DJ Ace Liberty & Stone PLC Statement re acquisition of properties
RNS Number : 0493Y
Ace Liberty & Stone PLC
07 May 2019
ACE LIBERTY AND STONE PLC
("Ace" or "the Company")
ACQUISTION OF PROPERTIES IN WARRINGTON AND MIDDLESBROUGH
FOR A COMBINED CONSIDERATION IN EXCESS OF GBP10 MILLION
Ace Liberty and Stone Plc (NEX: ALSP), the active property investment company, capitalising on commercial property investment opportunities across the UK, is pleased to announce that it has completed the purchase of two new properties; Nolan House in Warrington for GBP2,900,000 and James Cook House in Middlesbrough for GBP7,125,00.
Both properties are let to the Secretary of State for Communities and Local Government, who are long-term tenants, until 31 March 2027. The property in Warrington is the only Jobcentre Plus serving the Warrington South constituency, and likewise the Middlesbrough property is the only Jobcentre Plus servicing its local constituency (Middlesbrough).
Looking further ahead, the properties' strong potential is evident. Although in different regional hubs, they have very similar characteristics. Both have blue chip government tenants with long leases and strong yields. Furthermore, they are in attractive locations with strong repurposing opportunities.
Both are also close to local transport; Nolan House lies in the middle of the northwest motorway network and over 25 different bus routes are within a two-minute walk. Warrington has an excellent regional location, being equidistant between Manchester and Liverpool. Direct trains run from Warrington New Quay to London Euston taking just under 2 hours. James Cook House lies in the centre of the Teesside conurbation and from 15 miles from the A1(M). By rail, the fastest journey time from Middlesbrough to London Kings Cross is 3 hours 4 minutes. Bus routes serve the location of James Cook House well with various stops providing direct access into the Middlesbrough town centre and other destinations such as Park End, Ormesby, Netherfield and Easington.
The properties are both let on an attractive full repairing and insuring (FRI) basis and are subject to an upwards only market rent review in 2023.
Ismail Ghandour, Chief Executive Officer, commented:
"We always look for properties with potential, particularly when that potential can be harnessed without any of the additional risk associated with further development. We have a proven track record of finding properties with hidden multiple uses that also provide an immediate risk free income, and these two acquisitions fit that criteria perfectly. Smart and solid investments such as those we have made in Middlesbrough and Warrington form the backbone of the Company's well proven strategy that continues to deliver a healthy return on investment for our shareholders, as well as increasing our Company's prospects when compared to other more traditional property company models."
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The Directors accept responsibility for this announcement.
For further information, please contact:
Ace Liberty & Stone Plc http://acelibertyandstone.com Ivan Minter, Financial Director Tel: +44 (0) 20 7201 8340 Alfred Henry Corporate Finance Ltd www.alfredhenry.com NEX Exchange Corporate Adviser Jon Isaacs / Nick Michaels Tel: +44 (0) 20 3772 0021 SP Angel Corporate Finance LLP www.alfredhenry.com Vadim Alexandre / Abigail Wayne Tel: +44 (0) 20 3470 0470 / Rob Rees Belvedere Communications www.belvederepr.com John West Tel: +44 (0) 20 3687 2754 Llew Angus ACF Equity Research www.acfequityresearch.com Christopher Nicholson / Amalia Barnoschi Tel: +44 (0) 20 7558 8974
Notes to Editors
Ace Liberty & Stone Plc is a property investment company with a diverse portfolio of properties located across the UK, currently including Leeds, Sunderland, Plymouth, Dudley, Gateshead, Barnstaple, and London. The Company locates commercial and residential properties which have the potential for an increase in value through creative asset management activity, such as change of tenancy, change of use or new lease negotiation.
Ace has maintained a track record of generating strong profits at disposal of properties and achieving better-than average returns on capital. With strong support from shareholders and mortgage lenders, the Company is currently seeking further investment opportunities in the UK to create value for existing and new investors.
Ace is run by a board with extensive property experience, an excellent network of contacts and relevant professional qualifications. This sector expertise has allowed the Board to identify opportunities and act promptly to secure investments.
For more information on the Company please visit www.acelibertyandstone.com
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(END) Dow Jones Newswires
May 07, 2019 02:01 ET (06:01 GMT)