CLS Holdings PLC Acquisition (1828B)

TIDMCLI

RNS Number : 1828B

CLS Holdings PLC

05 October 2015

   Release date:                5 October 2015 
   Embargoed until:            7am

CLS Holdings plc

("CLS", the "Company", the "Group")

CLS Holdings plc announces acquisition of

GBP10.2 million office building in Sutton, South London

CLS Holdings plc announces that it has exchanged contracts to acquire Chancery House, St Nicholas Way, Sutton, SM1 for GBP10.2 million, representing a net initial yield of 7.0%.

The property comprises a 5,132 sq m (55,242 sq ft), self-contained, eight storey office building offering modern, flexible accommodation, the majority of which has been recently refurbished, and secure basement car parking. It is multi-let to 14 tenants with an average lease length of 5.5 years and has a vacancy level of 16%. CLS has identified asset management opportunities to improve the attractiveness of the building for its occupiers, and to attract further tenants to reduce the vacancy level.

Owing to its strategic location, outstanding transport links and diverse retail provision, Sutton is now an established office location within Greater London and is enjoying a regeneration of its town centre through substantial redevelopment.

Sten Mortstedt, Executive Chairman of CLS, commented:

"Chancery House is an attractive addition that will fit well into our London portfolio. We believe this property is well positioned to benefit from the expected increase in office demand in Sutton, driven by our asset management initiatives and an undersupply of good quality offices in the area."

-ends-

For further information, please contact:

 
 CLS Holdings plc 
  www.clsholdings.com 
  Sten Mortstedt, Executive Chairman 
  Henry Klotz, Executive Vice Chairman 
  Fredrik Widlund, Chief Executive 
  Officer 
  John Whiteley, Chief Financial 
  Officer                                 +44 (0)20 7582 7766 
 Liberum Capital Limited 
  Tom Fyson                               +44 (0)20 3100 2222 
 Panmure Gordon (UK) Limited 
  Mark Taylor 
  Russell Cook                            +44 (0)20 7886 2500 
 Kinmont Limited 
  Jonathan Gray                           +44 (0)20 7087 9100 
 Smithfield Consultants (Financial 
  PR) 
  Alex Simmons                            +44 (0)20 7360 4900

This information is provided by RNS

The company news service from the London Stock Exchange

END

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October 05, 2015 02:01 ET (06:01 GMT)

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