20 Jun 2018 07:00
20 June 2018
Ediston Property Investment Company plc
Two new lettings at Pallion Retail Park, Sunderland
Ediston Property Investment Company plc (LSE: EPIC) ('the Company') announces that it has completed two new lettings at Pallion Retail Park, Sunderland, to GO Outdoors Limited and Cancer Research UK. The lettings secure £280,000 of rental income per annum for the Company.
The Company has signed an agreement for lease (AFL) with GO Outdoors who will occupy unit 2, which extends to c. 12,000 sq. ft. The AFL is conditional on the Company receiving vacant possession of the unit which is currently leased to B&M. B&M has recently upsized to a larger unit on the retail park and will vacate unit 2 by the end of September 2018.
GO Outdoors will take a 10 year lease with a tenant only break option at the end of the fifth year. The annual rent will be £198,000, an increase of 27% over the current passing rent.
Cancer Research has leased unit C which extends to 4,100 sq. ft. Unit C was vacant when the park was acquired, but benefitted from a rental guarantee which was due to expire in June 2018. Cancer Research has signed a 10 year lease with a tenant only break option at the end of the fifth year. They will pay an annual rent of £82,000.
Both tenants will receive 12 months' rent free from the commencement of their leases, but will be liable to pay a penalty equivalent to six months' rent should they exercise their break options.
Calum Bruce, Director of Investment at Ediston Properties Limited, the Company's Investment Manager, said: "This year we have completed ten letting deals to new and existing tenants across our retail warehouse portfolio, securing in excess of £1.1m of rental income per annum. These lettings show that there is still demand from retailers for good quality retail parks at affordable rents."
For further information:
Ediston Properties Limited (Investment Manager) 0131 225 5599
Calum Bruce
Canaccord Genuity Limited 020 7523 8000
Will Barnett
Neil Brierley
David Yovichic
Lansons
David Masters 07825 427 514
Laura Cronin 0207 294 3607
Maitland Administration Services (Scotland) Limited (Company Secretary)
Donald Cameron 0131 550 3763
Notes to editors:
Ediston Property Investment Company plc is a UK real estate investment trust (REIT) with a premium listing on the Main Market of the London Stock Exchange. The Company invests in UK commercial real estate assets to achieve its objective of providing its shareholders with an attractive level of income together with the potential for capital and income growth. It invests principally in three commercial property sectors: office, retail (including retail warehouses) and industrial, without regard to a traditional property market relative return benchmark. The Company launched in October 2014 and as of 31 March 2018 it owned 17 properties with a value of £325.4m.
Portfolio management services are undertaken by Ediston Properties Limited, which currently manages property assets across the UK for institutional investors.