Trading Statement

RNS Number : 8849F

Inland PLC

21 January 2010

 

21 January 2010

INLAND PLC (the "Company")

Trading Update

Inland, which specialises in buying brownfield sites and enhances their value by obtaining planning permission, is pleased to announce a number of additional land and development updates following on from the trading update of 11th December 2009.

Inland is pleased to confirm the completion of the sale of a former pub site in Farnborough, Hampshire on which a consent had been obtained for 19 units.

The sale was conducted by informal tender with 100 interested parties requesting details; 11 bids were received with the top 5 invited to make best and final offers with a subsidiary of one of the major quoted housebuilders being the successful party.  

The sale consideration was £1,378,000 which after repayment of associated debt of £408,000 and retention of £266,000 generated free cash flow of circa £704,000.  The retention is expected to be released shortly.  The sale, as expected achieved a significant premium to the carrying value of the site.

The Company is further pleased to announce that it has entered into a joint venture which has acquired an 11 acre site in Croxley Green, Hertfordshire which has consent for 51 houses, including 15 which have been pre-sold to a housing association for affordable housing. Inland's joint venture partner is Howarth Homes plc, a company in which Inland holds a 33% equity interest. Both parties have injected £2m each towards the land purchase price of £7.5m.

The building costs of the scheme will be fully funded by a major bank who have provided committed facilities. The scheme is anticipated to produce gross revenues in excess of £20m.

Stephen Wicks, C.E.O. of Inland commented "this site is in a prime woodland setting in a good  London suburb. The consent is for high quality family housing for which we anticipate strong demand. We expect this to be a very profitable venture for Inland". 

Enquiries:

Inland plc

Stephen Wicks, Chief Executive                                                          Tel: [phone]

Nishith Malde, Finance Director                                                            Tel: [phone]

FinnCap Nominated Adviser & Broker

Les Kent (Institutional sales)                                                                 Tel:  [phone]

Matthew Robinson (Corporate Finance)                                               Tel:  [phone]

Rhydian Bankes (Corporate Finance)                                                   Tel:  [phone]

Buchanan Communications

Jeremy Garcia / Christian Goodbody                                                     Tel: [phone]

 

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