About two acres of industrial land in Aberdeenshire are up for grabs at a knock-down price of £1million in what could turn out to be one of the best bargains on offer in a subdued commercial property market.
Aberdeen-based property firm FG Burnett is currently marketing the Hercules House site at Badentoy Business Park, Portlethen, at a 70% discount on what it was worth just four years ago.
The cut-price deal is a reflection of the recent downturn in the north-east economy but, with signs of a recovery at last taking hold, the development potential is huge.
FG Burnett director Graeme Nisbet said: “Today’s market affords some excellent opportunities to acquire commercial premises by owner occupiers, investors and developers.
“Hercules House is one such casualty which is for sale at a time within a subdued market where supply continues to outstrip demand.
“We have had the facility on the market for nine months, with very little interest. It’s a very clean and modern facility, offering a flexible working arrangement with excellent yard.”
He added: “We are now under pressure to realise the asset and our clients would settle a deal at well below any perceived value in today’s market.
“The level we are now considering opens the door for developers and speculators alike who could take a view as to whether it’s an asset strip or demolition in part, or consider the development opportunity within sections of the site.
“Given the revised price tag of £1million for the entire facility, some 70% below its valuation of four years ago, we are confident that there is a purchaser out there and hopeful of a quick win. Whoever it is, they will pick up a bargain.”
The Hercules House site, close to the new Aberdeen city bypass road, comprises a two-storey industrial unit with 4,965sq ft of office and 5,892sq ft of warehouse space, an 8,452sq ft office building – also over two floors – and 0.63 acres of yard. There is a sitting tenant, workplace joinery and fit-out specialist TransForm.
The site was owned and occupied by offshore drilling services company Ensco before US firm Hercules Offshore took over the site just before the oil slump. FG Burnett is targeting potential new owner-occupiers, tenants, investors or developers on behalf of Hercules Britannia Holdings.
The site could be of interest to the logistics sector, for firms seeking locations from which to feed consumers’ demand for faster deliveries for online purchases.
Amazon opened a new delivery station at Badentoy, Portlethen, in 2016 but is thought to be is on the hunt for a bigger site.
London-based commercial property company Titan Investors said last year it was targeting the sector as it unveiled plans for a major new logistics park in Aberdeen.
Energy giant Total had just inked a deal to sell the 20-acre Altens site to Titan.
Recommended for you
