Acquisition

Workspace Group PLC 12 February 2007 WORKSPACE INVESTS £30m IN TWO MORE CENTRAL LONDON ACQUISITIONS Workspace Group PLC ('Workspace'), the leading provider of flexible business accommodation to small and medium sized enterprises in London, today announces two further acquisitions. Exmouth House, Pine Street, Clerkenwell EC1 This is an attractive, four storey small unit office scheme with frontage to the busy Exmouth market. The building totals 52,242sq ft in 21 units and produces a rental income of £953,000pa, yielding 5.2% on the purchase price of £18.1m. The building is let to mostly media related tenants, with 5% void. The building has excellent growth potential in an improving part of central London, and compliments other properties owned by Workspace nearby at Clerkenwell Close and Bowling Green Lane. Avro House and Hewlett House, Havelock Terrace, SW8 Situated just off Battersea Park Road, close to Battersea Power Station, these buildings have been acquired from the London Borough of Wandsworth. The property consists of two buildings separated by a central service yard, providing small unit workspace and offices on ground and two upper floors. Purpose built by the local authority in the early 1970's, the scheme totals 58,038sq ft in 52 units and currently produces £418,000pa, with 25% vacant. The purchase price is £10.025m, to show an initial yield of 4.2%, with potential for improvement to 7.5% by increasing occupancy and rents. Harry Platt, Chief Executive of Workspace commented, 'We are delighted to have made two further substantial acquisitions, in what is still a very competitive market. Both properties meet the needs of London's small business community in locations with excellent growth potential. Both of these properties compliment our existing buildings nearby and follows our strategy to improve the range of accomodation that we can offer customers in these locations. We remain optimistic about prospects for London and will continue to make acquisitions where we believe our business model will add value.' -ends- Date: 12 February 2007 For further information: Workspace Group PLC cityPROFILE Harry Platt, Chief Executive Simon Courtenay Mark Taylor, Finance Director 020-7448-3244 020-7247-7614 web: www.workspacegroup.co.uk This information is provided by RNS The company news service from the London Stock Exchange
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