No.2 Riverside, Bridge Street, Sheffield
Property Summary
• 4,500 sq ft (NIA) over ground floor
• Located within a prime Sheffield office area in the Riverside Exchange Scheme
• Let to ATOS IT Services UK Limited representing a very strong covenant with a 5A rating
• Offers in the region of £750,000
• Passing rent of £47,000 per annum exclusive
• A purchase at this price reflects a NIY of 5.95% assuming purchasers’ costs of 5.40%
• Recent Lease renewal until 2029 on FRI terms
Full Details
INVESTMENT CONSIDERATIONS
• Long Leasehold
• 4,500 sq ft (NIA) over ground floor
• Located within a prime Sheffield office area in the Riverside Exchange Scheme
• Let to ATOS IT Services UK Limited representing a very strong covenant with a 5A rating
• Offers in the region of £750,000
• Passing rent of £47,000 per annum exclusive
• A purchase at this price reflects a NIY of 5.95% assuming purchasers’ costs of 5.40%
• Recent Lease renewal until 2029 on FRI terms
LOCATION
Sheffield is linked via the M1 to London south, Leeds north and the M18 linking with the Humber ports. Located in the northern section of the city centre within the Riverside Exchange Scheme. The location is predominantly an office location with main occupiers including the Home Office and Irwin Mitchell
DESCRIPTION
The property forms the ground floor unit of a multi storey building. The property fitted out for the tenant’s specific needs benefits from natural light,
air conditioning, suspended ceilings, disables WC and alternate male and female WC’s. The property comprises approximately 4,500 sq ft on a Gross Internal Area basis (GIA)
INVESTMENT
Tenure
The property is held long leasehold at a peppercorn rent from Peverel Freeholds
Limited for a term expiring 3rd January 2130 and therefore has an unexpired
term of 107 years
Lease
The property is let to ATOS IT Services on an FRI Lease and is utilised as a benefits assessment centre. The Lease has recently been extended to 2029 at a passing rent of £47,000 per annum. The tenant has the right to terminate on a 2 yearly rolling basis, the current Tenant have been in occupation since 2015. The service charge provisions from the Headlease are passed to the Tenant.
Covenant
ATOS IT Services UK Limited have taken occupation of the property having won the contract to undertake disability living allowance assessments for the Government. ATOS are a very strong covenant with 5A rating. For the year ending December 2021, the company reported a turnover of £1,373,573,000 and net assets of £93,242,000.
PRICE
OIRO £750,000 reflecting a NIY of 5.95%