13th Jun 2005 07:02
Land Securities Group Plc13 June 2005 13 June 2005 LAND SECURITIES GROUP PLC ("Land Securities") Land Securities acquires Lxb Properties Ltd Land Securities announces that it has exchanged contracts to acquire Lxb, aprivate specialist retail warehouse and supermarket investor, for a cashconsideration of approximately £360m. The acquisition comprises; • Two retail warehouse assets: o Bracknell, a 165,000 sq ft multi-tenanted 8 unit retail warehouse park o Chester, a 150,500 sq ft multi-tenanted 10 unit retail warehouse park • A partnership interest in the A2 joint venture with Deutsche AssetManagement which owns two retail warehouse parks at Crayford, Greater London andStrood, Kent • Ten supermarket assets some of which also have additional retailwarehouse units. All 14 assets benefit from open A1 planning consents. The retail warehouseproperties produce circa £6.3m rental income per annum (including the share ofthe rental income in the A2 joint venture) with an annual income of circa £9.0mfrom the supermarkets assets. The portfolio is 26% reversionary, based on thecurrent configuration of the units. Following the acquisition Land Securities will own 30 retail warehouse parks and12 supermarket assets. Lxb's management will retain the Lxb name and in aseparate agreement with Land Securities will be providing strategic assetmanagement services for the supermarket portfolio. No Lxb employees willtransfer to Land Securities. Commenting on the acquisition, Francis Salway, Group Chief Executive of LandSecurities, said: "We believe that certain segments of the out of town retail market, particularlysupermarkets and open A1 parks, will deliver the strongest future growth and itis exactly these areas of the retail market that we are capturing through thisacquisition - building upon our market leading position in UK retail. We areexcited by the prospects offered by this acquisition and look forward tobuilding on our relationship with Lxb and Deutsche as we exploit the potentialinherent in the portfolio." -Ends- For further information please contact - Land SecuritiesFrancis Salway/Melissa Winsor020 7413 9000 Financial DynamicsStephanie Highett/Dido Laurimore020 7831 3113 Note to Editors Land Securities is a FTSE100 company, quoted on the London Stock Exchange. Ithas been at the forefront of the UK's commercial property industry for over 60years. Today, the Group maintains its market leading position as the UK'slargest quoted property company by providing commercial accommodation andproperty services to a wide range of occupiers. The Group's objective is tocreate attractive, sustainable returns for its shareholders through a strategyof investing in commercial property in markets and activities where it hasexpertise and operational skills, where it can benefit from its risk managementskills and the active recycling of capital. Land Securities holds a market leading position in three areas of the UKcommercial property market: Retail,• London offices and• Property outsourcing Its £9.4 billion combined investment portfolio includes over 10 million sq feetof office and retail space in Central London and 21 shopping centres and 26retail parks located across the UK. It has a substantial development programme with a number of development projectsincluding major retail-led urban regeneration schemes and Central Londonmixed-use developments. The Group is also master planning one of Europe'slargest regeneration schemes in Kent Thameside. The Group leads the market in property outsourcing where, through LandSecurities Trillium, it provides accommodation and property-related services tothe Department for Work and Pensions, the BBC, Norwich Union, Barclays Bank,DVLA and through a joint venture, Telereal, to BT. The Group is committed to environmental initiatives and community involvementrecognised by the Group's inclusion in the BiTC Corporate Responsibility Index,FTSE4Good Index and the Dow Jones Sustainability Index. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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