Commercial Portfolio

Case Study

Improvements and Investment at Caxton Court

When Northumberland Estates purchased the Caxton Court industrial Estate in Watford in 2014 it was with a view to unlocking additional value at the site, identified by the in-house commercial property and planning teams.

A popular commercial industrial estate of around 65,000 sq ft, all of the seven units at Caxton Court were occupied at purchase. What Northumberland Estates had in mind was to create the space to add additional units, by reconfiguring the surrounding area.

Research had demonstrated a need locally for smaller units and a wider size range. With this in mind discussions began with the four tenants in occupation. A scheme was devised which left the existing units unchanged in terms of space, but offered the tenants improvements to the site including extensive landscaping while, at the same time, creating enough space to develop four smaller but high spec units on site.

This project is now underway and terms agreed for an existing occupier on site to take all of the newly created space, thus ensuring their long term commitment to this part of Watford.

Case Study

Flexibility is the name of the game

At Northumberland Estates we realise the difficulties faced by small businesses in their drive to expand.

When the Alnwick Enterprise Hub opened in 2012 the largest of the units at 406 sq ft was taken by Challenging Learning. Led by James Nottingham, this exciting new company is a leader in transforming up-to-date research into best practice for teaching and learning. Within a year the staff of three had expanded to 10 and the business had outgrown its premises.

Working with the tenant and by taking a flexible approach Northumberland Estates was able to structure a deal which works for everyone. By taking three suites in the neighbouring building on the Estate owned Cawledge Business Park on the outskirts of Alnwick, Challenging Learning now has the space it needs but also the opportunity to invest through the creation of a long term purchase agreement for the new unit.

“Having managed start up business units in and around Alnwick for many years we are well aware that many new businesses hit a point where they find it difficult to grow without uprooting and moving out of Alnwick,” says Michael O’Driscoll “Although understandable, if we can assist them in staying in the Alnwick area it can make sense for them as it saves on costs and makes it easier to keep existing staff, but also is great news for the local economy. Challenging Learning is a business which we believe to be going places, having recently expanded into Scandinavia and Australia as well operating here in the UK. This is just the type of innovative employer that Alnwick needs.”

Case Study

Development in Alnwick

Northumberland Estates continues to retain sizeable property portfolio in Alnwick. Modern day investment strategy has seen a move away from town centre premises, and instead concentrates on purpose-built units on the outskirts of the town. Retail, industrial and office developments such as Willowburn and the Cawledge Business Park have enabled the Estate to attract a good mix of national retailers to the town, complimenting the offer of the smaller independent traders in the town centre and increasing footfall. More recent additions include the Hoggs Head Inn and a new petrol filing station.

Commercial development projects in the Alnwick area include:

• Cawledge Business Park – 60,000 sq ft scheme including 12 unit office park, 53 bed hotel, petrol filling station and McDonalds restaurant.

• Willowburn Retail Park – 4 unit retail warehouse development totalling 80,000 sq ft with occupiers including Sainsbury’s, Argos, Homebase and Pets at Home

• Hotspur Court – 17 unit, 42,000 sq ft industrial estate

• Former Willis Garage site – New two unit scheme pre-let to Aldi and Majestic Wines.

Case Study

Tyne Tunnel development takes off

As a landlord looking to invest for the long term, it makes sense for Northumberland Estates to work closely with its commercial property tenants.

When building work commenced on the Axis 19 site at the Tyne Tunnel Trading Estate last year, the 28,000 sq ft development was speculative. Yet within weeks a deal was agreed with Advance Industrial Solutions (AIS).

AIS were existing tenants of Northumberland Estates but after a sustained period of growth, took the new build units in addition to their existing space on the basis of a 10 year lease term.

Advance Industrial Solutions (AIS) offers survival and emergency training for personnel involved in the oil, renewables and other offshore industries. With their headquarters close by they chose the Axis 19 site to create a brand new, state of the art training facility.

“Speculative development is always high risk, but given the dearth of available industrial stock in the region and the prime location of the site we were confident of securing an end user prior to completion.” says commercial property surveyor, Michael O’Driscoll. “Working with the occupier from early on in the construction phase allowed AIS to have a greater level of input into the project, making it a “win win” situation for all concerned.”