Acquisition of Distribution P

RNS Number : 6730V

London & Stamford Property PLC

04 November 2010

 



5th November 2010

LONDON & STAMFORD PROPERTY PLC

("London & Stamford" or "LSP")

Acquisition of Prime Distribution Portfolio for £82m from Harbert

London & Stamford Property Plc (LSE: LSP.L) today announces that it has acquired a portfolio of five distribution assets for £82m from Harbert Management Corporation (Europe). 

The portfolio comprises five distribution units totalling 859,127 sq ft let to five tenants: Next Group Plc, Keystone Distribution UK Ltd, Gist Ltd, NYK Logistics (UK) Ltd and French Connection UK Ltd. The annual rent roll is £6.06m; the weighted average unexpired lease term is 10.9 years.

The portfolio is a corporate acquisition inclusive of existing debt.  LSP has committed £42.3m of cash (inclusive of costs) to complete the acquisition.

Raymond Mould, Executive Chairman of London & Stamford, said: 

"These are first class acquisitions for London & Stamford combining an excellent blend of prime, modern high quality assets, strong tenant mix, long lease length and secure income in a historically defensive sector. 85% of the income is from properties that are situated in the South East, complementing LSP's earlier purchase of Radial Distribution Limited, where the majority of the income was derived from the Midlands."

Scott O'Donnell, Senior Managing Director of Harbert Management Corporation, said:

"Whilst we remain a net buyer of real estate in the UK, we were able to achieve our business plan for this portfolio much earlier than anticipated and are pleased with the sale to LSP".

For further information contact:

London & Stamford Property Plc Raymond Mould Patrick Vaughan	Tel: [phone]
Kreab Gavin Anderson  Richard Constant / James Benjamin / Anthony Hughes	Tel: [phone]
Harbert Management Corporation (Europe) Scott O'Donnell Tor Tveitane	Tel: [phone]

   

Notes to editors:

London & Stamford Property plc was set up to exploit opportunities that it anticipated in the UK property cycle and is a group UK-REIT. The Company has a highly experienced management team and invests in commercial property, including office, retail and industrial real estate assets, principally in the UK, and has a property portfolio which now comprises 19 investments, all of which are located in the UK.

The Company is traded on the London Stock Exchange's Main Market (LSP.L) and is authorised by the FSA to carry out certain regulated activities.

Further information on the Company is available from the Company's website: www.londonandstamford.com

Harbert Management Corporation (Europe) LCC is an alternative asset investment management firm that manages eleven different investment strategies. The European real estate investment team has offices in London, Luxembourg, Amsterdam, Paris and Madrid.

Further information on the Company is available from the Company's website:

www.harbert.net

 

END

 

 

ACQDXBDBLUGBGGS