Antalis Signs EUR 103 Million Sale Leaseback of European Logistics Portfolio

Slough Estates Web Site - November 9, 2006

Slough Estates International ("SEI") and Antalis have concluded an agreement under which SEI will acquire a portfolio of logistics and light industrial properties, in a sale and leaseback arrangement. Antalis is the largest European distributor of communications support products (including packaging, paper, print & office materials)

The portfolio is concentrated around major cities in eight European countries including France (Lyon, Isle de France in Paris), Belgium (Brussels), Italy (Bologna, Parma) Spain (Madrid, Valencia), Germany (Berlin, Leipzig) and also in Switzerland, Portugal and Finland - amounting to 177,120m2 and 41.4 hectares of land. SEI is paying €103.2m for the properties. The transaction represents a post acquisition costs yield of 7.23 per cent.

Forty five percent of the portfolio is in Italy and Spain, which are major new strategic territories for SEI in Continental Europe. Almost forty per cent of the portfolio is in Belgium, Germany and France, where SEI is already well established.

The core properties are in Slough's strategic growth markets. The buildings are a mixture of old and new properties in good locations, providing excellent future development potential underpinned by an income stream. Antalis is committed to the properties it occupies for an average of approximately 7.5 years.

SEI and Antalis have also signed a partnership agreement, covering both the extension of existing properties and the potential development of new properties. This partnership agreement will also provide potential synergies in markets other than those covered by the deal being announced today - it covers the UK as well as Continental Europe. Sphere: Related Content