Freehold City Centre Office Opportunity

 

SUMMARY

INVESTMENT SUMMARY

  • An attractive and modern office opportunity in the heart of Central Leeds
  • Open plan office (B1)  accommodation, refurbished to a high standard in 2013, providing 10,344 sq ft (961 sq m) over three floors
  • Four secure car parking spaces, 13 person passenger lift and suspended ceilings with LG7 Compliant lighting
  • Self-contained access from Butts Court with an additional entrance from Albion Street
  • Let to Leeds Building Society (5A1)
  • Freehold
  • Currently producing a rent of £177,951 per annum reflecting £16.66 per sq ft
  • Asset management opportunities through future re-letting, conversion to residential or hotel use (subject to necessary planning consents)

LOCATION

LOCATION

Leeds, the country’s second largest legal and financial centre, is Yorkshire’s principal financial centre benefiting from a catchment population of some 1.3 million people.

The City has one of the most diverse economies of any UK employment centre and is the UK’s fastest growing city with the second largest employment total outside of London. The value of the City’s economy is estimated at around £13.6 billion which is projected to grow by at third in the next 10 years.

The City is also the main regional headquarters for government departments and utility providers. The Department of Health, NHS Direct, Highways Agency and Child Maintenance and Enforcement Commission all have substantial facilities within Leeds. In addition, with two universities and one of Europe’s largest teaching hospitals, the city has one of the largest skilled labour markets.

Organisations employing over 1,000 people include British Telecom, Direct Line, Leeds City Council, Leeds Building Society and ASDA. Over the last 20 years more jobs have been created in Leeds than in any other UK city outside London and over the next 10 years Leeds is expected to generate 25% of the employment growth for the Yorkshire and Humberside region.

In terms of wealth creation, Leeds is the driving force within the regional economy. Total Gross Domestic Product (GDP) stands at over £12.8 billion per annum, and is projected to grow by around 34% over the next ten years, compared with a UK average of 23%. The city has one of the most diverse economies in the UK.

Leeds is located approximately 40 miles (64 km) north east of Manchester, some 190 miles (306 km) north of London and is strategically located to connect into the national motorway network. The City lies 7 miles (11 km) north of the intersection of the M1 (Junction 42) and M62 (Junction 29) motorways. The M1 is directly accessed from the city centre by the M621 which in turn link with the A1(M).

Leeds City railway station is one of the UK’s busiest railway stations outside of Central London with over 100,000 passengers using it each day. Services to London Kings Cross run every 30 minutes with a fastest journey time of approximately two hours. It also benefits from direct services to Manchester, Liverpool, York and Newcastle.

Leeds Bradford International Airport is situated 8 miles (13 km) northwest of the City Centre and is serviced by a dedicated coach link. It provides daily flights to major UK and European destinations including Spain, Italy, France and Germany.

 

 

SITUATION

SITUATION

The property is situated within the heart of the prime commercial area in Leeds City Centre with an excellent mix of office and retail occupiers in the vicinity.

The main entrance to the property is situated on Butts Court, a quiet no-through road which enjoys very little vehicular traffic.

The rear of the property is on the western side of Albion Street, a busy thoroughfare providing access between The Headrow to the prime shopping area of Commercial Street and the new Trinity Leeds Shopping Centre. Occupiers within the immediate area include a 300 space NCP car park, Waterstones, Specsavers, Currys PC World and Barclays.

 

DESCRIPTION

DESCRIPTION

The property is formed of two adjoining and prominent period buildings with separate ground floor retail accommodation and open plan office set over first, second and third floors.

The main entrance to the property is via Butts Court with a ground floor reception area and a rare secure garage providing four tandem car parking spaces through two separate roller shutter doors.

The property was substantially refurbished in 2013 and now provides modern, open plan office accommodation with the following specification;
• Open plan, efficient floor plates
• 13 person passenger lift
• Suspended ceilings with recessed LG7 compliant lighting
• 4 secure on-site car parking spaces accessed via two roller shutter doors
• Comfort Cooling system
• Male, Female and Disabled toilet facilities on each floor

ACCOMMODATION

We have been provided with floor areas which we understand have been measured in accordance with the RICS Code of Measuring Practice (6th Edition) on a net internal basis, as follows:

 

 

 

 

 

 

TENURE

TENURE

The Property is held Freehold.

TENANCY

TENANCY

The property is let on full repairing and insuring terms to Leeds Building Society for a term of 5 years from 31st March 2019 subject to a tenant only break option on 31st March 2022 (on 6 months’ notice) at a rent of £177,951 per annum.

The tenant has occupied the office accommodation since 2013.

COVENANT

COVENANT

Leeds Building Society

Formally established in 1875, Leeds Building Society is currently the 5th largest building society in the UK. It trades as a mutual society and is therefore not required to be registered under the Companies Act.
Leeds Building Society has had its head office at 96 Albion Street (some 240 feet (70 m) north of the subject property) since 1886. Leeds Building Society has a D&B rating of 5A1, reflecting a “minimum” risk of business failure. Summary accounts for the last 3 years are set out below:-

 

 

 

 

 

IMAGES

PHOTO GALLERY

PROPOSAL

EPC

Available upon request.

VAT

The property has been elected for VAT, therefore VAT will be payable on the purchase price. It is anticipated the transaction will be treated as a Transfer of a Going Concern (TOGC).

PRICE

Offers are invited in excess of £1,860,000 (One Million, Eight Hundred and Sixty Thousand Pounds) subject to contract and exclusive of VAT.
A purchase at this level reflects a Net Initial Yield of 9.00% and a low capital value of £179 per sq ft taking into consideration standard purchaser’s costs of 6.24%

 

MISREPRESENTATION ACT 1997 & DECLARATION

Buchanan Bond Real Estate Ltd, for themselves and for the vendors of this property whose agents they are, give notice that:
i) The particulars are set out as a general outline only for the guidance of intending purchasers, and do not constitute, nor constitute part of, an offer or contract.
ii) All descriptions, dimensions, references to condition and necessary permission for use and occupation and other details are given in good faith and are believed to be correct, but any intending purchasers should not rely on them as statements or representations of fact and must satisfy themselves by inspection or otherwise as to the correctness of each of them.
iii) No person in the employment of Buchanan Bond Real Estate Ltd has any authority to make or give any representation or warranty in relation to this property.

BROCHURE

BROCHURE

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