30th Nov 2007 10:08
Hammerson PLC30 November 2007 For immediate release 30 November 2007 Hammerson Increases Ownership of Bishops Square, London E1 Hammerson plc has agreed the final payment terms for the acquisition of the Cityof London Corporation's long leasehold interest in Bishops Square, London E1.Hammerson entered into a joint venture agreement with the City to develop thescheme in 2002, with the final payment to be made following completion of thebuilding and the determination of all costs. Accordingly, a payment of £134 million will be accrued in Hammerson's 31December 2007 accounts and paid in the first half of 2008 from the group'sexisting financial resources. The City retains the freehold interest in thescheme, with Hammerson holding an effective 95% economic interest. Bishops Square provides 71,900 m(2) of office accommodation and 4,700 m(2) ofretail space in21 shop units. The retail element of the scheme opened in October 2005 and isfully let and international law firm, Allen & Overy, took occupation of theoffices in Autumn 2006. The total passing rent from the scheme is £34 million. John Richards, Chief executive of Hammerson, said: "Bishops Square has been a highly profitable development. It has transformed theSpitalfields area adjoining the City, regenerating a key site and acting as acatalyst for further investment in the area." Michael Snyder, Chairman of the City of London Corporation's Policy andResources Committee said: "This was an extremely successful project, which brought forward the sensitivedevelopment of a run-down site, providing modern accommodation for one of theworld's leading law firms. We look forward to working with Hammerson on thefuture development of Bishops Quarter and elsewhere in the City." Enquiries:John Richards, Chief Executive Tel: 020 7887 1000Christopher Smith, Director of Corporate Affairs Tel: 020 7887 1019 [email protected] This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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