18th Nov 2008 12:26
18 November 2008
Hansteen Holdings plc
("Hansteen" or "the Company")
HANSTEEN BUYS €18MILLION AND SELLS €7.5MILLION
Hansteen Holdings PLC ("Hansteen") the European industrial property investor announces the sale of three properties at or above book valuation for a total consideration of €7.50 million reflecting an average yield of 6.7% and the purchase of three properties for a total cost of €18.20 million at average yield of 8.4%. Net occupancy of its portfolio in the 9 months to 30 September has also substantially improved.
Sales
Hansteen has realised a total of €7.50 million from the sale of properties in Germany the Netherlands and Belgium, representing a small profit over book value and a combined exit yield of 6.7%.
In the Netherlands, Hansteen has sold its industrial facility at Marconistraat, Hoogeveen to Dosspart C.V. a Dutch property investment vehicle for €3.23 million, reflecting a initial yield of 7.4%.
In Belgium, Hansteen has sold its property at Lozenberg 9 in Zaventem for €3.40 million a initial yield of 6.7%. The property was sold to a new owner occupier, NW Projects BV, as an administration and contact centre. The property totals approximately 2,938 sq m which includes 400 sq m of ancillary warehouse accommodation.
In Freising in Germany, Hansteen has sold a vacant villa and adjoining industrial building and a separate small cottage for €855,000.
Lettings
In the 9 months to 30 September 2008, the Company has also improved net occupancy by 24,468 sq m (256,424 sq ft) representing approximately 17% of total vacancies. The net improvement in occupancy along with lease indexation has materially improved the rent roll.
Purchases
Hansteen has completed the purchase of three properties with a combined rent roll of €1.52 million for €18.20 million, an initial yield of 8.4%.
In Germany, Hansteen has purchased a substantial long leasehold property in Ludwigshafen from IKB, a German bank, who had taken it on their books as a non-performing loan. The block of buildings is adjacent to a new shopping centre being developed by ECE, a leading German developer, and has the potential to provide a pedestrian access from the current town centre to the new shopping centre. The buildings provide retail, residential and office space with a current gross rent of €567,000 per annum and a net rent after payment of the ground rent of approximately €400,000; approximately 30% of the space is currently vacant, although the building requires substantial capital expenditure to realise the value of this vacant space. The property was bought for a total cost of €3.50 million.
In Holland, Hansteen has now completed the purchase by way of sale and leaseback of a property in Raamsdonkveer, occupied by Bouwgros BV. The property is a storage and distribution facility including offices and show-rooms set within a large site area. Bouwgros have taken a 10 year lease on full repairing and insuring terms with a parent guarantee from Bouwgros Holdings BV. The annual rent is €741,120 per annum and the price was €9.20 million. Hansteen committed to the purchase in 2007 subject to completion of a number of works by the vendor.
Also in Holland, Hansteen has completed the purchase of a forward funded new build warehouse, in Roosendaal, into the Hansteen Ormix joint venture. Hansteen Ormix committed to buy the property in 2007 upon completion of its construction. The 6,150sqm warehouse is let to Adexpo BV at an annual rent of €379,000 for a total cost of €5.50 million Adexpo have taken a 12.5 year lease on full repairing and insuring terms.
Ian Watson, joint Chief Executive of Hansteen commented: "We are delighted to have sold properties at a profit in the current environment and have bought some excellent properties with good yields and opportunities to add values. Whilst there are very few buyers about at present we will continue to pursue individual sales and purchases where we can see real value. Given the turbulent times, we are particularly pleased to have improved our net occupancy and grown our rent-roll by such a material amount."
-Ends-
For further information:
|
Ian Watson / Morgan Jones Hansteen Holdings plc Tel: 020 7016 8820 |
David Davies/ Matt Goode KBC Peel Hunt Tel: 020 7418 8900 |
Jeremy Carey / Gemma Bradley Tavistock Communications Tel: 020 7920 3150 |
Notes to editors:
Hansteen Holdings plc is a property company formed by Morgan Jones and Ian Watson, the founders and former directors of Ashtenne Holdings plc. and floated on AIM in November 2005.
Hansteen focuses on investing in high yielding industrial properties in Europe, with opportunities for value improvement through asset management.
In relation to the Zaventem property Knight Frank acted for Hansteen
In relation to the Hoogeveen property Berkoop Vastgoed B.V. acted for Hansteen ad Martini Real Estate for the purchaser.
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