22nd Oct 2007 07:01
Workspace Group PLC22 October 2007 WORKSPACE SCORES DOUBLE SUCCESS IN LONDON Workspace Group PLC ("Workspace"), the leading provider of flexible businessaccommodation to small and medium sized enterprises in London, today announcesthat it has completed a £10.8 million acquisition in central London and, that ithas been granted planning permission for its £85 million joint venturedevelopment in Wandsworth. Acquisition - Neil House, Whitechapel Road, London, E1 Workspace has acquired Neil House, Whitechapel Road, London, E1 from PantherSecurities PLC. This property is well located on the corner of Whitechapel Roadand Osborne Street, just on the edge of the City. The building totals 43,592sq. ft with retail units at ground level and offices above. The purchase priceis £10.8 million and the property is currently producing an income of £415,260per annum with 40% of the building vacant. The estimated rental value is£879,000 which represents an income yield of 8.1%. Workspace Glebe Joint Venture Secures First Planning Permission Workspace has also announced that its development joint venture with Glebe hassecured its first planning permission. The application to regenerate theexisting Wandsworth Business Village commercial site with a mixed-use scheme,has been approved by Wandsworth Borough Council. The scheme represents aninvestment of £85 million. The Wandsworth scheme includes a new business centre, providing 94,000 sq. ft ofcommercial space for small and medium sized businesses, 209 homes made up ofboth private and affordable units, a nursery/creche, a new cafe/retail space anda landscaped public square. Alongside several other major projects, theWorkspace Glebe joint venture development will play a key role in theregeneration of Wandsworth town centre. Harry Platt, Chief Executive of Workspace commented, " The current downturn in the market is creating opportunities for us to buyproperties that offer significant potential to release value in the future. " We are delighted to have acquired Neil House. It has been on our target listfor some time. We know the location extremely well, as we have alreadyestablished a cluster of properties in the area. " We are confident that by implementing our active asset management skills wewill be able to grow the rental income significantly. The recent Crossrailannouncement underpins our confidence in this part of London, which we expect todeliver above average performance over time." Referring to the planning permission granted for the Wandsworth regenerationscheme Harry added, " The granting of planning permission for our redevelopment scheme in Wandsworthis a significant milestone for the Glebe joint venture. " This is a classic example of the appealing nature of our mixed use projectsthat find favour with local authorities. We aim to invest in local communitiesto create vibrant and sustainable developments. " By establishing a very clear understanding of the local planning issues, wehave the skills and experience to deliver proposals that fit with the long-termregeneration initiatives being sought by local authorities." -ends- Date: 22 October 2007 For further information: Workspace Group PLC cityPROFILEHarry Platt, Chief Executive Simon CourtenayGraham Clemett, Finance Director William Attwell020-7247-7614 020-7448-3244web: www.workspacegroup.co.uk This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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