents between £7.25 and £7.75 per sq ft, representing a significant uplift on the previous rents of £5.38 per sq. ft. We are continuing discussions to relocate some existing tenants elsewhere in the estate, enabling us to unlock more value enhancement potential. We are also considering the development of the underutilised car parking.
- Lifespan of buildings extended through refurbishment and extensive redecoration
- Energy efficiency improved by part-replacement of windows with UPVC double glazing and removal of old central heating boilers and fluorescent strip lights
- Planning approval received for further sustainable development
- Close proximity to public and private transport links