Nomination Agreement with Falmouth University

RNS Number : 4001Y

Empiric Student Property PLC

17 May 2016

 

17 May 2016

Empiric Student Property plc

("Empiric" or the "Company" or, together with its subsidiaries, the "Group")

Nomination Agreement with Falmouth University

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of modern, premium student accommodation across the UK, is pleased to announce that the Group has entered into a nomination agreement with Falmouth Exeter Plus ("FX Plus"), which delivers all shared services, including accommodation, to the students of Penryn Campus, in respect of the Group's existing 137 bed operating property in Falmouth, Maritime Studios (the "Nomination Agreement").  The duration of the Nomination Agreement is for three years from commencement in September 2016.

Under the terms of the Nomination Agreement, Maritime Studios will be directly let to students from Falmouth University, which FX Plus will provide and the Group will benefit from a guarantee of 100% of the annual fee income for the available accommodation (the "Annual Fee") for the duration of the Nomination Agreement.  The Annual Fee, which has been agreed at current market rates, will be subject to an annual increase of between 2 to 5%, with reference to the Retail Price Index.

Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:

"The Nomination Agreement provides Empiric with committed income for its current operating Falmouth property for a three-year period at current market rates, subject to annual increases, as well as providing Falmouth University students with access to premium student accommodation.  We look forward to a strong working relationship with FX Plus going forward.  This is the Group's second nomination agreement and, as with the previous agreement for the Group's assets in Bath, this remains a direct-let model with the added benefit of the Annual Fee being underwritten."

For further information on the Company, please contact:

Empiric Student Property plc	(via Newgate below)
Paul Hadaway (Chief Executive)
Tim Attlee (Chief Investment Officer)
Michael Enright (Chief Financial Officer)
Akur Limited (Joint Financial Adviser)	Tel: [phone]
Tom Frost
Anthony Richardson
Siobhan Sergeant
Jefferies International Limited (Joint Financial Adviser and Broker)	Tel: [phone]
Gary Gould
Stuart Klein
Newgate (PR Adviser)	Tel: [phone]
James Benjamin	Em: [e-mail]
Alex Shilov
Lydia Thompson

Further information on Empiric can be found on the Company's website at www.empiric.co.uk.

Notes:

Empiric Student Property plc is a leading provider and operator of modern, direct-let, premium student accommodation across the UK.  Investing in both operating and development assets, the Company focuses on quality, with assets generally in prime central locations in top university cities and towns in the UK, attracting international students and/or those studying beyond first year, in particular, postgraduates. For the 2015/16 academic year, Empiric's customer base comprises 69% international students from 98 countries. 78% of the Company's customers are students beyond their first year of study.

The Company, an internally managed real estate investment trust ("REIT") incorporated in England and Wales, listed on the premium listing segment of the Official List of the Financial Conduct Authority and was admitted to trading on the main market for listed securities of the London Stock Exchange in June 2014.

 

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