Business
Grit signs lease agreement for office space
Grit signs lease agreement for office space.
About this update from Grit Real Estate Income Group Limited
[{"type":"text","content":"\n \n \n \n RNS Number : 9370D\n Grit Real Estate Income Group\n 02 July 2021\n \n \n \n \n \n \n \n GRIT REAL ESTATE INCOME GROUP LIMITED\n \n \n (Registered in Guernsey)\n \n \n (Registration number: 68739)\n \n \n LSE share code: GR1T\n \n \n SEM share code: DEL.N0000\n \n \n ISIN: GG00BMDHST63 \n \n \n LEI: 21380084LCGHJRS8CN05\n \n \n (\"Grit\" or the \"Company\" \n and, together with its subsidiaries, the \"Group\"\n )\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n GRIT SIGNS LEASE AGREEMENT FOR OFFICE SPACE AT THE DEVELOPMENT AT THE PRECINCT, FOND DU SAC, MAURITIUS\n \n \n \n \n \n \n \n \n \n \n The board of Directors (the \"Board\") of Grit Real Estate Income Group Limited, a leading pan-African income real estate company, focused on investing in and actively managing a diversified portfolio of assets underpinned by predominantly US$ and Euro denominated long-term leases with high quality multi-national tenants, today announces that the Group \n has entered into a five year USD denominated lease agreement with Gr1t House Limited, a special purpose vehicle (\"SPV\") established by Gateway Real Estate Africa Ltd (\"GREA\") for the development of a 10,028 sqm Grade A commercial office complex in Fond du Sac, Mauritius (\"The Precinct\").\n \n \n Grit has contracted to occupy 2,020 sqm of gross lettable area in The Precinct, targeted for completion and occupation in the fourth quarter of 2022, at an independently verified market related base lease rate of USD 19.08 per sqm per month, increasing at a fixed rate of 2.5% per annum and is inclusive of 11 basement parking bays, 54 open parking bays and 52 sqm of storage space. An additional USD 1,081,215 fit out allowance has been agreed, which, when amortised over the lease period, adds an effective further USD 8.92 per sqm per month to the lease rate. \n \n \n GREA (an associated company in which Grit holds a 19.98% interest) is a private real estate development company and is regarded as a related party of Grit by virtue of common shareholding by the Public Investment Corporation of South Africa, which holds a 48.5% interest in GREA and a 25.5% interest in Grit. As such, the transaction falls within Listing Rule 11.1.10 R of the UK's Financial Conduct Authority and the Board has followed its related party transactions policy and co...