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S IMMO AG
Ansprechpartner: Elisabeth Wagerer
Tel.: +43 1 22795-1120
E-Mail: elisabeth.wagerer@simmoag.at
pta20200113012
Business news for the stock market

S IMMO AG: S IMMO AG crosses 2 million sqm mark in Berlin's commuter belt


Vienna (pta012/13.01.2020/10:00) - In the summer of 2018, S IMMO AG decided to expand its radius of operations in Berlin and invest in land in the area surrounding the German capital. Since then, a total of 28 plots have been purchased, pushing the company's holdings in the region past 200 hectares of total space. With these moves, the company is securing a robust development pipeline for the coming years. The investment volume for the purchases amounts to just over EUR 30m and thus equals less than one per cent of the company's total assets. Ernst Vejdovszky, chairman of the Management Board at S IMMO AG, had the following comment: "The purchases in Berlin's commuter belt are precisely in line with our strategy of buying on an anticyclical basis and securing earnings for the future at the opportune time. We see attractive long-term opportunities and significant value-enhancement potential in the development of land in Berlin's commuter belt. At the same time, the risk of these investments is very manageable thanks to the low purchase prices."

Compared with the hinterland of other major European cities, Berlin's commuter belt still exhibits a below-average level of development at the moment. The demographic developments and rising prices in Berlin make the potential of this region very clear. Robert Neumüller, managing director of S IMMO Germany, explained the purchases as follows: "We look for exceptional properties, develop projects with a strong sense of vision, and try to get people excited. It's decisive for the success of a project to take the interests of the local stakeholders into consideration and keep the infrastructure and regional planning in mind."

The uncertainty of individual projects is cushioned by broadly diversifying the investments. "We bring individual risks up to the portfolio level and anticipate probabilities, which allows us to take on more risk on a selective basis," said Neumüller.

Ownership of some of the plots that have been purchased thus far will only be transferred to S IMMO AG over the coming months.

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emitter: S IMMO AG
Friedrichstraße 10
1010 Wien
Austria
contact person: Elisabeth Wagerer
phone: +43 1 22795-1120
e-mail: elisabeth.wagerer@simmoag.at
website: www.simmoag.at
stock exchanges: official trade in Vienna
ISIN(s): AT0000652250 (share)
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