Acquisition of new foodstore development

RNS Number : 5759M

Terrace Hill Group PLC

19 September 2012

 



19 September 2012

TERRACE HILL GROUP PLC

("Terrace Hill" or the "Group")

ACQUISITION OF MIXED USE FOODSTORE AND RESIDENTIAL DEVELOPMENT SITE

- Continued progress with existing portfolio of foodstore developments -

Terrace Hill Group plc (AIM: THG), a leading UK property development and investment group, announces the conditional acquisition of a foodstore and residential development site in Midsomer Norton, Somerset, and good progress with three other foodstore developments around the country.

Midsomer Norton, Somerset

Terrace Hill has exchanged conditional contracts to acquire a 12 acre former industrial brownfield site in Midsomer Norton for regeneration into a mixed use scheme comprising a 50,000 sq ft foodstore and six acres of residential housing. The site will be acquired from paper bag manufacturer Welton Bibby & Baron, which is relocating to new premises.  A planning application is expected to be submitted in the first quarter of 2013.  Completion of the acquisition of the site is conditional on obtaining planning consent for the mixed use development.

St. Austell, Cornwall

Terrace Hill is on target to submit a planning application in September for a new 80,000 sq ft foodstore on a site on Penwinnick Road close to the centre of St. Austell.  The site is currently occupied by Cornwall Council in offices which will be relocated to new premises to be constructed by the Council on an adjoining site. Development is expected to commence in the middle of 2013.

Sedgefield, County Durham

The Group has forward funded its 48,800 sq ft Sainsbury's foodstore development at Sedgefield with the Eyre Estate for £16.1 million. Construction will start in October with completion scheduled for May 2013.

Skelton, East Cleveland

Construction is now underway at the Group's 41,800 sq ft foodstore development in Skelton. The scheme is presold to Asda through a £13.5 million forward funding agreement, and completion of the development is due in March 2013.

Philip Leech, Chief Executive of Terrace Hill, commented:  "The conditional acquisition of the Midsomer Norton site adds to our substantial portfolio of nine committed foodstore development opportunities which will deliver excellent returns for shareholders over the medium term."  

- Ends -

For further information please visit www.terracehill.co.uk or contact:

Philip Leech / Jon Austen                                                                       Tel. [phone]

Terrace Hill Group PLC

Gareth Price / Mark Young                                                                                            Tel: [phone]

Oriel Securities (Nominated Adviser)                              

Richard Sunderland / Will Henderson                                                       Tel: [phone]

FTI Consulting

Notes to editors:

Terrace Hill Group

Terrace Hill Group PLC is a regionally based UK property development and investment group quoted on AIM.  Formed in 1986, the Group has five offices located in London, Glasgow, Teesside, Bristol and Manchester.

 

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