Glenview Road, Hemel Hempstead

Site background

We were instructed by our client, a private investor in autumn 2017 to take over the management and carry out a refurbishment of this site consisting of 20 garages and 10 stores.

The local branch of a national estate agent had previously managed the site for many years, however they had not actively sought to let the garages and they had not paid the freeholder any of the rent that they had collected for over 4 years. In total there was approximately £17,000 owed to the landlord in arrears that had not been collected by the previous agent.

The previous agent was not sure whether many of the garages were let or not. There was only 1 garage that had a tenancy agreement in place and no keys or access details were provided. The garages were let at varying prices that were dramatically below market values i.e. some at £32.50 per quarter, whereas we are now letting them at £40 per week, or £520 per quarter.

The site was not secure and extremely hazardous due to the crumbling asbestos roofs and unmanaged trees and vegetation. We organised and project managed the entire refurbishment of the site including:

Installing new 4-point locking doors
New roofs to replace the old and damaged asbestos
Extensive tree surgery and landscaping work
New locking gates and perimeter fencing
Major dig out of rear bank and installation of 5ft retaining wall
Excavation at a corner of the site to build an additional garage

The renovation works were extensive and involved a significant amount of reconstruction at the neglected site, however thanks to our diligent and careful planning we were successful in transforming this location in becoming the most profitable it had ever been.

Site outcome

The site is 100% let and now producing in excess of £24,000 per annum for the landlord. The landlord is now receiving very detailed quarterly accounts which include particulars of every expense, and copies of every new tenancy agreement. The rental return is also going to increase due to forthcoming rent reviews that we will be carrying out.

Continuously maintained 100% occupancy since completion of works
Through proactive management, we have now reached over £52,000 gross annual income
Very minimal ongoing maintenance costs
Secured the long-term value of the site and hugely increased the rental & capital value of the property

We have also identified further potential opportunities to increase the number of garages on the site which will further increase the capital and rental value of the site. We hope to carry out this further work in the very near future.