DGAP-News: DIC Asset AG Signs Leases for 25,900 sqm - Current Trend toward Lease Extensions

Press Release

DIC Asset AG Signs Leases for 25,900 sqm - Current Trend toward Lease Extensions

• Lease of around 17,900 sqm with public-sector entity in Mannheim renewed
• Lease of around 8,000 sqm with UL International Germany GmbH in Neu-Isenburg extended

Frankfurt am Main, 14 July 2020. DIC Asset AG (ISIN: DE000A1X3XX4), one of Germany's leading listed property companies, successfully renewed two lease agreements for a combined floor area of around 25,900 sqm in properties belonging to the proprietary portfolio (Commercial Portfolio). DIC Asset AG has lately noted an increased interest among companies in lease extensions, with some even prepared to accept higher conditions. The trend appears to be motivated by the companies' reluctance to relocate during the COVID 19 pandemic, among other reasons.

The most recent lease extensions include, on the one hand, a renewal for around 17,900 sqm and around 400 parking spots at an office property in Mannheim, which is rented by a public-sector entity. The deal secured full occupancy of the property for roughly another eight years.

On the other hand, a lease for around 8,000 sqm and around 120 parking spots at the "Red Square" office property on Admiral-Rosendahl-Strasse in Neu-Isenburg near Frankfurt am Main was extended by around six years. The premises are occupied by UL International Germany GmbH, a globally active research and testing company in the field of product safety.

"The two signings in Neu-Isenburg and Mannheim, respectively, demonstrate once again the efficiency and dynamics of our letting teams, which continue to close deals even under the changed circumstances of the coronavirus pandemic," commented Joachim von Bredow, Managing Director of DIC Onsite GmbH, the real estate management subsidiary of DIC Asset AG.

About DIC Asset AG:

With more than 20 years of experience on the German real estate market, the company maintains a regional footprint on all major German markets through six branch offices, and has 186 assets with a combined market value of c. EUR 8.4 billion under management (as of 31/03/2020).

Taking an active asset management approach, DIC Asset AG employs its proprietary, integrated real estate management platform to raise capital appreciation potential company-wide and to boost its revenues.

In its Commercial Portfolio division (EUR 1.9 billion in assets under management, as of 31/03/2020), DIC Asset AG acts as proprietor and property asset holder, and thus generates revenues both from the management of the assets and through the value optimisation of its own real estate portfolio.

In its Institutional Business division (EUR 6.5 billion in assets under management, as of 31/03/2020), which operates under the name GEG German Estate Group, DIC Asset AG generates income from structuring and managing investment vehicles with attractive dividend yields for national and international institutional investors.

DIC Asset AG has been SDAX-listed since June 2006.
 

IR Contact DIC Asset AG:
Peer Schlinkmann
Head of Investor Relations & Corporate Communications
Neue Mainzer Strasse 20
D-60311 Frankfurt am Main
Phone +49 69 9454858-1492
[email protected]