Southwark
PROPERTY | LATEST OPPORTUNITIES | Commercial property for private investors in Southwark

New Income Partnership Opportunity from

Custodian Capital, part of the Mattioli Woods group:

Commercial property for private investors in Southwark – FULLY FUNDED

This central London industrial property is situated in a prime location in South Bermondsey in the London borough of Southwark approximately 2.5 miles south-east of the City and 3.5 miles east of the West End in an unparalleled location for servicing Central London. The 22,000 sq ft industrial unit is let on a new 15 year lease to Constantine Ltd, one of Europe’s leading fine art and antiques logistics companies, until 2027.

Investment summary:

• The property is let to Constantine Ltd
• 15 year lease until 2027
• The property comprises a single storey industrial unit
• Purchase price £2,607,000
• Initial rent £200,052 per annum
• Open market, upwards only rent reviews in 2017 and 2022
• Initial debt of £190,000 repaid by May 2014

Development opportunity:

• At the expiry of the current lease, subject to planning, the premises could be sub-divided into a terrace of self-contained units with additional mezzanine floor space in each
• Potential to increase rental value by 75% plus after development works
• This development strategy could protect against the downside risk of tenant default while generating excellent long-term returns

Forecast returns:

• Forecast total return of 8.78% plus from April 2014
onwards with income distributions of over 6%*

Timing:

• Exchange of contracts took place on the
10th August 2012
• Completion is scheduled for the 21st September 2012.

Operation:

This partnership is operated by Custodian Capital Limited, part of the Mattioli Woods group, which has a £135 million nationwide portfolio of syndicated commercial property under management on behalf of over 1,000 investors.

Structure:

This partnership is defined by the Financial Services Authority (FSA) as an unregulated collective investment scheme (‘UCIS’). This information is intended for the sole use of investment professionals falling within article 14 of the Financial Services and Markets Act 2000.

Further information:

Prospective investors and their appointed representatives who are interested in this investment model must seek their own independent financial advice from an appropriate adviser who is authorised and regulated by the Financial Services Authority.

*These figures are estimated returns for illustrative purposes only, actual returns may differ.