CNC Properties is buying Waterlinks House in Birmingham for £4.6m, in a deal which will give the vendor, Fairoaks Securities, a stake in CNC.
The purchaser is meeting the consideration with an issue of 1.1m shares at 90p per share, £550,000 in cash and a loan of £3.065m from Norwich Union.
Richard Upton, CNC chairman since February 1996, has a 35% interest in Fairoak Securities, whose wholly-owned subsidiary Fairoak Waterlinks, owns the freehold of the building.
The 10,265.45 sq m (110,500 sq ft) eight-storey flatted factory in in Birmingham’s Heartlands is multi-tenanted with 2,896 sq m (31,175 sq ft) vacant. It produces a net annual rental income of £ 600,000.
CNC will call an extraordinary general meeting to discuss the proposed purchase on 26 February. DTZ is advising.
EGi News 14/02/97
