Valad Property acquires 5 properties in UK and Poland

Sydney, Oct 16, 2007 (RWE Aust Business News) Valad Property Group (ASX:VPG) has acquired five properties in the UK and Poland for a total of $198.2 million.

Three properties have been allocated to a relevant Teesland fund, while two have been acquired on balance sheet by Valad.

Teesland iOG's Central European Industrial Fund (CEIF) purchased the largest multi-let distribution and industrial facility in Warsaw, City Point, for 71.6m euro.

It has an initial yield of 6.5pc and a reversionary yield in excess of 8.0pc.

The site is located 6km from the city centre.

The acquisition of City Point brings CEIF's total investment in Poland to around $140m.

Teesland Advantage Property Income Trust (TAP) has acquired Brunswick Point, an office building in Leeds, UK.

The property was acquired for 11.8m pounds (including costs) from Clydesdale Bank plc, reflecting a net initial yield of 7.7pc.

A sale and leaseback agreement has been reached for the building, approximately half of which has been let on a 15-year lease to the current occupiers, Yorkshire Bank, a subsidiary of Clydesdale Bank which is owned by National Australia Bank (ASX:NAB).

TAP has also acquired a property in the Brackmills Industrial Estate, Northampton, for 3.3m pounds (including costs).

The 2.93 acre Caswell Road property has been purchased on an attractive income return of 6.9pc and a reversionary yield in 2008 in excess of 7.3pc.

Valad Funds Management (VFM) has acquired the freehold interest in three industrial warehouse units at Watling Park, Daventry, for 11.8m pounds (including costs), which represents a net rental yield of 7.3pc.

It also secured the 115 year lease on Archway Tower in Archway, London. The property comprises approximately 5,790sqm, principally over 15 upper levels of office accommodation, a ground floor reception and 49 car spaces in the basement and is located directly above Archway tube.

Source:tradingmarkets.com