May 14, 2002
Sir Nigel Mobbs, Chairman of Slough Estates commented:
“We reported very fully on our current activities in the Annual Report published a few weeks ago.
“Though the property markets in which we operate are fundamentally sound, occupier demand is generally weaker than a year ago. We are encouraged by the forecasts of economic and business recovery but for the present, whilst there is interest in new space, the easiest decision for any business is to make no decision one way or the other when it comes to expansion or making long-term property decisions.
“Nevertheless we are seeing some activity, notably in California where demand from the biotech sector remains buoyant. We have now received planning approval for the development of 780,000 sq.ft. at East Grand, South San Francisco, and the first enquiries for pre-leased space on this site are being negotiated.
“Here in the UK and Europe the emphasis is upon leasing existing space and seeking pre-lets before undertaking further new development. As a result, our programme of new construction has slowed.
“Looking to the future, we remain very confident that our quality locations across the Group will attract customers and that over the next 5/6 years we will add significant increments to the rent roll and to values from new development.
“At the conclusion of the meeting, Sir Gordon Jewkes will retire from the Board having reached the age of 70. We will miss Gordon’s constructive advice and humour. I am sure that all shareholders will join me in thanking Gordon for his 10 years of service on the Board.
“Later in the year Mr. David Simons, who has been responsible for our European activities for the past 30 years, will be retiring. He has played an outstanding part in the success of our Belgian, French and German activities. Dick Kingston will be assuming David’s responsibilities for our European activities.”