Leasing Update

RNS Number : 8760P

Alpha Pyrenees Trust Limited

10 October 2011

 



10 October 2011

ALPHA PYRENEES TRUST LIMITED ("ALPHA PYRENEES")

VILLARCEAUX-NOZAY BUSINESS PARK ("NOZAY")

INCREASED LEASE TERM AGREED WITH ALCATEL-LUCENT

A binding agreement has been signed with the existing tenant, Alcatel-Lucent, to sign a new ten year lease expiring 22 December 2021 having a fixed term of seven years without break option with effect from 23 December 2011. The break option as at 22 December 2018 is subject to the payment of an indemnity by the tenant if exercised. The new lease rent will be the rent under the existing lease with indexation applied at the start of the lease and annually thereafter. It has also been agreed that the future indexation will be subject to a range of plus or minus 3% in accordance with the appropriate indexation published in the INSEE Cost of Construction Index.

The existing lease is for a term of twelve years expiring as at 22 December 2018 subject to an option to break the lease as at 22 December 2015 at a current rent of approximately €10.6 million per annum subject to annual indexation.

This agreement increases the effective weighted average lease length of Alpha Pyrenees' portfolio as follows:

·     the weighted average lease length to expiry will increase from 6.8 years as reported at 30 June 2011 to 8.0 years as at 30 September 2011, and

·     the weighted average lease length to the next break will increase from 3.5 years as reported at 30 June 2011 to 4.7 years as at 30 September 2011.

Nozay comprises approximately 36 hectares of business park space located close to one of Paris' largest business space centres, Courtaboeuf business park. Nozay contains campus style offices together with business space and ancillary accommodation totalling approximately 78,800 square metres with over 2,000 car parking spaces.

The site has the capacity to accommodate both the expansion of existing buildings and the creation of new space on the business park to accommodate future tenant requirements.

Contact:

Dick Kingston
Chairman, Alpha Pyrenees Trust Limited
01481 735540

Paul Cable
Fund Manager, Alpha Real Capital LLP                                          
020 7268 0300

For more information on the Trust please visit www.alphapyreneestrust.com.

For more information on the Trust's Investment Manager please visit www.alpharealcapital.com.

 

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