ARE.L Regulatory News (ARE)

14 Mar 2007 07:04

Arena Leisure PLC14 March 2007 Arena Leisure Plc Doncaster Racecourse - Planning Update Arena Leisure Plc ('Arena') is pleased to announce that Doncaster MetropolitanBorough Council has granted detailed planning permission for a combined hoteland residential development at Doncaster Racecourse ('the Racecourse'). The development will incorporate a 120-bedroom four-star hotel with associatedrestaurant and bar facilities on the lower floors and 34 residential apartmentson the upper floors, for which underground car parking facilities will also beprovided. The gross cost of the development is estimated at around £17.5 millionwhich, after the sale of the residential apartments, is expected to result in anet cost of around £10.5 million. The preferred operator of the new hotel is Millennium & Copthorne. The hotel is the second phase of the exciting plans for the redevelopment ofDoncaster Racecourse. The first phase, which will cost around £32 million,involves the replacement of the old grandstand and exhibition hall withstate-of-the-art facilities for racing, conferences and exhibitions, togetherwith new stabling, weighing room and stable lads' accommodation. Phase one is scheduled for completion in August 2007, in time for the world'soldest classic horserace, the St Leger, in September. It is anticipated thatphase two construction will be completed for the 2008 St Leger. Arena owns 81% of the company that holds a 99-year lease over DoncasterRacecourse, although for the first 30 years Arena will receive 92.5% of thiscompany's profits. Mark Elliott, Chief Executive of Arena Leisure Plc, commented; "We are delighted to have received planning permission for the hotel andresidential development at Doncaster Racecourse. The Racecourse is in afantastic location and the new hotel will operate closely with the extensive newfacilities, helping to transform Doncaster Racecourse into a world-classleisure, business and racing venue." - Ends - For further information: Arena Leisure PlcMark Elliott, Chief Executive 020 7495 2277e-mail: contact@arenaleisureplc.com Bell Pottinger Corporate & FinancialDavid Rydell/ Geoff Callow 020 7861 3232 This information is provided by RNS The company news service from the London Stock Exchange