DGAP-Adhoc: DO Deutsche Office AG: DO Deutsche Office AG sells Westend Ensemble in Frankfurt and announces preliminary results for financial year 2014

DO Deutsche Office AG  / Key word(s): Real Estate/Preliminary Results

29.01.2015 18:19

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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. The buyer has
the option of a discount on the purchase price of approximately 4 percent
in exchange for full payment of the purchase price by 30 April 2015. 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.

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.
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


29.01.2015 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
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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 Announcement                             DGAP News-Service
 
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