RNS Number:7301X
Dawnay, Day Treveria PLC
01 February 2006
1 February 2006
Dawnay, Day Treveria PLC announces that it has agreed to acquire three German
property portfolios and a single property for a combined total of Euro230 million
Dawnay, Day Treveria PLC ("DTR" or "the Company"), which has been formed for the
purpose of investing in German commercial real estate with a focus on retail
assets, is pleased to announce it has agreed to acquire three property
portfolios and a single property for a combined total of Euro230 million.
The first portfolio consists of 32 properties: 23 retail warehouses, 8 car
showrooms and one shopping centre. The majority of the retail warehouses are
located in the former West Germany, and are predominantly concentrated around
Frankfurt. Tenants include Wal Markt and Aldi. The car showrooms are for a
single tenant, Cloppenburg Automobil AG, which operates BMW franchises at the
properties. The shopping centre is located in the Spandau district of Berlin.
Tenants include Kaufland and Toys R Us.
The second portfolio is made up of four predominantly retail properties in
Augsburg (Bavaria), Passau (Bavaria), Monchengladbach (North Rhine-Westphalia)
and Huckeswagen (North Rhine-Westphalia). The properties are all located in
prime retail locations and have a broad tenant base including general retailers,
restaurants, storage facilities and a hotel. Tenants include Deichmann, DM,
Stefanel, Real and Holiday Inn.
The third portfolio is made up of three retail warehouses located in Fellbach,
Backnang and Freiburg. Tenants include Media Markt, Mobel Roller and McDonalds.
The single property is the main shopping centre on the outskirts of Zehdenick
(50 km north of Berlin).
The blended initial yield of the acquisitions, net of acquisition costs and
irrecoverable costs, is 7.5% and the properties comprise a total lettable area
of c.201,000m2. DTR will acquire a 100% interest in the first portfolio and the
single property and will acquire a 94.9% interest in the second and third
portfolios. Completion of the acquisitions will take place following
satisfaction of standard administrative conditions.
DTR is acquiring the second and third portfolios from Dawnay, Day Group for an
aggregate of Euro78.1 million by exercising its right of first refusal under its
Portfolio Management Agreement. Dawnay, Day Group agreed to acquire these
portfolios, which form part of DTR's investment pipeline, in the period between
the formation cut-off for DTR's Initial Portfolio and its initial public
offering. These acquisitions are related party transactions by virtue of the
fact that Peter Klimt, a director of DTR, is one of the principals of Dawnay,
Day Group. In the context of these acquisitions, the directors of DTR, excluding
Mr Klimt, having consulted with its nominated adviser, Citigroup Global Markets
U.K. Equity Limited, consider the terms of the transactions are fair and
reasonable insofar as DTR's shareholders are concerned.
Ian Henderson, Chairman of DTR said: "These acquisitions are significant and
typify the type of property transactions we are seeking to complete in the next
12 to 18 months. The acquisitions are in line with our strategy, have good
investment potential and diversified tenant bases and are part of the Euro1.3
billion of further acquisitions referred to in the Admission Document. With
these acquisitions the portfolio size is now approaching Euro900 million".
DTR listed on the AIM market on 14 December 2005 and raised Euro408.9 million by
way of an offer to institutional investors (including the exercise of the
over-allotment option), together with a Euro35.5 million direct investment by
affiliates of the Dawnay, Day Group. The Company intends to use the funds
raised, together with debt funding, to acquire a property portfolio worth up to
approximately Euro2.3 billion in the 12 to 18 months following admission.
Enquiries:
Dawnay, Day Treveria Real Robert Goldsmith 020 7834 8060
Estate Asset Management
Limited
www.dawnaydaytreveria.com
Cardew Group Tim Robertson 020 7930 0777
Shan Shan Willenbrock
Catherine Maitland
This information is provided by RNS
The company news service from the London Stock Exchange
END
ACQUAOBRNBRAOAR
|