Settles acquisitions for a further 1 billion NOK
(Oslo, 23 June 2006) Norwegian Property ASA (NOTC: NPRO) has closed the acquisitions of Finnestadveien 44 in Stavanger and Lysaker Torg 35 at Lysaker. Total contract value is about 1 billion NOK.
Finnestadveien 44 has a total area of about 22.000 sqm. The duration of the lease contract is 11.6 years. The Tenant is Total. Lysaker Torg 35 has a total area of about 22.000 sqm. The duration of the lease contract is 6.5 years. The tenant is If Skadeforsikring.
Gross lease revenues from these contracts will be 65 million NOK the first year, implying a net yield of about 6 percent after tax.
Norwegian Property stated in a press release on 12 June that the company was approaching closing of four more properties. Finnestadveien 44 and Lysaker Torg 35 were among these properties.
After a closing of this contract, the company will have a portfolio of 30 properties, with a total area of about 373.000 sqm. The average duration of the lease contracts in the portfolio will be about 8 years, and the properties will - on average - have been acquired at an implicit net yield after tax of about 6 percent.
About Norwegian Property ASA
Norwegian Property ASA will offer investors a liquid investment alternative with exposure towards Norwegian commercial real-estate. The company will invest in larger, centrally located properties in the largest Norwegian cities. The long term target is to become the largest and most liquid investment alternative within Norwegian commercial real-estate. As of 23 June 2006 the company has invested more than NOK 9 billion, mainly in office properties, mainly in Oslo, Stavanger and Bergen. By the end of 2006 total investments should increase by an additional NOK 6 billion. Norwegian Property ASA is listed on the Norwegian OTC-list (NOTC), with the ticker-code NPRO, and is planning an IPO and listing on the Oslo Stock Exchange during the second half of 2006.
For further information: www.norwegianproperty.no
Contact:
Norwegian Property ASA, Mr. Knut Brundtland, Chairman, phone: +47 400 62 020