Re Major Letting Agreement
Embargoed: 29 April 2004, 07:00hrs (BST)
CLS HOLDINGS PLC ("CLS")
ANNOUNCES A MAJOR NEW LETTING
AT SOLNA BUSINESS PARK, STOCKHOLM
The Board of CLS is pleased to announce that the ICA Group ("ICA"),
Scandinavia's largest retailer, has leased a total of 23,800 sq m (256,183 sq
ft) of mixed office and retail space plus parking spaces, for the creation of
the ICA House in Solna Business Park. The letting to ICA is one of the largest
lettings in Sweden over the last few years.
The offices, comprising 14,400 sq m (155,002 sq ft), which will constitute ICA
AB's head office, have been let for a term of 11 years 9 months commencing on 1
July 2005. ICA will also have the option of leasing additional space of 2,200
sq m (23,680 sq ft).
The retail space comprises approximately 9,400 sq m (101,181 sq ft) and will be
used as the flagship MAXI ICA Supermarket. The space has been let for a term of
25 years commencing on 15 May 2005, with a break clause at the end of the
fifteenth and twentieth years.
The aggregate headline annual rental income equates to approximately SEK
44,300,000 (£3,230,000) excluding turnover rent and rental discounts. As a
result of this transaction 92 per cent of Fräsaren 12 is now let to ICA and
other tenants and will be 100 per cent let, should ICA exercise its option.
Bo Liffner, the Managing Director of ICA Fastighets AB, gave his reasons for
choosing Solna Business Park:
"We have analysed several alternatives in the Stockholm area. Solna Business
Park is best suited to our specifications in terms of cost efficiency, high
quality, flexibility, environmental acceptability and communications. In
addition, it enables ICA to achieve its desired aim of combining its head
office with a supermarket in the same building."
Executive Chairman of CLS, Sten Mortstedt, commented:
"We extend a warm welcome to ICA and to its staff and customers at Solna
Business Park. In addition to the existing first class offices and the
excellent facilities comprising a hotel, gym, restaurants and retail, Solna
Business Park will also be offering a supermarket in cooperation with ICA.
Solna Business Park has now proved itself as one of the most attractive areas
for offices and retail premises close to the centre of Stockholm."
-ends-
For further information, please contact:
Sten Mortstedt, Executive Chairman
Tom Thomson, Chief Executive & Vice Chairman
Dan Bäverstam, Chief Financial Officer
CLS Holdings plc, Tel. +44 (0)20 7582 7766
www.clsholdings.com
Adam Reynolds / Ben Simons
Hansard Communications
Tel +44 (0)20 7245 1100
END