INVESTMENT, IK House, Pennine Avenue, Stockton on Tees TS18 2RJ

The subject property is located on Pennine Way close to the junction with the A1046, Portrack Lane. The location is the undoubted epi-centre for the Teesside region for the industrial, trade and retail warehouse sectors. The property is accessed via Teesway directly from Portrack Lane which links in turn to the A19, the area’s principal north / south trunk route. National trade and industrial operators nearby include, B&Q, Magnet, Wickes, Wolseley, Dunelm, Smyths Toys, B&M, Adsa and Aldi. The success of the location and excellent transport connectivity has attracted a range of F&B occupiers including Costa, Starbucks, Greggs and McDonalds.

Detached modern industrial warehouse with pitched roof, steel frame, steel clad with brick lower and glazed fronted trade counter area. High eves height at 8m. The tenant has installed a mezzanine floor with show room and offices below. Side loading off small yard through roller shutter door.

LEASE DETAILS
Let on a new lease from 13 August 2023 for 5 years without break expiring 12 August 2028. Tenants Full Repairing and Insuring Terms. The passing rent is £35,000 pax (£6.95 psf).

The new lease was granted by reference to a previous lease for 10-year lease from 13 August 2013 at a rent of £28,000 pax.

The Mezzanine was a “tenant’s improvement” and is not rentalised. It is understood to have been installed in 2013 when the first lease commenced. This offers potential to increase the rent on reletting should YESSS not renew again.

Yesss Electrical is the fastest growing electrical wholesaler in the UK with over 95 stores nationwide and have been established in Europe for almost 50 years. Located in London, Sheffield, Leeds, Nottingham and even the Channel Islands. Their West Yorkshire based UK distribution centre provides a next day delivery service to the branch network, along with bespoke customer site deliveries.

The tenant has reviewed and as evidenced by the lease renewal; the property has shown a solid rental increase on the original rent.

LEGAL FEES
Each party is to be responsible for their own legal fees incurred with any transaction.

VAT
VAT will be charged on the sale unless stated otherwise.

ENERGY PERFORMANCE CERTIFICATE
Am Energy Performance Asset Survey Ratings will be available on request.

TENURE
Freehold

PRICE
Price £600,000 (Six Hundred Thousand Pounds), Subject to Contract, reflecting a Net Initial Yield of 5.56% allowing for purchaser’s costs at 4.95%. Ignoring the mezzanine this reflects a Capital Value of £119.00 psf.




Accommodation:
Warehouse: 5,037.00 sqft
Mezzanine: 2,437.00 sqft
Total: 7,474.00 sqft