Letting and planning update

RNS Number : 3736H

Terrace Hill Group PLC

19 February 2010

 



19 February 2010

TERRACE HILL GROUP PLC

("Terrace Hill" or the "Company")

TERRACE HILL COMPLETES FURTHER LETTINGS AT EASTBOURNE AND

SECURES PLANNING FOR 105,000 SQ FT CHRISTCHURCH INDUSTRIAL PARK

Terrace Hill Group plc (AIM: THG), a leading UK property development and investment group, announces that it has secured over 18,000 sq ft of lettings across five units at its Brampton Business Park, Eastbourne, producing an annual income of over £140,000, and has secured planning permission for a 22 unit industrial scheme on 5.7 acres of its 9 acre Christchurch site near Bournemouth in Dorset.

Brampton Business Park

Terrace Hill has let three of the five units, totalling 11,830 sq ft, to Menzies Distribution Ltd, a leading UK distributer of newspapers and magazines, who has signed a five-year lease with no breaks at a rent of approximately £89,000 per annum, equating to £7.50 per sq ft.  Menzies Distribution Ltd is an existing tenant at the park, having occupied two of the units comprising 7,909 sq ft since mid-2009.  Following this deal it has surrendered its existing terms on the units it originally let and now occupies three units on the park. 

In addition, Terrace Hill has secured East Sussex Hospital Trust as a tenant on two further units comprising 6,450 sq ft, on a five year lease, at a rent of £51,600 per annum, equating to £8 per sq ft. 

Brampton Business Park is a trade counter and industrial development located on the Hampden Park Industrial Estate, the prime industrial area in Eastbourne.  These lettings mean that the 17 unit, c.110,000 sq ft industrial and trade park is now 96% occupied, with just one 3,600 sq ft unit remaining.

Christchurch, Bournemouth, Dorset

Terrace Hill has secured planning consent at its Christchurch site for 105,000 sq ft of light industrial, general industrial and warehousing space (B1/B2/B8) across 22 units, ranging in size from 2,300 sq ft to 16,000 sq ft.  Terrace Hill is currently speaking to a number of owner-occupiers who are looking to take units on the scheme and expects to make a further announcement with regard to the development of the site shortly. 

Situated to the east of Bournemouth, the nine acre site was acquired by Terrace Hill from BAE in 2008.  Forming part of a larger scheme, which includes 95 residential units totalling over 75,000 sq ft of accommodation, Terrace Hill also intends to submit a further planning application for a 60-bed care home on another part of the site later this year.

Philip Leech, Chief Executive of Terrace Hill, comments:

"The deals we have announced today are another good example of Terrace Hill's ability to leverage its considerable cross-sector expertise both to secure lettings in a challenging market and to add value to our sites through the planning process. 

The lettings at Brampton provide us with a solid and visible income stream, and leaves just one unit available.  Furthermore, we are very excited by the potential at Christchurch, where we believe that the end result will be a prime industrial asset delivered at an advantageous point in the market cycle.  We are now in talks with a number of owner occupiers with regards the scheme at Christchurch and a number of interested parties for the final unit at Brampton Business Park."

Harold Stiles Williams acted for Terrace Hill on the lettings at Brampton Business Park, while Dixon Wright advised Menzies and East Sussex Hospital Trust represented itself.  The joint agents representing Terrace Hill at Christchurch are King Sturge and Goadsby.

-Ends-

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

Terrace Hill                                                                              Tel: [phone]
Philip Leech/Jon Austen

Financial Dynamics                                                                 Tel: [phone]
Richard Sunderland/Olivia Goodall                                               [e-mail]

Notes to editors:

Terrace Hill Group

Terrace Hill Group PLC is a regionally based UK property development and investment group quoted on AIM, with three key divisions:

·      Commercial development and investment

·      Residential investment

·      Strategic landbanking.

Formed in 1986, the Company has four offices in London, Glasgow, Teesside and Bristol, managing a commercial development programme, commercial and residential investment portfolios and a strategic land portfolio in Scotland.

 

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