Terrace Hill Group PLC
12 July 2004
For embargoed release 7 am 12 July 2004
TERRACE HILL GROUP PLC ('Terrace Hill')
JOINT VENTURE WITH LITHGOWS LIMITED
Terrace Hill are pleased to announce that they have entered into a Joint Venture
with Lithgows Limited of Port Glasgow in 50/50 ownership through a jointly owned
company, Achadonn Limited, of six brownfield sites in Central Scotland, all
suitable for residential development, acquired from the Lithgow Group.
The Joint Venture, whose directors are Ross Macdonald and Mandy Kelly of Terrace
Hill and Alasdair Reid and Alastair Wishart of Lithgows, will prepare the sites
by way of planning applications and other preliminary work, for development,
with a view to trading the land, although the Joint Venture itself, and Terrace
Hill, may develop parts themselves.
The sites extend in aggregate to 94.2 acres and are considered to allow for
development of around 700 residential units. The gross value of the land,
assuming planning permission, has been estimated at some £15 million.
Joint Managing Director Ross Macdonald said 'This deal gives us access to
excellent residential sites - all brownfield - capable of development over the
years ahead, and further enhances our prospects of adding to shareholder value
in the future.
I am particularly looking forward to working again with Lithgows, having been
solicitor to them prior to the founding of Terrace Hill, and with their officers
whom I have known for many years.'
Commenting for Lithgows, Chairman, James Lithgow said, 'This Joint Venture is in
line with our group strategy to maximise shareholder value from existing
property assets. In addition it provides the opportunity for Achadonn to acquire
other sites suitable for future redevelopment. We look forward to working with
Terrace Hill on this new venture.'
Ross Macdonald, Terrace Hill Group PLC, Joint Managing Director - 0141 332 2014
Alasdair Robinson, Noble & Company Limited - 0131 225 9677
NOTES TO EDITORS:
Terrace Hill Group PLC is an AiM traded Property Group. It has two divisions
(1) Commercial Development where the current development programme is around
£500 million, with approaching £200 million underway and £300 million projected
and (2) Residential Investment where it holds 535 units in Scotland and the
North of England. Terrace Hill recently reported an increase of £18.986 million
(40.80%) in Net Asset Value to £65.5 million in the half year to 30 April 2004,
contributed to by a placing with institutional shareholders of £8.128 million,
and at the same time announced a doubling of dividend.
This information is provided by RNS
The company news service from the London Stock Exchange