ST. MODWEN ACHIEVES 7.25% YIELD AT LANGFORD MEAD, SOMERSET

St. Modwen, the UK’s leading regeneration specialist, has sold the investment of a 40,000 sq ft industrial building at its Langford Mead Business Park development in Taunton, Somerset. A private investor has acquired the investment for £2.87 million, reflecting a net initial yield of 7.25%.

St. Modwen has recently let the building to Booker Cash and Carry on a 20 year lease at £5.50 per sq ft. It is situated at the 200,000 sq ft Langford Mead Business Park, part of St. Modwen’s £100 million redevelopment of a 65-acre former industrial estate/ MoD site into a mixed-use scheme.

Ian Guy, senior development manager, St. Modwen says:

“This investment sale demonstrates that good yields can still be achieved outside of London and the South East and highlights the investor appetite for good quality product let to strong covenants.

“Of the 200,000 sq ft proposed Business Park at Langford Mead, we are already on site with 130,000 sq ft of pre-sold/pre-leased space which has been taken by both local and national occupiers. Not only does this underline that there is still interest in the marketplace but shows that there are areas across the UK which continue to do well despite the current economic climate, particularly for well located, good quality product.”

In 2007 St. Modwen entered into a joint venture to redevelop the Langford Mead site with AXA Sun Life plc. In addition to the first phase of commercial development, works continue to progress well with the construction of the new road and will also eventually comprise 550 residential dwellings.

St. Modwen was represented by King Sturge, whilst DTZ acted for the private investor.

Notes to Editors:

St. Modwen is the UK’s leading regeneration specialist, operating across the full spectrum of the property industry through a network of seven regional offices and a Birmingham based head office. The company is wholly focussed upon regeneration with expertise in brownfield land renewal, partnering with industry, town centre regeneration and heritage restoration. www.stmodwen.co.uk

For further information, please contact:

Charlotte McCarthy

PR Manager

St. Modwen Properties PLC

T: 0121 222 9400

E: cmccarthy@stmodwen.co.uk