Investment for sale - Happy Days Investment, Nairn Road, Botley, Southampton, SO32 2SH

<strong>Description</strong><br>The property comprises a recently developed purpose built single storey day nursery situated on a circa 0.52 acre site.<br /> <br /> The building is arranged over a single storey, is brick built, with part tiled and part flat roof.<br><br><strong>Floor Areas</strong><br>The property has an approximate Gross Internal Area of 5,371 sq ft (499 sq m).<br><br><strong>Planning</strong><br>The property has current permitted use under Class D1 for schools, day nurseries, and crèches. Planning permission was granted on 9th February 2024 under application reference F/23/96256 for the construction of a single-storey detached building to be used as a children’s nursery (D1), with associated parking, bin storage, and cycle storage.<br><br><strong>Tenure</strong><br>Freehold - Title HP31792.<br><br><strong>Tenancy</strong><br>The property is let by way of a lease dated 23rd December 2025 for a term of 25 years from 24th November 2025 at a passing rent of £137,500 per annum, expiring 23rd November 2050. The tenant is Happy Days Day Nurseries Limited. The lease is subject to five yearly rent reviews on an upward only basis, index linked to RPI, with a cap and collar of 1.2166529 times base rent and 1.1040808 times base rent. We outline below the minimum and maximum rent increases based on the minimum and maximum indexed linked levels:-<br><br><strong>Covenant Strength</strong><br>Happy Days opened their first nursery in 1991 and now operate 39 nurseries throughout the South West of the UK and Wales. With over thirty years of operating the company takes care of almost 2,000 children at their nurseries every day and employ approximately 1230 personnel.<br /> <br /> Happy Days Day Nurseries Ltd has a D&B rating of 3A2 with a low risk of company default and therefore can be considered a strong covenant.<br><br><strong>EPC</strong><br>A-15. The EPC will be provided to interested parties upon request.<br><br><strong>Rateable Value</strong><br>Assessment TBC.<br><br><strong>Guide Price</strong><br>Unconditional offers are invited in excess of £2,000,000 subject to contract and exclusive of VAT. This reflects a Net Initial Yield of 6.47% after allowing for the usual purchaser’s costs.<br><br><strong>VAT</strong><br>The investment will be sold as a TOGC and will therefore be exempt from paying VAT.<br><br><strong>AML</strong><br>Regulations require Savills to conduct various checks on purchasers and tenants. Further details are available upon request.<br><br><strong>Viewing</strong><br>For a formal viewing strictly by appointment with Savills.<br><br>