18th Dec 2006 16:05
McKay Securities PLC18 December 2006 PRESS RELEASE McKay Securities PLC Acquisition of Corinthian House, Croydon McKay Securities PLC has completed the acquisition of the freehold of CorinthianHouse, Croydon from a private investor for £11.3 million in an off markettransaction. The 45,000 sq ft 1960's office building on ground and ten upperfloors, is located in a prominent position on the junction of Lansdowne Road andDingwall Road, close to East Croydon Rail Station. It overlooks the 8.5 acreGateway regeneration site, where the implementation of major redevelopmentproposals is expected to improve the area, acting as a catalyst for rentalgrowth. Income from the seven existing tenants in the building totals £533,585 pa(average passing rent of £16.30 psf), from leases that have a range of expirydates out to 2016. The initial yield on purchase of 4.5% will increase to 6.25%once three vacant floors within the building are let, assuming current marketrents. Commenting on the purchase, Simon Perkins, Managing Director of McKay said "thisis a well located property with low passing rents that should increase with moredirect management. The plot is under-utilised, and there are good medium termproposals for redevelopment once the Gateway scheme has been implemented" Whitmarsh Holt Young and Stiles Harold Williams represented McKay Securities,and Makins Moore represented the vendor. Contacts McKay Securities PLC - 0118 950 2333Simon Perkins, Managing DirectorSteven Mew, Director 18th December 2006 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
MCKS.L