Re-Development

5 Nov 2007 15:11

Northacre PLC05 November 2007 NORTHACRE PLC ("The Company" or "The Group") WEST LONDON TELEPHONE EXCHANGE Northacre Plc announces today that in a joint venture with Bomac Developments(UK) Limited they have exchanged contracts on the site known as West LondonTelephone Exchange, Warwick Road, London W14 for £67.0m. The contract has thebenefit of a delayed completion until December 2008. The structure of the acquisition comprises equity from the joint venturepartners of which Northacre's commitment is £600,000 representing 5% of thetotal equity requirement. In return Northacre will receive DevelopmentManagement fee income together with an entitlement to profit share ranging from5% to 50% dependant upon the performance of the development returns. Commenting on today's announcement, John Hunter, Chief Executive of NorthacrePlc, said : "This acquisition represents another opportunity for Northacre. We look forwardto working with our partners, Bomac Developments, in developing this scheme anddeploying our extensive Group skills for generating added value from thisstrategic site in the Royal Borough of Kensington of Chelsea." This information is provided by RNS The company news service from the London Stock Exchange