Proposed Disposal of Property

RNS Number : 0777U

Kier Group PLC

15 December 2011

 



15 December 2011

Kier Group plc

Proposed Disposal of Property

Kier is pleased to announce that it has agreed to dispose of its property at 3 Savile Row, London (the "Property") for a substantial cash consideration of £31.85 million to GHSR LLP.

Completion of the disposal is conditional upon the lease being granted to a commercial tenant at an initial rent of £1.2m per annum, which is itself conditional upon satisfaction of a planning condition and the satisfactory completion by Kier of certain works to the Property.

The Property was carried in Kier's books on 30 June 2011 at £13.7 million. However, there has been, and will be, considerable works undertaken prior to completion at significant cost.

It is expected that these ongoing works and the conditions will be satisfied in order for completion of the disposal to take place by 31 March 2012.

The disposal proceeds will be used to supplement Kier's cash balances.

Contacts:

Alan Smith

Kier Group 01767 640111

Faeth Birch

Conor McClafferty

Finsbury 020 7251 3801

Notes to editors:

About Kier

Kier Group is a leading construction, services and property group specialising in building and civil engineering, support services, public and private house building, property development and the Private Finance Initiative.

For more information contact the Kier Group communications department on: 01767 640 111 or visit www.kier.co.uk#

 

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