VIB Vermoegen AG

M&A Activity • Sep 19, 2016

News Details

Corporate | 19 September 2016 07:32

VIB Vermögen growing with three new properties via in-house development and acquisition

DGAP-News: VIB Vermögen AG / Key word(s): Miscellaneous

2016-09-19 / 07:32
The issuer is solely responsible for the content of this announcement.

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VIB Vermögen growing with three new properties via in-house development and
acquisition

Neuburg/Danube, September 19, 2016 - VIB Vermögen AG, a company
specialising in the acquisition, development and portfolio management of
commercial properties, is expanding its real estate portfolio with three
new properties from the logistics/light industry sector. While the two
in-house developments are currently in the implementation phase, the third
property relates to the purchase of a real estate asset that is already
rented on a long-term basis. Each property is located in the economically
strong southern German region. The total investment volume is EUR 30.6
million.

As part of its growth strategy, the company is focussing more strongly on
in-house developments. To accomplish this, VIB secured three other
properties at the Interpark site near Kösching - one of the most important
industrial estates in southern Germany - back in early summer. Construction
has now begun for the first property. The completion of the building is
slated for the spring of 2017 and will have a rentable space of about
21,000 m². The investment volume amounts to EUR 15.4 million. Even before
starting construction, the property was rented to a tenant from the
logistics sector for six years from the move-in date. The net initial yield
will amount to about eight percent.

The second property is being developed at a site that was purchased in
addition to the spaces previously mentioned at the Interpark complex. Its
completion is planned for mid-2017. The property will have a rentable space
of about 7,000 m². A long-term rental agreement for this property has also
already been finalized with the tenant, an international technology
company. The agreement has a ten-year term. The investment volume amounts
to approximately EUR 8.6 million and will also generate a net initial yield
of about eight percent.

Alongside of the ongoing in-house developments, VIB also acquired another
logistics property in the direct vicinity of the Innovationspark
Wackersdorf. With a letable area of 9,880 m², the property has also been
rented for ten years to a tenant company from the automotive sector with
outstanding credit ratings. The building is in excellent condition, has a
flexible layout and optimal infrastructure connections. The total
investment volume is about EUR 6.6 million and will provide a return on
rent of seven percent.

"Just one year after completing our then largest in-house development, we
are now realising two other attractive projects at the Interpark site. The
fact that we could finalize rental agreements for both properties before
even starting construction highlights the attractiveness of the location as
well as our expertise in developing logistics properties. Being able to
acquire an already fully rented property at a favourable price is due to
our wide-ranging network in southern Germany," says Martin Pfandzelter,
Managing Board member (Real Estate Division) at VIB Vermögen AG.

Contact

Investor Relations:

VIB Vermögen AG
Petra Riechert Tel. +49 (0)8431 504 952
Luitpoldstr. C70 Fax: +49 (0)8431 504 973
86633 Neuburg/Donau Email: petra.riechert@vib-ag.de

About VIB Vermögen AG

VIB Vermögen is a medium-sized company specialising in commercial real
estate management that has been operating successfully for more than 20
years. The company focuses on properties from the logistics/light industry
sectors in the economically strong southern German region. VIB's shares
have been listed on the Munich (m:access) and Frankfurt (Open Market) stock
exchanges since 2005.

VIB's business model is based on a "develop-or-buy-and-hold" strategy.
Firstly, VIB acquires properties that are already rented. Secondly, it
completely develops new properties in order to transfer them to its own
portfolio on a long-term basis and generate rental income from them. VIB
also holds investments in companies with real estate assets.

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2016-09-19 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.

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Language: English
Company: VIB Vermögen AG
Luitpoldstraße C 70
86633 Neuburg/Donau
Germany
Phone: +49 (0)8431 / 504-952
Fax: +49 (0)8431 / 504-973
E-mail: petra.riechert@vib-ag.de
Internet: www.vib-ag.de
ISIN: DE0002457512
WKN: 245751
Listed: Regulated Unofficial Market in Berlin, Dusseldorf,
Hamburg, Munich (m:access), Stuttgart, Tradegate Exchange;
Open Market in Frankfurt

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