SLOUGH ESTATES DELIVERS ANOTHER MILLION SQ FT I...
For immediate release July 7, 2006
SLOUGH ESTATES DELIVERS ANOTHER MILLION SQ FT IN EUROPE
DOUBLING SPACE ACHIEVED IN 2006
Slough Estates International ("SEI") has today announced that in the second
quarter of the year it has agreed lettings and a pre-sale totalling over
100,000m² (a million sq ft) across its Continental European network. With
100,000m² already let in the first quarter, the total area leased year-to-date
is now over 200,000m². The yield on all of the development projects below is in
line with or greater than SEI's targets in these regions.
Central Europe - Poland
In the second quarter of the year SEI has agreed to develop a new warehouse in
Strykow. 9,500m² for Azymut (Polish distributor of schoolbooks) to be delivered
in January 2007. The lease is for a minimum of 10 years.
SEI has also signed a 10 year lease with a break at year 5 for 6,500m² with a
UK healthcare company on the new logistics site in Poznan, situated off the
motorway which connects Berlin with Warsaw.
Belgium
SEI and joint venture (50:50) partner KBC Vastgoed, have signed an important
lease on the Rumst Logistics Park, situated off the E19 motorway which connects
Antwerp with Brussels, with Exel, the logistics firm. This is the second
significant signing achieved by SEI and KBC Vastgoed this year.
Exel has entered into a 10-year lease with a break at year 5 on a 42,433m²
built-to-suit logistics building for delivery early 2007. The warehouse
facility at Rumst will be used for the storage and distribution of products for
a Japanese client.
SEI has signed 2,829m² of new leases at Pegasus Park with Trifinance (an
extension), Cognos (also an extension) and with Alten Axen (consultants in
engineering and advanced technologies), a new tenant in the Park.
SEI has also agreed terms with a European hotel developer for a project
management fee contract for the construction of a 12,000m² scheme comprising a
180 rooms 4 star hotel and 3,000 m² of serviced offices on the Sirius site
opposite Pegasus Park, close to Brussels airport. The plot will be sold later
this year and the project management fee will be in excess of € 2.5M
France
SEI has signed a new 6/9 year firm lease with Codico (distributor) on 3,788m²
at its light industrial scheme at Le Blanc Mesnil to the south of Paris.
SEI and joint venture partner Capital & Continental (with 66.6% and 33.3%
respectively) have entered into a 9 year lease with a break at year 6 on the
existing 5,803m² office scheme at Nanterre with the Conseil Général des Hauts
de Seine. The annual rent is € 1.5M.
Germany
SEI has also signed over 23,000m² of new leases across its German portfolio in
the second quarter of the year. The majority of this take up has been through
the following lettings:
- In Darmstadt, Bauder (storage of household goods) has taken a new lease on
4,336m² for 10 years with a break at years 5 and 7, and TRW Automotive has
signed for 12,537m² in Saarbrucken - both deals relate to parts of the
portfolio acquired from KarstadtQuelle
- Asics has leased for 10 years, with a break at year 5, an additional 2,876m²
at Neuss, near Dusseldorf, at an annual rent of just over €100,000.
- Terms have been agreed with Hess Natur Textilien (distributors of ecological
textiles) for a 1,260m² built-to-suit extension to a former Karstadt property
in Butzbach, north of Frankfurt. Hess Natur Textilien has signed a lease for 14
years.
Walter Hens, SEI Managing Director Continental Europe said:
"The second quarter was another very busy and successful period for us as we
continued to expand in strategic business locations with real potential for
growth - focusing on logistics, light industrial and suburban office, and
leveraging and developing our customer relationships across Europe. The
200,000m² of transactions announced to date in 2006 will result in €10m new
annual rent and over €2.5m of project management fees. We currently have
100,000m² under construction but we expect that this figure will rise to
220,000m² later this year. Just under 60% of this is already pre-let".
-ends-
For further information please contact:
Slough Estates plc Maitland
Michael Waring Colin Browne
Tel: 01753 213335 Tel: 0207 379 5151
Notes to editors
Slough Estates is a leading provider of flexible business space in business
parks in Western Europe and North America, with over 1500 customers occupying
approximately 3m square metres of business space. Slough Estates' properties
are in suburban locations in close proximity to the main business centres,
where there is long term demand for business accommodation to serve these key
economic regions. The company's main activities are currently based around
London, Brussels, Paris, Düsseldorf, Amsterdam, San Francisco and San Diego and
the company continues to develop new business parks with the long term
objective of building shareholder value and enhancing its reputation for
quality buildings offering excellent value to customers. www.sloughestates.com
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