Veritas Software has confirmed that its European headquarters will be built at Prudential’s Green Park in Reading, as tipped in Estates Gazette on 8 April. Doubts were raised over the company’s commitment to the deal following the announcement yesterday that it planned to dramatically scale down investment plans in the UK because of concern over tax and investment policies.
The IT company has signed an agreement to lease 26,000 sq m (280,000 sq ft) on plots 6 and 7 at Green Park. Three buildings totalling 14,000 sq m (150,000 sq ft) will be taken initially. Veritas has also secured an option on an additional two buildings totalling 12,000 sq m (130,000 sq ft). Rents of around £323 per sq m (£30 per sq ft) have been agreed on 20-year leases for the initial commitment.
Veritas claimed yesterday that its UK investment would have doubled had it had more confidence in the government’s policy on hi-tech industries. Veritas is investing £250m in developing its European operations. But another £250m is being kept on a hold for a year pending changes in government policies, particularly to NI contributions payable on stock option gains.
EGi News 20/07/00
