Property fund management group First Property Group has unconditionally exchanged contracts for the sale of the vacant office building it acquired in Bracknell in 2013.
The sale price of GBP2.05m is expected to result in the group earning a contribution of some GBP770,000.
Completion of the sale is due to take place after certain works to the building are undertaken and in any event no later than 31 July 2014. The cost of these works will be met by the buyer, a housing association, which has indemnified the group in this respect.
The group’s current cash balance (including GBP7.5m held by Fprop Opportunities plc) is some GBP14.9m which, together with the net proceeds of this sale, would rise to some GBP16.7m.
Proceeds of the sale will be used by the group to invest in the development of its business.