Palace Capital plc
("Palace Capital" or the "Company")
PALACE CAPITAL SELLS TWO ESSEX BUILDINGS
Palace Capital the property investment company that focuses on commercial property mainly outside London, announces that it has sold two properties in Maldon, Essex which the Directors consider to be surplus to the Company's requirements due to their small size.
Both properties formed part of the Sequel Portfolio which the Company acquired from Quintain Estates & Development plc for £39.25 million in October 2013.
5 Hall Road comprises a vacant building of approximately 4,200 sq ft and this has been sold to a subsidiary of Panther Securities plc for £200,000. This is a substantial premium to the last external valuation at 31 March 2016, which was £89,000.
4 Hall Road comprises a building of approximately 40,000 sq ft which is let on a rolling annual lease and has been sold for £830,000. The book value as at 31 March 2016 was £500,000.
Neil Sinclair, Chief Executive of Palace Capital, commented:
"These sales, which combined were sold at 75% above book value, continue our policy of recycling our capital. They were both uncharged so the sale proceeds can be directed towards purchasing properties that fit our investment criteria.
In addition, since the vote on the EU Referendum, we have sold three properties above book value and those under offer pending sale have also been agreed at levels above book value. Despite media comment, at Palace Capital, we are seeing no sign of any decline in our commercial property values."
Date: 12 September 2016
For further information, contact:
Palace Capital plc
Neil Sinclair, Chief Executive
Stephen Silvester, Finance Director
Tel. +44 (0)20 3301 8331
Allenby Capital Limited (Nominated Adviser and Joint Broker)
Nick Naylor / James Reeve
Tel. +44 (0)20 3328 5656
Arden Partners plc (Joint Broker)
Chris Hardie / Ciaran Walsh
Tel. +44 (0)207 614 5917
Capital Access Group (Financial PR)
Simon Courtenay / Jessica Bradford
Tel. +44 (0)20 3763 3400