Nomination Agreement with Falmouth University
17th May 2016
The Board of Empiric Student Property plc is pleased to announce that the Group has entered into a nomination agreement with Falmouth Exeter Plus ("FX Plus"), which delivers all shared services, including accommodation, to the students of Penryn Campus, in respect of the Group's existing 137 bed operating property in Falmouth, Maritime Studios (the "Nomination Agreement"). The duration of the Nomination Agreement is for three years from commencement in September 2016.
Under the terms of the Nomination Agreement, Maritime Studios will be directly let to students from Falmouth University, which FX Plus will provide and the Group will benefit from a guarantee of 100% of the annual fee income for the available accommodation (the "Annual Fee") for the duration of the Nomination Agreement. The Annual Fee, which has been agreed at current market rates, will be subject to an annual increase of between 2 to 5%, with reference to the Retail Price Index.
Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:
"The Nomination Agreement provides Empiric with committed income for its current operating Falmouth property for a three-year period at current market rates, subject to annual increases, as well as providing Falmouth University students with access to premium student accommodation. We look forward to a strong working relationship with FX Plus going forward. This is the Group's second nomination agreement and, as with the previous agreement for the Group's assets in Bath, this remains a direct-let model with the added benefit of the Annual Fee being underwritten."
Questions? Get in touch using the contact details below.
Questions? Get in touch.
Empiric Head Office
Empiric Student Property plc
Swan House, 17-19 Stratford Place, London W1C 1BQ
+44 (0)20 3828 8700
+44 (0)20 7379 5151
Managing Director, Corporate Broking
Jefferies International Ltd
+44 (0) 20 7029 8000