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High Yielding Business Park Offices Investment
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for sale
Private Treaty
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£
3,470,000
Offers in the region of
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Location
Milton Keynes is one of the UK’s most strategically connected commercial centres, offering exceptional access by road, rail and air. Located approximately 80 km (50 miles) from London, 113 km (70 miles) from Birmingham and midway between Oxford & Cambridge., the city benefits from immediate proximity to the M1 Motorway via Junctions 13 and 14, providing rapid north–south links and easy connections to the wider national motorway network, including the M25, M6 and A5.
Rail connectivity is equally strong. Milton Keynes Central sits on the West Coast Main Line, delivering frequent, fast services to London Euston in as little as 30 minutes, as well as direct routes to Birmingham, Manchester, Liverpool and Glasgow. This efficiency makes the city an attractive hub for both regional and national business operations. The East West Rail (EWR) project is a major infrastructure programme designed to re-establish a strategic rail link across the Oxford–Cambridge Arc. The first stage of this project is well underway and when completed, this transformative transport programme will unlock growth across the region and dramatically improve cross-country rail travel in central England.
For international travel, Milton Keynes is served by several major airports. London Luton Airport is just over half an hour away, offering extensive European and global connections. London Heathrow, Birmingham Airport and London Stansted are all easily accessible, giving businesses a choice of international gateways within comfortable reach.
Milton Keynes is one of the largest city economies in the United Kingdom, producing over £16.7 billion (GVA). Home to 12,400 businesses (2024) per capita, Milton Keynes has one of the highest business stocks in the country. It is one of the fastest growing cities in the UK, with plans for over 50,000 new jobs by 2050. The talent pool in Milton Keynes is further enhanced by the presence of institutions of higher learning such as Cranfield University and the Open University, one of the largest universities in Europe, and a leading innovator in digital learning and educational technology. The city is home to many blue chip, global companies such as the Red Bull Racing Formula One team.
Summary
- Part of a multi-let business park
- Located in one of the UK’s most strategically connected cities
- 19,361 sq ft / 1,799 sq m of accommodation with 134 car parking spaces.
- Diverse tenant line up
- Total contracted rent £406,633 per annum
- Offers in the region of £3.47m, subject to contract
- 11.0% net initial yield
Situation
The Woodlands Business Park is approximately 1.9 km (1.2 miles) to the northwest of Milton Keynes Centre in the Linford Wood Area. The business park is well served in terms of road communications being situated at the junction of the A422 and B4034 Trunk Roads. Junction 14 of the M1 Motorway is situated approximately 6.4 km (4 miles) to the south-east and the A5 is approximately 2.4 km (1.5 miles) to the west.
The property benefits from being immediately adjacent to a McDonalds and Costa Coffee Drive Thru Restaurant, with other surrounding occupiers including BP Chargemaster and Talk Talk.
The park occupies a prominent corner position, accessed via Saxon Street.
Woodlands Business Park was Milton Keynes’ first out of town business location. Originally developed in 1986 for the British Standards Institute, the site has evolved and diversified and is now home to a range of occupiers.
Description
The property is located at the north-eastern end of the business park comprising Larch House, Elm House and Maple House which are modern, detached self-contained office buildings constructed in 2006, providing accommodation over ground to second floors.
The cluster provides for 134 car parking spaces.
Part of this cluster includes White Clarke House which was sold in 2008, including the right to use 76 car parking space.
The Park also includes a group of offices built in the 1980’s at the south-western end of the site (Beech House, Ash House, Willow House, Birch House and Cedar House), plus three plots of land which have been sold off on long leases. Plot A has been sold off to VUR Village Properties Limited (Village Hotels), who obtained planning permission in 2019 for a six-storey hotel totalling 83,000 sq ft.
Plots B & C have been sold off to Tungsten Properties who have secured planning consent for two new industrial and logistics warehouses. The units will total c.20,000 sq ft and c.45,000 sq ft, with 10 metre eaves, secure self-contained yards, and fully fitted offices. Tungsten is currently in the process of obtaining funding for the scheme. www.tungsten.uk.com/miltonkeynes.
Please refer to the marked-up site plan and photos which explain the layout of the park.
Accommodation
The property provides the following accommodation:
| Accommodation | Area (Sq Ft) | Area (Sq M) | |
| Larch House | |||
| Ground Floor | 3,922 | 364.36 | |
| First Floor | 4,089 | 379.88 | |
| Second Floor | 4,020 | 373.47 | |
| Total | 12,031 | 1,117.71 | |
| Maple House | 3,692 | 343 | |
| Elm House | |||
| Ground Floor | 1,124 | 104.42 | |
| First Floor | 1,256 | 116.69 | |
| Second Floor | 1,285 | 119.38 | |
| Total | 3,665 | 340.49 | |
| Total (NIA) | 19,361 | 1798.7 | |
Tenure
999 year leasehold at a peppercorn rent.
Tenancies
The property produces a current gross income of £406,633 per annum, in accordance with the Tenancy Schedule which is available to download.
Site
The existing office accommodation extends over the following approximate site areas:
| Site Area* | 2.07 acres | 0.84 hectares |
*note this includes the sold-off office, White Clarke House which has a footprint of 0.15 acres / 0.06 hectares.
A Sitecheck Assess by Argyll Environmental in August 2015, whilst to be updated, provides comfort that there are no site issues, by concluding: “The level of risk associated with the information disclosed in the associated Sitecheck report:
1) is unlikely to have an adverse effect on the value of the property, and
2) is not such that the property would be designated “Contaminated Land” within the meaning of Part 2A of the Environmental Protection Act 1990.”
A copy of the report is available to download.
Service Charge
The estate service charge budget for the year ending 31st December 2025 is £437,438. Copies of the service charge accounts and budget are available to download via the data room.
Market Commentary& Rental Values
From our enquiries, the commercial property sector in Milton Keynes remains robust with good office demand from local businesses and those further afield. During 2025, prime office rentals have headlined at £35 per sq ft, with offices on business parks suggested to demand levels of £25 per sq ft. Many office buildings have been converted to residential use which would appear to have helped maintain office rental levels.
Covenants
Please refer to the Covenant Schedule detailing information on the tenants. It is suggested that the diverse income stream provides an overall secure income for an investor.
EPC
The Energy Performance Certificates are as follows:
| Unit | EPC rating | Valid Until |
| Larch House | C66 | 25th January 2032 |
| Maple House | B26 | 24th November 2032 |
| Elm House | ||
| Ground Floor | B44 | 5th April 2032 |
| First Floor | C55 | 13th August 2029 |
| Second Floor | B29 | 28th November 2033 |
Rateable Value
According to the VOA website the rateables values are as follows:
| Larch House | £77,000 |
| Maple House | £44,000 |
| Elm House | |
| Ground Floor | £16,750 |
| First Floor | £18,750 |
The business rates multiplier is 55.5 pence for rateable values of £51,000 or more and 49.9 pence for rateable values below £51,000.
VAT
The property has been registered for VAT. It is anticipated that the sale will be treated as a Transfer of a Going Concern (TOGC).
Proposal
We are instructed to seek offers in the region of £3.47million (Three Million, Four Hundred and Seventy Thousand Pounds), subject to contract.
A purchase at the asking price represents an 11.0% net initial yield allowing for purchase costs at 6.55%.
Note that we are also selling the freehold of the remainder of the business park. Details are available here.
Investment Considerations
An opportunity to acquire a high yielding investment within Milton Keynes;
The income is derived from a spread of tenants;
The investment offers a high-yielding office cluster
Singer Vielle Finance Services
Subject to status, it is anticipated that a loan can be organised for the purchase at 60% of the investment value, for 3-5 years, interest-only at a finance margin of 2.75%. As a result, the equity requirement to purchase would be in the order of £1.46m, producing a return on equity of 19%.
Purchase Price Agreed for Property £3,470,000
Loan 60% £2,082,000
Finance Rate with 2.75% margin 6.275%
Equity £1,388000
Agents 1.00% £34,700
Legal 0.50% £17,350
Bank Arrangement fee 1.00% £20,820
Gross costs £72,870
Gross Purchase £1,460,870
Property Income (True Net) £406,633
Loan Cost £130,645
Surplus Income after Debt Cost £275,987
Return on Equity 18.89%
Data Room
Note that the dataroom provides information on all properties at the Woodlands Business Park.
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Contacts
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Singer Vielle
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Vendor's Solicitor Firm
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