Revolving Credit Facility & Trading Update

12th December 2011
RNS Number : 7418T
Real Estate Investors PLC
12 December 2011
 

12 December 2011

 

Real Estate Investors plc

(“REI” or the “Company”)

 

Revolving Credit Facility and Trading Update

 

Real Estate Investors plc (AIM: RLE), the West Midlands based property group, confirms that it has agreed a £20 million Revolving Credit Facility (“RCF”) with Lloyds Banking Group for a term expiring in October 2014.  All other conditions remain similar to those of the previous facility.

 

Further, the Company is pleased to advise shareholders that contracted rental income as at the end of December 2011 will be in excess of £6 million per annum.  Additionally, the Company has a number of significant lettings under negotiation that will further enhance its rental income for 2012. 

 

The Company also confirms that it has exchanged contracts to sell an investment property in Chingford (let to Tesco Plc) for the sum of £960,000.  This represents a substantial surplus to the current book value of the property.

 

Paul Bassi, Chief Executive, commented, “We receive excellent support from our banks and we remain well positioned to capitalise on further market opportunities.  Despite the negative economic backdrop, our rental income and tenant mix remains secure and stable and we remain optimistic for 2012.”.

 

 

For further information:

 

Real Estate Investors 

Paul Bassi

 

+44 (0)121 265 6400

 

Smith & Williamson Corporate Finance Limited

Azhic Basirov / Siobhan Sergeant

 

 

+44 (0)20 7131 4000

Liberum Capital 

Chris Bowman / Richard Bootle

 

+44 (0)20 3100 2000

 

 

Notes to Editors

 

1.      REI is an AIM listed property investment company specialising in commercial and residential property principally in the West Midlands and central England.

 

2.      REI is focused on delivering shareholder value through returns generated from strong yields and capital enhancements. This is achieved by targeting investments in orphaned, distressed, part-let and underperforming commercial and residential property assets.

 

3.      REI is led by respected property investor Paul Bassi CBE, who has over 25 years of property experience in the West Midlands. Mr Bassi is also founder and chairman of Bond Wolfe and chairman of CP Bigwood Chartered Surveyors.

 

4.      REI was admitted to trading on AIM in June 2004. As at 30 June 2011 its portfolio and inventories were valued at £60 million.

 

5.      Further information on REI can be found at www.reiplc.com.

 

 

This information is provided by RNS
The company news service from the London Stock Exchange
 

END

 
 

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