PTA-News: Deutsche Industrie REIT-AG: Deutsche Industrie REIT-AG (ISIN DE000A2G9LL1) successfully concludes a major follow-up lease agreement

Potsdam (pta007/02.06.2021/06:55) - Deutsche Industrie REIT-AG (ISIN DE000A2G9LL1) successfully concludes a major follow-up lease agreement with a subsidiary of Volkswagen OTLG near Hanover and will additionally generate rental income of around EUR 2.2 million p.a. by optimising relevant lease agreements

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Potsdam (pta007/02.06.2021/06:55) - Deutsche Industrie REIT-AG (ISIN DE000A2G9LL1) successfully concludes a major follow-up lease agreement with a subsidiary of Volkswagen OTLG near Hanover and will additionally generate rental income of around EUR 2.2 million p.a. by optimising relevant lease agreements

Deutsche Industrie REIT-AG has successfully concluded negotiations on a follow-up lease to an existing lease. The 100% subsidiary of Volkswagen OTLG, ZENDA Dienstleistungen GmbH, will rent the entire designated warehouse space of the logistics property in Wedemark with around 19,175 m². The property at Industriestraße 44 was acquired by Deutsche Industrie REIT-AG at the end of 2019 with a short remaining lease term of only around 0.4 years. At that time, the tenant, Volkswagen AG, had already been continuously leasing the property for many years, but always with relatively short lease terms.

In addition to a direct connection to the nearby A7 motorway, the property has adequate delivery options via a large number of ramps and gates as well as its own railway siding with ground-level loading and unloading options inside the building.

Together with the direct parent company Volkswagen OTLG and its total of around 2,900 employees, ZENDA Dienstleistungen GmbH ensures the supply of original spare parts, accessories, and workshop equipment to the service partner operations of the brands Volkswagen, Volkswagen Commercial Vehicles, Audi, SEAT and ŠKODA. ZENDA Dienstleistungen GmbH has made a long-term commitment to the Wedemark site.

In addition, Deutsche Industrie REIT-AG was able to implement relevant contract extensions and conclude new leases on good terms at eight other locations, which account for around 17% of the total lettable space. In addition to the Wedemark location, these include the properties in Bad Salzdetfurth, Wildau, Schwerin, Schortens, Mönchweiler, Oebisfelde, Oberding and Wesel.

The contract optimisations through contract extensions and the conclusion of new leases are based on a total lettable area of around 74,000 m². Around 43,000 m² was let with a lease term of at least 5 years. In addition to the successful conclusion of a contract in Wedemark, an attractive contract extension was also achieved in Wildau for a total rental area of 8,700 m², which is characterised by a WALT of over six years and a rent increase of around 20%. The largest rent increase of 221% was realised for a total rental area of around 500 m² in Wesel. Furthermore, an attractive lease extension with a lease term of six years and a rent increase of 20% for a total rental area of around 10,800 m² was realised in Schwerin, among other places.

Overall, additional rental income of around EUR 2.2 million p.a. will be generated in the future through the long-term lease extensions and the conclusion of new leases at the nine locations of Deutsche Industrie REIT-AG.

About Deutsche Industrie REIT-AG

Deutsche Industrie REIT-AG invests sustainably in light industrial properties in Germany. In addition to the activities of storage and distribution of commercial goods, light industrial also includes their administration and production. The asset class mainly consists of medium to large industrial and commercial park sites. The areas are usually more complexly equipped than pure logistics properties and have a high local relevance.

The share is listed on the regulated market of the Berlin Stock Exchange and in the Prime Standard of the Frankfurt Stock Exchange. Since the beginning of 2018, the company has had the status of a REIT ("real estate investment trust") and the associated income tax exemption.

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emitter: Deutsche Industrie REIT-AG
address: August-Bebel-Str. 68, 14482 Potsdam
country: Germany
contact person: René Bergmann
phone: +49 331 740 076 535
e-mail: rb@deutsche-industrie-reit.de
website: www.deutsche-industrie-reit.de

ISIN(s): DE000A2G9LL1 (share), DE000A2GS3T9 (bond), DE000A2YNQU1 (bond)
stock exchanges: regulated market in Frankfurt, Berlin

[ source: http://www.pressetext.com/news/20210602007 ]

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