Strategic Investment in Poland

About this update from Globalworth Real Estate Investments Limited

[{"type":"text","content":"\n \nRNS Number : 6251S Globalworth Real Estate Inv Ltd 04 October 2017  \n\n4 October 2017\nThe information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this information is considered to be in the public domain\n \n \nGlobalworth Real Estate Investments Limited\n(\"Globalworth\" or the \"Company\")\nGlobalworth expands into Poland via strategic investment in Griffin Premium RE.. N.V. \nThe Board of Globalworth (AIM: GWI) is pleased to announce that its subsidiary Globalworth Asset Managers SRL has entered into a conditional investment agreement to acquire a minimum of 50.01% and up to 67.90% of the issued share capital of Griffin Premium RE.. N.V. (\"GPRE\"), a Dutch entity listed on the Warsaw Stock Exchange (the \"Investment\"). \nGPRE is a pure-play Polish real estate platform that primarily owns high-quality office and mixed-use assets located in Warsaw and across a number of other key cities, notably Wroclaw, Lodz, Krakow and Katowice. Its portfolio comprises six office and three mixed-use (office and retail) properties. As disclosed in conjunction with GPRE's H1-2017 report, the portfolio has a gross leasable area of 171k sq m, an aggregate value of €508 million, annualised net operating income of €33.9m, occupancy of 97.6% and a weighted average lease term of 4.5 years (all as at 30 June 2017).  The office space is predominantly leased to a diversified mix of blue-chip tenants, including Infosys, Hewlett-Packard, Capita, Phillips and Deutsche Bank, with leading retail tenants including LPP Group and Inditex Group.  As at 30 June 2017, GPRE reported unaudited EPRA NAV of €247.2m.\nGPRE has also secured an attractive investment pipeline, including a forward funding agreement for an office in Wroclaw currently under development and a 25% interest in three offices in Warsaw currently under development for which the company has an option to acquire the remaining 75% stake upon completion, all expected to be delivered over the next two years. In addition, as announced by GPRE today, it has contracted to acquire a further three high quality office properties in Wroclaw, Gdansk and Katowice from Echo Polska Properties for an aggregate purchase price of €160 mi...

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