Harworth Group PLC NW acquisition strengthens income portfolio

TIDMHWG

Harworth Group PLC

14 November 2016

14 November 2016

North West acquisition strengthens Harworth's income portfolio

Harworth Group plc ("Harworth" or the "Company"), the property regeneration and investment specialist, has acquired Moorland Gate Business Park ("Moorland Gate") in Chorley, Lancashire for GBP4.5 million as part of its strategy to build its income portfolio and expand its presence in the North West.

Highlights

-- Freehold purchase represents a Net Initial Yield of 9.53%, with further asset management and development opportunities to be explored

-- Moorland Gate is less than 3 miles from Junction 8 of the M61, and close to Harworth's Logistics North development in Bolton

-- The site area covers 10.75 acres with 125,122 sq. ft of built space - 83% of which is industrial and 17% classified as offices; this also includes 2 acres of development land

   --     Acquisition funded from the Company's cash reserves 

Commenting on the acquisition Owen Michaelson, Chief Executive Officer, said:

"Moorland Gate acquisition is Harworth's third major purchase of 2016 and reflects our objective to replenish our portfolio with new sites in the regions in which we already operate. This well-located investment is an excellent fit to our portfolio being a liquid, income-producing asset with further asset management and development opportunities."

Moorland Gate is a multi-let investment comprising twenty-four lettings totalling 125,120 sq. ft across 11 acres. Existing tenants include FDC (Holdings) Ltd and Stagecoach North West.

Harworth's freehold purchase price of GBP4.5 million represents a net initial yield of 9.53%. Funded from cash reserves, the purchase also includes two acres of potential development land that Harworth will look to develop and effectively utilise.

-END-

Enquiries:

 
Harworth Group plc  T: 0114 349 3160 / 07825 
                     860215 
Iain Thomson        E: [e-mail] 
 
Cardew Group        T: 020 7930 0777 
Emma Crawshaw 
 

About Harworth Group

Listed on the main market, Harworth Group plc is one of the leading regeneration specialists in the UK. Harworth owns and manages over 22,000 acres of land across 150 sites, ranging from residential development land to commercial properties, low-carbon energy schemes and agricultural estates.

Harworth is best known in the North West for delivering Logistics North, the region's largest live commercial development where 4 million sq. ft of consented space will be developed over 250 acres in Bolton and includes Aldi's North West headquarters and distribution centre.

www.harworthgroup.com

http://www.logisticsnorth.com/

This information is provided by RNS

The company news service from the London Stock Exchange

END

NRAUAOORNRAAAAA

(END) Dow Jones Newswires

November 14, 2016 02:00 ET (07:00 GMT)