RNS Number:2158C Hammerson PLC 18 April 2001 Hammerson in Paris Joint Venture Hammerson plc has exchanged contracts to acquire a 50% interest in SCI Opera Capucines from leading French insurance company, MAAF Assurances, for FF140 million (£13.4 million). SCI Opera Capucines owns a mixed use building of approximately 11,000 m.sq. in a prime Paris location with frontages onto place de l'Opera, boulevard des Capucines and rue du Quatre Septembre in the second arrondissement. The property is anticipated to generate a total net rental income of FF12.6 million (£1.2 million) in 2001 and Hammerson will receive a 50% share of income following completion. The two partners propose to redevelop the buildings behind the existing facade to create approximately 3,500 m.sq. of high quality retail space on three levels and some 4,000 m.sq. of modern, high specification office accommodation on five levels. The plans also incorporate 3,000 m.sq of residential units and 55 car parking spaces. Hammerson will work with MAAF to secure the necessary approvals and building permits and will be responsible for managing the subsequent redevelopment. It is anticipated that a construction period of approximately two years will start in mid 2004. Hammerson's total costs are estimated at approximately FF340 million. Commenting on the transaction John Richards, Chief Executive, said The proposed building is in a first class location both for shopping and offices where our research shows continuing strong occupier demand. We are delighted to have been selected by MAAF to work with them in this exciting joint venture. This announcement follows the recent successful completion of Hammerson's redevelopment of 54 boulevard Haussmann, Paris 9eme, a 12,900 m.sq. retail building. Following the acquisition, Hammerson's French assets will account for approximately 25% of the group's total portfolio. Hammerson is also currently involved in another joint venture to redevelop 9 place Vendome, Paris 1er. For further information: John Richards Tel: +44 (0) 20 7887 1000 Chief Executive Chris Smith Director of Corporate Affairs Gerard Devaux Tel: +33 1 5669 3000 Director Continental Europe END JVEEANLPFSAFEEE
