Phase III, Redhills Road
South Woodham Ferrers, EssexVIEW ALL OUR TRANSACTIONS
Having owned the Freehold for a number of years, BHP acquired the Long leasehold interest from West Property Register (RBS) as part of a wider tripartite transaction by them to extinguish their lease liability.
Having completed the acquisition, BHP collapsed the various Leasehold interests, with BHP now controlling a more traditional structure of Landlord and occupational tenant.
BHP made the decision to capitalise upon the heightened investor demand for industrial assets and instructed Allsop & Co to market their interest. The asset was subsequently sold to Petchey Holdings.
- BHP held the key (Freehold) to facilitating West Property Register sale of asset
- Lack of intensive historic management
- Attractive pricing due to vendors lease structure
- BHP owned FH tenure
- Lease events in near term allow establishment of market ERV’s
- Strong investor appetite for a sale
- Generally poor covenants
- Very poor quality buildings
- Resistance to market ERV’s due to historic low rents on the estate
- Poor covenants strength
- Relatively modest asset value may result in a lack of institutional buyers
- Many leases had schedule of conditions