HSTN.L Regulatory News (HSTN)

10 Sep 2007 07:01

Hansteen Holdings plc10 September 2007 10 September 2007 Hansteen Holdings plc ("Hansteen" or "the Company") Hansteen acquires further €114 million of property in Belgium, the Netherlands and Germany Hansteen (AIM: HSTN), the investor in continental European real estate, todayannounces its first acquisition in Belgium for €54.3 million (£36.5 million)together with two further purchases in the Netherlands for €33.2 million (£22.3million) and four further purchases in Germany totalling €26.6 million (£18.0million). The total properties acquired amounts to €114.0 million (£76.8million) generating an annual rent of €8.64 million (£5.82 million). BelgiumOn 31 August 2007, the Group acquired 14 properties in Belgium with anapproximate value of €54,276,000 (£36,532,000) and a total rent roll of €4million (£2.7 million) per annum. The properties, together with related debt,are owned by nine Belgian companies. Hansteen paid €17,870,000 (£12,027,000) toacquire the equity in the companies. The 14 properties are as follows: - A campus style office building in a business park setting at Louvain-La-Neuve. The building provides 4,624 sq m (50,000 sq ft) of modern high quality space occupied on a variety of typical Belgian leases producing €560,820 (£377,480) per annum rent from ten tenants. - An industrial building located in Kontich providing 5,640 sq m (60,700 sq ft) of industrial and office space let to Enfa Enveloppen N.V. on a typical Belgian 3/6/9 lease producing €281,280 (£189,320) per annum. - A fully refurbished industrial building situated next to the N4 in Naninne only 100 metres from the junction to the E411 highway comprising 7,125 sq m (76,700 sq ft) of office and warehouse space with a current rent of €353,760 (£238,110) per annum. - A modern good quality office building situated on the Leuvensesteenweg not far from Brussels airport and the E40 highway. The building provides 3,750 sq m (40,400 sq ft) of space and is let until 2011 to IBS N.V at a rent of €687,030 (£462,430). - Newly renovated office located on the Rotterdamstraat in Brussels providing 1,490 sq m (16,000 sq ft) of space fully let to three tenants producing €131,520 (£88,520) per annum. - A multi-let industrial building located in the industrial park of Heist-op-den-berg. The property provides 6,275 sq m (67,500 sq. ft) of space and has a current rent of €233,690 (£157,300) per annum from four tenants. - An industrial unit located near the Brussels ring road at Asse. The building provides approximately 2,000 sq m (21,500 sq ft) of space and is fully let to Stannah B.V.B.A. on a Belgium 3/6/9 lease until 2014 producing a rent of €123,320 (£83,000) per annum. - An office and industrial property situated in Mechelen in Vlaanders. The building provides 2,464 sq m (26,500 sq ft) of office and warehouse space and is fully let to two tenants until 2010 and 2011 respectively producing a rent of €173,810 (£116,980) per annum. - An office and warehouse building situated in Antwerp's periphery close to the motorway A13 E313, Antwerp airport and the Antwerp ring road. The building provides 2,394 sq m (25,770 sq. ft) of office and warehouse space and is fully let to Cegelec Building Systems N.V. producing a current rent of €234,675 (£157,955) per annum. - A warehouse building situated in the north-east of Belgium between Brussels and Antwerp. The warehouse provides 5,060 sq m (54,500 sq ft) of space and is let to two tenants with a current rent of €143,830 (£96,810) per annum. - Excelsiorlaan 16, Zaventem. A two storey office property situated in the Keiberg Business Park along the ring road of Brussels close to the airport. The property provides 3,919 sq m (42,200 sq ft) of space and is fully let to Amec-Spie N.V. until 2013 at a rent of €368,238 (£247,854) per annum. - A small warehouse property comprising 650 sq m (7,000 sq ft) in Namur let until 2020 with a partial break in 2015 to two telecom businesses that use the building as a data centre paying €70,190 (£47,240) per annum. - An office and warehouse building located in Anderlecht near the ring road in Brussels west district. The building provides 4,270 sq m (46,000 sq ft) of office and warehouse space and is currently fully let to two tenants until 2014 and 2009 respectively, producing a total rent of €373,110 (£251,130) of rent per annum. - Lozenberg 9, Zaventem. A modern 3-storey office building located on the Lozenberg Business Park between the E40 motorway and Brussels airport. The building provides 3, 286 sq m (35,400 sq ft) and is currently fully let to five tenants producing €285,520 (£192,900) per annum. The rent includes approximately €370,000 (£250,000) of vendor guarantees tocover the 2% vacancy in the portfolio. All leases are index linked. The NetherlandsIn the Netherlands properties totalling €33.2 million (£22.3 million) have beenacquired. Hansteen Ormix B.V., Hansteen's Dutch joint venture, established to buy primelogistics property has acquired two modern high specification logistic buildingsin Tilburg totalling 38,000 sq m (410,000 sq. ft). The first building comprises13,000 sq m (139,930 sq ft) and is fully let to UPS SCS. The second buildingcomprising 25,000 sq m (269,100 sq ft) is fully let to Haans a companyspecialising in natural products from Asia and Europe such as furnishing anddecorative accessories. The annual rent from the two buildings is approximately€2.0 million (£1.35 million) per annum. Hansteen has also acquired a modern industrial manufacturing and storagefacility built in 2003 and located in Winterswijk. It comprises 9,880 sq m(106,300 sq ft) of warehouse and office accommodation and is let to BWI BeheerB.V. until 30 April 2019. The annual rent is €400,000 (£270,000) indexedannually. GermanyThe company has made four acquisitions in Germany for a total acquisition costof €26.7 million (£18.0million). The first is a two storey warehouse building inBabenhausen near Darmstadt bought at auction from a bank in possession. Thebuilding provides approximately 15,000 sq m (161,500 sq. ft) of which half islet to Lufthansa on an annual basis for the storage of aircraft seats. Thecurrent income of the building is €327,960 (£220,740) per annum. The attractionsof the property are its high initial yield, the potential to grow the incomefurther by letting the upper floor of the warehouse and the very low capitalvalue (less than £14 per sq ft). Hansteen has also acquired an office and warehouse building located in Hanaunear Frankfurt with a total net floor area of 3,835 sq m (41,390 sq ft). Thebuilding is let to three tenants on leases expiring in 2011. The current totalrent passing is €318,000 (£214,000) per annum. The Company has also acquired two substantial multi-let industrial buildings inan industrial area of Witten in the Ruhr area. The buildings are used mainly forheavy engineering purposes with substantial craneage and the majority of therent comes from good quality tenants with five years or more left to run ontheir leases. The current rent roll is €1,126,000 (£758,000) per annum. Finally in Germany Hansteen has purchased a 6,600 sq m (71,000 sq ft) retailwarehouse situated within a prime retail park in Weiterstadt an affluent suburbof Frankfurt. The property is an opportunistic buy generating a current incomeof €546,000 (£368,000) per annum. The current occupier of the building has alease expiry at the end of 2008 and it is believed that it should be possible tore-let the building for a longer period at an improved rent. Ian Watson, joint Chief Executive of Hansteen commented: "We are very pleased tohave made our first acquisition in Belgium and to have continued to grow ourportfolios in the Netherlands and Germany. In our view continental Europeanproperty markets continue to offer opportunities for growth and profit." For further information: Ian Watson/Morgan Jones Matt Goode Jeremy Carey/Rachel Drysdale/Matt RidsdaleHansteen Holdings plc KBC Peel Hunt Tavistock CommunicationsTel: 020 7016 8820 Tel: 020 7418 8900 Tel: 020 7920 3150 Notes to editors: Hansteen Holdings plc is a property company formed by Morgan Jones and IanWatson, the founders and former directors of Ashtenne Holdings plc. Hansteenraised £125 million on its flotation on AIM in November 2005. Hansteen focuses on investing in industrial properties in Continental Europe,which have higher yields, cheaper financing costs and greater opportunity forvalue improvement through asset management than can be achieved currently in theUK. It will also seek to profit from opportunistic acquisitions in otherproperty sectors both in the UK and abroad. In February 2007, Hansteen raised an additional £70 million at 131 pence pershare. The proceeds are being used to accelerate the assembly of its propertyportfolios, particularly in Continental Europe. Hansteen is listed on AIM, trading under the symbol HSTN, and has a currentmarket capitalisation of over £215 million. This information is provided by RNS The company news service from the London Stock Exchange