16th Jan 2014 12:33
LONDON (Alliance News) - Property investors Development Securities PLC Thursday said it is seeking to invest beyond just London and the South East, as investor appetite in markets outside the capital improves and the UK economy shows signs of recovery.
In an interim management statement for the period since September 1, the property developer said it made a number of acquisitions including a mix-use site in Dublin for EUR2.4 million and an office block in Sevenoaks for GBP5.5 million which will be converted into residential space.
In November last year, the firm signed a pre-let agreement with Japanese pharmaceuticals company Takeda Pharmaceutical Co Ltd for a 42,000 square foot office building on the Cambridge Science Park. Construction of the laboratory and research building will start next month.
The firm said it had recommenced the marketing of the top three floors at 10 Hammersmith Grove after ending negotiations with the party who had the space under offer.
Development Securities said 28% of space is now under offer at the site and it now plans to introduce 12 Hammersmith Grove to the funding market so that a start on site can be made by the middle of 2014.
The firm is currently progressing the masterplan for its development site, Algarve House, adjacent to Southwark tube station with the aim of submitting a planning application for an office-led redevelopment in the second half of this year.
Development Securities said it sold the Phones 4u Arena in Manchester for GBP82.1 million, which generated in excess of GBP10 million of cash to the firm and realised a profit ahead of expectations.
The arena, previously sponsored by Manchester Evening News, is one of the world's busiest indoor arenas, hosting music and sporting events.
The sale was followed by the disposal of an industrial trading estate in Brentford, West London, for GBP13.5 million, a price slightly ahead of its book value.
Financially, the firm said: "We maintain a conservative level of gearing as guided by our core principles."
The stock was trading at 256.00 pence Thursday midday, down 0.75 pence or 0.3%.
By Anthony Tshibangu; [email protected]; @AnthonyAllNews
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