14 October 2013
Helical Bar plc ("Helical" or "Helical Bar" or the "Company")
HELICAL BAR ACQUIRES
ENTERPRISE HOUSE, PADDINGTON
Helical today announces that it has acquired Enterprise House in Paddington, London W2, through a sale and leaseback agreement with Network Rail Infrastructure Limited ("Network Rail").
Helical acquired the freehold interest of the 45,000 sq ft (NIA) building for circa £31 million, representing a 5.7% net initial yield. The purchase was funded using the Company's existing cash resources. Network Rail, which has recently undertaken a comprehensive refurbishment of the Art Deco building, has taken a 20 year leaseback of the building at a rent of £40 psf, generating an annual rental income of £1.8 million.
Helical completed this complex transaction within five days of agreeing terms, with advice from Jaro Real Estate.
Duncan Walker, Helical Bar's Investment Director, commented:
"The acquisition of Enterprise House complements our other recent acquisitions in London, including Maple House and New Loom House, and provides a long term secure income stream, as well as exposure to the Paddington market where we anticipate strong rental growth. This brings our total spending on accretive investment properties since raising the retail bond in June to £155 million."
Kingly Partners acted for Helical. Jones Lang LaSalle acted for Network Rail.
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For further information, please contact:
Helical Bar plc Duncan Walker / Tim Murphy |
020 7629 0113 |
FTI Consulting Stephanie Highett / Dido Laurimore / Nina Legge |
020 7831 3113 |
