Business
Expansion and new lease at Gr
Expansion and new lease at Gr.
About this update from Cls Holdings Plc
[{"type":"text","content":"\n RNS Number : 1242V CLS Holdings PLC 28 October 2010 \n \n\n \n \n \n \n \n \n \nRelease date: 28 October 2010\nEmbargoed until: 07:00\n \nCLS HOLDINGS PLC\nSIGNS 1,642 SQ M EXPANSION AND NEW 10 YEAR LEASE\nWITH DR. HÖNLE AG IN MUNICH\n \nCLS Holdings plc (\"CLS\") announces that it has agreed to develop a further 1,642 sq m (17,674 sq ft) of space at its office and light industrial property, Gräfelfing, in Munich, Germany for its existing single tenant Dr. Hönle AG (\"Dr. Hönle\"). The new space is to be completed by the end of 2011, and has been let, along with the existing space, on an index-linked lease until October 2020 with no breaks, forming an 8,527 sq m (91,783 sq ft) complex.\n \nThe expanded space will produce €1,096,236 of income p.a., which equates to €120 per sq m and represents a net initial yield of 7.7% of value to CLS. With debt finance arranged by Deutsche Postbank AG, the initial return on equity is 18.3% p.a.\n \nDr. Hönle is among the leading manufacturers of UV technology for industrial applications world-wide and is listed on the Prime Standard at the German Stock Exchange. \n \nSten Mortstedt, Executive Chairman of CLS, commented:\n \n\"We are delighted to expand and extend our relationship with Dr. Hönle with this pre-letting for new space. Once again, it highlights the benefits of working closely with our tenants to meet their occupational needs, and provides further secure, long-term income for the Group.\"\n \n-ends-\n \nFor further information, please contact:\n \nCLS Holdings plc +44 (0)20 7582 7766\nwww.clsholdings.com\nSten Mortstedt, Executive Chairman\nHenry Klotz, Chief Executive Officer\nRichard Tice, Deputy Chief Executive Officer\n \nKinmont Advisory ...