Residential Update

RNS Number : 6243E

Terrace Hill Group PLC

11 April 2011

 



Terrace Hill Group PLC

("Terrace Hill" or "the Company")

Residential Update

Terrace Hill Group plc (AIM: THG), a leading UK property development and investment group, announces that it has completed three separate residential sales within Terrace Hill Residential PLC, its 49% owned joint venture, for a total consideration of £41.4 million, in order to fund the next 18 months' amortisation requirements under the joint venture's banking facilities.  The three developments had aggregate book values at 30 September 2010 of £51.4 million, compared to gross property assets within the joint venture of £249.2 million at 30 September 2010.

Terrace Hill has separately ceased its discussions with Aegon Asset Management in relation to the establishment of a UK residential institutional investment fund.  However, there remains a strong level of interest from potential investors and Terrace Hill intends to continue discussions with these investors, who recognise the value and benefits of the private residential sector.

Philip Leech, Chief Executive of Terrace Hill, commented:  "The successful sale of these residential assets allows us to pre-fund the amortisation schedule under our residential joint venture's banking arrangements. We believe our remaining residential portfolio has performed in line with house price indices for the half year to 31 March 2011."

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For further information please contact:

Philip Leech/Jon Austen                                     Tel. [phone]

Terrace Hill Group PLC

David Arch/Gareth Price                                     Tel: [phone]

Oriel Securities Limited

(Nominated Adviser and Broker)

Richard Sunderland/Olivia Goodall/                      Tel: [phone]
Will Henderson                                                  [e-mail]

Financial Dynamics

Notes to editors:

Terrace Hill Group PLC is a regionally based UK property development and investment group quoted on AIM, with two key divisions:

§ Commercial development

§ Residential investment.

 Formed in 1986, the Company has five offices located in London, Glasgow, Teesside, Bristol and Manchester, managing a commercial development programme and a residential investment portfolio.

 

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