Property Advice for BOCM PAULS

General Consultancy

BOCM PAULS Ltd is the UK’s leading animal feed manufacturer. Formed as the result of an MBO from its multinational speciality chemicals parent, it has consolidated its position in the industry with a number of strategic acquisitions and the rationalisation of outdated and poorly located sites. 

It now operates from a total of 18 sites (some recently acquired) mainly comprised of freeholds, but with a number of leased sites. Most sites are located on industrial estates or in rural areas close to its market.

Client Requirements

BOCM PAULS engaged Trilogie CRE to give strategic advice on its surplus asset portfolio and to identify any future development potential on its operational sites. The client had identified that it did not want to rely solely on the advice of agents. It believed that an independent view was likely to lead to the achievement of best value, particularly in the disposal of its surplus assets. At the time of the MBO, the client had 20 food manufacturing and other sites across Britain.

Results Examples

A redundant former office and factory site in the South of England was on a predominantly light engineering and distribution industrial estate. Trilogie CRE secured terms with a specialist retail developer partner and the client entered into a conditional contract with the preferred developer to run a planning application at the developer’s expense for a DIY store. Planning was granted following an appeal and the site was successfully sold to the developer.

A leased factory site became redundant with 14 years still to run on the lease. Trilogie CRE were able to negotiate the purchase of the site from the landlord with a back-to-back sale to a third party developer.  The deal realised a receipt for the client and allowing them to exit from an onerous lease without incurring dilapidations and reinstatement liabilities.

A two acre former office site with potential for mixed use development was carefully assessed including holding negotiations with the planning authority. It was marketed before being sold on an unconditional basis. The site remains undeveloped and the client believes that the quick sale yielded best value for them on a site which poses a number of problems for any future development.

Trilogie CRE inputs

• Strategic overview of portfolio
• Identifying developer partners
• Property due diligence
• Planning advice
• Lease restructuring

For further information please contact Keith Martindale - km@trilogiecre.com or Richard Cooper - rc@trilogiecre.com