Regeneration House, Coleshill Industrial Estate, Gorsey Lane, Birmingham, B46 1JU

Regeneration House comprises a modern office building featuring the following specification:

* Steel portal frame construction with a pitched tile roof
* Arranged over two floors providing open-plan space
* Suspended ceiling with CAT II Lighting
* Raised access floors
* Air conditioning
* Car park with 108 spaces (1:169 sq ft)
* 8 person passenger lift

The site extends to approximately 1.383 acres (0.56 hectares) and is accessed via Gorsey Lane.

Industrial Redevelopment
The Property shows clear potential for industrial redevelopment. It benefits from a prominent roadside position, bound on its north, east and western boundaries by large scale industrial units with eaves in excess of 10m. Indicative drawings suggest scope for c. 20 - 25,000 sq ft of Grade A industrial / manufacturing space, facilitated by 17 car parking spaces, 5 loading bay doors and a 25m yard depth. Any development would be subject to obtaining full planning consent.

Tenancy
The property is let to EQUANS Regeneration Limited (guaranteed by EQUANS Holding UK Limited) from 15th July 2016 to 14th July 2031 with a tenant option to break on 14th July 2028, providing an unexpired lease term of 9.00 years to expiry and 6.00 years to break. The current passing rent is £253,177 per annum equating to £13.82 psf (£148.76 psm) and is subject to an RPI-linked review in July 2026, collared and capped at 2.00% and 4.00% respectively. We understand EQUANS are considering undertaking a light internal refurbishment of the property demonstrating a level of commitment to their occupation.

Investment Summary
Secure income to a very strong covenant (5A2) with a group company guarantor. 15 year FRI lease with a tenant break option on 14th July 2028 and expiring on 14th July 2031. Low passing rent of £13.82 psf (£148.76 psm) showing strong reversionary potential.

Offers sought in excess of £2,645,000 (two million five hundred thousand pounds) subject to contract and exclusive of VAT. This reflects a net initial yield of 9.00% after allowance for purchasers costs of 6.40%. A capital value of £144 psf and an underlying site value of £1,900,000 per acre.

Local Information
Coleshill is strategically positioned approximately 12.3 miles north east of Birmingham, located in the M42 corridor and is the city's principal out of town office location. It benefits from unrivalled accessibility to the national motorway network including the M5, M6 and M42 motorways. Regeneration House is situated off Gorsey Lane on the Coleshill Industrial Estate and is accessed via the A446. The property is strategically positioned close to Junction 9 of the M42 and Junction 4 of the M6 and is in a prime logistics location.