The property known as Earn House comprises a modern (2005) two storey detached office building comprising a mix of open plan and private office accommodation. Construction is of steel frame clad externally in a mix of glazing and composite panel cladding.
The accommodation is presented to a high standard with lift access between ground and first floor and is completed to a modern Grade A specification. The ceilings are fitted with suspended tiles incorporating lighting and windows are of aluminium double glazed design. There is typical raised flooring which is carpeted throughout.
Location
Perth, which has a population of approximately 45,000 persons (Source: Perth & Kinross Council), is the principal area of Perth & Kinross District and has recently been awarded City status. Historically known as the gateway to the Highlands, Perth enjoys close proximity to Scotland’s main cities with 90% of the country’s population accessible within 90 minutes drive time. Dundee lies approximately 35 km (22 miles) to the east with Edinburgh 69 km (43 miles) to the south and Glasgow 98 km (61 miles) to the southwest.
Perth is located at the base of the River Tay in the heart of Scotland with the A9 and A90/M90 giving easy access to Dundee, Edinburgh, Glasgow and the south beyond. Broxden Business Park is a well established business location approximately 2 miles west of Perth City Centre and prominently located adjacent to the City Bypass and national road network. This is a well known location providing easy access to and from the other main cities of Scotland. Other occupiers include Lloyds TSB, Gillespie & McAndrew Solicitors and Scottish Government, whilst there have been recent lettings to Persimmon Homes Mouchel and Savills. This is a sought after location within a recognised and prominent part of Scotland.
Accommodation
We calculated the net internal floor area extends to the following:
Ground Floor Offices - Occupied by RWE - 1,030.47 sq m (11,092 sq ft)
First Floor Offices - Occupied by Balhousie - 1,064.36 sq m (11,457 sq ft)
Total - 2,094.83 sq m (22,549 sq ft)
There are 97 car spaces to the front of the building.
Terms
SALE PRICE - Our client is seeking offers in excess of £2,400,000 for their heritable interest. A purchase at this level reflects a net initial yield of 9.05% after normal purchasers costs, and 9.44% on completion of the 2016 rent review.
LEASE TERMS - RWE Innogy UK Limited (RWE NPower Renewables Limited) occupy the ground floor on a 10 year lease expiring 29th July 2022. There is a mutual break option on 30th July 2018 exercised by serving 12 months notice. A rent penalty payment of £80,000 is applicable should the break option be exercised. The current annual rental is £130,000 (£11.72 per sq. ft.) which is due for review on 30th July 2017.
Specification
- High quality office accommodation in a prominent location.
- Tenants include Balhousie Holdings Limited, RWE Innogy UK Limited and Savills (uk) limited.
- Annual rent of £230,000.
- Reversionary rent of £240,000 per annum.
- Price - £2.4 million reflecting net yield of 9.05% and 9.44% on completion of 2016 review.