Light Industrial for sale

PL26

Under Offer £1,500,000

Property Description

Commercial information

  • Business for sale
  • Use class orders: B1 Business and B2 General Industrial

Key features

  • Biomass Woodchip Pellet manufacturing business
  • Fully equipped production plant included worth 750K
  • Supply to 1 main distributor
  • Demand super-seeds production levels
  • Huge potential for growth
  • Expanding market sector
  • Renewable energy product
  • Government backing on climate change

Full description

Tenure: Leasehold

Biomass Woodchip Pellet Manufacturer In Cornwall For Sale
Ref 2075

Location

This respected Biomass Woodchip Pellet Manufacturer occupies large leasehold premises near the town of Roche which is centrally positioned and gives easy access to all major roads. The A30 link road that runs through the middle of Cornwall is just 2 miles away , St Austell 6 miles and The City of Truro is 20 miles away.

Business information

Asking Price:1,500,000
Turnover: 1.25 million
Gross profit: (40%)
Plant & Machinery Value 750K

Leasehold

Original term: 25 years
Remaining: 22 years
Reviewed: 5 years
Rent: 67,000 plus VAT pa
Rates: 20,000 pa

Business Description

Veritas Business Sales are delighted to offer for sale this outstanding Biomass Woodchip Pellet manufacturing business which is located in Roche in Cornwall. The business was established in 2011 by it's current owners and is now being offered for sale so that they can concentrate on their other business interests. Since ownership they have continually invested in new plant and machinery along with fixtures & fittings which are all bought and paid for and included within the sale price which is a huge plus for any new purchaser as additional funds will not need to be spent for some time. The business is owner operated and employs the help of 6 highly experienced full time members of staff which will shortly increase to 9 as production increases. What's being offered is a fully equipped production plant where they produce woodchip heating pellets from locally sourced wood waste that would have been destined for landfill. The pellets are used in Commercial Biomass boilers and are not only more cost effective than oil or gas but also help reduce carbon emissions. Customers include Hotels, Nursing Homes, Holiday Parks, Farms, Golf Clubs, Schools and Colleges to name but a few but these are delivered out using one main distributor that has exclusive distribution rights to this product. As production increases the annual turnover will be in the region of 1.25 million with a GP of approximately (40%) and this will only increase as the Government has committed, under the Climate Change Act of 2008 to ensure that 15% of our energy is produced through renewable means by 2020. We believe that there is huge potential to increase what is already a thriving business as production cannot keep up with the demand of this innovative green product. The business enjoys a really strong reputation within the local community and beyond and as such has a high level of regular and repeat trade. This is a superb opportunity to purchase an established and expanding business which is a great base to build upon and as such early viewing is highly recommended as this business is not to be missed.
Opening Hours

Monday - Friday - 7.00am - 5.00pm
Saturday & Sunday - Closed

Substantial single-storey premises 65m x 40m comprising:

Ground Floor

Entrance to workshop through roller-shutter doors
Open plan offices with canteen and sink drainer Storeroom
Gents W/C and hand wash basin
Ladies W/C and hand wash basin

Factory

W/C and hand wash basin
Testing room with testing equipment and shelving
Large open plan factory area comprising of the necessary equipment to manufacture Biomass Woodchip Pellets which includes:
Chinese badged heavy duty hydraulic chipper, purpose built 4 burner biomass boiler, hammer mill for dry material, rotary pellet making machine, powered rotating insulated drying vessel.
Etc. (A full list of the factory inventory is available with the details).

Outside

Car parking for (20)


Since putting the business up for sale MiG has continued to invest in equipment and processes and is now in a far stronger position that a year ago. The main areas that have changed are as follows
1: Using our own technology Torrefaction we have obtained a waste to energy licence which enables us to process wood waste that we get for free. The process involves cooking the wood thereby effectively cleaning it and producing a high value fuel. This gives us a margin of over 90/tonne.
2: We have just taken delivery of a large wood crusher able to process 12 tonnes of waste wood per hour.
3: We have installed 10 large boilers for wood drying which give us a Renewable Heat incentive payment from Ofgem of 50k per month.
4: In the last week we've secured a contract for 600 tonnes per month of wood chip and sawdust and a contract to sell everything we produce at 155 per tonne.
It is expected that the business will produce an EBITDA of 500k plus in the year 2017/18 and over 1 million in the following year.


Nearest stations

  • Bugle (1.1 mi)
  • Roche (1.3 mi)
  • Luxulyan (3.1 mi)
Distances are straight line measurements from centre of postcode

To view this property or request more details, contact:

VERITAS BUSINESS SALES LTD, Truro

Truro Office Veritas Business Sales Ltd Central Boulevard, Truro, TR1 1WL

01872 490108 Local call rate

How much will it cost me to call the number displayed on the site?

Standard geographic charges from landlines and mobiles apply and calls may be included in your telecom provider's call package.

Map & Street View

Nearest stations

  • Bugle (1.1 mi)
  • Roche (1.3 mi)
  • Luxulyan (3.1 mi)
Distances are straight line measurements from centre of postcode

To view this property or request more details, contact:

VERITAS BUSINESS SALES LTD, Truro

Truro Office Veritas Business Sales Ltd Central Boulevard, Truro, TR1 1WL

01872 490108 Local call rate

How much will it cost me to call the number displayed on the site?

Standard geographic charges from landlines and mobiles apply and calls may be included in your telecom provider's call package.

Disclaimer - Property reference 2075. The information displayed about this property comprises a property advertisement. Rightmove.co.uk makes no warranty as to the accuracy or completeness of the advertisement or any linked or associated information, and Rightmove has no control over the content. This property advertisement does not constitute property particulars. The information is provided and maintained by VERITAS BUSINESS SALES LTD, Truro. Please contact the selling agent or developer directly to obtain any information which may be available under the terms of The Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Regulations 2007 or the Home Report if in relation to a residential property in Scotland.

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