Cogenpower Regulatory News (CGP)

25 Jul 2005 07:01

Halladale Group PLC25 July 2005 Halladale Announces £44m Retail Portfolio Acquisition Halladale Group Plc ("Halladale"), the UK property co-investment, trading anddevelopment company, and Citigroup Property Investors, the real estateinvestment arm of Citigroup Inc ("Citigroup"), announces that its UK propertyfund - CPI Retail Active Management Programme ("CReAM") has acquired aportfolio, comprising three shopping centres in England for a totalconsideration of £44 million. The retail portfolio, totalling approximately 235,000 sq ft, comprises a mix ofpart covered and open schemes and is let to around 80 tenants on a rent of £2.74million. Thamesgate Shopping Centre in Gravesend, Kent, has been acquired for£22 million, Waterbourne Walk Shopping Centre in Leighton Buzzard, Bedfordshire,for £11.4 million and Wellington Way Shopping Centre in Waterlooville,Hampshire, for £10.6 million. The price reflects a net initial yield of 5.95%. The majority of the portfolio is held as freehold with a small element ofleasehold property at Leighton Buzzard. Along with the retail space, GravesendShopping Centre incorporates 10,000 sq ft of offices and a 5 storey car park andthere is a small element of residential property at Wellington Way. Senior debt was provided by Deutsche Bank. CReAM was advised by Jackson Criss,Joiner Cummings and Lunson Mitchenall. The vendors, Edinburgh House, wereadvised by Franc Warwick. This is CReAM's fourth acquisition to date and brings total assets in the fundunder management to circa. £114 million. CReAM will operate for six to eightyears from its launch in October 2004. David Lockhart, Chief Executive of Halladale said:"This is an excellent portfolio acquisition for Halladale. It furtherexemplifies how we can significantly enhance value for our shareholders bycontinuing to identify shopping centres which have seen little asset managementover the years and which therefore offer good opportunities for us to increasevalues and generate profit through our entrepreneurial asset management anddevelopment skills." - ends- For further information please contact: David Lockhart, Chief Executive, Halladale Group plc 0141 204 4633David Rydell/Charlotte Kirkham Bell Pottinger Corporate & Financial 020 78613232 Chris Howard, Collins Stewart Ltd 020 7523 8350Stuart Webster, Chief Investment Officer Citigroup Property Investors 020 75088788 About Halladale • Halladale is an entrepreneurial co-investment, trading and development company operating as an active asset manager primarily in the UK commercial property sector • Group activities span innovative on-balance sheet projects, co-investment joint ventures and increasingly the creation of co-investment vehicles with both single and multi-investor relationships • Halladale prides itself on its detailed, strategic, "hands on" approach through the involvement of senior management in all major projects • Co-investment activities are a significant element of the Group's business, accounting for 86 per cent of assets under management at 31 October 2004 • Co-investment partners include Bank of Scotland, Citigroup and Kodak Pension Fund managed by LaSalle Investment Management, Anglo Irish Private Equity and Carlyle Group • The value of Halladale's portfolio at 31 October 2004, including the aggregate value of co-investment vehicles, was £278 million. In the six months ended 31 October 2004, profit before tax increased by 71% per cent to £1.755 million and the interim dividend increased by 43 per cent to 1p per ordinary share • Halladale was founded in 1991 by Chief Executive, David Lockhart, and has offices in Glasgow, Edinburgh and London • Halladale's shares were admitted to the AIM in April 2001. In April 2004, Halladale raised £15m through an issue of new Ordinary shares and convertible loan stock, effectively doubling the company's equity base • In 2004, Halladale shares were the best performing stock in the quoted property sector, rising 82 per cent over the 12-month period (Property Week 14 January 2005). • For more information on Halladale please visit http:// www.halladale.co.uk. This information is provided by RNS The company news service from the London Stock Exchange