Asset Management for an industrial estate, Hertfordshire

Our solution

• The estate had poor identity and branding. Rapleys commissioned a design time to rebrand the scheme by creating a new logo, colour palette, branded tenant directories at each entrance, along with a 10 m wide x 1 m heigh panatrim sign fronting the main road
• Rapleys led a project team to deliver a strategic full refurbishment of a vacant 7,000 sq ft unit, comprising a new roof, windows, improved layout, lighting and overall efficiency, increasing the EPC rating from F to B. The unit was let within 3 months of PC on a new 10 year lease, 3 months rent free at 12.5% above ERV. The letting was a key milestone, being the first significant open market recent deal, to cement and improve the rental tone
• Rapleys aggressively pursued a surrender of a 10,000 sq ft unit (where the tenant had vacated and the lease had 1 year unexpired), led a similar strategic refurbishment programme increasing the EPC rating from D to B. Rapleys agreed heads of terms in advance of PC, completing a new 5 year lease immediately on PC, 3 month’s rent free, at a rent 17% above ERV and 50% above the former passing rent
• 35% of the estate was let to two strong occupiers with leases due to expire within 2 -3 years. Rapleys successfully negotiated lease re-gears with both extending their term, immediately improving the headline rent and aligning it with current rental values – representing increases of circa. 50% and 37%
• Subsequently, Rapleys strategically initiated a number of historic rent reviews and, using recently generated comparable evidence, negotiated increased rental income
• Within two years of instruction, Rapleys:
  • Increased the total annual income from the estate by 30%
  • Increased the rental tone by 40%
  • De-risked key income streams
  • Created a strong brand with full occupancy
  • Supported The Fund in achieving their sustainability objectives.