Metropolitan sells Saltire Court
Scott Cairns, managing director, said: 'It was always our intention to sell Saltire Court but at a time of our own choosing. We had already matched our budgeted disposals and this gives us extra flexibility to make further acquisitions in the North.'
The company is inviting offers of pounds 46.8m, a yield of 8 per cent on a rent roll of pounds 3.5m. Tenants include two of Scotland's five biggest law firms and KPMG Peat Marwick, all on 25-year leases, with five-yearly upward-only rent reviews and no break clauses. The building is 92 per cent let.
Mr Cairns said gearing would fall to about 100 per cent after the sale, having been as high as 170 per cent. He added that, having renegotiated short-term bank facilities until October 1995, the company would be able to gear up again for the right opportunities.
Plans include further disposals in the South-east and a concentration on the retail market. The company's return to its roots follows an expensive foray into developments in the south of England. One of its most celebrated mistakes was a Bournemouth development that ended up as a car park and resulted in an pounds 8.6m write-off.
That led, in the year to August 1991, to a pounds 10m profit being reversed into an pounds 8.4m loss and a slashed dividend. Last year there was a pounds 500,000 loss.
The shares, which have more than tripled since a low of 24p last September, added 1p to close yesterday at 82p.
- 1 Mother fed her daughter tapeworms to make her skinny for beauty pageant
- 2 Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
- 3 Crystal Palace next manager latest: Palace consider Ally McCoist - EXCLUSIVE
- 4 ALS ice bucket challenge co-founder Corey Griffin drowns, aged 27
- 5 Tim Sherwood column: 'It started as a three-horse race but turned into the Grand National'
'Alien thigh bone' on Mars: Excitement from alien hunters at 'evidence' of extraterrestrial life
West poised to join forces with Assad in face of Islamic State
Pamela Anderson rejects ice bucket challenge because of ALS experiments on animals: 'Mice had holes drilled into their skulls'
James Foley 'beheaded': Isis video shows militant with British accent 'execute US journalist' – as hunt begins for killer
ALS ice bucket challenge co-founder Corey Griffin drowns, aged 27
Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
Scottish independence: English people overwhelmingly want Scotland to stay in the UK
Isis threat: Cameron wants an alliance with Iran
Michael Brown shooting: Chaos erupts on the streets of Ferguson after autopsy shows teenager was shot six times – twice in the head
Disgusting, frustrating, but intriguing: how the country really feels about its politicians
Bin bag full of cats' heads discovered near Manchester's Curry Mile
iJobs Money & Business
£20000 - £27000 per annum: Harrington Starr: Service Desk Analyst- (Desktop Su...
£25000 - £35000 per annum: Harrington Starr: Service Desk Analyst - (Active Di...
£30000 - £50000 per annum: Harrington Starr: Junior Quant Analyst - C++, Boost...
£30000 - £50000 per annum: Harrington Starr: Junior Quant Analyst (Machine Lea...