DGAP-News: DO Deutsche Office AG / Key word(s): Real
Estate/Preliminary Results
Deutsche Office sells Westend Ensemble in Frankfurt and announces
preliminary results for financial year 2014 (news with additional
features)
29.01.2015 / 18:26
---------------------------------------------------------------------
DO Deutsche Office AG sells Westend Ensemble in Frankfurt and announces
preliminary results for financial year 2014
Cologne, Frankfurt 29 January 2015. Today DO Deutsche Office AG ("Deutsche
Office", symbol: PMOX, ISIN code: DE000PRME020), a leading office property
company that focuses on German metropolitan regions and conurbations, has
signed a notarised contract for the sale of the Westend Ensemble at
Ludwig-Erhard-Anlage 2 - 8 in Frankfurt.
The buyer, a private German investor consortium, has acquired the property
with a usable floor space of around 35,000 sqm "as is" for EUR 82 million.
In case of a full payment by 30 April 2015, the purchase price will reduced
by the interest and cost savings achieved by Deutsche Office. A deposit was
paid at the time of notarization. Financing was provided by the Swiss HFS
Helvetic Financial Services AG.
About half of the proceeds from the sale will be used for the repayment of
outstanding liabilities on the property. The other half will be at the free
disposal of the Company. The sale will further improve Deutsche Office's
financing terms and debt position.
The sale reduces the vacancy rate of the portfolio by more than 3
percentage points. Furthermore, Deutsche Office can now also reduce costs
that impact both cash flow and profitability, such as vacancy-related
ancillary costs that cannot be rebilled to tenants. "The sale of the
Westend Ensemble is a logical continuation of our strategy of focusing on
office buildings designed to support contemporary and sustainable use,"
says Jürgen Overath, Member of the Executive Board of Deutsche Office.
In addition, Deutsche Office has announced its preliminary key figures for
the financial year 2014. With revenues of around EUR 108 million, Deutsche
Office generated Funds From Operations ("FFO") of approx. EUR 47 million,
which is above the original guidance of EUR 44 - 46 million. The FFO per
share totalled around EUR 0.27 based on the preliminary figures for 2014.
"Based on these preliminary figures, we have achieved substantial FFO
growth and, at the same time in the financial year 2014, laid the
foundations for sustainable dividends in the future", said Alexander von
Cramm, Member of the Executive Board of Deutsche Office. The Management
Board will make its proposal for the distribution of profits from the
financial year 2014 on the basis of the audited annual financial
statements, which are to be published on 26 March 2015.
At around 170 thousand sqm the rental performance in 2014 matched the high
level achieved in the previous year. Thus, the rental performance
represents around 18 percent of Deutsche Office's portfolio. Overall,
around 45,400 sqm of this volume was attributable to new leases and around
124,300 sqm to lease renewals.
Corporate contact:
DO Deutsche Office AG
Richard Berg
Head of Investor Relations & Corporate Communications
Email rberg@deutsche-office.de
Telephone +49 (0)221 - 888 29 160
About DO Deutsche Office AG
Deutsche Office is a leading exchange-listed office property company,
focussing on German metropolitan regions and conurbations. As at 30
September 2014, its geographically diversified real estate portfolio
contained 53 properties held as investments, with a total rental area of
about 936,000 square metres and an attractive and broad tenant base. As at
30 September 2014, the properties had a market value of about EUR 1.8
billion. Deutsche Office's business model is based on the profit-oriented
asset management of office properties in German metropolitan regions,
underpinned by investment to increase and to maintain the value of the
properties in the portfolio. The strategy also includes the acquisition of
properties with potential for appreciation as well as exploiting potential
sales opportunities, which are applied throughout the entire property cycle
in order to capitalise the appreciation achieved and to invest in new
properties.
Additional information on Deutsche Office is available online at:
http://deutsche-office.de
+++++
Additional features:
Document: http://n.equitystory.com/c/fncls.ssp?u=IAHDSESXVC
Document title: Sale of Westend-Ensemble in Frankfurt and publication
of preliminaey figures for FY 2014
---------------------------------------------------------------------
29.01.2015 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: DO Deutsche Office AG
Maarweg 165
50825 Köln
Germany
Phone: +49 (0)221 88829 100
Fax: +49 (0)221 88829 299
E-mail: info@deutsche-office.de
Internet: www.deutsche-office.de
ISIN: DE000PRME020
WKN: PRME02
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, München, Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
317689 29.01.2015
DGAP-News: Deutsche Office sells Westend Ensemble in Frankfurt and announces preliminary results for financial year 2014 (news with additional features)
| Source: EQS Group AG