Safeland climbs on signing of new contract

14th May 2014 13:54

Safeland rose strongly on Wednesday after revealing that following the signing of a sales contract with a 'prominent' housebuilder to develop the Chandos Tennis Club in Golders Green, it would be entitled to receive 13.2m pounds in staged payments. The payments will be made across an estimated three years, in addition to overage revenues. The contract remains subject to full planning consent being obtained, the group said, a number of conditions for which were still outstanding. The planning application includes the relocation of the Chandos Tennis Club to an alternative facility on land currently owned by Safeland, which is included in the terms of the proposed sale.Meanwhile, the group has obtained consent to develop part of a property in Wimbledon that was acquired in 2013. Safeland intends to convert it into 31 residential units for onward sale.Larry Lipman, Managing Director of Safeland, said: "We have had a very busy few months, which has seen us complete the successful demerger of Safestay and its admission to AIM, while progressing the planning applications of various properties, including the Chandos Tennis Club and Wimbledon. We remain active in the market seeking further opportunities where we can bring our skills to bear." The share price jumped 15.79% to 33p in the first few hours of trading. NR