19-20 Dawkins Rd 12,400 sq ft Industrial Property Poole BH15 4JY £950,000 (£76.61/sq ft) 8.84% Net Initial Yield

The property is available to purchase freehold subject to and with the benefit of a new lease. This commercial investment is for sale at £950,000, exclusive of VAT (Although we would expect this to be sold as a T.O.G.C.) representing a gross yield of 7% rising to 7.8% at year 5.
Accessed directly from Dawkins Road, the property consists of a substantial detached industrial building offering accommodation of circa 1,150 M2 (12,400 ft²) plus mezzanine floors. Likely constructed in the late 1960s, it is formed of steel portal frame construction with brickwork walls. The roofs are pitched, double skin corrugated asbestos, with translucent panels. A high-quality new extension has been added to the rear of the unit, and windows are typically of replacement UPVC double-glazed type. Externally, there is a small area laid to lawn with front parking adjacent. Beyond this is a tarmacadam driveway giving access to side/rear loading doors and a rear yard where there is further parking. The property is connected to mains water, sewers, and has three-phase electricity. Extensive solar panels have been installed and generate income for the tenant. The vendor will be undertaking refurbishment works prior to sale.
Dawkins Road Industrial Estate occupies a well-established commercial position in Hamworthy, just 1.5 miles from Poole town centre and close to the Port of Poole. The estate enjoys excellent connectivity via Blandford Road (A350), linking quickly to the A35 for access across Dorset and onward to Bournemouth, Southampton and the national motorway network.
Occupational lease:
• New 10-year Full Repairing and Insuring lease with tenant break option at year 5 and rolling annual breaks thereafter.
• Commencing rent of £84,000 per annum, rising to £93,000 per annum at year 5.
• The tenant is Music Centre S.R.L., a large multinational music company based in Italy with subsidiaries in the USA, Canada, the UK, and Europe.
• Company turnover is €13m, EBITDA €3.2m, and Net Asset Value is €46m (accounts available on request).
• Having been in occupation since 2008, previously as Denis Wick Products, the company manufactures mutes and mouthpieces for brass instruments.