St Modwen Properties PLC, the regeneration based property company, today is pleased to announce that it has sold two properties at attractive prices and yields.
Redman Heenan Properties Ltd, the investment subsidiary of St Modwen Properties PLC, has sold its 8,361 sq m (90,000 sq ft) Anglesea Shopping Centre, Gravesend, to London & Greenock Properties Ltd for £9.425 million, reflecting an initial yield of 9.75%, subject to the completion of three lease renewals and allowing for non-recoverables. A pro-active management approach was adopted to re-align the tenant profile of the centre to reflect the changing face of Gravesend as a retail centre following the development and opening of the Bluewater centre close to the town.
Clarke London Ltd, a 50 per cent subsidiary of St Modwen Properties PLC, has sold its three investment/development properties in the Clink Street area close to Southwark Cathedral and the Borough Market, to a joint venture between Compco Holdings plc and Chelsfield plc, for £6.5 million. The properties have been held since the 1980s with appropriate refurbishment work being carried out to create medium term income pending comprehensive redevelopment when the time was right.
The sales reflect St Modwen’s strategy to dispose of investment holdings when the majority of substantial opportunities to add value have been optimised. The sale price of Anglesea reflects a surplus of just over 10% above book value, whilst Clarke London sold at a substantial surplus to its book value to purchasers who are actively expanding their portfolio in the SE1 area of London.
Anthony Glossop, Deputy Chairman and Chief Executive of St Modwen commented:
“Our disposal programme is running to plan. However, we are equally keen to secure new opportunities and will continue to pursue these aggressively.”
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For further information:
St Modwen Properties PLC Tel: 0121 456 2800
Anthony Glossop, Deputy Chairman & Chief Executive
Golin/Harris Ludgate Tel: 0207 324 8888
Reg Hoare/Kirsten Hughes