News

Deutsche Wohnen acquires real estate portfolio with almost 4,200 units in Berlin

Frankfurt/Main and Berlin, 6 March 2017. Deutsche Wohnen entered into an agreement for the acquisition of a real estate portfolio comprising almost 4,200 units located in Berlin, thereof approximately 3,900 residential and 270 commercial units.

The real estate portfolio in central Berlin locations mainly consists of high quality "pre-war" buildings, constructed at the beginning of the 20th century, with only limited investment needs. The purchase price amounts to around EUR 655 million or EUR 2,390 per square meter, implying a multiple of 20x based on market rents and a multiple of 30x based on in-place rents. The acquisition will be financed through the proceeds of the recent successful placement of new shares and the convertible bonds of Deutsche Wohnen.

The residential portfolio has an average montly in-place rent of EUR 6.92 per square meter at the acquisition date and the vacancy rate of almost 7 % provides further optimisation potential. Initially, the portfolio is expected to contribute around EUR 22 million of net cold rent per year, leading to an EBITDA of c. EUR 15 million.

The acquisition is expected to close in the second quarter of 2017.

Deutsche Wohnen

Deutsche Wohnen is one of the largest publicly listed residential property companies in Germany and Europe with a business focus on managing and developing its mainly residential property portfolio. As at 30 September 2016, the portfolio comprised a total of 160,474 units, of which 158,274 were residential and 2,200 commercial. Deutsche Wohnen is listed in the Deutsche Börse's MDAX and is also included in the leading indices EPRA/NAREIT, STOXX^(R) Europe 600 and GPR 250.

Important Notice

This publication represents neither an offer for sale nor request for purchase of securities.

Any statements regarding the future in this document do not represent any facts and use terms such "will", "expected", "believe", "estimate", "intend", "strive", and "assume" and other similar phrases. The statements express the intention, views and current expectations and assumptions of Deutsche Wohnen and parties acting in concert with Deutsche Wohnen. The statements directed at the future are based on current planning, estimates and forecasts, which Deutsche Wohnen and the parties acting in concert with Deutsche Wohnen have made to the best of their knowledge but do not contain any statement about their future validity. Future-based statements are subject to risks and uncertainties, which are generally difficult to predict and are generally not in Deutsche Wohnen's sphere of influence or that of the parties acting in concert with Deutsche Wohnen. Please note that the actual results or events may deviate substantially from those provided in or removed from the future-based statements.