F&C REIT completes a further South East office purchase for F&C UK Property Fund

19 December 2013 11:03 - BAM Properties

(Press release F&C REIT Asset Management:) London,13 December 2013 - F&C REIT Asset Management has completed the purchase of an office in Glory Park, Wooburn Green near High Wycombe for £5.05 million, on behalf of the F&C UK Property Fund.

Acquired from BAM Properties, Glory Park is situated on the outskirts of High Wycombe, just one mile from Junction 3 of the M40 and only 30 minutes from Heathrow. The property comprises 16,000 sq ft (1,486.5 sq m) and is let to established pharmaceutical company Macarthys Laboratories Limited on a lease until 2023. The building is let at £27.50 per square foot, with the purchase price reflecting a prospective initial annual yield of 8.07% pa for the fund.

Daniel Plummer, Head of Offices at F&C REIT, commented: ‘We are delighted to have completed the purchase of a very attractive asset with clear opportunities to further enhance the income for the Fund. The South East office market is at the start of an upturn, underpinned by the improving economy, in which rents are forecast to increase with the resulting enhancement in prices to reflect the growth potential of the sector. Glory Park is therefore well situated to benefit from this increase in demand.’

Guy Glover, Fund Manager of the F&C UK Property Fund, commented: ‘This completes the 12th acquisition for the Fund which is continuing to grow and remains committed to acquiring well let, good quality buildings
throughout the UK. As a cash purchaser we can continue to act speedily and we are looking to acquire a further 5-6 similar opportunities in Q1 2014.’

F&C REIT was advised by DTRE, with Savills representing BAM Properties.

Further information: The PR Office, Jamie Obertelli, +44 (0)20 7284 6945.

Notes to Editors

F&C REIT Asset Management

F&C REIT is an entrepreneurial, institutionally-partnered force in commercial property and manages a global portfolio worth £6.7 billion* on behalf of a wide range of individuals, professional investors, property trusts and institutional clients.

F&C REIT’s investment team uses both detailed proprietary and external research, sophisticated forecasting and strategic analysis to find market inefficiencies and opportunities – across property sectors, countries, types and tenants.

F&C REIT offers a comprehensive, integrated range of real estate fund management services with a network of offices spanned across four countries: Germany (Munich), India (Mumbai), Ireland (Dublin), and the UK (London).

* As at 30.09.2013. Some assets under management are recorded at their acquisition cost, reflecting the basis on which income is generated for F&C REIT by these assets.

About the F&C group

F&C Asset Management plc ("F&C" or "the Group") is a diversified investment manager which traces its origins to the launch of the Foreign & Colonial Investment Trust in 1868. While many asset managers are owned by financial services conglomerates, such as banks or insurance companies, F&C is an independent business, listed on the London Stock Exchange and a constituent of the FTSE 250 Index. F&C is focused exclusively on managing money for its clients. Today the Group operates from offices in nine countries and manages £90.1 billion of assets (as at 30/09/13) for a combination of insurance clients, institutional investors, intermediaries and private individuals which collectively represent in excess of 3 million underlying savers. F&C invests across all major asset classes - equities, fixed income and property - and has specialist expertise in asset allocation, alternative investments, liability driven investments, multi-manager, private equity funds and ESG Investing. The Group includes F&C REIT, a global real estate asset manager.

This information is issued by F&C Management Ltd which is authorised and regulated by the Financial Conduct Authority. Past performance is not an indicator of future performance. The information does not constitute an offer to enter into any contract or agreement nor is it a solicitation to buy or sell any investment. The value of shares can go down as well as up and investors may not get back the original amount invested. The information is based on sources believed to be reliable but no guarantee, warranty or representation is given as to its accuracy or completeness and F&C Management Ltd accepts no liability in respect of the information or any views expressed herein which may be subject to change.