DEMIRE Deutsche Mittelstand Real Estate AG: Autobahn Deutschland with long-term lease in Essen

 

DEMIRE: Autobahn Deutschland with long-term lease in Essen

- Federal motorway administration leases around 7,000 m² for 10 years

- DEMIRE increases occupancy rate of the asset to around 90 percent

 

Langen / Essen, 12 May 2020: DEMIRE Deutsche Mittelstand Real Estate AG (ISIN: DE000A0XFSF0) has achieved new letting successes in Essen and acquired Autobahn Deutschland GmbH as a tenant. Within the year 2020, the federal motorway administration and its service departments will move into a total of about 7,000 sqm in several successive steps.
DEMIRE Deutsche Mittelstand Real Estate AG acquired the office complex in Essen's Theodor-Althoff-Strasse in November 2018 and has been continuously reducing the vacancy rate since then. The building complex, which was constructed in 1996 and has a total rental space of around 45,500 m², is now already around 90 percent occupied.
In a first step, the IT department of Autobahn Deutschland GmbH has already moved into the first 630 m² in the Essen property at the beginning of the year. In three further steps, the remaining space will be taken over, so that from 2021 a total of about 7,000 m² will be used by Autobahn Deutschland in the property. The federal motorway administration is taking over parts of the space previously used by Landesbau Straßenbetrieb NRW, the state road construction company. The new contracts provide for a lease term of 10 years.
The office complex in Essen is well connected to public transport and the nearby motorway. There is a direct connection to Düsseldorf Airport, the city centre and the main railway station.

About DEMIRE Deutsche Mittelstand Real Estate AG

DEMIRE - REALize Potential

DEMIRE Deutsche Mittelstand Real Estate AG has commercial real estate holdings in mid-sized cities and up-and-coming locations bordering German metropolitan areas. The Company's specific forte is its focus on these second-tier cities - its claim being "First in Secondary Locations" - and on a range of assets that appeals to both internationally active and regionally rooted tenants. DEMIRE holds a portfolio with a combined lettable area of around 1.1 million m² and a market value of roughly EUR 1.5 billion (as of 31 December 2019).

The portfolio focus on office, retail and logistics assets results in exactly the kind of risk/return structure that DEMIRE considers appropriate for the business line of commercial real estate. The Company puts a premium on long-term contracts with solvent tenants in anticipation of stable and sustainable rental revenues. DEMIRE has set itself the goal to keep optimising its corporate structure. To this end, it pursues an active property management approach, convinced that it is the best way to achieve economies of scale and portfolio optimisations.
DEMIRE Deutsche Mittelstand Real Estate AG shares (ISIN: DE000A0XFSF0) are listed in the Prime Standard segment of the Frankfurt Stock Exchange.

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Media Contact
Markus Heber
Feldhoff & Cie. GmbH
Telefon +49 69 26 48 677 - 19
Email mh@feldhoff-cie.de

Investor Relations

Michael Tegeder
Head of Investor Relations & Corporate Finance
DEMIRE Deutsche Mittelstand Real Estate AG
Phone: + 49 6103 3724944
Email: tegeder@demire.ag