Bath, Midland Bridge House - Lease restructure
28 September 2018
Ediston Property Investment Company plc
Bath, Midland Bridge House - Lease restructure
Ediston Property Investment Company plc (LSE: EPIC) ('the Company') announces that it has restructured its lease terms with Royds Withy King ('the Tenant') at Midland Bridge House, Bath.
Royds Withy King occupy the entire property, which extends to c. 18,500 sq. ft., on a lease which had been due to expire in March 2023. The Company has signed an agreement to restructure the terms of the Tenant's occupation of the property, effective from 27 September 2018.
Under the contract the Tenant has agreed to sign a six-year lease extension, meaning the lease will now expire in March 2029. They will receive an incentive equivalent to 5.8 months rent free.
Royds Withy King will continue to pay a rent of £360,000 per annum, which was agreed following the rent review in March 2018, and which reflected an increase of 11.50% on the previous passing rent.
Calum Bruce, Director of Investment at Ediston Properties Limited, the Company's Investment Manager, said: "This transaction shows that if you provide tenants with good quality accommodation, which meets their requirements, then they will always be open to extending their occupation. There are also benefits for the Company; extending the unexpired lease term to over ten years enhances the income stream of the property and is expected to improve its capital value and liquidity too."
For further information:
Ediston Properties Limited (Investment Manager) 0131 225 5599
Calum Bruce
Canaccord Genuity Limited 020 7523 8000
Will Barnett
Neil Brierley
David Yovichic
Kaso Legg Communications
Ben Robinson 0203 137 7821
Stephanie Ross 0203 137 7784
Maitland Group (Company Secretary) 0131 550 3763
Donald Cameron
Notes to editors:
Ediston Property Investment Company plc is a UK real estate investment trust (REIT) with a premium listing on the Main Market of the London Stock Exchange. The Company invests in UK commercial real estate assets to achieve its objective of providing its shareholders with an attractive level of income together with the potential for capital and income growth. It invests principally in three commercial property sectors: office, retail (including retail warehouses) and industrial, without regard to a traditional property market relative return benchmark. The Company launched in October 2014 and as of 30 June 2018 it owned 17 properties with a value of £331.3m.
Portfolio management services are undertaken by Ediston Properties Limited, which currently manages property assets across the UK for institutional investors.
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