23 Mayfield Industrial Estate

LOCATION

The subjects are located in Dalkeith, the administrative centre for Midlothian Council, some 7 miles south-east of Scotland's capital city, Edinburgh.

It lies only a short distance from a major interchange on the A720 Edinburgh City Bypass, the Sheriffhall Roundabout, thereby offering excellent road connectivity to locals and businesses alike.  The A1 trunk road is less than 3 miles to the east providing access to towns in East Lothian, such as Musselburgh, Haddington and North Berwick, with the M8 interchange at Hermiston Gait 10 miles westwards.

Mayfield, meanwhile, is approximately 2 miles to the south-west of Dalkeith situated between the A68 and A7.  Both of these roads are principal links to the Scottish Borders making towns such as Galashiels and Stow easily accessible.  The former mining villages of Newtongrange and Easthouses border Mayfield which enjoys elevated views to the Pentland Hills and Edinburgh beyond.

The subjects occupy a substantial site on Mayfield Industrial Estate, a firmly established location, just off the B6482 which runs through the middle of Mayfield itself.  Nearby occupiers on the estates include:  Interflex Group, NWH Construction Services, Scottish Ambulance Service, Saltire Soccer Centre, NSD International and Lloyds Pharmacy.

Public transport is widely available with regular bus connections providing connections to the city centre.  Rail connectivity, meanwhile, has greatly improved in recent years with the opening of the Borders Railway connecting Galashiels with Edinburgh Waverley.  The nearest station to Mayfield is at Newtongrange, less than 2 miles away, with a further stop at Eskbank only slightly further afield.

ACCOMMODATON DESCRIPTION

The subject property comprises a large detached single storey industrial unit on a regular rectangular shaped site and extends to an approximate gross internal area of 52,563 sq ft.  It is of steel framed construction and is clad externally with profile metal sheeting.  There is also a small section of two storey offices attached to the west elevation with a mix of brickwork and timber cladding.  We understand the property was constructed circa 1985 but has since received a significant amount of capital investment by the current owners to suit the current use.

Internally, the main warehouse accommodation has been subdivided into three main sections. The principal space (23A) is occupied by Ryze trampoline park with dozens of interconnecting trampolines raised from floor level.  Access is provided by a set of steps at the front of a central reception area.  The middle section (23B) consists of additional trampolines whilst the final ground floor area (23 F) is occupied by Meadowbank Gymnastics Club.

A mezzanine area, accessed via stairs and a disabled access lift, provides accommodation for Café Unique Edinburgh (23C), seating area and party rooms (23E). It connects with the original office block which has been converted to provide additional party rooms and office space. There is also an open plan room (23G) which is let out for events and pilates classes.  The ground floor of the former office block (23D) is occupied by A-FIT Athletic and also provides toilet accommodation for customers of the trampoline park.

To the north and east elevations there is a large tarmac car park providing spaces for up to 130 vehicles.  There is an area of expansion land to the south of the property partially formed in a mix of grass and unmade ground.  The area of land to the west of the subjects, meanwhile, is being retained by the vendor.

THE SITE

The subject property has an approximate site area of 1.52 hectares (3.75 acres).

TENANCY SCHEDULE

ABOUT RYZE ADVENTURE PARKS

Ryze opened in May 2014 and was the first trampoline park on Scotland's east coast and one of the first of its type in Europe. The Ryze brand is the UK arm of Circus Trix who are the largest trampoline park operator in the world.  Circus Trix, which was founded in the USA in 2011, now have over 300 parks globally, including two Ryze locations in Scotland - Edinburgh and Dundee.  The most recent of these, a 37,000 sq ft facility, opened in Dundee following a £1.5 million investment.

With these parks in full operation it gives Ryze the opportunity to reach 90% of communities in Scotland.

TENANT INFORMATION

Ryze Edinburgh Limited

Ryze Edinburgh Limited has invested just under £1.3m of its own cash (no external debt) to create the biggest trampoline park on Scotland's East Coast. Turnover for the last 2 years has been low due to lockdowns at £825,000 in 2021 and £463,000 in 2020, however sales have jumped back up in the 2021/2022 period and are on track to hit the £1m plus budget.

Meadowbank Gymnastic Club

Meadowbank Gymnastics Club was established in 1971 and was the first gymnastics club to be formed in Edinburgh and Midlothian offering gymnastics at all levels of ability for boys and girls. It is a non-profit organisation with charitable status and is a company limited by guarantee.

Cafe Unique Edinburgh

Providing a dedicated café service to the thousands of annual visitors to Ryze and the other tenants, Café Unique is a strong element of the investment's income profile.  The tenant's rent is based on 18% gross turnover from café sales and is subject to a minimum rent of £25,000 per annum.

TENURE

The property is held on a heritable title (Scottish equivalent of English freehold).

PLANNING

We understand the property was subject to a change of use from industrial building (Class 5) to extreme sports centre comprising a gymnasium and trampoline park with ancillary café and shop (Class 11 assembly and leisure) and formation of car park (part retrospective). Approved with conditions.   Further enquiries can be made with Midlothian Council.

EPC's

Copies of all EPC's are available on request.

LEGAL COSTS

Each party will be responsible for their own legal costs incurred in connection with the transaction.

RATEABLE VALUE

Due to the multiple tenancies in place various rateable values have been entered into the valuation roll by the Local Assessor.

VAT

We understand the property is opted for tax and, as such, VAT will be applicable to the purchase price.

PRICE

We are instructed to seek offers in excess of £2,450,000 (TWO MILLION FOUR HUNDRED AND FIFTY THOUSAND) exclusive of VAT, for our client's heritable interest. A purchase at this level would reflect an attractive net initial yield of 10.56% allowing for standard purchasers' costs of 6.8% including LBTT (Land and Building Transaction Tax).

VIEWING AND FURTHER INFORMATION

By prior arrangement through the sole selling agent Allied Surveyors Scotland.

Iain W. Mercer BA, AssocRICS

Director of Commercial Agency (East)

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Iain.

Bernadetta Majewska BSc (Hons) MRICS

Commercial Surveyor

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Bernadetta.