09.08.2011 – 08:01

Fair Value REIT-AG

EANS-News: Fair Value REIT-AG sells Sparkasse branch property at a profit

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  Corporate news transmitted by euro adhoc. The issuer/originator is solely
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Company Information/Strategic management decisions


Munich (euro adhoc) - August 9, 2011 - Fair Value REIT-AG has sold a property in
a central commercial location in Rellingen near Hamburg. The building is
currently rented to Sparkasse Südholstein. The sales price for the property held
in part ownership is EUR 675 thousand, which represents 15.7 times the annual
rent. This figure is therefore around 21% above the market value of around 13
annual rents fixed on December 31, 2010. 

The buyer also purchased the residential part of the property (three flats) not
owned by Fair Value, making him the sole owner of the building in the future.
The transfer of benefits and encumbrances is due to be concluded by September
30, 2011. 

Frank Schaich, CEO of Fair Value REIT-AG, explains: "This sales price being
substantially above the previous market valuation proves the sustained rise in
interest in smaller real estate investments, as well as the intrinsic value of
these properties in the Fair Value REIT-AG. In addition, this transaction was
made in harmony with our strategy of improving cost structures also by selling
smaller properties and successively increasing the average investment volume per
property."


Corporate profile

Fair Value REIT-AG, based in Munich, focuses on the acquisition, leasing,
property management and sale of commercial properties in Germany. At the core of
its investment activities are office and retail properties in German regional
centres. Because of its REIT status, Fair Value is exempt from corporation and
trade tax. In addition to investing in properties directly, Fair Value also
invests in real estate funds. 

Through direct investments and subsidiaries, the Fair Value Group manages a
portfolio of 51 commercial properties with a total leasable floor space of
around 163,000 square metres and a market value as of December 31, 2010 of
around EUR 129 million. (Fair Value's share on these investments amounted to
around EUR 93 million as of March 31, 2011).

In addition, Fair Value REIT-AG holds minority interests in six closed-end real
estate funds with holdings in 23 commercial properties and a total leasable
floor space of around 269 000 square metres. As of 31 December 2010, the total
market value of these properties was EUR 365 million. (Fair Value's share on
these investments amounted to around EUR 130 million as of March 31, 2011). 

As of March 31, 2011, Fair Value's share on the total portfolio amounted to
around EUR 223 million. This represented an occupancy rate of 93.1% of the
achievable rents at full occupancy of EUR 19.6 million per annum. As of March
31, 2011, the weighted remaining term of the leases was 6.0 years. Around 44% of
the potential rent relate to retail floor space, 42% to office space and 14% to
other facilities.


Further inquiry note:
Fair Value REIT-AG
Frank Schaich
Tel.: 089-9292815-10
Fax:  089-9292815-15
E-Mail:  schaich@fvreit.de

end of announcement                               euro adhoc 
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company:     Fair Value REIT-AG
             Leopoldstraße 244
             D-80807 München
phone:       +49 (0) 89 9292815 01
FAX:         +49 (0) 89 9292815 15
mail:         info@fvreit.de
WWW:         http://www.fvreit.de
sector:      Real Estate
ISIN:        DE000A0MW975
indexes:     CDAX, Classic All Share, Prime All Share, RX REIT All Share Index,
             RX REIT Index
stockmarkets: regulated dealing/prime standard: Frankfurt, free trade: Berlin,
             Stuttgart, Düsseldorf, München 
language:   English