Growth Strategy Delivers Record Profits for HFD Group

Scotland’s leading provider of serviced and managed office accommodation, HF Developments Group, has posted strong interim results with a turnover of £50million and a pre-tax profit of £4.74million for the six months from September 2006 to March this year.

The previous financial year delivered a turnover of £42million and a pre-tax profit of £3.1million.

HFD Group is currently developing two of the country’s leading business parks, Strathclyde Business Park and Hamilton International Park, which provide over 1.65 million square feet of business and lifestyle space and support over 10,000 jobs. HFD is also currently developing 130,000 sq ft of prime grade A office space at G1, Glasgow.

Managing Director of HFD Group, William Hill, credits the strong performance to the group’s ongoing growth strategy and the increasing demand for high quality office space set in appropriate and attractive settings. Hill expects to deliver a turnover of £100million and a pre tax profit of £10million by the end of the current financial year. He said: “These latest results reflect our ongoing commitment to continually improving the working environment for our tenants and offering high quality and flexible office accommodation to suit all needs.

“ We have invested heavily over the last year in improving services and amenities at each of our business parks and I believe it is this investment that has set us apart from our competitors and ensured that we remain at the top of our game.”

Recent investment has included the £6.2 million upgrading of the existing road infrastructure at Strathclyde Business Park, the introduction of Project ATLAS, a new pilot scheme to upgrade the technology infrastructure for Scottish businesses, and the contruction of several new buildings, with 56,000 sq ft under construction at Strathclyde Business Park and 64,000 sq ft underway at Hamilton International Park. The development of a £5.25million Retail Parade at Hamilton International is also nearing completion, with a further phase of development due to start on site this year.

William added: “We aim to capatalise on our development experience by undertaking challenging schemes in the City Centre. Our first city centre development, G1, at the very heart of Glasgow holds iconic status and we are delighted to get the opportunity  to develop G1 for future generations of the city, with construction now well under way.”

HF Developments and AWG Property recently announced the end of their successful 15 year joint venture partnership at Strathclyde Business Park and Hamilton International Park. HF Developments is now the sole developer of Strathclyde Business Park and Hamilton International Park.

With an investment portfolio currently valued at over £100 million and turnover set to double by the end of the current financial year, Hill is confident about HFD’s future: “The latest results underpin our growth strategy and demonstrate our commitment to providing flexible office space of the highest standard.”

Notes to Editors:

Founded in 1989 by William Hill, HF Developments has developed over two million sq ft of office, call centre and leisure accommodation throughout the central belt of Scotland. HFD is firmly established as Scotland’s leading provider of serviced and managed office accommodation, with over 435,000 sq ft of office space.

HFD develops two of the country’s premier business parks, Strathclyde Business Park, where a further 780,000 sqft of development is planned, and Hamilton International Park, with a further 220,000 sq ft projected for development. HFD is also currently developing 130,000 sq ft of office accommodation at G1 Glasgow in George Square, the city centre’s most prestigious forthcoming office development.

HFD has an investment portfolio currently worth in excess of £100 million; a figure which is expected to double by 2009.