10th Mar 2006 07:01
Beale PLC10 March 2006 10 March 2006 Acquisition of leasehold interest in former Allders store Horsham Beale PLC announce that it has acquired the leasehold interest of the formerAllders store in Horsham, West Sussex. The acquisition represents a continuation of the Company's growth strategy andwill increase Beales portfolio of stores to a total of twelve. The store, which is located in The Forum and opened in 2003, has been acquiredon a leasehold interest for a term of 25 years. No premium consideration ispayable by Beales in relation to the lease, which has been acquired directlyfrom the landlord, Blue Investment Fund. In addition to a base rent, Beales willpay a turnover rent equal to 1% of gross annual turnover (net of VAT). There isa tenant only break clause after ten years. The store, which has a gross area of43,000 sq ft, will trade under the Beales fascia, adding approximately 33,500 sqft (7%) to the Group's trading space. It is proposed that the store will have afull department store offer, excluding furniture, brown and white goods. Alldersopened for less than a year and the store has not traded since closure in 2004. It is anticipated that completion and handover of the store will occur by theend of May and that the store will be open for trading by the end of September2006. The pre-opening costs will be accounted for in the current financial yearwhich ends on 28th October 2006. However the Company will have the benefit oftrading the store for Christmas 2006 and, with effect from the year commencingNovember 2006, the Board expects the store to make a positive trading profit forthe Group. Allan Allkins, Chief Executive, commented "The acquisition of the former Allders store in Horsham represents an excellentaddition to our store portfolio, particularly after the recent closure of ourWalton store. We will offer an assortment that is not available elsewhere in thetown. Horsham is an affluent area in an economically buoyant part of the South East.The town and surrounding district consistently score highly against numeroussocio economic indicators, which sit very comfortably with Beales customerprofile. The Forum opened in 2003 and is the latest phase in the redevelopmentof the Town Centre, a process that started in the late 1980's. I have every confidence that this store will make a very useful contribution tothe Group's future performance" Councillor Roger Paterson, Cabinet Member for Economic development at HorshamDistrict Council said: " It is tremendous news that Beales has chosen Horsham for a major new store.Our own research has confirmed that a department store is needed in the town andthis will add very positively to Horsham's vibrant economy. I am sure thateveryone will join me in welcoming this progressive company to the town" For further information: Allan Allkins, Chief Executive/Ken Owst, Finance DirectorBeale PLCTelephone: 01202 203448 Barrie NewtonRowan Dartington & Co LtdTelephone: 0117 925 [email protected] Lulu Bridges/Paul DulieuTavistock Communications LtdTelephone: 020 7920 [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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