6th Dec 2007 07:02
Public Service Properties Inv Ltd06 December 2007 6 December 2007 Public Service Properties Investments Limited ("PSPI" or "the Group") Acquisition in Germany PSPI (AIM: PSPI), the specialist European real estate investment and financingcompany, announces that it has exchanged contracts in connection with theacquisition of a 79 bed care home in Flensburg (Schleswig-Holstein) in the northof Germany. The total purchase price is approximately €6.4 million, with PSPI's commitmentto be finalised upon discussions with Elliott International L.P, which hasco-investment rights. Completion is scheduled for early January 2008. The property will be leased to Meritus, a private operator of care homes inGermany for a lease term of 25 years at initial gross and net yields ofapproximately 8.0% and 7.3%. In addition to the care home, the PSPI Group is purchasing a plot of landadjacent to the care home for €300,000 plus closing costs, on which planningpermission will be sought for construction of a 30-40 bed extension to the home. Patrick Hall, Chairman of PSPI, commented, "This acquisition makes an excellentfirst investment in Germany for PSPI. The care home has a profitable trackrecord and an excellent occupancy history. The adjacent plot also offers roomfor expansion and value creation. "Our pipeline of potential acquisitions remains strong. We are in advancednegotiations on further transactions, details of which we hope to announcebefore the end of the calendar year." For further information, please contact: Ralph Beney / Dr Srinivas Simon Hudson / Rachel Drysdale Tel: 44 (0) 20 7766 7000 Tel: 44 (0) 20 7920 [email protected] [email protected] Jeremy EllisEvolution SecuritiesTel: 44 (0) 20 7071 4300 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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