PATRIZIA AG

Earnings Release • Oct 31, 2007

News Details

Ad-hoc | 31 October 2007 12:15

PATRIZIA Immobilien AG: PATRIZIA Immobilien AG generates preliminary post-tax profit of EUR 46.5

PATRIZIA Immobilien AG / Preliminary Results/Miscellaneous

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Ad hoc disclosure in accordance with section 15 of the German Securities
Trading Act (WpHG) –

PATRIZIA Immobilien AG generates preliminary post-tax profit of EUR 46.5
million for the first nine months of 2007 following the increase of value
within its real estate portfolio

Augsburg, October 31, 2007. PATRIZIA Immobilien AG (ISIN DE000PAT1AG3) has
recognized a write-up to fair value in the amount of EUR 66.3 million on a
portion of its real estate portfolio. Under the terms of the syndication of
real estate finance, the financing bank required that an assessment of the
fair value of a portion of the relevant portfolios be prepared by a
neutral, internationally recognized appraiser. This conservative appraisal
led to a higher valuation of this sub-portfolio, meaning that we were
required to recognize a write-up to fair value in the amount of EUR 66.3
million in accordance with the applicable IFRS accounting principles. The
higher fair value serves to underline the fact that our real estate
portfolio consists of high-quality properties at attractive locations in
Germany.

In the third quarter of 2007, a total of 123 individual residential units
were sold privately. This resale figure failed to meet the expectations of
the market or our own targets. Delays in the start of the sales process for
our portfolios meant that the individual resale of the majority of the
higher-priced units in Munich and Cologne only commenced in September 2007.
This situation was caused by delays in the legal separation of real estate,
the late delivery of documents by the previous administration of the
seller, and delays resulting from our own growth. Since our IPO on March
31, 2006, our real estate holdings have increased tenfold and our workforce
has grown by more than 35%. The coordination and integration measures that
we have been required to implement as a result of this development have
taken longer than we anticipated at the start of 2007.

We have now completed these internal integration activities, and individual
sales in Cologne and Munich have begun. However, we do not expect the
revenue from these portfolios to be realized to a significant extent until
the 2008 financial year. The private sale of residential real estate in
Germany has the potential for success if the corresponding properties are
situated at attractive locations and are of a sufficiently high quality.
Based on this assessment and the value growth of our real estate holdings,
we are increasing our forecast net profit for the 2007 financial year from
EUR 45 million to EUR 48 million.

The preliminary revenues for the first nine months of 2007 amounted to
around EUR 99.8 million. After adjustment for all expense items and the
write-up to fair value of a portion of our real estate portfolio, EBIT for
the first nine months is expected to total EUR 100.6 million.

The full interim report for the third quarter of 2007 and the finalized
interim financial statements will be published on November 7, 2007, on
which date they will also be made available at www.patrizia.ag.

The Management Board

Augsburg, October 31, 2007

PATRIZIA Immobilien AG
PATRIZIA Bürohaus
Fuggerstrasse 26
D – 86150 Augsburg
Germany

Admission to trading: Official Market, Frankfurt/Main (Prime Standard)
ISIN: DE000PAT1AG3
German Securities Code Number (WKN): PAT1AG

Contact:

Investor Relations
Claudia Kellert
Tel: +49 (0) 821 5 09 10-360
Fax:+49 (0) 821 5 09 10-399
investor.relations@patrizia.ag

Press
Andreas Menke
Tel : +49 (0)821 5 09 10-655
Fax:+49 (0) 821 5 09 10-695
presse@patrizia.ag

31.10.2007 Financial News transmitted by DGAP

Language: English
Issuer: PATRIZIA Immobilien AG
Fuggerstraße 26
86150 Augsburg
Deutschland
Phone: +49 (0)821 - 509 10-000
Fax: +49 (0)821 - 509 10-999
E-mail: investor.relations@patrizia.ag
Internet: www.patrizia.ag
ISIN: DE000PAT1AG3
WKN: PAT1AG
Indices: SDAX
Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in
Berlin, München, Hamburg, Düsseldorf, Stuttgart

End of News DGAP News-Service

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