Location, size and uses

The property; parts of which date back to the late 1970’s, is a key operational manufacturing facility some 10 miles south west of Bath extending to gross internal area of 291,000 sq ft (27,000 sq m) over 5 buildings on a site area of 18.3 acres (7.4ha).

The brief

Our client is a mid cap support services plc and this operational site, being a long term strategic part of the business, was identified as a suitable opportunity upon which to raise additional cash identified as required for the business.

Key objectives and constraints

Having received formal instructions to proceed in March, the objective was to complete the transaction and realise a base level of £13m by end June in time for the client’s half year results. There were to be separate co-terminus leases on each of the five buildings to allow for future flexibility should operational circumstances change.

Actions and outcome

Whilst this was a substantial piece of second hand real estate in a small market town, the product on offer, in terms of covenant, lease structure and strength of the investment market was packaged is such a way that we were able to realise a price, for the client, almost 10% in excess of original expectations and within the required timeframe.

Trilogie Input

• Totally managed whole process from inception to completion
• Provided client with realistic budget data in terms of market rental and likely realisation price on a number of alternate leasing scenarios to allow Board to make decision to proceed
• Recommended and appointed investment broker
• Agreed and approved marketing budgets and literature
• Worked closely between agent, solicitors, other consultants, local management and main Board to prepare comprehensive due diligence information pack to include:
• Key corporate financial information
• Environmental and Asbestos Audits
• Site services details and plans to be fed into leases
• Building condition and measured surveys
• Title information
• Anticipated replies to contract enquiries
• Draft format leases, acceptable to both the occupier and the investment market
• Throughout the marketing period, managed the agent to ensure process did not fall behind project timetable
• Taking advice from broker’s and utilising knowledge of the bidding parties, provided recommendations on preferred purchaser and drove legals through to completion

For further information contact  Peter Boros - pb@trilogiecre.com