Disposal of Brunswick Point, Leeds

RNS Number : 7334Z

Conygar Investment Company PLC(The)

11 February 2014

 

For immediate release

11 February 2014

THE CONYGAR INVESTMENT COMPANY PLC

DISPOSAL OF BRUNSWICK POINT, LEEDS

The Conygar Investment Company PLC ("Conygar" or the "Company"), the property investment and development group, announces that it has completed on the surrender of occupational leases and simultaneous sale of Brunswick Point, Leeds for a combined consideration of £6.6 million, a surplus of £625,000 over the September 2013 valuation.

This 63,000 square foot freehold office building had just over 33,000 square feet vacant and although the rent previously payable by Clydesdale Bank was £390,000 per annum, the Company will save void costs of around £420,000 per annum.

Combined with the recent disposal of the 100,000 square foot vacant industrial unit at Blackpole Trading Estate, Worcester for £2.9 million (marginally ahead of the September 2013 valuation), the overall portfolio vacancy rate has fallen to 11.3% compared with 16.7% at 30 September 2013 and potential void costs of £610,000 per annum are no longer payable.

Robert Ware, Chief Executive of Conygar commented:

"We are pleased to have taken the opportunity presented by an improving market to dispose of two of our more challenging assets thereby significantly reducing our vacancy rate and avoiding annual empty property costs of £610,000. Combined with our other asset management initiatives I would anticipate the vacancy rate to continue to reduce and for irrecoverable costs to fall significantly."

Enquiries:

The Conygar Investment Company PLC

Robert Ware/Steven Vaughan: 020 7258 8670

Liberum Capital Limited (Nominated Adviser and Broker)

Chris Bowman/Richard Bootle: 020 3100 2222

Temple Bar Advisory (Public Relations)

Alex Child-Villiers: 07795 425580

 

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