Acquisition

RNS Number : 5012P

Ediston Property Inv Comp PLC

08 June 2015

 

8 June 2015

Ediston Property Investment Company plc

("EPIC", or the "Company")

EPIC INVESTS £16.80 MILLION IN SCOTTISH RETAIL WAREHOUSE

Ediston Property Investment Company plc (LSE: EPIC) announces that it has exchanged contracts to  acquire a B&Q Extra retail warehouse in Coatbridge, Scotland, from Harcourt Life Assurance Company Limited for  £16.80 million (net of acquisition costs), which reflects a net initial yield of 7.46%.

The property extends to 103,000 sq. ft., plus a garden centre and builders' yard, with parking for 600 cars, on a site of 4.27 acres. It is let to B&Q plc until December 2022 with a rent review in 2017, and offers a solid income stream for the Company, which can be further improved through asset management and development. 

Calum Bruce, Director of Investment at Ediston Properties Limited, the Company's Investment Adviser, said: "This acquisition provides the Company with good secure income in the retail warehouse sector.  We believe it is a property that offers a number of opportunities for us to implement the Ediston style of asset management to enhance its income profile and returns over the coming years."

For further information:

Ediston Properties Limited (Investment Adviser)                       0131 225 5599

Calum Bruce

Canaccord Genuity Limited                                                                  020 7523 8000

Will Barnett                      

Neil Brierley                     

Dominic Waters                              

David Yovichic  

Tavistock                                                                                                     020 7920 3150           

Jeremy Carey ([e-mail])

James Whitmore ([e-mail])

R&H Fund Services Limited (Company Secretary)                      0131 524 6140

Martin Cassels                 

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 will seek to acquire assets which offer (or have the potential to offer) a secure income stream, with unexpired terms in line with the market average, secured against good covenants. It will typically target assets which have a net initial yield in excess of 6.5 per cent., although it may hold assets with a lower net initial yield if there are portfolio benefits.

The Company launched in October 2014 with the acquisition of an initial £76.7m diversified portfolio of UK commercial properties.

Portfolio management services are undertaken by Ediston Properties Limited, which currently manages property assets across the UK for institutional investors.

 

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