Thg Regulatory News (THG)

7 Mar 2005 07:00

Terrace Hill Group PLC07 March 2005 TERRACE HILL GROUP PLC ("Terrace Hill") AGM and EGM REPORTS Overview • Encouraging start to the new year • Substantial land acquisition at Farnborough • Major lettings at Swansea and Uxbridge • Further disposals of English residential units • Development land acquired in Lanarkshire • Power taken to buy own shares on market Terrace Hill, the AIM traded property group, held its AGM on Friday 4 March 2005and all resolutions were duly passed. At an EGM which followed the AGM, TerraceHill took power to purchase its own shares on the market, up to a number notexceeding 10% of issued capital and at a price related to market price at thetime of any such purchase. Philip Leech, recently appointed Group Managing Director, made the followingstatement at the AGM: "Terrace Hill has made a busy start to its new accounting year which commenced 1November 2004. "Terrace Hill has purchased from British Aerospace and the MOD 16.68 acresadjoining the Farnborough Aerospace Centre. Planning was approved in principlefor a 350,000 sq ft commercial development during the previous ownership pendingstatutory agreements. Terrace Hill intends to seek amended planning permissionfor a mix of commercial and industrial development, and has already receivedsome interest from potential end users. It is proposed to carry out developmentof this site in joint venture. The development estimated end value is £60million. "Terrace Hill previously announced the start of construction of a 40,110 sq. ft.office building being developed in conjunction with the Welsh DevelopmentAgency, due to be completed in December 2005. This is a significant building inthe Swansea Waterfront Redevelopment known as SA1. Terrace Hill is now pleasedto announce that the Welsh Development Agency has agreed to take a 20 year leaseof the building on completion. "At UB1 in Uxbridge, in what is reported by Estates Gazette to be one of theThames Valley's largest office deals in 2004 and for its European HQ, HertzCorporation has taken an 11 year lease. The 69,300 sq. ft. office building wasdeveloped by Terrace Hill in joint venture with Liberty Property Trust. "The office building redeveloped in joint venture at 11 Berkeley Street, London,W1, has been sold at a price of £13.7 million, reflecting a yield equivalent to5.37%, to ING. The property was comprehensively refurbished by Terrace Hill in2003 as part of its focus on the London West End, and then held as aninvestment. The building is 75% let in a prime location and has benefited froman improving tenant market in the West End. "The sales programme at Decimus Park, Tunbridge, has started well. Forward salecontracts have been exchanged on 12 industrial units at an aggregate price of£5.33 million. "Also in the South East, nine office units totalling £3.46 million have now beensold to owner-occupiers in Terrace Hill's development at Queen Elizabeth Park,Guildford. "Continuing the policy of disposing of scattered English residential flats andhouses at the top of the market, Terrace Hill has, since 1 November, completedsales of a further 23 units at book value (being 31 October year end valuation)of £2.322 million. "At Shotts in Lanarkshire, Terrace Hill is progressing site assembly of landsuitable for residential development. 20.2 acres has been purchased fromTerrace Hill's joint venture with Lithgows Ltd, and in addition adjoining formerrailway land has been acquired from local manufacturers Davidson to improveaccess. Potential residential development could be up to £15 million." * * ENDS * * For further information please contact: Philip Leech, Group Managing Director, 01642 243 444 Ross Macdonald, Deputy Chairman, 0141 332 2014 Alasdair Robinson, Noble & Company Limited, 0131 225 9677 Isabel Crossley, St Brides Media & Finance Ltd, 020 7242 4477 NOTES TO EDITORS: Terrace Hill Group PLC is an AIM traded property group with NAV £70 million. Ithas two divisions, Commercial Development throughout the UK and ResidentialInvestment and Development in Scotland and the North of England, with adevelopment programme of almost £600 million with approaching £200 millionunderway. Terrace Hill recently reported an increase of over 25% in both NAV andpro-forma Triple NAV to 38.12p per share and 39.99p respectively in the year to31 October 2004, and an increase in final dividend from 0.15p per share to 0.50pper share. This information is provided by RNS The company news service from the London Stock Exchange