British Land announced successful liability management transaction

LONDON, 2015-12-4 — /EPR Retail News/ — On 24 November 2015, British Land announced a tender offer in respect of its £200 million 6.75% First Mortgage Debenture Bonds due 2020 of which £170 million was outstanding.  The deadline for that offer was 4.00pm on 1 December 2015.  Today, British Land has announced that it received tenders of approximately £110 million at benchmark Gilt +95 bps and confirms its intention to purchase all such Bonds validly tendered.  The purchase will be funded by existing committed facilities.

Lucinda Bell, Chief Financial Officer said: “This successful liability management transaction is part of our ongoing financing activity, amounting to some £900 million so far this financial year. We have seen good demand on the tender with total acceptances of £110 million, representing take-up of 65%.  Underlying earnings benefit will be around £5 million p.a. to 2020, and our weighted average interest rate will reduce by c.10 bps.”

Enquiries:
Investor Relations
Sally Jones, British Land
020 7467 2942
Media
Pip Wood, British Land
020 7467 2838
Gordon Simpson, Finsbury 020 7251 3801

About British Land
We are one of Europe’s largest publicly listed real estate companies. We own, manage, develop and finance a portfolio of high quality commercial property, focused on retail locations around the UK and London offices. We have total assets in the UK, owned or managed of £19.7 billion (of which British Land share is £14.4 billion), as valued at 30 September 2015. Our properties are home to over 1,200 different organisations ranging from international brands to local start-ups. Our objective is to deliver long-term and sustainable total returns to our shareholders and we do this by focusing on Places People Prefer. People have a choice where they work, shop and live and we aim to create outstanding places which make a positive difference to people’s everyday lives. Our customer orientation enables us to develop a deep understanding of the people who use our places. We employ a lean team of experts, who have the skills to translate this understanding into creating the right places, and we have an efficient capital structure which is able to finance these places effectively.

UK Retail assets account for 51% of our portfolio. As the UK’s largest listed owner and manager of retail space, our portfolio is well matched to the different ways people shop today. We are focused on being the destination of choice for retailers and their customers by being the best provider of spaces and services. Comprising around 22 million sq ft of retail space across shopping parks, superstores, shopping centres, department stores and leisure assets, the retail portfolio is modern, flexible and adaptable to a wide range of formats.

Our Office and Residential portfolio, which accounts for 49% of our portfolio is focused on London.  We have an attractive mix of high quality buildings in well managed environments and a pipeline of development projects which will add significantly to our portfolio. Increasingly, our Offices are in mixed-use environments which include retail and residential elements. Our 7.5 million sq ft of high quality office space includes Regent’s Place and Paddington Central in the West End and Broadgate, the premier City office campus (50% share).

Our industry-leading sustainability strategy is a powerful tool to deliver lasting value for all our stakeholders. By supporting communities, improving environments and growing economies, we create Places People Prefer and enhance long-term returns.

Further details can be found on the British Land website at www.britishland.com

SOURCE: British Land

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