Life Science REIT secures renewed lease at Herbrand Street

(Sharecast News) - Life Science REIT said on Tuesday that fintech firm Thought Machine has renewed its commitment to its Herbrand Street property in London's 'Knowledge Quarter', signing a new seven-year lease as sole occupier of the building. The London-listed real estate investment trust said the lease, covering 68,600 square feet, had been agreed at a headline rent of £75 per square foot, in line with June estimated rental value, and included an upward-only review after the fourth year.

"Thought Machine's decision to extend their commitment at Herbrand Street is a testament to the distinctive nature of the building as well as its prime location in London's Knowledge Quarter," said Simon Farnsworth, managing director at Ironstone Asset Management, Life Science REIT's investment adviser.

Life Science REIT said the agreement also provided for a 16.5-month rent-free period and had been approved by the company's lending banks.

"We are delighted to agree a new lease at Herbrand Street with the support of Life Science REIT," commented Matt Wilkins, chief people officer at Thought Machine.

"This iconic London HQ gives our team the optimal environment to continue developing market-leading banking technology as we maintain our strong upwards growth trajectory."

Herbrand Street, a grade II listed building, was acquired by Life Science REIT in May 2022 and sits close to institutions including UCL, UCH and Great Ormond Street Hospital.

At 1429 BST, shares in Life Science REIT were up 2.06% at 39.6p.

Reporting by Josh White for Sharecast.com.